Year in Review: Local Real Estate Market Trends from 2024
The Southern California real estate market saw significant changes in 2024. Home prices continued to climb, with the median price for a single-family home reaching over $900,000, an 11% increase from 2023. However, price appreciation slowed as rising interest rates dampened buyer demand. Home inventory remained constrained, with 16% fewer active listings than the prior year. Homes spent an average of just 32 days on the market before going under contract. Looking ahead, analysts predict the market will continue cooling in 2025 as affordability challenges persist, though the region's job growth and limited land for new development are expected to prevent major price corrections.
- When you need to work on your credit. Maybe your credit score is just starting to recover, but you need more time to pay down debts for a couple of years. With rent-to-own, you could start investing in a home while you bring up your score.
- You’re close, but not quite ready to secure a mortgage. You might have a good job with a significantly bigger salary, but you haven’t been there long enough for a lender to consider it a stable source of income. Or maybe you’re self-employed and you’re still building a reliable track record. Rent-to-own allows time to build personal wealth and financial credibility while working toward your homeownership goals.
- When you know you’re going to buy when the lease expires. If you’re not ready to buy when the lease expires, then you will lose any rent credit, i.e. investment, you’ve put into the home.
