Long Beach CA Housing Market Trends & Forecast 2024 – Norada Real Estate Investments

Living in Long Beach offers a quintessential California dream – sun-soaked beaches, a vibrant pier scene, and proximity to the bustling heart of Los Angeles. Naturally, this idyllic lifestyle translates to a dynamic housing market. So, if you’re considering buying a piece of the Long Beach dream in 2024, here’s a breakdown of the key trends to help you catch the perfect wave.

As of June 2024, the Long Beach housing market is experiencing growth, with home values increasing by 7.4% over the past year according to Zillow.

In May 2024, the median sale price of a home in Long Beach was $900K, up 21.6% since last year, and the median sale price per square foot was $658, up 10.2% since last year, according to Redfin.

While the market is somewhat competitive, with homes receiving an average of four offers and selling in around 35 days, it’s still a good time to buy or sell a home in Long Beach.

Key Takeaways

• Long Beach’s housing market is experiencing growth, with home values increasing by 7.4% over the past year.
• The median sale price of a home in Long Beach was $900K in May 2024, up 21.6% since last year.
• While the market is somewhat competitive, it’s still a good time to buy or sell a home in Long Beach.

Long Beach Housing Market Overview

Current Market Conditions

According to recent data from Redfin, the Long Beach housing market is somewhat competitive, with homes receiving an average of 4 offers and selling in around 35 days. The median sale price of a home in Long Beach was $900K last month, up 21.6% since last year. The median sale price per square foot in Long Beach is $658, up 10.2% since last year.

Price Trends

Long Beach housing prices have been on the rise in recent years. According to Zillow, the typical home value of homes in Long Beach, CA is $844,057, which is a 7.6% increase over the past year.

PropertyShark reports that the median sale price in Q1 2024 was $765K, which is a 9.3% increase year over year. The median price per square foot was $628, which is a 5.5% increase year over year. The number of transactions was 525, which is a 3.7% decrease year over year.

Overall, the Long Beach housing market is experiencing a period of growth, with rising home values and increased demand. However, it’s important to keep in mind that the market can be somewhat competitive, and it’s important to work with a knowledgeable real estate agent to navigate the buying or selling process.

Factors Influencing the 2024 Market

When it comes to the Long Beach, CA housing market in 2024, there are several factors that are likely to influence its performance. These include economic indicators, interest rates and financing, and population and demographics.

Economic Indicators

One of the most important factors that will influence the Long Beach housing market in 2024 is the overall state of the economy. Economic indicators such as GDP growth, inflation, and unemployment rates will all play a role in determining the health of the housing market. A strong economy with low unemployment rates and steady GDP growth can lead to increased demand for housing and higher prices.

Interest Rates and Financing

Another important factor that will influence the Long Beach housing market in 2024 is interest rates and financing options. Changes in interest rates can impact the affordability of housing for potential buyers, while changes in financing options can affect the availability of credit for those looking to purchase a home. In 2024, it will be important to keep an eye on interest rates and financing options to get a sense of how they may impact the housing market.

Population and Demographics

Population and demographics are also likely to play a role in the Long Beach housing market in 2024. Changes in population size, age, and income levels can all impact the demand for housing and the types of properties that are in demand. For example, an aging population may be more interested in downsizing to smaller homes or moving to retirement communities, while a growing population of young professionals may be more interested in purchasing condos or townhomes.

Overall, there are several factors that will influence the Long Beach housing market in 2024. By keeping an eye on economic indicators, interest rates and financing options, and population and demographics, you can gain a better understanding of how the market is likely to perform in the coming years.

Long Beach Housing Market Predictions: Riding the Current, Not the Crash

While a crystal ball for real estate predictions might be a fantasy, data suggests the Long Beach housing market in the Los Angeles-Long Beach-Anaheim, CA MSA (Metropolitan Statistical Area) is unlikely to experience a dramatic boom or crash in the coming months. Here’s a breakdown of the forecast for June, next quarter, and 2025:

• June 2024 (0.4% growth): A modest increase is expected, continuing the trend of a more stable market compared to the rapid price hikes of the past.
• Next Quarter (ending August 2024) (0.6% growth): A slight acceleration in growth is possible, but not a dramatic boom.
• 2025 (ending May 2025) (-0.7% decline): The forecast suggests a potential shift towards a slight decline in prices next year. However, a 0.7% dip is a relatively small correction, not a freefall.

Comerica Bank also predicts a modest increase in home prices in 2024, with a forecast of a 2.9% rise in national house prices. This outlook aligns with what other housing market watchers expect.

Why this Forecast?

