Home sales on the rebound - really

L.A. County home sales jumped 25.3 percent in May compared with a year earlier, according to Dataquick, and for all of Southern California, the increase was 20.6 percent. But what really stood out in May was the jump in sales over $300,000 - the weak spot of the area's housing market since the recession. Sales between $300,000 and $800,000 increased 23.1 percent year-over-year, and sales over $800,000 rose 11.8 percent. These prices are significant because they make up the biggest share of L.A. area real estate. Also worth noting is a drop in the share of foreclosed sales, which tend to sell at a discount and be concentrated in lower-cost areas. From press release:

"The market is being slowly nursed back to health by low interest rates, a modestly improved economy and, we suspect, a widening sense that the housing sector is at or near bottom. There's still plenty of uncertainty swirling around out there. But it looks like more move-up buyers are concluding it makes sense in the long run to sell their homes now, even when it's hard to swallow the price. The upside for many is a good deal on the next house, and the ability to lock in both a killer mortgage rate and a relatively low property tax base," said John Walsh, DataQuick president.

Prices, however continue to lag. May's median price in L.A. was $315,000, down 1.6 percent from a year earlier and up 1.6 percent from April. For the area as a whole, the median was up 5.4 percent year over year.

MAY HOME SALES (% change from May 2011)
Los Angeles 7,496 +25.3%
Orange 2,664 +23.1%
Riverside $197,000 +4.1%
San Bernardino 2,702 +16.3%
Ventura 693 +43.3%

MAY MEDIAN PRICE (% change from May 2011)
Los Angeles $315,000 -1.6%
Orange $435,000 +2.4%
Riverside $205,000 +4.1%
San Bernardino $158,500 +5.7%
Ventura $360,000 -0.1%

Source: DataQuick, DQNews.com