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Southern California Wildfires:
How They’re Impacting the Housing Market
This week, we’re taking a break from our usual market update to analyze the effects of the recent Southern California wildfires, which began in early January. The housing market in the affected areas has been highly fluid, with noticeable shifts in sales activity, inventory, and buyer behavior.
Sharp Decline in Home Sales
In the six primary cities impacted by the fires, closed sales have dropped significantly. Sales fell from nearly 15 per week in early January to just 5 over the past two weeks—a nearly 70% decline in sales volume. While winter is generally a slower season for real estate, the rest of California saw a 2% increase in sales during the same period, highlighting the localized impact of the fires.
Buyers Moving Forward Despite Uncertainty
Despite the initial slowdown, there are signs of resilience in the market. Pending sales in the affected cities rose last week at a rate similar to the rest of the state, increasing by more than 20% from the prior week. This suggests that many buyers who were already in the home search or offer stage are pushing forward, possibly anticipating tighter inventory in the months ahead.
Inventory Challenges Ahead
Housing supply is likely to be the biggest long-term concern. While new listings have increased in the impacted areas—at nearly double the rate of other markets—this surge is driven by both seasonal trends and fire-related property sales. However, with pending sales also rising, overall inventory levels have remained flat, contrasting with the gradual inventory increase seen in the rest of California.
What This Means for Home Prices
The imbalance between supply and demand could lead to increased competition for homes in both the affected areas and nearby markets that serve as substitutes. Historically, areas impacted by wildfires, such as Santa Rosa, Paradise, and those affected by the Thomas Fire, have seen home prices rise in the medium term due to limited inventory. A similar trend may unfold in Southern California, particularly in areas that remain highly desirable to buyers.
As we continue monitoring the market, homeowners, buyers, and sellers should stay informed and strategize accordingly. If you're considering buying or selling in the coming months, now is the time to prepare for shifting market conditions.
Need personalized advice? Reach out to discuss how these trends impact your real estate goals.
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15147 Caravaca Rd.
La Mirada, CA 90638
3 Bed | 2 Bath | 1350 SF | $899,900
Charming 3-Bedroom Home with Pool Near La Mirada Golf Course!
This beautifully updated home features an open floor plan, a spacious kitchen with granite counters and a 5-burner gas stove, and a cozy living room with a fireplace and built-in shelving. Modern flooring, fresh paint, recessed lighting, and crown molding add style throughout. The backyard is perfect for relaxing or entertaining, with a covered patio and sparkling pool with a slide. New roof and gutters (2022), central heat & AC. Conveniently located near top schools, parks, golf, and local attractions!
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488 E. Ocean Blvd #1102
Long Beach, CA 90802
1 Bed | 1 Bath | 600 SF | $499,900
Stunning 11th-Floor Ocean View Condo in the Iconic Aqua Towers! Enjoy breathtaking ocean, marina, and city views in this stunning corner-unit high-rise. Featuring floor-to-ceiling windows, high ceilings, slate flooring, granite countertops, and a wrap-around balcony, this condo offers the ultimate in coastal living. A rare private enclosed garage near the elevator adds extra convenience. Resort-style amenities include 24-hour security, pool, spa, sauna, fitness center, and clubhouse. Just steps from the beach, shopping, dining, and entertainment—don’t miss this incredible opportunity!
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3603 E Hungerford St.
Long Beach, CA 90805
2 Bed + Bonus Room | 1 Bath | 1064 SF | $830,000
Charming 2-Bedroom + Bonus Room Home in a Quiet Long Beach Neighborhood. This beautifully updated home features fresh exterior paint, a new roof, and central AC. The light-filled living room boasts wood floors, recessed lighting, and an inviting atmosphere, while the updated kitchen includes granite counters, stainless steel appliances, and modern cabinetry. A spacious bonus room with a stone fireplace offers versatility as a family room or 3rd bedroom. The expansive backyard with a patio is perfect for entertaining or adding an ADU, and the long driveway with a finished 1-car garage provides plenty of parking. Located near Lakewood Mall and local amenities, this home is a must-see!
OPEN HOUSES
Saturday (2/8) & Sunday (2/9)
1:00 - 4:00pm
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223 Elm Ave.
