California housing market news and trends report for march 2019

Here is a summary of the California housing market news and trends report for March 2019:

Market Overview

The California housing market continued to experience a slowdown in March 2019, with sales and prices declining from the previous year. The market is still recovering from the impact of the Tax Cuts and Jobs Act (TCJA), which limited the mortgage interest deduction and reduced the state's housing affordability.

Sales

• California home sales declined 14.1% in March 2019 compared to the same period last year, according to the California Association of Realtors (CAR).
• The statewide median home price decreased 3.4% to $540,000 in March 2019, compared to $558,000 in March 2018.
• The number of active listings increased 14.1% in March 2019, indicating a slight shift towards a more balanced market.

Regional Trends

• The San Francisco Bay Area, which includes cities like San Francisco, Oakland, and San Jose, saw a 21.1% decline in sales and a 4.1% decrease in median home price.
• The Los Angeles-Long Beach-Anaheim area experienced a 12.1% decline in sales and a 2.1% decrease in median home price.
• The San Diego area saw a 10.3% decline in sales and a 1.4% decrease in median home price.
• The Inland Empire region, which includes Riverside and San Bernardino counties, experienced a 15.1% decline in sales and a 3.5% decrease in median home price.

Price Trends

• The statewide median home price decreased 3.4% in March 2019, with the largest declines seen in the San Francisco Bay Area (-4.1%) and the Inland Empire (-3.5%).
• The median home price in the San Francisco Bay Area decreased to $1,150,000, while in the Los Angeles-Long Beach-Anaheim area, it decreased to $640,000.
• The median home price in the San Diego area decreased to $540,000, and in the Inland Empire, it decreased to $380,000.

Inventory and Affordability

• The statewide active listings increased 14.1% in March 2019, indicating a slight shift towards a more balanced market.
• The statewide median days-to-sell increased to 34 days, up from 32 days in March 2018.
• The California Association of Realtors' Housing Affordability Index decreased to 31% in March 2019, indicating that only 31% of California households could afford to purchase a median-priced home.

Government and Regulatory Updates

• The California Legislature passed a bill to increase the state's minimum wage to $15 per hour by 2023, which could impact housing affordability.
• The California Department of Housing and Community Development (HCD) released a report highlighting the state's housing shortage and recommending solutions to address the issue.

Industry Insights

• The California Association of Realtors (CAR) reported that 64% of California homebuyers are first-time buyers, indicating a strong demand for housing.
• The National Association of Realtors (NAR) reported that 55% of California homebuyers are using cash, indicating a strong presence of investors in the market.

Overall, the California housing market continued to experience a slowdown in March 2019, with sales and prices declining from the previous year. The market is still recovering from the impact of the TCJA, and the state's housing affordability remains a significant concern.