The Southern California housing market is downshifting. The average home price in the six-county region fell 0.3% from October to $869,288 in November, according to Zillow, marking the fourth consecutive month of declines. 'There is really no urgency from buyers,' said Mark Schlosser, a Compass agent in the Los Angeles area. 'They are waiting.' Prices are now 1.
7% Though prices may keep rising, if incomes climb as well and mortgage rates fall, the housing market could become more affordable to people looking to break in. Depending on the time frame one looks at, that's already happening to some extent. Inflation and economic growth play a major role in the direction of mortgage rates. In May, mortgage rates were above 7%, but then steadily declined to 6.08% in September, amid signs inflation was easing and the economy was weakening.