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Much of the action was under $300,000 as bargain hunters took advantage of super-low interest rates and still-depressed prices. L.A. County homes sales were off 6.2 percent from the previous month, but there's normally a drop between August and September because homebuyers want to cut deals before school begins. Compared with a year earlier, September sales were actually up almost 2 percent, according to Dataquick. Median price was $310,000, down 1.5 percent from August and almost 9 percent from September 2010. This probably reflects all the activity at the lower end. From press release:
"Last month's Southland sales weren't great but, like some other economic indicators of late, they came in a bit higher than some might have expected. Holding steady with a year ago isn't so bad when you consider the hits the housing market has taken in recent months, including a big psychological blow from a tanking stock market in early August. Part of what's keeping demand afloat is improved affordability thanks to ultra-low mortgage rates and lower home prices. We'll have to wait and see what impact the lower conforming loan limits, which took effect recently, will have in some of the higher-priced markets," said John Walsh, DataQuick president.
More than half of all Socal sales under $300,000 were distressed properties (nearly one out of three homes was a foreclosure and one in five was a short sale). Meanwhile, sales of homes priced over $800,000 fell 10.4 percent from September 2010. That gives you an idea of where this market is at.
SEPTEMBER HOME SALES (% change from September 2010)
Los Angeles 6,185 +1.9%
Orange 2,510 -0.6%
Riverside 3,303 +0.3%
San Bernardino 2,295 -6.5%
Ventura 772 +13.2%
SEPTEMBER MEDIAN PRICE (% change from September 2010)
Los Angeles $310,000 -8.8%
Orange $425,000 -4.5%
Riverside $191,000 -4.5%
San Bernardino $150,000 -6.3%
Ventura $349,000 -5.7%
Source: DataQuick, DQNews.com
Meanwhile, state and local foreclosures kept dropping in September, according to RealtyTrac. All default-related filings in California were down almost 13 percent from the previous month and 31 percent from a year earlier. L.A. County was down 6.5 percent from August and 23.2 percent from September 2010. This would seem to fly in the face of recent reports suggesting a surge in filings. Perhaps it just reflects a choppy market.
Mark Lacter created the LA Biz Observed blog in 2006. He posted
until the day before his death on Nov. 13, 2013.