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California January 2008 Home Sales
February 18, 2008
A total of 19,145 new and resale houses and condos were sold statewide last month. That's the lowest number for any month in DataQuick's records, which go back to 1988. It was 25.2 percent lower than December's 25,585 and 41.0 percent lower than 32,425 for January last year.
The median price paid for a home last month was $383,000, down 4.7 percent from $402,000 for the month before, and down 17.1 percent from $462,000 for January a year ago. The median peaked last March/April/May at $484,000.
Much of the drop in median is due shifts in the types of homes selling, and how those homes are financed. Last month 17.6 percent of the state's financed home purchases were purchased with "jumbo" loans over $417,000. A year ago it was 36.2 percent.
The typical mortgage payment that home buyers committed themselves to paying last month was $1,743. That was down from $1,878 in December, and down from $2,155 for January a year ago. Adjusted for inflation, mortgage payments are 18.2 percent below the spring 1989 peak of the prior real estate cycle. They are 29.3 percent below the current cycle's peak in June 2006.
DataQuick, a subsidiary of Vancouver-based MacDonald Dettwiler and Associates, monitors real estate activity nationwide and provides information to consumers, educational institutions, public agencies, lending institutions, title companies and industry analysts. The numbers cover all sales, new and resale, houses and condos.
Indicators of market distress continue to move in different directions. Foreclosure activity is at record levels, financing with adjustable-rate mortgages or with multiple mortgages has dropped sharply. Down payment sizes and flipping rates are stable, non-owner occupied buying activity is edging up, DataQuick reported.
Southland home sales slowest for any month in 20 years
February 13, 2008
La Jolla,CA----Southern California home sales dipped below 10,000 transactions for the first time in more than 20 years last month as most potential buyers and sellers appear to be waiting out market turbulence, a real estate information service reported.
A total of 9,983 new and resale houses and condos were sold in Los Angeles, Riverside, San Diego, Ventura, San Bernardino and Orange counties in January. That was down 24.6 percent from 13,240 for the previous month, and down 44.9 percent from 18,128 for January last year, according to DataQuick Information Systems.
Last month's sales total was the lowest for any month in DataQuick's statistics, which go back to 1988. Since September, sales for each calendar month were a record low for that particular month.
"We don't know how much of this downturn is driven by market fundamentals, and how much is due to turmoil in the lending industry. The market has been sending mixed signals since August, and it's virtually impossible to see trends and make predictions. Our sense is that quite a bit of activity is on hold, we just don't know how long it can be kept on hold," said Marshall Prentice, DataQuick president.
The median price paid for a Southland home was $415,000 last month, the lowest since $414,000 in January 2005. Last month's median was down 2.4 percent from December's $425,000, and 14.4 percent below $485,000 for January 2007.
Last month's median was 17.8 percent below the $505,000 peak reached last spring and summer. While the steep decline in median sales price does reflect a drop in prices, it also reflects significant shifts in the types of homes selling. Particularly noticeable is a drop-off in sales of more expensive homes financed with "jumbo" mortgages.
Since the credit crunch hit in August, these loans for over $417,000 have become more expensive and harder to obtain. Sales financed with jumbo loans represented 18.9 percent of Southland transactions last month, down from 38.2 percent a year earlier.
The median price paid for a home financed with a conforming loan was $380,000 in January, down 5.0 percent from $400,000 a year ago, and down 7.3 percent from the $410,000 peak reached in March and April of 2007.
DataQuick, a subsidiary of Vancouver-based MacDonald Dettwiler and Associates, monitors real estate activity nationwide and provides information to consumers, educational institutions, public agencies, lending institutions, title companies and industry analysts.
The typical monthly mortgage payment that Southland buyers committed themselves to paying was $1,889 last month, down from $1,985 the previous month, and down from $2,263 a year ago. Adjusted for inflation, the current payment is 14.5 percent lower than the spring of 1989, the peak of the prior real estate cycle. It is 25.0 percent below the current cycle's peak in June 2006.
Indicators of market distress continue to move in different directions. Foreclosure activity is at record levels, financing with adjustable-rate mortgages or with multiple mortgages has dropped sharply. Down payment sizes and flipping rates are stable, non-owner occupied buying activity is flat, DataQuick reported.
| All Home Sales |
No Sold
Jan-07 |
No Sold
Jan-08 |
Percent
Change |
Median
Jan-07 |
Median
Jan-08 |
Percent
Change |
| Los Angeles |
6,805 |
3,398 |
-50.1% |
$520,000 |
$458,000 |
-11.9% |
| Orange |
2,400 |
1,286 |
-46.4% |
$600,000 |
$520,000 |
-13.3% |
| Riverside |
3,089 |
1,939 |
-37.2% |
$415,000 |
$331,500 |
-20.1% |
| San Bernardino |
2,373 |
1,111 |
-53.2% |
$370,000 |
$298,500 |
-19.3% |
| San Diego |
2,772 |
1,826 |
-34.1% |
$472,000 |
$429,000 |
-9.1% |
| Ventura |
689 |
423 |
-38.6% |
$565,000 |
$477,750 |
-15.4% |
| SoCal |
18,128 |
9,983 |
-44.9% |
$485,000 |
$415,000 |
-14.4% |
Source: DQNews.com
California Foreclosure Activity Still Rising
January 22, 2008
La Jolla, CA.--The number of mortgage default notices filed against California homeowners jumped last quarter to its highest level in more than fifteen years, a real estate information service reported.
