Southern California real estate jobs start 2024 with a seasonal chill

The usual start-of-the-year drop in Southern California real estate jobs this year was 14% larger than the norm.

My trusty spreadsheet found property-linked employment in Los Angeles, Orange, Riverside, and San Bernardino counties was 754,500 in January 2024 – off 12,700 for the month. It’s largely a seasonal dip.

In pre-pandemic 2015-19, an average 11,120 jobs were cut in January. Note that many people who work in the real estate world are self-employed and not tracked by traditional government job counts.

However, real estate work in the last 12 months grew locally by 13,000 positions – a 1.8% increase. But that trails the 14,000-a-year hiring pace since the Great Recession ended.

Real estate’s big employer, construction, cut 9,900 workers in the month but was up 14,000 over 12 months, or a 4% gain.

Across Southern California, employment in all other industries was 7.15 million workers – off 114,500 jobs in a month. Over 12 months, non-real estate jobs are up 63,400, or a 0.9% gain.

Don’t overlook real estate’s job-market clout. Since 2010, these real-estate linked workers have equaled 9.7% of all Southern California jobs and 11.2% of local hiring.

By the slice

Here’s how key real estate-related employment niches in Southern California fared …

Trade construction specialists: 248,400 employed by contractors – off 7,200 for the month but up 11,300 over 12 months, or a 4.8% gain. Average January in 2015-19 had 5,880 job loss.

Building/civil/construction: 119,500 workers in various trades – off 2,700 for the month but up 2,700 over 12 months, or a 2.3% gain. Average January had 1,580 job loss.

Lending: 88,700 folks in various slices of credit work – flat for the month and off 4,400 over 12 months, or a 4.7% drop. Average January had 560 job loss. This niche remains 3,200 jobs below pre-pandemic levels.

Real estate services: 140,200 people handling transactions – off 1,400 for the month but up 2,100 over 12 months, or a 1.5% gain. Average January had 2,380 job loss.

Building supplies: 51,400 sellers of equipment and materials – off 600 for the month but up 100 over 12 months, or a 0.2% gain. Average January had 220 job loss.

Building services: 106,300 jobs in commercial property operations – off 800 for the month but up 1,200 over 12 months, or a 1.1% gain. Average January 2024 had 500 job loss.

Geographically speaking

Here is real estate employment’s breakdown, by metro area …

Los Angeles County: 360,400 real estate jobs – off 5,600 for the month but up 1,700 over 12 months, or a 0.5% one-year gain. An average January in 2015-19 had 5,120 cuts. Property jobs equal 7.9% of all LA workers in January.

Orange County: 213,900 real estate jobs – off 3,200 for the month but up 3,300 over 12 months, or a 1.6% one-year gain. An average January in had 2,960 cuts. Property jobs equal 12.7% of all OC workers.

Inland Empire: 180,200 real estate jobs – off 3,900 for the month but up 8,000 over 12 months, or a 4.6% one-year gain. An average January had 3,040 cuts. Property jobs equal 10.7% of all IE workers.

Jonathan Lansner is the business columnist for the Southern California News Group. He can be reached at jlansner@scng.com

Source: Orange County Register