The median price for a single-family home in Glendale skyrocketed to $888,000 last month, the highest it’s ever been, according to the latest real estate report.
The median price rose from $753,000 in June 2014, an 18% jump, according to statistics compiled by Realtor Keith Sorem with Keller Williams Realty in Glendale.
Sixty-one homes were sold last month, the same number of properties that sold the same month in 2014. The number of new homes on the market last month was 85, which rose from 64 in June of last year, according to Sorem’s data.
While more homes hit the market, there still weren’t enough listings to meet demand, which is one of several reasons why prices continue to climb, said Vahe Parsekhian, broker and owner of American Real Estate.
He said that instead of taking advantage of higher prices, some new homeowners are hanging onto their old properties and converting them into rentals, he said.
Those who do so are capitalizing on rising rents in Glendale, Parsekhian said. However, it means fewer homes entering the market.
“Properties are paying for themselves because of increased rental rates,” he said.
And it’s still tough for first-time buyers to purchase a home because of higher prices, Parsekhian said. While it used to take most prospective home buyers three to five months to purchase a home, they are now taking six to eight months in order to save a little more for a bigger down payment, he said.
“They’re doing a little bit more to get a home, that little bit more is what’s pushing prices so high,” he said.
The median price for a condominium also saw a hefty increase, rising 15% from $362,000 in June 2014 to $415,000 last month, according to Sorem’s statistics.
Also last month, 51 condos were listed for sale compared to 46 during the same period last year, and 40 condos were sold in June, while 33 were sold during the same month a year ago.
Parsekhian said that, in his opinion, the 91207 Zip Code in northwest Glendale is the hottest neighborhood in the city because it’s quiet with homes that feature an old-fashioned charm, and it happens to be near freeways.