Long Beach 90802
2 Bed | 3 Bath | 1570 SF | $810,000
Enjoy modern luxury living in this stunning 2019-built townhome at The Huxton in the East Village Arts District. This inviting home features an open-concept layout perfect for entertaining, with high ceilings, large windows, recessed lighting, and beautiful flooring throughout. The gourmet kitchen boasts quartz countertops, soft close cabinets, and upscale appliances by Bertazzoni and Bosch. Upstairs, two primary suites offer walk-in closets and luxurious bathrooms. Enjoy city views from the spacious rooftop deck – ideal for relaxing or BBQs. Eco-friendly features include owner-owned solar panels and a garage pre-planned for EV charging. Located in a secure, gated complex, you’ll be steps from the waterfront, dining, cafes, and nightlife. VA Approved.
Eligible for a $50,000 down payment grant from City National Bank!
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225 W 6th St #515
Long Beach 90802
1 Bed | 1 Bath | 547 SF | $334,999 **Just Reduced**
Top-floor end unit condo in the heart of Long Beach, offering privacy and city views! This nicely updated home features an open living area with a private balcony, a stylish kitchen with butcher block countertops, and a bright bedroom with two mirrored closets. Located near top attractions like the Long Beach Convention Center and Shoreline Village, with easy access to dining, shopping, and transportation.
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700 E Ocean Blvd #1706
Long Beach 90802
2 Bed | 2 Bath | 1080 SF | $850,000
Experience luxury coastal living with breathtaking ocean views from every room in this beautifully remodeled high-rise condo at the iconic International Tower. This light-filled unit features an open floor plan, updated kitchen with sleek cabinets, marble countertops, and stainless steel appliances, and a spacious primary suite with a luxurious soaking tub. Enjoy panoramic vistas from the large wrap-around balcony, plus access to top-notch amenities, including a pool, fitness center, and 24-hour security, all just steps from the beach and vibrant local dining.
Eligible for a $20,000 down payment grant from City National Bank!
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3817 W Compton Ave.
Orange, CA 92868
4 Bed | 2 Bath | 1316 SF | $979,900
Beautiful Single-Story Pool Home with Modern Upgrades in Orange, CA! Discover this stunning 4-bedroom, 2-bathroom home situated on a spacious 7,598 sq. ft. lot in a fantastic Orange neighborhood. This thoughtfully updated home offers everything you need for comfortable living and entertaining. Located in a friendly neighborhood, this home offers unbeatable access to major freeways (I-5 and 22), top destinations like UCI Medical Center, Angels Stadium, Disneyland, Old Towne Orange, The Outlets at Orange, Chapman University, Honda Center, and GardenWalk. This is the perfect opportunity to live in a vibrant area while enjoying a tranquil and well-appointed home.
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4859 Autry Ave.
Long Beach 90808
3 Bed | 2 Bath | 1594 SF | $999,000
Charming 3-Bedroom, 2-Bath Lakewood Village Home on a Picturesque Tree-Lined Street! This beautifully maintained home blends classic appeal with modern upgrades. Step into a bright living and dining area with refinished original hardwood floors and a bay window. The spacious kitchen boasts ample storage, a custom breakfast bar, and opens to a formal dining and family room. The primary suite offers a peaceful retreat with an updated bathroom. Additional highlights include central heat and AC, dual-pane windows, bamboo flooring, and a detached 2-car garage. Conveniently located near parks, shopping, and dining, this home provides a comfortable and connected lifestyle.
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488 E Ocean Blvd #P9
Long Beach 90802
1 Bed + Bonus Room | 1.5 Bath | 1447 SF | $792,500
Experience Luxury Living with Breathtaking Panoramic Views in this Rare Two-Story Penthouse! AMAZING VIEWS!! Discover unparalleled luxury in this stunning 18th & 19th-floor penthouse in the prestigious Aqua high-rise building in downtown Long Beach.
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706 E Bixby Rd
Long Beach 90807
3 Bed | 2 Bath | 1417 SF | $1,080,000
Welcome to this beautiful California Heights home, featuring over $250,000 in recent updates that blend modern luxury with timeless charm. The spacious living room invites you in with an abundance of natural light, gleaming oak wood floors, a cozy fireplace, and elegant recessed lighting. The newly updated custom kitchen is a chef’s dream, boasting top-of-the-line Café and Miele appliances. Great open floor plan with formal dining room that opens to the living room and kitchen. Both bathrooms have been beautifully remodeled with quartz countertops, custom white oak vanities, stylish tile work, modern lighting, and the primary bath features a luxurious soaking tub for ultimate relaxation. Located just 1-2 blocks from award-winning Blue-Ribbon schools (Longfellow Elementary & Hughes Middle School), and within walking distance to the vibrant shopping, restaurants, and cafes in Bixby Knolls.
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