Record September for Bay Area Home Sales

October 14, 2004

La Jolla, CA.----Home sales in the Bay Area stayed strong last month, the result of robust demand, reasonable mortgage interest rates and increased inventory, a real estate information service reported.

A total of 12,075 new and resale houses and condos were sold in the nine-county region in September. That was down 4.7 percent from 12,674 in August, and up 1.3 percent from 11,919 for September last year, according to DataQuick Information Systems.

Last month was the strongest September in DataQuick's records, which go back to 1988. A decline from August to September is normal for the season.

"A key element here is the increase in the number of homes for sale. Also, many buyers are expecting interest rates to rise over the next year, so they're doing their buying now rather than later. It may be that we're tugging activity from the future into the present," said Marshall Prentice, DataQuick president.

The median price paid for a Bay Area home was $516,000 last month, down 0.8 percent from August's record of $520,000. It was up 15.7 percent from $446,000 for September last year.

DataQuick, a subsidiary of Vancouver-based MacDonald Dettwiler and Associates, monitors real estate activity nationwide and provides information to consumers, educational institutions, public agencies, lending institutions, title companies and industry analysts.

The typical monthly mortgage payment that Bay Area buyers committed themselves to paying was $2,283 in September. In August it was $2,341 and a year ago it was $2,019.

Indicators of market distress are still largely absent. Foreclosure rates are low, down payment sizes are stable and there have been no significant shifts in market mix, DataQuick reported. A slight increase in flipping rates earlier this year has leveled off, DataQuick reported.

All Homes	No Sold Sep-03	No Sold Sep-04	Pct. Chg	Median Sep-03	Median Sep-04	Pct. Chg
Alameda	2,428	2,530	4.2%	$419K	$480K	14.6%
Contra Costa	2,414	2,339	-3.1%	$399K	$463K	16.0%
Marin	462	456	-1.3%	$597K	$687K	15.1%
Napa	184	224	21.7%	$445K	$522K	17.3%
San Francisco	703	689	-2.0%	$567K	$669K	18.0%
San Mateo	884	997	12.8%	$563K	$637K	13.1%
Santa Clara	2,988	2,865	-4.1%	$477K	$543K	13.8%
Solano	967	1,049	8.5%	$316K	$394K	24.7%
Sonoma	889	926	4.2%	$387K	$466K	20.4%
Bay Area	11,919	12,075	1.3%	$446K	$516K	15.7%

Source: DataQuick Information Systems, www.DQNews.com

Media Inquiries: John Karevoll (909)867-9534

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