The real estate market in Los Angeles has been a hot topic for years, with high demand and low inventory driving up prices. But there’s a new trend emerging in the City of Angels: the average days on market are increasing. Homes are staying on the market longer before they sell, leaving some wondering why. In this article, we’ll take a closer look at what’s driving this change and what it means for homebuyers and sellers in Los Angeles.
Los Angeles Housing Market: Average Days on Market Increase
In recent years, Los Angeles has been a seller’s market, with homes often selling within days of being listed. However, in 2021, the average days on market have increased to around 50 days – a significant jump from the previous year. This change is causing some concern for those in the real estate industry, as it indicates a potential shift in the market.
One reason for the increase in days on market is the impact of the COVID-19 pandemic. Many buyers are hesitant to make big purchases during uncertain times, which has led to a decrease in demand. Additionally, the pandemic has made it harder for buyers to view properties in person, further slowing down the buying process.
What’s Driving the Increase in Average Days on Market in Los Angeles?
Another potential factor contributing to the increase in days on market is the rise in home prices. As homes become more expensive, buyers become more selective and take their time before committing to a purchase. Additionally, some sellers may be overpricing their homes, leading to longer wait times before a sale.
The current state of the market may also be contributing to the increase in days on market. With low inventory and high demand, buyers may be waiting for the perfect property to come onto the market. This can lead to longer wait times before a sale, as buyers are willing to take their time and wait for the right opportunity.
Overall, the increase in average days on market in Los Angeles is a potential indicator of a shift in the real estate market. While it may be concerning for some, it’s important to remember that the market is constantly evolving and changing. For homebuyers and sellers alike, it’s important to work with a trusted real estate agent who can help guide you through the process and make informed decisions.