Sales of existing single-family homes in the San Fernando Valley increased slightly during August, even as interest rates on home loans rose to the highest level in 10 months, the Southland Regional Association of Realtors has reported.
The national average interest rate on home loans during August as reported by the Federal Housing Finance Agency was 6.51%. While up from its lowest level of 6.08% in April, the August figure was nonetheless down from 6.83% reported in August 2025. The national interest rate for nearly three years averaged 6.63%.
“With a few exceptions, interest rates on home loans had been trending down every month for nearly three years,” said Nicole Stinson, President of the 10,000-member association. “Then came rising consumer prices and the turmoil in the Middle East, which kicked interest rates higher and made homebuyers and homeowners question the direction the economy was headed.”
Local Realtors assisted the close of escrow during August on 472 single-family homes, an increase from August 2025 of 1.3%. Condominium sales, which had been posting double-digit increases, came in at 130, down 23.1% from a year ago.
The median price of homes that changed owners last month was $1,105,000, down 3.1%. The record high median price was set in June at $1,188,000.
The condominium median price of $590,000 fell 0.8% from a year ago, the association reported. The condo record high median price of $665,000 was recorded in April.
“When it comes to prices and sales, the market is transitioning from busy summer transactions into the off-peak season,” said Valerie Biletsky, the association’s Chief Executive Officer, “But there’s no doubt the events in the Middle East and lingering questions about the economy here at home play a role in any decision to buy or sell a home.”
The association reported 1,749 single-family home active listings at the end of August; down 20.1% from a year ago.
Similarly, the number of active condominium listings in August was 873, down 17.8% from 1,062 condo listings of August 2025, which was only the second time in recent years when condo listings exceeded the 1,000-listing benchmark.
SRAR’s income-to-loan guide for August found that an income of $151,515 was needed to qualify for an 80% loan of $472,000 on a San Fernando Valley median-priced condominium of $590,000. With the national average interest rate up to 6.51% during August – compared to January 2022’s 2.97% and below the 7.56% of December 2023 – the income needed to qualify fell 7.3% compared to a year ago. The monthly PITI — principal, interest, taxes and insurance payments — totaled $3,788.
