Los Angeles Quarterly Market Insights Report (Micro): Q2 2021
July 15, 2021 | Source: Compass California Real Estate Blog
It is our pleasure to bring you the Compass 2021 Q2 Real Estate Market Report. As Los Angeles moved through the second quarter the market continued to set records with sales activity and home prices. Inventory constraints continue to result in multiple offers and bidding wars as standard operating procedure.
Historically low-interest rates brought buyers into the market, allowing many to qualify for higher-priced homes. Across most of Los Angeles, we saw triple-digit increases in home sales. From 315 percent for single-family homes in San Marino to a 650 percent increase in condo sales in Beverly Center-Miracle Mile. Consider when comparing this year’s second-quarter sales activity to last year’s that strict stay-at-home orders were in place for Los Angeles County last year. The real estate market had stalled for much of April and May.
Westside second-quarter home sales increased by 222 percent. Condo sales in Westwood/Century City increased 213 percent compared to last year. Prices fell by 23 percent for single-family homes in the high-net-worth areas of Bel Air/Holmby Hills and Beverly Hills.
Days on market showed how fast buyers moved. In the Coastal Communities, homes sold 16 days faster compared to last year’s second quarter. In Northeast Los Angeles days on market fell by 41 percent. Highest and best offers were submitted, often waving home inspections and other key contingencies.
Economists forecast interest rates to remain well below 4 percent through 2021. Compass professionals look to reluctant sellers to list their homes so a more balanced market will return to the Los Angeles area.