October 25th, 2007 7:38 PM by Lehel Szucs
Here is the sales data released by the California Association of Realtors. Give it a read and call us at (626) 922-2514 or email to Lehel@TeamSzucs.com if you have any questions on how your specific neighborhood is doing.
C.A.R. reports sales decrease 38.9 percent, median home price falls 4.7 percent
LOS ANGELES (Oct. 24) – Home sales decreased 38.9 percent in September in California compared with the same period a year ago, while the median price of an existing home fell 4.7 percent, the CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.) reported today.
"While it is typical for the median price to dip seasonally as we move from August to September, this decline -- which was both the largest month-to-month percentage decline on record and the first year-to-year decline in more than 10 years -- was mainly the result of the credit or liquidity crunch, which also drove sales below the 300,000 mark,” said C.A.R. President Colleen Badagliacco.
“California’s sales fell more steeply than those of the U.S. as a whole because of its heavy reliance on jumbo loans – those above the conforming loan limit of $417,000,” she said. “This speaks to the need to raise the conforming loan limit in higher-cost states like California to more accurately reflect the cost of housing.”
Closed escrow sales of existing, single-family detached homes in California totaled 271,590 in September at a seasonally adjusted annualized rate, according to information collected by C.A.R. from more than 90 local REALTOR® associations statewide. Statewide home resale activity decreased 38.9 percent from the 444,780 sales pace recorded in September 2006.
The statewide sales figure represents what the total number of homes sold during 2007 would be if sales maintained the September pace throughout the year. It is adjusted to account for seasonal factors that typically influence home sales.
The median price of an existing, single-family detached home in California during September 2007 was $530,830, a 4.7 percent decrease over the revised $557,150 median for September 2006, C.A.R. reported. The September 2007 median price fell 9.9 percent compared with August’s $588,970 median price.
“The impact of the credit crunch spread throughout all tiers of the market in September,” said C.A.R. Vice President and Chief Economist Leslie Appleton-Young. “While the entry-level portion of the market has been adversely affected by the subprime situation and tighter underwriting standards for much of this year, the high end of the market also saw a decline in sales, as even well-qualified buyers were affected by the lack of funds available for jumbo loans.”
Highlights of C.A.R.’s resale housing figures for September 2007:
Regional MLS sales and price information is contained in the tables that accompany this press release. Regional sales data are not adjusted to account for seasonal factors that can influence home sales. The MLS median price and sales data for detached homes are generated from a survey of more than 90 associations of REALTORS® throughout the state. MLS median price and sales data for condominiums are based on a survey of more than 60 associations. The median price for both detached homes and condominiums represents closed escrow sales.
In a separate report covering more localized statistics generated by C.A.R. and DataQuick Information Systems, 17.3 percent, or 50 out of 289 cities and communities, showed an increase in their respective median home prices from a year ago. DataQuick statistics are based on county records data rather than MLS information. DataQuick Information Systems is a subsidiary of Vancouver-based MacDonald Dettwiler and Associates. (The top 10 lists are generated for incorporated cities with a minimum of 30 recorded sales in the month.)
Note: Large changes in local median home prices typically indicate both local home price appreciation, and often, large shifts in the composition of housing market activity. Some of the variations in median home prices for September may be exaggerated due to compositional changes in housing demand. The DataQuick tables listing median home prices in California cities and counties are accessible through C.A.R. Online athttp://www.car.org/index.php?id=Mzc5MTI= .
September 2007 Regional Sales and Price Activity*
Regional and Condo Sales Data Not Seasonally Adjusted
Percent Change in Price from Prior Month
Percent Change in Price from Prior Year
Percent Change in Sales from Prior Month
Percent Change in Sales from Prior Year
Santa Cruz County
Northern Wine Country
Palm Springs/Lower Desert
San Francisco Bay
San Luis Obispo
Santa Barbara County
Santa Barbara South Coast
North Santa Barbara County
na – not available
*Based on closed escrow sales of single-family, detached homes only (no condos). Reported month-to-month changes in sales activity August overstate actual changes because of the small size of individual regional samples. Movements in sales prices should not be interpreted as measuring changes in the cost of a standard home. Prices are influenced by changes in cost and changes in the characteristics and size of homes actually sold.
sf = single-family, detached home
Median Prices By Region – Current Month vs. Year Ago
na - not available r - revised
Source: CALIFORNIA ASSOCIATION OF REALTORS®