Real estate industries in Southern California experienced a 38% increase in hiring in April compared to the seasonal norm, with 10,400 new jobs added in the month. However, over the past 12 months, the industry has seen a 0.4% drop in employment, with 2,800 jobs lost. Construction saw the highest increase in employment, with 7,600 new jobs added in April, while lending remained flat and lost 2,900 jobs over the past year. Building services experienced a 4.3% one-year gain, with 1,900 new jobs added in April. Los Angeles County saw a 0.9% drop in employment, while Orange County experienced a 0.1% one-year gain.
Following a recent report by The Orange County Register, Southern California’s real estate industry experienced a hiring spree in the springtime, resulting in a 38% faster pace than the seasonal norm. In April, property-linked employment in real estate industries in Los Angeles, Orange, Riverside, and San Bernardino counties reached 796,600, indicating a growth of 10,400 jobs for the month. However, there was a slight drop of 2,800 jobs over the past 12 months, which amounts to a 0.4% decrease.
Despite the slight dip in employment numbers, the report suggests that the growth in April was well above the pre-pandemic average of 7,540 new real estate workers for April in 2015-19. The construction industry, in particular, received a boost from large infrastructure projects and homebuilders rushing to complete contracted sales, resulting in a growth of 7,600 jobs for the month. However, higher mortgage rates were a drag on employment for transaction handlers.
The report also provides a breakdown of key real estate-related employment niches in Southern California and their performance in April. The construction industry recorded 367,900 workers in various trades, indicating a growth of 1.1% over the past year. The real estate services sector, which includes people handling transactions, saw an increase of 600 jobs for the month and 0.3% over the past year. Building services, which entail commercial property operations, recorded a 4.3% one-year gain with 120,500 jobs. Lending, on the other hand, remained flat for the month and recorded a 1.6% drop over the past year, while building supplies recorded a 2% drop.
Geographically, Los Angeles County recorded 384,600 real estate jobs, which is a 0.9% one-year drop. Orange County recorded 227,900 real estate jobs, resulting in a 0.1% one-year gain. The Inland Empire recorded 184,100 real estate jobs, indicating a 0.2% one-year gain.
Despite the slight drop in employment numbers, the report suggests that the growth in April was well above the pre-pandemic average, indicating a promising trend for Southern California’s real estate industry. However, as the report notes, higher mortgage rates may continue to affect transaction handlers, which could impact employment numbers in the coming months.
