Kenny Slaught On Low Rates Inside California’s Hot Market

Due to inflation, the West Coat buyers are forced to pay increased prices for less modern homes. Kenny Slaught explains that prices have steadily been on the rise since 2008. The Standard & Poor’s Case-Shiller home price index shows that in April of this year, homes reached their highest price since October 2007. Southern California’s cities are past recession and closer in value to what they used to be. Slaught explains that this happened due to factors like interest rates, job increasing and supply and demand. Interest rates for fixed rate mortgages that last 30 years stay at around 3.5%, with the lowest seen in November 2012. These factors encourage people to buy. The low rates and job growth, like a 2.4% increase in Los Angeles county and a 3.5% growth in Orange County, show why the current values grew to this extent. Home prices might vary from state to state, but the high costs of modern homes are surpassing any other state except Hawaii. The current demand doesn’t match the supply, so many people have to settle on getting condominium-style units, which are less expensive.