San Fernando Valley Homes are in High Demand
The new federal tax plan has experts eager to predict the fate of the San Fernando Valley economy. Most believe that all signs are pointing to a future of growth. California financial forecasters are anticipating job availability will continue to increase by the thousands through 2019. While these projections are based on economic behavior from the last three years, there is one piece of evidence that blatantly proves the potential: The real estate industry has never been better for home-sellers.
The equation for the seller's market is fairly simple. As more jobs are created, more people are migrating to where there is work. As the influx of population grows faster than the development of housing, the demand for homes currently outweighs the supply. At the end of 2017, the median price per home in the SFV jumped to $675,500, an increase of roughly 13% from the previous fiscal year.
A large jump in property value is a good sign for those looking to get the most out of selling their home. Still, with such a large increase, many are questioning whether or not potential buyers can consistently meet such bloated price points. While speculators assume that the spike in property value has turned home-buying cold, the numbers have not yet reflected stagnation. According to statistics compiled by the Southland Regional Association of Realtors, the number of closed escrows in October and November of 2017 increased by 4-5% from 2016.
If 2018 is going to hold true to prediction, the San Fernando Valley housing inventory is going to need serious replenishment. As more homes are entered into the market, more homes become more affordable for seekers. Regardless, if you are thinking about selling your property for it's maximum value, 2018 is the year to do it.