What is causing the fluctuation in month over month median home pricing?

The significant fluctuation in real estate prices in Westlake Village, with a peak in April and a notable drop in May, may raise questions about market stability and trends. To better understand these changes, several factors need to be considered:

1. Seasonal Trends: Real estate markets often experience seasonal variations. Spring typically sees higher activity and prices, which could explain the April peak. The decline in May might reflect a return to more typical market conditions after the spring surge.
2. Inventory Levels: Changes in the number of homes available for sale can impact prices. If there was a surge in inventory in May, it might have put downward pressure on prices.
3. Economic Factors: Broader economic conditions, such as interest rates, inflation, and local economic health, can influence real estate prices. Any recent changes in these factors could have contributed to the price fluctuations.
4. Buyer Behavior: Buyer sentiment and behavior, influenced by factors such as mortgage rates, job security, and personal financial situations, can also drive price changes. A sudden change in these factors might lead to a rapid shift in market dynamics.

In conclusion: The median price was heavily influenced by the types of homes sold. April saw more high-end properties over $3,000,000 selling (9), and the median price went up significantly.. Conversely, May had only (2) sales over $3,000,000 and the median price dropped.