In May, home prices were on the rise and the most expensive listing to sell in San Diego County had a La Jolla address. In recent months, home prices have increased across the nation, but San Diego County real estate has seen higher increases than a number of other American cities.
The median price for resale homes in San Diego County rose 9 percent from May 2015 to May 2016, according to data released by the Greater San Diego Association of REALTORS. This number is also up 6.6 percent from its figure in January of this year.
Moreover, single-family home prices rose 2 percent from their figures in April, and condo and townhome prices increased 5 percent. May’s median single-family home price was $570,000, while the condo and townhome median price was $380,000.
Median home prices increased year-over-year and month-over-month in San Diego County, but sold single-family listings decreased by 2 percent. The association attributes this to a “continued shortage of inventory.” In May, residential properties were on the market for an average of 30 days.
Ocean view home in La Jolla was the top listing sold in May
The most expensive real estate listing sold in San Diego County in May was a 5-bedroom, 5-bath, ocean view home in La Jolla Shores. The 3,590 square-foot home was built in 1930 and sold last month for $9.5 million.
Home sales are on the rise
The National Association of Realtors reported that pending home sales rose for the third consecutive month in April and reached their highest level in more than ten years. All major regions saw gains except for the Midwest, and the West saw an 11.4 percent increase, according to data from the Pending Home Sales Index. Home sales were up 5.1 percent, which placed them at their highest level since February of 2006, and continued a year-over-year increase that has been documented each month for the past 20 consecutive months.
Southern California home prices are above the national average
An article in The San Diego Union-Tribune noted that Southern California home prices are above the national average. Per the Standard & Poor’s Case-Shiller Home Price Indices, national prices rose 5.2 percent over a 12-month period ending in March, while San Diego’s median home price increased 6.2 percent. Home prices rose in all 20 metropolitan areas analyzed, but the Pacific Northwest and West saw the steepest increases. Washington D.C. experienced an increase of 1.5 percent, while Portland’s home prices grew 12.3 percent. The increases are determined based on Standard & Poor’s Case-Shiller Home Price Indices, which are compiled by tracking the rise and fall of home prices in 20 cities across the nation.
According to the data collected by Standard & Poor, San Diego’s home values have doubled since 2000. This places San Diego right behind Los Angeles and San Francisco at the top of the list for increasing home prices.
Home prices increase across the nation
The Standard & Poor data also shows that home prices in all 20 cities tracked increased more than 5 percent annually for the last four consecutive years. When combined, the cities showed a 5.4 percent increase since March of 2015. The article also noted that less than 2 percent of all homes in the U.S. are on the market, which is the lowest inventory seen since the mid 1980’s.