California Home Prices Expected To Stagnate As Sales Slow In 2021

LOS ANGELES , CA — California home price increases and sales are expected to slow in 2021, but the Los Angeles-based California Association of Realtors doesn’t forecast widespread price drops.

Despite the economic uncertainty caused by the pandemic, California home sales are expected to climb a modest 3.3% next years, and home prices will edge up 1.3%, the California Association of Realtors forecasted Tuesday. Low mortgages rates and pent-up demand are credited with propping up the market despite the pandemic slow-down. CAR leaders expect interest rates to continue to fall.

“An extremely favorable lending environment and a strong interest in homeownership will continue to motivate financially eligible buyers to enter the market,” said CAR President Jeanne Radsick, a Realtor in Bakersfield. “While the economy is expected to improve and interest rates will stay near historical lows, housing supply constraints will continue to be an issue next year and may put

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Real Estate Sales Continue to Stagnate in Manhattan

Despite hopes that New York’s real estate market would spring back to life over the summer after the coronavirus lockdown was lifted in June, the number of closed sales in Manhattan was down by 46 percent in the third quarter compared to the same period in 2019, according to new sales data.

Inventory was up by 27 percent — the highest gain since 2009, according to a new report from the brokerage Douglas Elliman — and demand remains soft. The median sales price for apartments, $1.1 million, was 7 percent higher than at the same time last year.

“The Manhattan market is crawling out of lockdown and has clearly been the outlier in the region in terms of coming back,” said Jonathan Miller, a New York appraiser and the author of the report.

Sales at the lower end of the market, below $2 million, fell in the third quarter by

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