Sales in Southern California hit lowest point since 2008 for an April
BY LILY LEUNG
THURSDAY, MAY 12, 2011 AT 8:40 A.M.
April home prices in San Diego County fell slightly, continuing a two-year trend of median values lingering in the low- to mid- $300,000s, show stats released Thursday from DataQuick Information Systems.
The median price for all home sales slipped to $321,750 in April, down 1.1 percent from a year ago and 1 percent from March, data show. The county logged 3,277 total sales in April, decreasing 0.5 percent from a year ago but up 7 percent from March.
DataQuick researchers said the pattern of home prices trending downward or "sideways" was apparent throughout Southern California, which saw its lowest level of sales in three years for an April.
Home prices all fell in San Diego, Los Angeles, Riverside, San Bernardino and Ventura but Orange County saw no change. The same factors are playing a role in influencing the market: tight lending rules and investor infusion, the real estate research company said in its monthly report.
"The prospect of a near-term resurgence in Southern California’s housing market continued to wither last month," DataQuick's statement said.
In spring 2009, San Diego's median price for all sales ranged $290,000 to $295,000 and entered the $300,000 region in June 2009. Prices for total sales have remained in the low- to mid-$300,000 area ever since.
"It's been a bumpy landing" for the real estate market, said Mark Goldman, a real estate professor at San Diego State University.
Despite historically low interest rates -- which reached a new 2011 low this week -- would-be homebuyers are still facing higher hurdles in the lending process than what consumers went through during the height of the market, Goldman said.
What's keeping the San Diego region afloat has been job creation. But rising daily expenses, such as gasoline, is countering that, he added.
John Walsh, the president of DataQuick, weighed in on April's overview:
The market's in a rut at a time it would normally be building momentum. Two of the more likely forces that could get it going again are more robust job growth and home price reductions. At the moment, the latter appears to be the more likely short-term catalyst.
