Median Price of a California Home Sets New Record
The median price of an existing home in California in January increased 20.1 percent and sales increased 7.1 percent compared with the same period a year ago, the California Association of REALTORS® (C.A.R.) reported last month.
“We’re out of the starting gate with a bang. Both sales and the median price of a home hit new records in January as homebuyers continued to flood the market,” said C.A.R. President Jim Hamilton. “Although the inventory of homes for sale increased in January, it’s still low by historic standards. Buyers are taking a little more time before making an offer compared with last year, in part because the specter of significant increases in mortgage interest rates has diminished.”
Closed escrow sales of existing, single-family detached homes in California totaled 659,410 in January, an increase of 7.1 percent from the 615,660 sales pace recorded in January 2004. The median price of an existing, single-family detached home in California during January 2005 was $485,700, a 20.1 percent increase over the revised $404,460 median for January 2004, C.A.R. reported. The January 2005 median price increased 2.4 percent compared with a revised $474,280 median price in December.
“While we expect sales for all of 2005 to be below 2004’s record level, demand for housing in California continues to outstrip supply, which is reflected by the dramatic median price appreciation experienced by every region in the state,” said C.A.R. Vice President and Chief Economist Leslie Appleton-Young. “Seven regions posted median price gains in excess of 30 percent compared with a year ago.”
“The median sales price in South Lake Tahoe is nearly $100,000 less than the state average!” exclaims Dan Spano, President of Paradise Real Estate. “South Lake Tahoe still represents an excellent value for both first and second home buyers.”