This outlook is based on a couple of key factors:

• Increased Inventory: More homes on the market give buyers more options and potentially some negotiating power, leading to a more balanced market.
• Rising Interest Rates: Higher borrowing costs can make buying a home less affordable, potentially slowing down price appreciation.

Crash or Boom? Neither Likely

The data suggests a stabilization rather than a boom or crash. The market is likely to remain competitive, but with a more measured pace compared to the past. This could be a good thing for buyers who can find their dream home without the pressure of intense bidding wars.

Keep in Mind

• Forecasts are just that – predictions. The actual market performance can vary depending on unforeseen circumstances.
• This data applies to the entire Los Angeles-Long Beach-Anaheim MSA. Specific neighborhoods within Long Beach might see different trends.

Investment Opportunities

Despite the projected increase in home prices, Long Beach, CA remains an attractive location for real estate investment. The city is a popular tourist destination and a major port city, making it an attractive location for businesses and investors alike. Additionally, the city’s diverse population and vibrant culture make it a desirable place to live.

Investors looking to enter the Long Beach housing market in 2024 should consider working with a local real estate agent who has experience in the area. A knowledgeable agent can help identify investment opportunities and provide valuable insights into the local market.

Overall, the Long Beach, CA housing market is expected to experience moderate growth in 2024, making it a potentially lucrative opportunity for investors. However, as with any investment, it is important to conduct thorough research and work with a trusted professional to ensure success.

Inventory and Construction

One of the biggest challenges in the Long Beach housing market in 2024 is the lack of inventory. The demand for housing has been consistently high, but the supply has not kept up. This has led to a highly competitive market, with multiple offers on properties and bidding wars becoming common. As a result, home prices have continued to rise, making it difficult for many potential homebuyers to enter the market.

Another factor contributing to the lack of inventory is the slow pace of construction. While there have been some new developments in Long Beach, they have not been enough to meet the demand for housing. Additionally, the rising cost of construction materials and labor has made it more difficult for developers to build new homes at an affordable price.

Policy and Regulation Impact

Policy and regulation changes can also have a significant impact on the Long Beach housing market in 2024. For example, changes to zoning laws or building codes can affect the availability and cost of housing. Additionally, changes to lending policies or interest rates can make it more difficult for some buyers to obtain financing, which can further limit the number of potential buyers in the market.

Furthermore, the impact of climate change and natural disasters on the housing market cannot be ignored. Long Beach is located in an area that is prone to earthquakes and other natural disasters. This means that homeowners and potential buyers may need to consider additional insurance costs or take extra precautions to protect their homes.

In conclusion, the Long Beach housing market in 2024 faces challenges related to inventory and construction as well as policy and regulation changes. It is important for potential buyers and sellers to consider these factors when making decisions about buying or selling a home in Long Beach.

Frequently Asked Questions

What are the current trends in the Long Beach housing market for 2024?

The Long Beach housing market is showing signs of stability in 2024. According to Red Wagon Team, the average selling price for Long Beach homes is $1,047,269, and it takes 25 days for a house to sell. Meanwhile, RocketHomes notes that home prices have increased across all bedroom types, with 4 bedroom homes seeing the biggest increase at 12.9%.

What is the average home price in Long Beach, CA, as of 2024?

As of 2024, the average home price in Long Beach, CA, is $1,047,269, according to Red Wagon Team. However, it’s important to note that home prices can vary depending on the neighborhood and other factors.

Are there affordable housing options available in Long Beach for new homebuyers?

Yes, there are affordable housing options available in Long Beach for new homebuyers. The city has a number of affordable housing programs, including down payment assistance and first-time homebuyer programs. You can learn more about these programs by visiting the City of Long Beach Housing Authority website.

How does the 2024 Long Beach housing market compare to the overall California market?

The 2024 Long Beach housing market is generally in line with the overall California market. According to the California Association of Realtors, the median home price in California is forecast to rise 6.2% to $860,300 in 2024, while Long Beach’s average home price is $1,047,269.

What are experts predicting for the Long Beach real estate market beyond 2024?

It’s difficult to predict the Long Beach real estate market beyond 2024. However, experts believe that the market will remain stable in the coming years, with prices continuing to rise at a moderate pace. Factors such as population growth, interest rates, and economic conditions will all play a role in shaping the market.

What factors are influencing the Long Beach housing market in 2024?

Several factors are influencing the Long Beach housing market in 2024. One of the biggest factors is population growth, which is driving demand for housing in the city. Other factors include low interest rates, a strong economy, and a shortage of available homes. These factors are contributing to rising home prices and a competitive market for buyers.