What Buyer Activity Tells Us About the Housing Market in Beverly Hills and Los Angeles, CA
What Buyer Activity Tells Us About the Housing Market in Beverly Hills and Los Angeles, CA | Christophe Choo at Coldwell Banker Global Luxury is Your Local Real Estate Expert
The housing market in Beverly Hills and Los Angeles, CA may no longer be experiencing the frenzied pace of a year ago, but buyers are still showing strong interest in purchasing homes. According to U.S. News, demand remains high due to the shortage of homes on the market, and this is reflected in the latest ShowingTime Showing Index. This index is a measure of buyers actively touring available homes, and it shows a 62% jump in showings from December to January, one of the largest on record.
While it is normal to see an increase in showings early in the year, this year's jump was larger than usual, and a lot of that has to do with mortgage rates. Michael Lane, VP of Sales and Industry at ShowingTime+, explains that mortgage rate activity this spring will play a big role in sales activity, but January's home showings are a positive sign that buyers are getting back out there.
It's important to note that mortgage rates hovered in the low 6% range in January, which played a role in the high number of showings. When mortgage rates ease, buyer interest climbs. The jump in home showings early this year makes one thing clear - while rates may be volatile right now, there are interested buyers in Beverly Hills and Los Angeles, and when mortgage rates are favorable, they're ready to make their move.
So, what does this mean for the housing market in Beverly Hills and Los Angeles? The strong buyer activity suggests that the market is still competitive, even if it has cooled slightly. The shortage of homes on the market is also driving up demand, so if you're looking to sell your home, now may be a good time to do so. On the other hand, if you're in the market to buy a home, keep an eye on mortgage rates and be ready to act when they're in your favor. Overall, the current buyer activity in the area is a positive sign for the future of the housing market in Beverly Hills and Los Angeles.