This story is free to read because readers choose to support LAist. If you find value in independent local reporting, make a donation to power our newsroom today.
This archival content was originally written for and published on KPCC.org. Keep in mind that links and images may no longer work — and references may be outdated.
Orange County homes even less affordable in 2016
Redfin for sale sign. For illustration only.
(
Redfin
)
Listen
0:52
Orange County homes even less affordable in 2016
To many would-be home buyers, real estate in Orange County has pretty much always been pricey. But homes here became even less affordable in 2016.
The median resale price of a single family home in Orange County in November was $702,000, up nearly 5 percent from last year, according to real estate data firm CoreLogic.
And Daren Blomquist, senior vice president of Irvine-based ATTOM Data Solutions, a real estate data firm, says its data shows that the prices of homes in Orange County have risen 67 percent since they bottomed out during the Great Recession.
Meanwhile, wages have risen just 1 percent during that time period.
"We're showing affordability is at its worst level in Orange County, according to our affordability index, going all the way back to the second quarter of 2008,” Blomquist said.
Blomquist said the Orange County real estate market was largely driven by luxury homes worth over $2 million. The volume of sales in that top-price market was up 32 percent in the second quarter of this year compared to last year.
Over 40 percent of those homes were bought with cash, many of them by foreign buyers, Blomquist said.
Sponsored message
Next year will likely continue to be great for sellers and homeowners in Orange County, the analyst said. First-time home buyers, on the other hand, will face rising interest rates on top of the pricey market.
Blomquist said that although homes continue to be built in Orange County, their prices tend to be out of reach for first-time buyers.
You come to LAist because you want independent reporting and trustworthy local information. Our newsroom doesn’t answer to shareholders looking to turn a profit. Instead, we answer to you and our connected community. We are free to tell the full truth, to hold power to account without fear or favor, and to follow facts wherever they lead. Our only loyalty is to our audiences and our mission: to inform, engage, and strengthen our community.
Right now, LAist has lost $1.7M in annual funding due to Congress clawing back money already approved. The support we receive from readers like you will determine how fully our newsroom can continue informing, serving, and strengthening Southern California.
If this story helped you today, please become a monthly member today to help sustain this mission. It just takes 1 minute to donate below.
Your tax-deductible donation keeps LAist independent and accessible to everyone.
Right now, LAist has lost $1.7M in annual funding due to Congress clawing back money already approved. The support we receive from readers like you will determine how fully our newsroom can continue informing, serving, and strengthening Southern California.
If this story helped you today, please become a monthly member today to help sustain this mission. It just takes 1 minute to donate below.
Your tax-deductible donation keeps LAist independent and accessible to everyone.
Senior Vice President News, Editor in Chief
