2021 Housing Market Outlook

The housing market ended 2020 on a strong note as sales reached the highest level in 15 years and the statewide median price set another new record. After experiencing one of the sharpest declines in years in the second quarter of 2020, California home sales bounced back with a year-over-year gain of nearly 20 percent in the second half of 2020, and the state housing market pulled off an annual growth rate of 3.5 percent. Despite the pandemic and two lockdowns, the housing market remains a rare bright spot in a struggling economy that is slowly recovering.


While there are still many uncertainties about COVID-19 and the economic conditions, the outlook is brighter this year and the economy is expected to grow solidly in 2021. As vaccines started rolling out at the end of last year and another round of fiscal stimulus is on track to arrive, the pace of recovery should begin to pick up in late first quarter. The growth momentum will sustain through the rest of the year, assuming new virus variants will not lead to another surge in cases. The US GDP will improve this year by 4.4 percent and the national unemployment rate will decline to 6.1 percent.

A favorable lending environment will continue to benefit the housing market and fuel demand further as economic conditions improve. With pent-up demand staying high and mortgage rates hovering near record low levels, home sales in California will remain robust in the first quarter. Despite tight housing supply conditions, sales of existing single-family homes in California will increase in 2021 by 11.2 percent.

With housing supply tightens up in more affordable markets and the economic downturn having a bigger adverse impact on lower-priced segments, the mix of sales will continue to skew towards higher-priced properties and push median prices upward in coming months. The statewide median price will continue to rise on a year-over-year basis and the market may see a new median high before the summer.

Further price increase is expected in the second half of the year, but the pace of growth will moderate. The normalization of the mix of sales as the economy recovers and an increase in foreclosed properties as mortgage forbearance is lifted are reasons that could keep prices in check and prevent the statewide median price from rising too fast in the third and the fourth quarters of the year. Overall, however, the imbalance between supply and demand will continue to put upward pressure on home prices, and the statewide median price is projected to grow 8.0 percent in 2021.



SOLD! 2372 Edgehill

2372 Edgehill

Acting as buyer's agent, Ann was instrumental in assisting the buyer with his purchase of 2372 Edgehill, providing expert guidance and support every step of the way.

We connect clients with opportunities!



SOLD! 8973 Lawrence Welk #273

8975 Lawrence Welk #273

 

As buyer's agent, Ann made sure that the purchase of 8973 Lawrence Welk #273 went smoothly and successfully.

We connect clients with opportunities!



SOLD BY ANN - 8975 Lawrence Welk #169

8975 Lawrence Welk #169

This is a stunning two bedroom, two bath home with a spectacular, unobstructed, mountain view. It is situated at the top of the hill in Champagne Village, a gated, active, 55+ community.

The home has been completely remodeled with beautiful new flooring, and an upgraded kitchen with new stainless appliances. The bathrooms are beautifully updated and there are dual pane windows throughout. Central air and heat.

A spacious bonus California room is not included in the county square footage.

This is not leased land, homeowners at Champagne Village benefit from owning the land beneath their home.

The monthly HOA fee is $230 for all the amenities: including tennis and pickleball courts, heated swimming pool, spa hot tub, fitness room with showers and lockers, clubhouse (Village Hall) laundry facilities, billiards room, dog park and walking area, golf practice area, bocce ball court, picnic and outdoor staging area. There are activities and events happening every week.

We connect clients with opportunities!



SOLD BY ANN - 276 Camino Real Space #165

276 Camino SPC 165

2 Bed 2 Bath Home with 1440 Square feet & Permitted California room for additional 160 Sq Ft.  

This is a choice location on the Lake in Laguna Vista, right in the middle of the park with a Lake view from the Master Bedroom & From the Enclosed California Room.

We connect clients with opportunities!



SOLD! 1330 Oak Grove

We are pleased and grateful to announce that Ann participated as Buyer's Agent in the sale of 1330 Oak Grove Drive in Eagle Rock.  The escrow, lender, and listing agent, all contributed to bring a complex transaction to close on time!

1330 oak grove

Ann acted as buyer's agent, successfully helping the buyer navigate the entire process of purchasing 1330 Oak Grove Drive.

We connect clients with opportunities!



SOLD BY ANN - 2815 Via del Robles

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Elegant custom built Tudor influenced home with gated entry. Situated on 1.73 acres with tranquil views of lush groves, rolling hills and gentle valleys. Main residence includes 4 bedrooms, 3.75 baths, a spacious entertainer's kitchen with center island and peninsula, ample cabinetry, custom brickwork, vaulted ceilings, fireplace and dry sauna. For privacy, the luxurious master suite is located on the second level. Central air and heating is available on both levels of home. A new HVAC unit was installed in 2015.

The additional guest suite is located above the 3 car attached garage and has its own separate entry. It includes a living room, kitchenette, bonus bedroom and bath. The guest suite was updated in 2015 with new flooring, carpet and paint.

Step outside to the expansive outdoor living area with a fully equipped kitchen-BBQ area, heated pool and spa, patio, and an observation deck gazebo to experience commanding views. On the slope below the deck, you'll find a shady grove of approximately 20 mature avocado trees

Other amenities include: Solar panel system and Additional RV parking outside the wrought iron fence.

 


While the financial reasons for selling are important, there’s often far more to consider. Non-financial reasons can also be a significant motivating factor. If you need help weighing the pros and cons of selling your house, let’s connect.  Ann has the experience and expertise to guide you.