With interest rates surging, what does a starter home look like in Southern California?

Abstract

As more buyers choose alternatives, condo price increases are outpacing single-family home price increases. The Times has published a ‘What Money Buys’ series for the last five years that highlights homes on the market at certain price points in different neighborhoods. A 2019 piece featured homes for $800,000 in a handful of L.A. neighborhoods including Jefferson Park and Cypress Park. Both areas had a five-bedroom home. The Jefferson Park home ended up selling for $850,000. Now, Redfin estimates that the home is worth $1.28 million. The Cypress park home is now worth $2.25 million. A 2017 entry in the series had a $600,000-a-year-old home sold for $400,000 to $500,000 for $300,000 at the same time. In Jefferson Park, There are no 5-bedroom single- family homes in that area.