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Home Prices

San Diego Home Price Increases Outpace Nation and California

Source: San Diego Union Tribune

Prices in San Diego County’s housing market in November outpaced the rest of the nation and California, said the S&P CoreLogic Case-Shiller Indices released Tuesday. 

Adjusted for seasonal variation, the San Diego regional index of home prices was up 5.8 percent in November compared to a year ago. The nationwide increase was 5.6 percent, setting an all-time high in three consecutive months.

 The Los Angeles index rose by 5.5 percent and by 5.3 percent in San Francisco. David Blitzer, managing chairman of the Index Committee at S&P Dow Jones Indices, wrote in the report Tuesday that recent gains show it could end the boom-bust cycle that began about 12 years ago.

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Talking Points

  • Southern California home prices jumped in December, reaching the highest level in more than nine years.
  • An improving economy and a shortage of homes for sale propelled prices up 6.8 percent from a year earlier, real estate data firm CoreLogic said Tuesday. December’s median price of $470,000 was up 1.1 percent from a month earlier.

  • In Los Angeles County, the median price last month climbed 4 percent from a year earlier to $520,000; in Orange County, 5.3 percent to $665,000; in Ventura County, 5.9 percent to $519,000; in San Bernardino County, 8.7 percent to $299,000; in Riverside County, 8 percent to $345,750; and in San Diego County, 4.2 percent to $495,000.

  • The rise in last month’s six-county median price comes after prices stayed largely flat since June, when the regional median hit $465,000 — which at the time was a nine-year high.

California Home Price Ends Year on High Note

Source: CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.)

Despite strong headwinds of tight housing supplies and an affordability squeeze throughout much of 2016, California’s housing market ended the year on a positive note, posting a moderate sales pace and home price increases in December, the CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.) said.

Closed escrow sales of existing, single-family detached homes in California totaled a seasonally adjusted annualized rate of 411,230 units in December, according to information collected by C.A.R. from more than 90 local REALTOR® associations and MLSs statewide. The statewide sales figure represents what would be the total number of homes sold during 2016 if sales maintained the December pace throughout the year. It is adjusted to account for seasonal factors that typically influence home sales.

The December figure was down 7 percent from the 442,320 level in November, and down 0.6 percent compared with home sales in December 2015 of a revised 413,700. Despite the declines, December’s sales were on par with the two-year average sales pace of 412,000 maintained since 2015. Home sales remained above the 400,000 pace for the ninth straight month. 

For 2016 as a whole, a preliminary 416,250 single-family homes closed escrow in California, up 1.7 percent from 2015’s revised pace of 409,410.

“December’s sales decrease was expected, and was primarily due to unseasonably strong sales last month and December 2015, when new mortgage rules delayed sales that would have closed in November 2015 and pushed closings into December 2015,” said C.A.R. President Geoff McIntosh. “Despite a decline in sales in December, the strong performance in the last quarter of 2016 helped push annual sales above 2015’s pace. The last quarter of 2016, in fact, was the best quarter we’ve had since the fourth quarter of 2012.”

Making sense of the story

  • The statewide median price increased for the first time since August and remained above the $500,000 mark for the ninth consecutive month.
  • The median price of an existing, single-family detached California home rose 1.5 percent from a revised $501,710 in November to reach $509,060 in December.
  • December’s median price increased 3.9 percent from the revised $489,770 recorded in December 2015.
  • California’s housing market experienced sold price growth throughout 2016, with the median price increasing 5.4 percent for the year as a whole to reach $502,250. 

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