California Home Prices, Sales Up!
Thursday, November 26, 2009
California homes are selling much faster, and selling for higher prices, than doomsayers had ever imagined.
The bottom is behind us and Golden State real estate is shooting skyward. The California Association of Realtors finally gets to report some positive California news.
"California’s median price rose for the eighth consecutive month in October and sales continued to show strength, signs that California has hit and passed the bottom of this real estate cycle," said the California Association of Realtors V.P. and Chief Economist Leslie-Appleton-Young.
California homes are now selling more quickly than before. The median number of days it took to sell a single-family house was 34.1 days in October 2009, compared with the longer 45.5 days for the same period last year.
The California Association of Realtors Unsold Inventory Index for existing, single-family detached homes in October 2009 was only 4 months, compared with 6.1 months for the same period last year.
This indicates a possibility of only 17 weeks to deplete the supply of homes on the market at the current sales rate. We'll need to build more new houses soon!
The days of nose-diving home prices are over. Home appreciation is back in style! Statewide, the California cities with the biggest median home price increases in October 2009 versus the same period a year ago were:
- Palo Alto - 49.1 %
- Atascadero - 33.3 %
- Cupertino - 24.2 %
- San Rafael - 24 %
- Emeryville - 22.2 %
- Livermore - 20.5 %
- Culver City - 19.4 %
- Pleasant Hill - 17 %
- La Habra - 16.2 %
- Novato - 15.4 %
"However, with affordable home prices, mortgage rates hovering around 5 percent, and the extension and expansion of the federal tax credit, we expect first-time and move-up home buyers to drive home sales through the end of this year and into early 2010."
Californians are making something great happen once more.
