The whole region of Southern California’s housing market is matching an all-time high and continues to soar to new heights. In the month of September, the median price for Southern California homes reached $505,000, matching the previous 2007 median price record. However, Los Angeles County has surpassed its median at a price of $575,000, which is $25,000 higher than its peak in 2007. Orange County has surpassed its 2007 median as well, sitting at $710,000, which is $65,000 more than its past record.
This upswing is (hopefully) unlike the swing in 2007, where the price of California homes’ swelled and collapsed in 2008. Economists believe this housing growth is more sustainable due to the high demand of housing in these counties. The demands are high due to the low amount of homes on the market and the ever increasing population density of Southern California. In addition to supply, the economic growth of Southern California stands as another contributing factor to the housing markets growth.
Home Prices Are Never Guaranteed
As Southern California’s population continues to rise, there will eventually be an increase in new housing developments to meet the housing demand. If this were to happen, the price of homes would go back down to more affordable rates. As 2008 proved, the real estate market is at times a guessing game, and a house is only ever worth its current market value.
This fact is causing some Californians’ to consider selling their homes and moving to other states where the price of living is substantially lower. While the median price of Southern California homes is $505,000, other housing markets, like Texas, have a median of $170,200. Even in the Dallas area, the median price of a home is only $214,800—a difference of $290,200 when compared to Southern California median.
Here are some other median home prices of other popular cities:
- Phoenix, AZ: $218,600 | $286,400 Less Than Southern CA
- Portland, OR: $345,500 | $159,500 Less Than Southern CA
- Chicago, IL: $223,300 | $281,700 Less Than Southern CA
- Las Vegas, NV: $233,600| $233,600 Less Than Southern CA
- Salt Lake City, UT: $399,900 | $105,100 Less Than Southern CA
- Boise, ID: $219,700 | $285,300 Less Than Southern CA
- Denver, CO: $386,700| $118,300 Less Than Southern CA
For California residents who have been in the Los Angeles area for longer than 20 years, their homes are gold mines due to increasing household prices. For example, a home in the Santa Clarita area that was bought for $218,000 in 1997 could have an estimated price of $595,934 today. That is a profit of $377,934! This could afford a median house in Portland with almost $250,000 left over. It’s no surprise that homeowners living in Southern California are looking to move to cheaper cities.
Thinking About Moving?
If you are thinking about moving to a new city to capitalize on this amazing housing market, we can help! While you are looking into housing markets, Affordable Quality Moving Services can give you peace of mind concerning the cost of moving. Our quality moving team will come into your home and give you an estimated quote, absolutely free. No matter how far the move, we can help! With more than 20 years of moving experience in the Los Angeles area, we can help your transition feel seamless while getting you fantastic results at a great price. So why wait? Start your new life today by giving us a call.
AQMS is a family owned company that is dedicated to helping your family launch your new life. Reach out to us at (818) 960-1988 for any questions you may have!