Market Update February 2024
Westlake Village, Agoura Hills, Oak Park, Thousand Oaks and Newbury Park
By: Michael Rice | February 1, 2024
My View From Inside
The market started the year off continuing last year’s momentum. The drop in mortgage rates from the peak last October fueled a better January than last year, signaling a stronger market in 2024.
It’s time to prepare for a competitive market
All the talk from the Fed about cutting rates is motivating buyers to get ready for the busy spring market. But the number one challenge buyers will face in this market isn’t getting the lowest rate, it’s finding a house you like and not losing out to other buyers. Declining mortgage rates will only encourage more buyers to come back to the market as the year progresses, keeping things competitive throughout the year.
You’ll want to get prepared early to compete. The further along the pre-approval process you are, the stronger your offer will be. I recommend a fully underwritten approval for my buyers, making their offer almost as strong as a cash offer.
Inventory will remain low, but hopefully improve
It’s unlikely we’ll see a huge surge in listings, but it should improve. Historically, listings increase throughout the first half of the year, peaking around the beginning of summer. Last year we peaked at about 300 homes for sale. Five years ago, that number was about 800. Right now, we’re at about 230. I’m hopeful we can get closer to 400 this year since lower rates will help encourage more homeowners to give up their low rate and sell their home.
Bottom Line…
It’s gearing up to be a strong and competitive market this year. Prices aren’t expected to come down, in fact, they’re likely to continue up as mortgage rates come down. Those who prepare now are more likely to be successful when the right house comes on the market.
Ready to talk? Feel free to reach out (818) 384-9929 | Michael@ConejoValleyGuy.com
Monthly Market Update - Delivered
Get the Market Update emailed to you each month!
What to expect moving forward
- Expect to see a more consistent flow of new listings hitting the market as we head towards spring.
- Expect mortgage rates to continue to come down and hover around 6.25 to 6.5% for the next quarter or so.
- Buyers are coming back faster than new listings are hitting the market. Be prepared to act quickly for the popular neighborhoods.
- Expect prices to continue up more quickly as mortgage rates come down.
Seller’s Corner
The recent drop in mortgage rates and record low inventory is skewing the market in sellers favor. However, it’s still critically important to price your home correctly from the beginning. Buyers are eagerly waiting to pounce. If you miss that first window to attract a buyer, you may have a tough time getting them to come back again once you inevitably drop the price.
What's The 2024 California Forecast?
According to the California Association of REALTORS
- The median price of a home is expected to increase 6.2% in 2024.
- The number of home sales is expected to increase 22.9%.
- Interest rates are expected to average 6% in 2024.
Market Snapshot
Home Prices
- The median price of a Conejo Valley home was up in January to $975,000.
- That’s 2 consecutive months up.
- Prices are up 1% from $965,000 last January.
- And down $125,000 from last month.
Homes for Sale
- January ended with 237 homes for sale.
- Down 2.5% from last January.
- That’s 6 fewer homes than last year.
- And 21 more homes than last month.
Days on Market
- It took 36 days on average to sell a home in January.
- Down 10% from last January.
- That’s 4 days less than last year.
- And 3 more days than last month.
