From DataQuick’s California homebuying report for October …
- Estimated 42,293 new and resale houses and condos were sold statewide — up 63.7% in a year.
- It was the strongest month since December 2006. Bute note: Since 1988, average monthly sales are 44,602.
- Median price paid was $278,000 — down 34.4% in a year.
- Read MORE HERE!
To put it into even gloomier perspective, First American LoanPerformance says California home prices suffered the largest drop in the nation, as of late September!
Other real estate trends …
THIS IS PROPAGANDA FROM THE REAL ESTATE INDUSTRY!
Pretty stunning numbers. Also interesting:
“Around half the drop in median is due to depreciation, the other half due to shifts in the types of homes selling, and how those homes are financed.”
Keep those knife catchers coming, we need to keep on selling homes at the low end, where people can afford them so that fundamentals can be restored. Now, that the move up buyers are essentially DOA (no equity to move up), the so called high end will get crushed. Add that to the recession and you get the picture.
Eat in in the OC,
Exactly!
Sellers in the high end markets will start to lower their asking prices as fear replaces greed.
Must be all those rock bottom houses out there.
Ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha!!!!!!!!!!!!!!!
Rock bottom.
Pretty amazing any houses are selling, considering Countrywide/BofA doesn’ seem to understand nor care to process short sales! I have been trying to buy a shaort-sale house from them for 9 months and they keep giving us excuses, ordering more appraisals, paperwork and such, but never progress our escrow beyond the inital opening. They have no idea of the process or even how to respond. I have an escrow number, but no paperwork. With that said, I am constatly amazed that anyone has been able to buy considering the blatant and considerable incompetance these banks have displayed. They should be forced to clear their books before they even get one penny of bail out money. It is hideous how incompetent they are. The bank should go under, cause they clearly do not uinderstand how to operate.
“THIS IS PROPAGANDA FROM THE REAL ESTATE INDUSTRY!” Honky.
Watch out for naked Kings who offer you a T-shirt.
Pressured by the economic turmoil and the mounting loss, the new cuts were part of a parade of layoffs tied to the recession.
The deep malaise cut across all sectors of the economy as I figures to be more affected by a slowdown in business spending and the fallout from the financial sector’s crisis.
This is truly a no win situation for our economy…..
………….On one side many people, mostly home owners, do not want prices to fall, because that leads to more foreclosures and reduced “home owner” wealth.
…………On the other hand, prices are still way to high and potential buyers that saved their money remain on the sidelines until the prices fall to reasonable levels.
What to do?
Nanowest, the adverse feedback loop is most elegant….. even in it’s destruction…. there is a certain beauty to it
times they are a changin’ , it’s long over due, too many people needed to go back to what matters in life…
the tsunami is tearing right through the global economy
do you allow it to unfold naturally……
take the losses, deal with the pain, and start over quickly?…..
…. or do you spend as much money trying to prevent the inevitable….
…. and then spend decades trying to recover…..
decisions…. decisions….
As we all know, market forces will eventually set the rules. There is no bailout large enough to support asset values created by the multiple bubbles in housing, stocks and oil.
come on,
there is only over $1,000,000,000,000
in credit default swaps…
…. that’s 1 QUADRILLION DOLLARS….
all we have to do is print money right
llllooollll
off balance sheet assets are worth 100 pennies on the dollar
llllooollll
sorry $1,000,000,000,000,000
that’s a QUADRILLION
Just expect a war to straighten out this issue, and I don’t mean another Iraq invasion I mean a real war with real loses.
These record sales are just cementing the losses in local values; a good thing because now appraisers have real sales numbers to evaluate home prices rather than “listing prices” that are unrealistic, either too high (sellers in denial) or too low (desperate short sale listings).
The volume will continue to be strong going down.
“Median price paid was $278,000 ”
This is great news because it shows prices are correcting and that people are not overextending to get expensive homes.
NAR trying to get the Treasury to re-inflate the bubble!
http://money.cnn.com/2008/12/04/news/economy/low_mortgage_rates/index.htm?cnn=yes
From the article:
One of the more vocal industry groups, the National Association of Realtors, met with top Treasury officials last month to outline a plan to stabilize home prices through lower mortgage rates.
While details remain sketchy, its proposal calls for Treasury to subsidize rates so home buyers pay 4.5% for a 30-year fixed-rate mortgage. It would be similar to a homebuyer paying points — a percentage of a home’s value — in return for a lower rate, but the government would foot the bill.
The plan would cost $50 billion, said Lawrence Yun, the group’s chief economist.
So this is the equivalent of the taxpayer helping to finance loans so that the NAR can rob the taxpayer for their commission checks.
Is it any wonder why I hate Realtard’s so much?
Concerning NAR’s proposal as written above, that is one of the more smarter moves.
I wonder if it will get that low here in the OC.