California: Southland Homes Sustain Solid Gain

By: Bill Sing: REALTOR® Magazine Online
The median home price in Southern California surged 15.4 percent to an all-time high of $479,000 during the year-over-year period ended in November, according to DataQuick Information Systems.

It remains to be seen how long double-digit appreciation rates in the six-county region can be sustained, especially with sales falling 3 percent to 27,637 from October.

Analysts anticipate a return to single-digit price growth in the coming year; but price declines could occur in the event of a state and national economic downturn, massive job losses, or a substantial drop in U.S. Treasury purchases by foreign investors.

The median price of a home rose 23.2 percent to $350,000 in San Bernardino County, 20.7 percent to $612,000 in Ventura County, 19.5 percent to $497,000 in Los Angeles County, 17.1 percent to $405,000 in Riverside County, 13.9 percent to $616,000 in Orange County, and 6.4 percent to $518,000 in San Diego County from last November.

Over the same period, sales rose 18.6 percent in Riverside County and 12.1 percent in Ventura County. However, sales fell 1.6 percent in Orange County, 3.6 percent in Los Angeles County, 9.5 percent in San Diego County, and 1.8 percent in San Bernardino County.