Housing Bubble
California home price up 20.2 percent in December
The median price of existing homes in California in December increased 20.2 percent and sales rose 20.9 percent compared to the same period a year ago, the California Association of REALTORS® reported today.
"Residential real estate ended the year on a high note, with the eighth best monthly sales volume on record and the best December sales since 1986," said C.A.R. President Toby Bradley. "The median price of a single family home also climbed to $338,110, a new record for the state."
Closed escrow sales of existing, single-family detached homes in California totaled 573,790 in December 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 20.9 percent from the 474,490 sales pace recorded in December 2001.
"Year-to-date sales of single-family homes were up 13.5 percent through December compared to last year," said C.A.R. Vice President and Chief Economist Leslie Appleton-Young. "We're on track for a record year in 2002, largely due to the lowest interest rates in decades and unprecedented demand for homes in California."
The statewide sales figure represents what the total number of homes sold during 2002 would be if sales maintained the December 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 December 2002 was $338,110, a 20.2 percent increase over the $281,330 median for December 2001, C.A.R. reported. The December 2002 median price increased 3.2 percent compared to November 2002.
Highlights of C.A.R.’s resale housing figures for December 2002:
- C.A.R.’s Unsold Inventory
Index for existing, single-family detached homes in December 2002 was
2.6 months, compared to 2.8 months 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 6.05 percent during December
2002, down from 7.07 percent in December 2001, according to the Federal
Home Loan Mortgage Corp. Adjustable mortgage interest rates averaged
4.12 percent in December 2002 compared to 5.23 percent in December
2001.
- The median number of days it took to sell a single-family home was 28 days in December 2002, compared to 35 days for the same period a year ago.
The following table shows
Regional MLS sales and price information. Regional sales data is not
adjusted to account for seasonal factors that can influence home sales.
The MLS median price and sales data for detached homes is generated
from a survey of more than 90 associations of REALTORS® throughout
the state. MLS median price and sales data for condominiums is based
on a survey of more than 60 associations. The median price for both
detached homes and condominiums represents closed escrow sales.
DECEMBER 2002 REGIONAL SALES AND PRICE ACTIVITY*
Regional and Condo Sales Data Not Seasonally Adjusted
Percent Percent
Change in Change Percent
Percent Price in Sales Change in
Change in from from Sales from
Median Price from Prior Prior Prior
December-02 Price Prior Month Year Month Year
Dec-02 Nov-02 Dec-01 Nov-02 Dec-01
Statewide
Calif. (sf) $338,110 3.2% 20.2% 5.8% 20.9%
Calif. (condo) $253,790 -1.1% 18.5% 14.7% 24.0%
Region
Central
Valley $204,450 1.2% 24.9% 10.2% 18.7%
High Desert $138,880 -1.0% 17.8% 8.7% 35.0%
Los Angeles $301,280 -1.9% 19.8% 7.0% 13.1%
Monterey
Region $438,500 -3.8% 8.2% 31.7% 35.6%
Monterey
County $365,000 -3.9% 2.1% 25.8% 23.9%
Santa Cruz
County $515,000 1.0% 9.4% 31.9% 37.9%
Northern
California $248,010 -1.1% 23.1% 1.4% 17.6%
Northern
Wine Country $379,590 0.2% 11.5% 9.0% 39.0%
Orange County $433,960 0.0% 19.1% 15.2% 13.5%
Palm Springs/
Lower Desert $246,430 6.6% 29.3% 16.6% 41.4%
Riverside/
San
Bernardino $184,220 -3.0% 11.6% 9.4% 7.9%
Sacramento $227,160 1.1% 27.4% 9.9% 23.2%
San Diego $381,440 0.9% 22.3% 17.0% 26.3%
San Francisco
Bay $512,420 -0.6% 9.2% 12.7% 20.0%
San Luis
Obispo $352,320 2.0% 23.0% -22.7% -16.4%
Santa Barbara
County $381,430 -0.2% 12.8% 1.5% 14.2%
Santa Barbara
South Coast $620,430 0.5% 12.2% -2.2% -10.9%
North
Santa Barbara
County $287,040 3.2% 27.1% 4.4% 45.1%
Santa Clara $538,000 0.6% 7.8% 6.4% 1.7%
Ventura n.a. n.a. n.a. n.a. n.a.
*Based on closed escrow sales of single-family, detached homes only (no condos). Reported month-to-month changes in sales activity may 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
Dec-02 Nov-02 Dec-01
Statewide
Calif. (sf) $338,110 $327,500 r $281,330 r
Calif. (condo) $253,790 $256,640 r $214,100 r
Region
Central Valley $204,450 $202,040 r $163,670 r
High Desert $138,880 $140,340 $117,940 r
Los Angeles $301,280 $307,230 $251,510
Monterey Region $438,500 $456,060 $405,260
Monterey County $365,000 $379,900 $357,500
Santa Cruz County $515,000 $510,000 $470,810
Northern California $248,010 $250,860 $201,420
Northern Wine Country $379,590 $378,730 $340,360
Orange County $433,960 $434,110 $364,300
Palm Springs/Lower Desert $246,430 $231,110 $190,650
Riverside/San Bernardino $184,220 $189,860 $165,000 r
Sacramento $227,160 $224,770 r $178,280 r
San Diego $381,440 $378,040 $311,840
San Francisco Bay $512,420 $515,460 $469,220
San Luis Obispo $352,320 $345,450 $286,540
Santa Barbara County $381,430 $382,260 $338,240
Santa Barbara South Coast $620,430 $617,380 $552,730
North Santa Barbara County $287,040 $278,050 $225,760
Santa Clara $538,000 $535,000 $499,000
Ventura n.a. $387,350 $317,840 r
r - revised
Source: California Association of REALTORS(R)
Source: California Association of REALTORS®
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