DQNews Archived Article

Strong Start for 1998 SoCal Home Sales

by Real Estate Analyst John Karevoll
February, 1998

La Jolla, CA.— Sales and prices continued their steady uphill climb in Southern California in January, the result of an expanding economy, low mortgage interest rates and consistently increasing buyer interest, a real estate information service reported.

A total of 15,854 new and resale houses and condos sere sold in Los Angeles, Orange, Ventura, San Diego, Riverside and San Bernardino counties in January. That was down 30.9 percent from December's 22,959 and up 11.0 percent from 14,278 for January last year (see chart), according to DataQuick Information Systems.

The decrease from December to January is normal for the season. Sales counts have been going up on a year-over-year basis since August 1995.

"Homes are still very affordable, especially when you factor in seven percent fixed-rate mortgage financing. Demand is growing, inventory is low and this sets the stage for further price increases," said Mike Ela, DataQuick president.

The median price paid for a Southland house was $172,000 in January. That was down 2.8 percent from $177,000 in December and up 7.5 percent from $160,000 for January a year ago. The December median was tugged up by a sales surge of expensive newly-built homes. Prices started to edge up on a year-over-year basis in mid-1996.

DataQuick monitors real estate activity nationwide, and provides information to consumers, lending institutions, title companies and industry analysts.

While all types of homes are experiencing sales and price increases, homes at the high end are appreciating faster than entry-level homes.

Sales and prices increased fastest in Orange County, while increases were modest in San Bernardino County, DataQuick reported.

All Homes	No Sold	No Sold	Pct	Median	Median	Pct
	Jan-97	Jan-98	Chng	Jan-97	Jan-98	Chng
Los Angeles	5,848	6,421	9.80%	$163K	$173K	6.10%
Orange County	2,292	2,711	18.30%	$185K	$212K	14.60%
San Diego	2,191	2,522	15.10%	$170K	$181K	6.50%
Riverside	1,616	1,782	10.30%	$128K	$133K	3.90%
San Bernardino	1,659	1,670	0.70%	$120K	$122K	1.70%
Ventura	672	748	11.30%	$200K	$212K	6.00%
SoCal Total	14,278	15,854	11.00%	$160K	$172K	7.50%

Source: DataQuick Information Systems

Media Inquiries: John Karevoll (909)867-9534

Copyright © 1998 DataQuick Information Systems.
All rights reserved.

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