Bay Area: Record Home Sales, Record Prices

December 16, 2004

La Jolla, CA.----Home sales in the Bay Area had their best November ever last month, as prices reached a new peak, a real estate information service reported.

A total of 10,987 new and resale houses and condos were sold in the nine-county region in November. That was down 2.5 percent from 11,180 in October, and up 13.6 percent from 9,594 for November last year, according to DataQuick Information Systems.

A decline from October to November is normal for the season. Last month's sales were the strongest for any November in DataQuick's statistics, which go back to 1988.

At 123,770, sales for the first eleven months of this year have already passed sales for the whole of 2003, making 2004 a record year even before December sales are included.

"The strength of the market certainly has a lot of last year's forecasters scratching their heads. Even with demand being stronger than expected, these numbers are remarkable. It's interesting too that the appreciation rate has remained stable the past half year," said Marshall Prentice, DataQuick president.

The median price paid for a Bay Area home was $533,000 last month, another record. That was up 1.7 percent from $524,000 in October, and up 17.1 percent from $455,000 for November a year ago. Year-over-year price increases have been in the 15%-18% range since April.

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 $2,350 in November. In October it was $2,315, and a year ago it was $2,076. It peaked at $2,450 in June when mortgage interest rates were somewhat higher.

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.

All Homes	No Sold Nov-03	No Sold Nov-04	Pct. Chg	Median Nov-03	Median Nov-04	Pct. Chg
Alameda	1,886	2,251	19.4%	$423K	$500K	18.2%
Contra Costa	1,898	2,179	14.8%	$404K	$474K	17.3%
Marin	366	413	12.8%	$633K	$739K	16.7%
Napa	199	221	11.1%	$480K	$535K	11.5%
San Francisco	612	616	0.7%	$573K	$697K	21.6%
San Mateo	725	920	26.9%	$553K	$664K	20.1%
Santa Clara	2,425	2,624	8.2%	$487K	$560K	15.0%
Solano	712	918	28.9%	$322K	$400K	24.2%
Sonoma	771	755	-2.1%	$412K	$472K	14.6%
Bay Area	9,594	10,897	13.6%	$455K	$533K	17.1%

Source: DataQuick Information Systems, www.DQNews.com

Media Inquiries: John Karevoll (909)867-9534

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