It’s spring again and home sales are on the wing again.
This news is particularly important for the Greater Antelope Valley.
At the AV Business Outlook Conference this winter, the word was that the local market didn’t have much in terms of available homes because they’re selling so rapidly.
With job growth accelerating from projects such as the B-21 bomber to be assembled by Northrop Grumman at Air Force Plant 42, there is a growing need for new, affordable home construction.
Early estimates showed that the $60 billion bomber contract would create 6,500 jobs.
The Wall Street Journal was not playing an April Fool’s joke when it reported on its front page, Monday, that “The spring home-buying season is shaping up as the best in years, offering new opportunities after last year’s tough housing market drove away many would-be buyers. …”
“Mortgage rates have been falling, home inventory is rising in many once-tight markets and the pace of home-price growth is slowing.”
The average rate on a 30-year mortgage has fallen to just over 4%, from a high of nearly 5% last fall, after posting its largest one-week decline in a decade, according to data released March 28 by Freddie Mac.
Home-price growth has slowed for 10 consecutive months. Average prices in major U.S. metropolitan areas are now rising about 4% year over year, compared with 6% a year ago, the S&P Core-Logic Case-Shiller National Home Price Index reported.
Mortgage brokers and real estate agents are sending emails to clients heralding the drop in rates, which could bring even more prospective buyers off the sidelines.
As has been the case for many decades, land prices in Antelope Valley are always lower than comparable lots in the L.A. Basin, if there are actually any properties available down below.
Nationwide, home prices tumbled 7% in the fourth quarter compared with a year earlier, making 2018 the weakest year since 2015.
Home prices have risen more than 50% since the bottom of the market in 2012.
One example: in Antelope Valley, new condos built in 1973 that sold for $32,000 are now listed as high as $214,000.
Across the country, the average time it takes to find a home is now 73 days, a six-year low.