​Black Friday for Home Buyers

Black Friday is often an anticipated event, but this year it has also been great for home buyers. Around this holiday time, housing prices are dropping. However, by the time December rolls around, the price of houses often increases once more which can lead to a major disappointment for potential home buyers. In neighboring Orange County, December is the worst month to buy a home. In August, price cuts are more prominent. The spring time is also a good time for home owners to buy property. However given the spike in home owner prices in December, Black Friday is a major event because it marks the last month in which potential home owners have the opportunity to buy houses at an affordable price.

Given these home buying trends, Black Friday for home buyers is a major advancement for many residents in Riverside County largely because the income of residents has declined tremendously, making it nearly impossible to afford homes at their regular prices. Only 38 percent of the Riverside County population has been noted to be able to afford a home which is a downslide from the previous year. Including real estate in the pool of purchasing options that are discounted could change the ways in which the housing market functions. There can be an expectation to sell houses with those guaranteed discounts versus dealing with the reality that many people simply do not make enough money to purchase the home of their dreams. After all, it appears wasteful for property to remain unoccupied at exorbitant prices that people in need of homes cannot afford.

Riverside County faces many issues in terms of potential home buyers not meeting the salary requirements needed in order to afford houses in the $300,000 range. Between Riverside County and St. Bernardino exists a $100,000 gap in the price of houses. Not surprisingly, prices for lower range houses are growing at a higher rate, 10.7 percent in order to meet the salary averages of the residents. However, even with more seemingly affordable housing, it is still difficult for many residents to switch from renters to home owners who can afford the homes in the lower price range. It is also unclear as to what substantiates housing price spikes which are inevitable once certain months/seasons have passed, especially considering residents can barely afford the lower prices.
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In Riverside County, it has taken two addition days to close on a house in August compared to July. However, major improvements are being made because compared to the previous year in August, it is taking nearly half that time to close on a house. Those major improvement may be marked by strategic market sales and discounts especially since it is clear that homeowners are likely to make a housing purchase in August. San Bernardino houses spent an average of 24 days on the market in August, up one day from July but down from 38 days in August, 2016.