L.A. real estate news and insights.
Home buyers who paid cash accounted for 32% of home sales in January, marking the highest rate since 2014, the National Association of REALTORS® reports. Many leveraged the equity from a prior home sale.
Only 6% of first-time home buyers made a cash purchase in 2023 compared to 26% of repeat buyers.
Bridge home in Alhambra has officially sold!
1 bed/1 bath, 462 sq ft of living space.
Asking price: $249,950
Selling price: $430,000 all cash
Los Angeles metro area average home price up $25,000 from April 2023 to May 2023.
Redfin found that 33.4% of buyers opted for an all-cash deal in April, the highest that mark has been since 2014.
Baby Boomers make up the largest share of those buyers with more than half of people age 58 to 76 paying in all-cash.
“Homeowners have really been the winners in that scenario … they have equity and are able to make a move with paying all cash,” Jessica Lautz, National Association of Realtors deputy chief economist and vice president of research, told Nexstar.
Another trend that stood out in the data – single women are the most likely to pay in all-cash, Lautz found.
28% single women
27% married couples
20% single men
20% unmarried couples
When it comes to the race of all-cash buyers, Lautz found that 23% were white/Caucasian, 15% Black/African-American, 8% Asian/Pacific Islander, and 8% Hispanic/Latino.
Share of U.S. homes bought with all cash hits highest level since 2014. Roughly one-third (31.9%) of U.S. home purchases were paid for with all cash in October.
However, expensive West Coast metros dominate the list of places with the lowest share of all cash-purchases. They’re least common in the Bay Area: Just 14.3% of home purchases in San Jose and 16.5% in Oakland were made in cash. Next come Seattle (19%), Los Angeles (19.2%) and Newark, NJ (20%).
Source: Redfin analysis of county records
