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Residential Real Estate News
California Association of Realtors Reports April Home Sales Increased 49.2 Percent, Home Price Declined 36.5 Percent
(News Source: CALIFORNIA ASSOCIATION OF REALTORS)
(LOS ANGELES, CA) -- Home sales increased 49.2 percent in April in California compared with the same period a year ago, while the median price of an existing home declined 36.5 percent, the CALIFORNIA ASSOCIATION OF REALTORS (C.A.R.) reported today.
"With annualized sales at 540,360 units, April marked the eighth consecutive month of home sales above the 500,000 level," said C.A.R. President James Liptak.
"Regional sales were impacted by the state's two-tier market," he said. "Inventory levels for homes in the under $500,000 segment shrank to nearly three months in April, compared with almost 10 months a year ago, while unsold inventory in the more than $1 million segment rose to approximately 17 months, compared with roughly 10 months in April 2008.
"The dramatic difference in inventory exemplifies how the low end of the market is attracting more first-time buyers and investors, creating a shortage of distressed properties for sale," he added.
Quick Data Facts:
- Existing, single-family home sales increased 49.2 percent in April to a seasonally adjusted rate of 540,360 on an annualized basis
- The statewide median price of an existing single-family home increased 1.4 percent in April to $256,700, compared with March 2009
- C.A.R.'s Unsold Inventory Index fell to 4.6 months in April, compared with 9.8 months in April 2008
- The median number of days it took to sell a single-family home declined to 48.7 days in April 2009, compared with 51.8 days in April 2008
Closed escrow sales of existing, single-family detached homes in California totaled 540,360 in April 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 increased 49.2 percent from the revised 362,170 sales pace recorded in April 2008. Sales in April 2009 increased 1.4 percent compared with the previous month.
The statewide sales figure represents what the total number of homes sold during 2009 would be if sales maintained the April 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 April 2009 was $256,700, a 36.5 percent decrease from the revised $404,470 median for April 2008, C.A.R. reported. The April 2009 median price rose 1.4 percent compared with March's $253,040 median price.
"The statewide median price has increased for two consecutive months, and the nine-month string of year-to-year price declines in the 40-percent range has ended," said C.A.R.'s Chief Economist Leslie Appleton-Young. "It appears that the median price is now at or near the bottom.
"Favorable home prices in many parts of the state have led to an increase in affordability for first-time buyers. In the first quarter of 2009, affordability rose to 69 percent, enabling many to take advantage of first-time buyer programs and near record-low interest rates," said Appleton-Young. The jumbo loan market, however, continues to be starved for financing, constraining sales for the high-end segment."
Highlights of C.A.R.'s resale housing figures for April 2009:
- C.A.R.'s Unsold Inventory Index for existing, single-family detached homes in April 2009 was 4.6 months, compared with 9.8 months (revised) for the same period a year ago. The index indicates the number of months needed to deplete the supply of homes on the market at the current sales rate.
- Thirty-year fixed-mortgage interest rates averaged 4.81 percent during April 2009, compared with 5.92 percent in April 2008, according to Freddie Mac. Adjustable-mortgage interest rates averaged 4.82 percent in April 2009, compared with 5.19 percent in April 2008.
- The median number of days it took to sell a single-family home was 48.7 days in April 2009, compared with 51.8 days (revised) for the same period a year ago.
- Statewide, the 10 cities with the highest median home prices in California during April 2009 were: Santa Barbara, $870,000; Los Gatos, $870,000; Newport Beach, $853,500; Santa Monica, $820,000; Cupertino, $811,000; Danville, $725,000; Arcadia, $686,090.50; Redondo Beach, $660,000; San Clemente, $659,500; San Ramon, $630,000, and San Francisco, $625,000.
- Statewide, the cities with the greatest median home price increases in April 2009 compared with the same period a year ago were: Laguna Hills, 23.1 percent, Encinitas; 1.1 percent; and Alhambra, 0.5 percent.
April 2009 Regional Sales and Price Activity- Regional and Condo Sales Data Not Seasonally Adjusted
Median Prices By Region - Current Month vs. Year Ago
Real Estate Listings Showcase
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