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Thanks to the data provided by the CAR, the overall housing market in the state of California is to be continued to slowly recover in terms of its home sales, as they climbed their way back to the highest level for the past two years back in July 2020. This has set unprecedented record-high median home prices on the market.
According to the Mortgage Bankers Association, or the MBA:It is reported earlier this week that the United States. Mortgage credit availability had reached a decrease since August of 2020. What they found was that the MCAI decreased by an overall 4.7% from its 120.9% back in August. This decline thus shows an indication that meant lending standards are beginning to tighten while increases to the index have been indicative due to loosening credit. This was then benchmarked to 100 back in March 2012. Meanwhile, conventional MCAI decreased by 8.7%, and government MCAI went down by 1.4%. Out of the indices shown from the Conventional MCAI, the Jumbo MCAI was also decreased by 8.9% overall. Lastly, conforming MCAI decreased by 8.6%. When it came to the overall mortgage credit supply, it fell to its lowest ever since March of 2014 because of how it was driven to have a reduction in its supply from the conventional as well as the government portions of the market, at least according to Joel Kan who is the associates Vice President of Economic & Industry Forecasting for MBA. He also states that thanks to the sub-indexes of both the conforming and jumbo indexes, the percentage fell to almost 9% total for each one, with conforming sub-indexes falling to their lowest ever rates and readings since MBA’s inception back in 2011.
According to the CoreLogic’s Single-Family Rent Index, or known briefly as SFRI, they updated the index for the prices of those back in July of this year. What they found was that there was an increase in the rental prices by about 1.7% from the previous years. This time around the prices actually dropped by about 2.9% since July 2019.
Maybe you are one of the many who have been given the very unique and thrilling opportunity to finally live in the LA region and call the beach, the atmosphere, and of course, the weather your home. Much like the city itself, the real estate market also has a similar feel, especially for the investors and the homeowners in the market. In fact, the real estate market of LA is known to be a premier market by the investors themselves- meaning that if you look at the price flow on a long-term basis, the chances of investments and buying property are all there.
