California’s housing market rebounded in June with the largest month-to-month sales increase in nearly 40 years, after falling to the lowest level since the Great Recession, and the median home price set another record high, the California Association of Realtors (C.A.R.) reported on Thursday. Closed escrow sales of existing, single-family detached homes in California totaled a seasonally adjusted annualized rate of 339,910 units in June.
Reversing a two-month consecutive drop below 300,000 units caused by the coronavirus pandemic, June’s sales total climbed 43% from 238,740 in May and was down 12.8% from a year ago, when 389,730 homes were sold on an annualized basis. The month-to-month increase was the largest since C.A.R. began reporting monthly sales in January 1979.
C.A.R.’s Jeanne Radsick says, “Home sales bounced back solidly in June after hitting a record bottom in May, as lockdown restrictions loosened and pent up demand driven by record-low interest rates roared back. While the momentum is expected to be sustained as we kick off the third quarter, the resurgence in coronavirus cases remains a concern and may hinder the market recovery in the second half of the year.”