Southern California Real Estate Jobs Start 2024 with a Seasonal Chill

The start of the year saw a larger-than-usual drop in real estate jobs in Southern California, with a 14% decrease compared to previous years. According to data from January 2024, property-linked employment in Los Angeles, Orange, Riverside, and San Bernardino counties was at 754,500, which was 12,700 fewer jobs than the previous month. While this decline is typical for the season, it is worth noting that many self-employed individuals in the real estate industry are not accounted for in traditional government job counts.

Despite the monthly decrease, real estate employment in the region has grown by 13,000 positions over the past year, representing a 1.8% increase. However, this growth rate falls short of the hiring pace seen since the end of the Great Recession, which averaged 14,000 jobs per year.

Construction, a major employer in the real estate sector, saw a decrease of 9,900 workers in the month but experienced a 4% gain with 14,000 additional jobs over the past year. In comparison, non-real estate jobs across Southern California were down by 114,500 in a month but showed a 0.9% increase over the year.

Real estate-related employment has been a significant contributor to the job market in Southern California, accounting for 9.7% of all jobs in the region since 2010. Key niches within the real estate industry, such as trade construction specialists, building services, lending, real estate services, and building supplies, experienced varying levels of job changes in January.

Geographically, Los Angeles County, Orange County, and the Inland Empire all saw fluctuations in real estate employment numbers, with Orange County experiencing a 1.6% increase over the year, while Los Angeles County and the Inland Empire saw smaller gains.

Overall, the real estate job market in Southern California is showing signs of seasonal fluctuation, but the industry remains a significant player in the region’s economy.