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California Short Sales, Foreclosures, REOs Los Angeles, San Diego, Riverside & Orange County Short-Sales Listings
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03 Nov 09 California Home Sales Drop on Foreclosures and Short Sales

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California short sales, loan modification agreements and home foreclosures continue to have a significant impact on the California housing sector. The good news was that mortgage refinance applications increased last quarter as a result of strong FHA financing and the Home Affordable Refinance Program that is sponsored by the government. A recent Bloomberg article reported that California home prices declined 7.3% in September from a year earlier, helping boost the number of houses sold, the state Association of Realtors said. The median price for an existing detached house fell to $296,090 from $319,310 a year earlier, the Los Angeles-based group said today in a statement. The California home sales price rose 1.1% from August, the seventh consecutive month-on-month increase.

Sales of foreclosed homes accounted for 42% of existing-property transactions in California in August, research company MDA DataQuick said Oct. 15. The Realtors said the number of existing houses sold climbed 2.1% last month from September 2008, boosted by lower prices and a federal tax credit for first-time homebuyers. “The success of the federal tax credit is clear,” James Liptak, president of the California Association of Realtors, said in the statement. The group supports an extension of the credit through mid-2010 and the removal of its restriction to first-time purchasers.

California, the most populous U.S. state, is on pace for 530,520 home sales this year, based on the rate of transactions last month, the association said. “Efforts by the government to stimulate housing and the economy clearly are impacting the market,” Leslie Appleton- Young, the group’s chief economist, said in the statement. Sales have exceeded 500,000 homes on an annualized basis for 13 consecutive months, she said.

The median amount of time it took to sell a California house fell to 33.6 days in September from 46.2 days a year earlier, the association said. The group’s unsold inventory index for existing, single-family houses dropped to 4.2 months from 6.5 months a year earlier. The index shows the time needed to deplete the supply of homes on the market at the current sales rate. The median price for a California condominium in September was $270,170, down 6.5% from a year earlier and up 3.8 % from August, the Realtors association said. Condominium sales rose 11% from a year earlier and 2.2% from August.



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