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IPFS News Link • Housing

California House Price Halved in Just 9 Months as Market Suffers Shock Wave

• https://www.newsweek.com, By Giulia Carbonaro

Many areas across California, one of the most expensive markets in the entire country, have experienced steeper price drops than the rest of the United States since the beginning of the nationwide cooling trend which began in late summer 2022.

In cities like San Francisco, one of the most overvalued urban areas in the country, home prices have dropped by over 10 percent since reaching a peak in 2022, while on a national average, the price correction was rather modest. That's because aspiring homebuyers have been struggling with higher mortgage rates as well as skyrocketing prices in the Golden State, bringing down demand.

The 1,260-square feet Palm Spring home was repeatedly listed on Zillow, removed and reposted on the website since the latest purchase process in March. The home was first listed on May 6, 2023, for $1,399,000 and then taken off the website on July 13. Another listing was made on July 14, when the house was on offer for $1,270,000, but that same listing was removed on September 30.

The one-floor house was then put back on sale on Zillow on October 2 for $950,000, and on November 11, its listed price was slashed to $675,000. That same listing was removed on December 16, and the house was put back on sale on Zillow for the current value of $635,000 on Monday.

The property is a single-family residence with three bedrooms and two bathrooms, according to the listing. It was built in 1979 and it's estimated by Zillow's Zestimate—the website's free home value estimator—to be worth $634,400. The listing boasts a "brand new pool and spa" and "modern tile flooring" in a "highly desired neighborhood in Palm Springs" with "convenient access to downtown."