First Quarter of 2025 Stats Are Available
So far, La Mirada Real Estate has kept prices going up constantly. How long can this continue? That is the question. We have bad news ahead, and we have good news that may offset the bad news.
Let's examine the economy and then examine some statistics about prices in La Mirada in the first quarter of 2025.
The bad news is the economy is not improving in terms of inflation, which may start tending up. The last time the Feds met, they kept interest rates the same, but there was talk of raising rates instead of lowering rates. We also have to deal with the instability of the stock market. Trump is trying to use executive orders to level us out with the rest of the world in imports and exports by raising tariffs and other means at his availability. Congress and even the courts are fighting some of these ideas. In the short term, it doesn’t matter if you like him or his ideas; this is bringing tremendous volatility to our stock market and affecting stock markets worldwide. Real estate agents are starting to see buyers take a wait-and-see attitude and are holding off on buying. Sales in La Mirada are down 18% from last quarter.
Enough of the bad news; let’s get into the good news. The first good news was brought about because of terrible news. The Fires. I will explain. The second good news is that La Mirada prices are up by $7,000 from last quarter and $50,000 from a year ago. Get all the stats from my First Quarter of 2025 write-up.
Let me explain about the influence of the fires. Because thousands of people have had their homes burned down, the Southern California rental market has been put under tremendous pressure, which is already short on supply. With over 20,000 homes burned to the ground, an estimated minimum of 50,000 people will need temporary housing for the next 1 to 3 years while the fire areas are being rebuilt.
Once people have worked through the details of rebuilding with their insurance, you can expect a significant boost to the Southern California economy for employment to rebuild the homes and businesses, but an even more substantial boost from all the material needed to build and furnish all those new homes.
Also, all the additional workers who will be needed to rebuild the fire areas will need housing. There are no rentals, so contractors will have to buy houses to house their workers for the next few years to rebuild over 20,000 homes and businesses. Areas like La Mirada that are freeway-close to the fires are expected to benefit from these purchases.
Hopefully, the markets will stabilize in the second quarter, and we can work on inflation and get interest rates down. The second quarter will be interesting. Barring a significant event, I still expect prices to increase in the second quarter in La Mirada. With stability, sales should rebound.
If you want to know what your Home is worth, contact me for a more detailed market analysis considering the number of Bedrooms, Bathrooms, Square Feet, Lot size, Condition, Views, and location.
Cell 714 342-7270
Email talktoty@gmail.com