California – Research conducted by Realtor.com shows that one area in the state is seeing a considerable drop in housing prices despite the fact that the average cost of a house in the state of California has usually been expensive.
Following high prices recorded in June, the real estate listing website published research that covered hundreds of metro areas throughout the United States, showing where prices are falling the most.
The city of Stockton, which is located in San Joaquin County in Northern California, was named as the eighth city in California to have a significant drop in property prices. According to research posted on the website, the median house price in Stockton is now $581,725. This is 7.7% less than the median house price in June.
While the housing prices in Stockton have decreased since June, they are still higher by 7.3% than they were in September 2021. That is mostly due to the fact that during the pandemic, many homeowners from surrounding areas, mostly from San Francisco, sold their properties for astronomically high prices and looked outward for cheaper real estate, and the city of Stockton was the one area that drew them in, offering a big discount compared to other areas.
Mortgage rates have increased as a consequence of record high inflation, making home ownership less accessible to a smaller pool of potential buyers. According to the findings of the research, this has also resulted in a decrease in the prices of properties that are still available on the market.