Press Release
Source: California Association of REALTORS(R)
Median Price of a Home in California Breaks $500,000 for First Time in April, Sales up 2.7 Percent, C.A.R. ReportsTuesday May 24, 1:11 pm ET
LOS ANGELES--(BUSINESS WIRE)--May 24, 2005--The median price of an existing home in California in April increased 12.5 percent and sales increased 2.7 percent compared with the same period a year ago, the California Association of REALTORS® (C.A.R.) reported today.
"The median price of a home in California topped a half-million dollars for the first time in April, reflecting the continuing demand for housing and the ongoing supply shortage," said C.A.R. President Jim Hamilton. "Home prices increased by double digits in nearly every region of the state, rising 37.9 percent in the more affordable High Desert region, which includes the Antelope Valley, Barstow, and Victor Valley areas."
Closed escrow sales of existing, single-family detached homes in California totaled 658,060 in April at a seasonally adjusted annualized rate, according to information collected by C.A.R. from more than 90 local REALTOR® associations statewide. Statewide home resale activity increased 2.7 percent from the 640,710 sales pace recorded in April 2004.
The statewide sales figure represents what the total number of homes sold during 2005 would be if sales maintained the April pace throughout the year. It is adjusted to account for seasonal factors that typically influence home sales.
The median price of an existing, single-family detached home in California during April 2005 was $509,230, a 12.5 percent increase over the revised $452,680 median for April 2004, C.A.R. reported. The April 2005 median price increased 2.6 percent compared with March's revised $496,550 median price.
"Year-to-date sales are up 5.1 percent compared to a year ago," said C.A.R. Vice President and Chief Economist Leslie Appleton-Young. "Although interest rates remain near their historical lows, consumers are clearly concerned about the impact rising rates will have on their ability to purchase a home."
Highlights of C.A.R.'s resale housing figures for April 2005:
C.A.R.'s Unsold Inventory Index for existing, single-family detached homes in April 2005 was 3 months, compared with 1.3 months (revised) for the same period a year ago. The index indicates the number of months needed to deplete the supply of homes on the market at the current sales rate.
Thirty-year fixed mortgage interest rates averaged 5.86 percent during April 2005, compared with 5.83 percent in April 2004, according to Freddie Mac. Adjustable mortgage interest rates averaged 4.25 percent in April 2005 compared with 3.65 percent in April 2004.
The median number of days it took to sell a single-family home was 28 days in April 2005, compared with 23 days (revised) for the same period a year ago.
Regional MLS sales and price information is contained in the tables that accompany this press release. Regional sales data are not adjusted to account for seasonal factors that can influence home sales. The MLS median price and sales data for detached homes are generated from a survey of more than 90 associations of REALTORS® throughout the state. MLS median price and sales data for condominiums are based on a survey of more than 60 associations. The median price for both detached homes and condominiums represents closed escrow sales.
In a separate report covering more localized statistics generated by C.A.R. and DataQuick Information Systems, 97.5 percent or 396 of 406 cities and communities showed an increase in their respective median home prices from a year ago. DataQuick statistics are based on county records data rather than MLS information. DataQuick Information Systems is a subsidiary of Vancouver-based MacDonald Dettwiler and Associates. (The top 10 lists are generated for incorporated cities with a minimum of 30 recorded sales in the month.)
Note: Large changes in local median home prices typically indicate both local home price appreciation, and often, large shifts in the composition of housing market activity. Some of the variations in median home prices may be exaggerated due to compositional changes in housing demand. The DataQuick tables listing median home prices in California cities and counties are accessible through C.A.R. Online at http://www.car.org/index.php?id=MzQ5ODE=.
Statewide, the 10 cities and communities with the highest median home prices in California during April 2005 were: Los Altos, $1,762,500; Saratoga, $1,525,000; Laguna Beach, $1,485,000; Manhattan Beach, $1,405,000; Newport Beach, $1,297,500; Carmel, $1,294,000; La Canada-Flintridge, $1,290,000; Burlingame, $1,250,000; Calabasas, $1,225,000; Woodside, $1,100,000; Rancho Palos Verdes, $1,100,000.
Statewide, the 10 cities and communities with the greatest median home price increases in April 2005 compared with the same period a year ago were: Reedley, 68.8 percent; Colton, 64.7 percent; Twentynine Palms, 63 percent; Atwater, 58.7 percent; Rohnert Park, 57.5 percent; Laguna Hills, 53.3 percent; Norco, 51.6 percent; La Canada-Flintridge, 50.9 percent; Adelanto, 49.1 percent; Victorville, 45.8 percent.