TUESDAY, JANUARY 18, 2011 AT 10:53 A.M.
Home prices in Southern Californiaincreased slightly while home sales rose more than normal in December from November, DataQuick Information Systems reported on Tuesday.
The median price for the region's six major counties, including San Diego, increased to $290,000, or 1percent, from November. The month-to-month median for San Diego County alone slipped to $333,000 in December, a 0.6 percent decrease, as previously reported.
However the regional year-over-year increase in median prices was lower, at 0.3 percent, which could suggest "a flat market in terms of pricing," said DataQuick analyst Andrew LePage. In San Diego, the median increased 0.9 percent year-over-year.
Overall home sales in Southern California were higher than usual, increasing 20.5 percent from November to December. San Diego County also saw an above-average gain during the same time frame, at 24 percent. The average gain has been 12.9 percent, according to DataQuick records, which date back to 1988.
The uptick in fall home sales can be explained by "ultra-low mortgage rates coupled with lower prices," said DataQuick PresidentJohn Walsh.
Still, home sales decreased on a year-to-year basis across the region, from 5 percent to 15 percent. During the same period, the overall decrease in Southern California is 12.5 percent.
December's regional total home sales were the lowest for that month since December 2007, DataQuick reported. Sales of new homes in December were the lowest for that month since DataQuick began keeping records in 1988.
“Looking back at 2010, it’s hard to ignore the ongoing slump in the Southland’s new-home market,” Walsh said.
Walsh added: "What happens next will hinge largely on the pace of the economic recovery and the manner in which lenders manage their inventories of distressed properties, which are competition for new homes.”
Lily Leung: (619)293-1719; lily.leung@uniontrib.com; Twitter @LilyShumLeung
