Report: SoCal home prices climbing $1 every 2 minutes

Report: SoCal home prices climbing $1 every 2 minutes

Report: SoCal home prices climbing $1 every 2 minutes
San Diego home prices have risen $60,000 over the past three months, according to the latest data. CoreLogic reports that the median sales price for the six counties in Southern California hit a record high of $655,000 in April. The increase seen over the last three months is equivalent to an appreciation rate of $1 every 120 seconds.

As a result, a growing number of home buyers are feeling pressure to exceed their budget when making offers. In fact, according to a survey conducted by Realtor.com, 39 percent of home buyers since the pandemic began went over their original budget.

General guidance from financial experts says that those looking to purchase a new home should allocate totally housing expenses to be between 25 percent and 35 percent of income.

Meanwhile, conforming no-point 30-year fixed mortgage rates are averaging 2.875 percent and 15-year rates are near 2.25 percent.

Do you have a question for Real Estate & Mortgage Analyst Mehran Aram? Submit your queries about a home purchase, refinance, or reverse mortgage via Aramco.biz, social media (#AramcoReport), or over the phone at (866) 381-8888 and your questions may be featured in an upcoming article.