California Million-Dollar Home Sales Ease

October 21, 2004

La Jolla, CA.---- Sales of million-dollar homes in the Golden State eased back a notch during the third quarter, the result of a cyclical shift in market mix, a real estate information service reported.

A total of 8,985 homes sold for a million dollars or more during the July-to-September period. That was down 11.4 percent from 10,145 for the second quarter, and up 53.4 percent from 5,266 for the same period a year ago, according to DataQuick Information Systems.

The second-quarter sales count was the highest ever. Last quarter was the second highest.

"This corresponds with the expected maturing sales cycle in the overall real estate market. When the market took off in the late 1990s, it took off first in the prestige home category. Sales increases and appreciation then moved step by step to lower cost parts of the market. Right now sales and price increases are particularly strong in lower-cost areas," said Marshall Prentice, DataQuick president.

Statewide, there were 41 sales for more than $5 million last quarter, 61 sales were in the $4-$5 million range, 191 in the $3 million range, 807 sales in the $2 million range, and the rest between $1 million and $2 million.

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 numbers include home sales where it could be determined from public records that there was a buyer, a seller, that money changed hands, and that there was a legal transfer of property ownership. Not included were property swaps, sales of multiple lots, teardowns, and large farm or ranch properties. Home sales to companies were included, as were sales to trusts.

The most expensive confirmed purchase was a Newport Coast house which went for $9,500,000 in September. The largest was a 6-bedroom, 9-bathroom 13,949 square-foot house in Westlake Village which went for $4,300,000 in August.

Ross in Marin County and Rancho Santa Fe in San Diego County were communities where virtually all home sales were in the million- dollar category.

Newly-built homes accounted for 1,049 of the sales during the third quarter. That was down 18.0 percent from 1,280 for the second quarter, and up 76.3 percent from 595 for 2Q03. Orange, San Diego and Los Angeles counties were the most active million-dollar newly- built home markets, DataQuick reported.

There were 419 condo sales in the million-dollar category. That was down 25.2 percent from 560 for the previous quarter and up 56.9 percent from 267 for third-quarter 2003. Most million-dollar condos were sold in Los Angeles, San Diego and San Francisco.

The median million-dollar home was 2,610 sq.ft. in size with 4 bedrooms and 3 bathrooms. The median price per square-foot for all million-dollar homes was $505, up slightly from $499 for the second quarter, and up 8.7 from $464 a year ago, DataQuick reported.

Around 12 percent of the buyers paid cash. A year ago 13 percent paid cash. It was 21 percent five years ago and 25 percent ten years ago. Of those who financed their purchase, the average down payment was 28 percent of the purchase price. Lending institutions most willing to provide mortgage financing were Washington Mutual, Wells Fargo and Countrywide Home Loans.

Top 25 California Zip Codes
Ranked by the number of million-dollar homes sold in 3Q2004

Community	Zip Code	3Q03 Sales#	3Q04 Sales#	3Q04's Most Expensive*
Manhattan Beach	90266	118	141	$4.85 mill.
La Jolla	92037	100	112	$9.45 mill.
Hillsborough	94010	81	94	$4.75 mill.
Newport Beach	92660	99	92	$5.88 mill.
Del Mar	92130	83	91	$3.20 mill.
Laguna Beach	92651	63	89	$5.30 mill.
Saratoga	95070	78	84	$4.13 mill.
Danville	94506	62	81	$4.60 mill.
Mill Valley	94941	77	80	$3.80 mill.
Trabuco/Coto	92679	52	79	$4.00 mill.
Rancho Palos Verdes	90275	57	77	$3.91 mill.
Coronado	92118	42	74	$3.80 mill.
Cupertino	95014	52	72	$1.90 mill.
Pacific Palisades	90272	85	71	$4.12 mill
Los Altos	94024	67	71	$3.85 mill
Alamo	94507	55	69	$2.95 mill
Brentwood	90049	64	66	$6.13 mill
Rolling Hills Estates	90274	95	66	$6.15 mill
Laguna Niguel	92677	52	64	$6.10 mill.
Beverly Hills	90210	60	63	$7.25 mill
Calabasas	91302	75	63	$4.20 mill.
Huntington Beach	92648	46	58	$2.75 mill
Hollywood	90046	38	57	$2.90 mill.
Pleasanton	94566	42	57	$3.90 mill.
Piedmont	94611	28	57	$5.25 mill

*Where the sales price could be determined from public records

Media Inquiries: John Karevoll (909) 867-9534

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