Real Estate Market Statistics in Riverside County CA.

Real estate investment, Real estate value

The local real estate market here in the Inland Empire California, has slowed down considerably in the past 5 months.  Primarily due to the federal reserve increase in the fed Funds rate, resulting in the corresponding increase in 30 year home mortgage.   At the time of this article, the 30 year mortgage rates are a nominal 6.55%.   There is also softness in the Asking prices of homes, but I don’t expect home prices to drop substantially at this time, since the inventory of homes for sale is very low.

Below is a Table showing the strength of the local real estate markets in various Cities located in Riverside County, CA.  The Figures inside this table is the ratio of the number of homes Active for Sale, divided by the number of homes sold under contract.  This simple ratio is a timely indicator as to the strength of the local markets.   A number less than 1.5 is a strong Sellers market, from 1.5 to 3 is a Sellers market, 3 to 5 is a Neutral market, and above 5 is a Buyers market.  As can be seen below, that market began to slow down considerably from a Strong Sellers market to a sellers market today.  I expect the market to cool down even further to a Neutral market.

City 11/23/22 9/27/22 6/27/22 5/2/22 2/16/22 12/2/21 5/15/21 1/3/21 11/25/20 6/28/20
Lake Elsinore, Perris 2.13 1.85 1.55 0.62 0.55 0.62 0.39 0.38 0.40 0.43
Moreno Valley 1.65 1.66 1.21 0.61 0.36 0.45 0.38 0.23 0.20 0.37
Murrieta 2.47 2.68 1.86 0.86 0.44 0.56 0.53 0.52 0.40 0.53
Riverside 2.46 1.62 1.46 0.70 0.42 0.55 0.51 0.50 0.48 0.54
Romoland, Menifee 2.03 1.71                
Winchester, Nuevo 1.73 1.90 1.48 0.88 0.30 0.73 0.33 0.50 0.42  
Lake Elsinore, Perris, Wildomar (MH) 1.82 0.96 1.04 0.47 0.60 0.36 0.39 0.65 0.57 0.46