California in for a Housing Market Slowdown, Analysts Conclude

LOS ANGELES, CA - Pending November home sales in California have dropped from October of this year and November of last year, indicating that a statewide housing market slowdown likely is in the works, the California Association of Realtors said Thursday.

Across the state, pending November home sales fell 3.5 percent from the same time last year, and four percent from October, according to the Los Angeles-based CAR.

Southern California sales dropped a significant 11.9 percent from October, but were 3.9 percent higher from November 2015, bucking the statewide trend. Los Angeles County led the way with a 7.5-percent sales hike, followed by Orange County with a 5.3 percent jump and San Bernardino County with 5 percent, the CAR said.

San Diego County dropped 5.9 percent, year to year, statistics show.

Across the state, Realtors responding to the CAR's November Market Pulse Survey reported a decline in floor calls, listing appointments and open house traffic. Realtors also were about 300 percent more concerned with a deal- slowing rise in interest rates compared to October.

Consequently, the share of homes selling below asking price rose from 40 percent in November 2015 to 44 percent in November 2016.

Just 8.4 percent of homes statewide sold above asking price, down from 9.1 percent in October and 8.9 percent a year ago, the CAR said.

City News Service; Photo: Shutterstock