DQNews Archived Article

Bay Area Home Sales Back Up

by Real Estate Analyst John Karevoll
December, 1998

La Jolla, CA.— Home sales in the Bay Area kicked back into gear in November after a temporary stall in October. The sales count for 1998 through November is already the highest of the decade, a real estate information service reported.

A total of 5,102 resale houses were sold in the nine-county Bay Area in November. That was down 13.1 percent from 5,872 for October, and up 4.3 percent from 4,890 for November a year ago, according to DataQuick Products Division.

The October-to-November decline is normal for the season. On a year-over-year basis, sales counts have increased every month since August 1995 — except for last October when a temporary spike in mortgage rates put some purchase activity on hold.

"At some point the current sales rate will level off. It may be high, but it's not out of line with the job growth and economic expansion of the last couple of years," said Mike Ela, leader of DataQuick Products Division.

A total of 66,150 resale houses have been sold in the Bay Area so far this year. That is up 10.6 percent from 59,824 for the same 11-month period last year. If the current sales pace stays where it is for the last few days of the year, then 1998 sales will reach 72,550 — up 10.5 percent from 65,665 for all of last year.

Sales increases are now strongest in Solano, Sonoma and Solano counties where price levels are around half of what they are in San Francisco, San Mateo and Santa Clara counties.

DataQuick Products Division monitors real estate activity nationwide and provides information to consumers, educational institutions, public agencies, lending institutions, title companies and industry analysts.

November's Bay Area median sales price was $276,000, up 1.6 percent from October's $272,000, and up 6.2 percent from $260,000 for November a year ago. The year-over-year increase understates actual appreciation because of the shift in market mix to lower-priced areas. Home values are actually going up just over eight percent on an annual basis.

Resale houses

	No Sold	No Sold	Pct.	Median	Median	Pct.
	Nov-97	Nov-98	Chng.	Nov-97	Nov-98	Chng.
Alameda	956	1,055	10.40%	$230K	$246K	7.00%
Contra Costa	851	784	-7.90%	$210K	$225K	7.10%
Marin	242	230	-5.00%	$349K	$380K	8.90%
Napa	100	118	18.00%	$180K	$195K	8.30%
San Francisco	326	326	0.00%	$307K	$345K	12.40%
San Mateo	531	529	-0.40%	$339K	$363K	7.10%
Santa Clara	1,160	1,081	-6.80%	$311K	$343K	10.30%
Solano	304	427	40.50%	$147K	$153K	4.10%
Sonoma	420	552	31.40%	$199K	$220K	10.60%
Bay Area	4,890	5,102	4.30%	$260K	$276K	6.20%

Source: DataQuick Information Systems

Media Inquiries: John Karevoll (909)867-9534

Copyright © 1998 DataQuick Information Systems.
All rights reserved.

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