The real estate market in California mirrored the rest of the country in 2021. Home prices increased by double digits in the more affordable areas, such as Sacramento and Riverside. The San Francisco Bay area had more modest increases, due in part to Buyers being anxious to relocate to more affordable, suburban areas. The San Francisco housing market saw the typical home value increase by only 9.3% compared to the statewide increase of 20%.

Overall, home prices in the state far outpaced the national median price. In October, the median sale price of a single-family home in California was $798,440, up 12.3% from last year. This new price was double that of the national median average of $353,900.

Oakland saw the biggest increase in demand. Alameda County, which includes Oakland and Berkeley, saw a 24% increase to $1.05M. in November. The move-in ready homes with work-from-home space and backyards often saw 12 or more offers.

Sacramento was one of the most sought-after destinations for Buyers who looked for more space and affordable prices. A single-family home’s median price rose 22.3% from 2021. This area tends to have bigger and newer homes compared to the coastal cities to the west.

In November 2021, Los Angeles saw their median home price rise from $730,000 to $810,000. The luxury market in Southern California near Montecito shot up 43% to $6.46M over the previous year.

Inventory remains low throughout California and anything that comes on the market tends to be snatched up quickly by Buyers afraid of losing out on finding a home.

So, what’s in store for California in 2022? According to most experts, home prices will grow half as fast as they did in 2021. With construction still lagging in the state, don’t look for housing demand to lessen. Availability will remain a negative factor for the foreseeable future.

If you need help getting a mortgage quickly to snag your dream home in California, give Sun Pacific Mortgage a call at 707-523-2099 or email us through our website at www.Sunpacificmortgage.com   We offer fast, Private Investor mortgages that will give you a leg-up in today’s competitive market.

Despite the present inflationary economic state that the country is wrestling with today, most Americans agree that Real Estate shines as the most secure place to protect your wealth.

Inflation has reached its highest level in 40 years. We have all painfully experienced the increases in goods, services, housing costs, and more. The only one of these items that can have a locked-in price is housing because your monthly payment is shielded from escalation. James Royal, Senior Wealth Management Reporter at Bankrate, explained it like this:

“A fixed-rate mortgage allows you to maintain the biggest portion of housing expenses at the same payment. Sure, property taxes will rise, and other expenses may creep up, but your monthly housing payment remains the same.”

Home ownership eliminates the dread that today’s renters are suffering because of huge jumps in rents. Various cities in the country have seen increases as much as 50%!

As a homeowner, you have seen the record-breaking increases in appreciation just over the past couple of years. As prices rise, so does the value of your home, making buying a home a great hedge during periods of inflation.

In short, when you lock in a mortgage payment, you shield your housing cost from increases, and you own an asset that typically gains value with time.

If you have found it impossible to obtain a conventional mortgage, give Sun Pacific Mortgage a call at 707-523-2099 or visit www.sunpacificmortgage.com. We have been serving Borrowers in California for over 34 years. Whether it is your own home, an investment property, or land, we offer firsts, seconds, bridges, and refinances. And on top of that, we’re really fast (sometimes we get a loan completed in as little as 1 week)!