Experts predict slow and steady growth for Los Angeles economy
It’s a wonderful time of year to consider purchasing a home in Los Angeles. Not only is the summer traditionally a season of reduced home prices, but historically-low mortgage interest rates are making it a promising and affordable time to buy. Real estate in Los Angeles is in the heart of where all the action is on the West Coast.
Here are few economic factors improving the greater Los Angeles economy:
Economic growth expected across the region
According to a forecast by the Los Angeles County Economic Development Corp, the metro will see slow and steady growth over the course of the next 18 months. The report was released in the middle of July 2012. This growth should include a 1 percent increase in jobs, which is adding about 30,000 employment opportunities this year and 45,000 in 2013, LA Business Journal reports. Many of these jobs will come from the hospitality and leisure sector as well as the professional and business industries. However, job losses in government are expected to continue.
"While the county economy has embarked on its journey to recovery, the pace will be slow," Kleinhenz said in the forecast, according to the news source. "It will take several years to return to the job levels that preceded the recession."
Home sales improve
Recent real estate figures are pointing toward an improved housing market. According to DataQuick, the number of homes sold in Southern California increased for the sixth month in a row in June 2012. In Los Angeles specifically, 7,619 properties were sold for an 11.9 percent change compared to last year. In addition to more home closings, prices also improved. The median price paid for a home in the metro was $325,000 in June 2012 - a rise of 2.2 percent since June 2011.
"Super-low mortgage rates and lower home prices have attracted many buyers and helped compensate for the economy’s lackluster performance, and for not-so-great consumer confidence," said John Walsh, DataQuick president. "With inventory and foreclosure resales dwindling, more housing markets appear to be entering an early recovery phase."
Check out the MLS listings in Los Angeles to determine if this metro has the property that’s right for you. The houses up on the market are currently affordable, and low-interest mortgage options are reducing monthly financing payments for many consumers.