Bay Area Home Sales Continue To Decline

13687_san_francisco_housing Bay Area Home Sales Continue To Decline Home sales in the California Bay Area fell below a year earlier for the second consecutive month in March, according to new data from San Diego-based DataQuick.

A total of 7,263 new and resale houses and condos were sold in the nine-county Bay Area last month. That was up 34.4% from 5,404 the month before and down 6% from 7,723 in March 2012.

The median price paid for a home in the nine-county Bay Area last month was $436,000. That was up 7.7% from $405,000 in February and up 21.8% from $358,000 in March last year. The median has risen on a year-over-year basis for 12 consecutive months, with double-digit year-over-year gains the last 10 months and increases above 20% for the past five months.

Distressed property sales – the combination of foreclosure resales and short sales – made up about 30% of the resale market in March. Last month's figure, which was the lowest in five years, was down from about 35% in February and down from about 49% a year ago.

‘Higher sales in the middle and top of the housing market reflect improved consumer confidence, ultra-low mortgage rates and the unleashing of more pent-up demand than many anticipated,’ says John Walsh, president of DataQuick. ‘There's been a shift in psychology, where more people worry prices will rise and fewer fear a decline. It's drawn a lot of folks off the fence following a long stretch of subpar sales, especially in the higher price ranges. In the more affordable markets, we've seen a big drop in foreclosures, which limits the supply of homes for sale. Then you have homeowners who still can't sell because they owe more than their homes are worth.’


Please enter your comment!
Please enter your name here