Lending institutions sent homeowners 81,550 default notices during the October-to-December period. That was up by 12.4 percent from 72,571 the previous quarter, and up 114.6 percent from 37,994 for fourth-quarter 2006, according to DataQuick Information Systems.
Last quarter's number of defaults was the highest in DataQuick's statistics, which go back to 1992.
"Foreclosure activity is closely tied to a decline in home values. With today's depreciation, an increasing number of homeowners find themselves owing more on a property than it's market value, setting the stage for default if there is mortgage payment shock, a job loss or the owner needs to move," said Marshall Prentice, DataQuick's president.
The median price paid for a California home peaked at $484,000 last March and declined to $402,000 by the end of 2007, although much of that decline was caused by significant shifts in the types of homes that were sold.
Most of the loans that went into default last quarter were originated between August 2005 and October 2006. The median age was 22 months, up from 15 a year earlier, indicating that the pool of at-risk home loans is getting larger.
On primary mortgages statewide, homeowners were a median five months behind on their payments when the lender started the default process. The borrowers owed a median $11,121 on a median $340,000 mortgage.
On lines of credit, homeowners were a median seven months behind on their payments. Borrowers owed a median $3,379 on a median $56,000 credit line. However the amount of the credit line that was actually in use cannot be determined from public records.
DataQuick, a subsidiary of Vancouver-based MacDonald Dettwiler and Associates, monitors real estate activity nationwide and provides information to consumers, educational institutions, public agencies, lending institutions, title companies and industry analysts. DataQuick provides online access to property information, including default notices. Notices of Default are recorded at county recorders offices and mark the first step of the formal foreclosure process.
Last quarter's default numbers were a record in 42 of the state's 58 counties. In Los Angeles County it was 63.5 percent of the first-quarter 1996 peak.
On a loan-by-loan basis, mortgages were least likely to go into default in San Francisco, Marin, and San Mateo counties. The likelihood was highest in Merced, San Joaquin and Stanislaus counties.
Of the homeowners in default, an estimated 41 percent emerge from the foreclosure process by bringing their payments current, refinancing, or selling the home and paying off what they owe. A year ago it was about 71 percent. The increased portion of homes lost to foreclosure reflects the slow real estate market, as well as the number of homes bought during the height of the market with multiple-loan financing, which makes 'work-outs' difficult.
Trustees Deeds recorded, or the actual loss of a home to foreclosure, totaled 31,676 during the fourth quarter. That's the highest since DataQuick began tracking Trustees Deeds in 1988. Last quarter's total rose 30.8 percent from 24,209 in the previous quarter, and jumped 421.2 percent from 6,078 in fourth quarter 2006. In the last real estate cycle, Trustees Deeds peaked at 15,418 in third-quarter 1996. The all-time low was 637 in the second quarter of 2005.
There are 7.9 million houses and condos in the state, DataQuick reported.
Notices of Default
houses and condos
| County/Region |
2006Q4 |
2007Q4 |
%Chg |
| Los Angeles |
7,445 |
13,613 |
82.8% |
| Orange |
1,983 |
4,276 |
115.6% |
| San Diego |
3,150 |
6,151 |
95.3% |
| Riverside |
4,528 |
9,913 |
118.9% |
| San Bernardino |
3,538 |
7,288 |
106.0% |
| Ventura |
794 |
1,504 |
89.4% |
| Imperial |
167 |
401 |
140.1% |
| SoCal |
21,605 |
43,146 |
99.7% |
Continued nose-dive for Southland home sales
January 15, 2008
La Jolla,CA----The remarkably low level of home sales in Southern California persisted last month as sellers, buyers and lending institutions continued to hold their collective breath amid market turmoil.
A total of 13,240 new and resale houses and condos were sold in Los Angeles, Riverside, San Diego, Ventura, San Bernardino and Orange counties in December. That was up 0.5 percent from 13,173 for the previous month, and down 45.3 percent from 24,209 for December last year, according to DataQuick Information Systems.
Last month's sales were by far the lowest for any December in DataQuick's statistics, which go back to 1988. The sales count was 23.5 percent below the previous December low of 17,272 in 1990. The average December over the past 20 years is 25,543, the all-time peak for the month was reached in 2003 when 36,865 homes were sold.
"It looks like anybody who can, is waiting this thing out. Which of course means that the activity we are seeing right now is largely stressed and atypical. Today's numbers form a lousy basis for trending and forecasting. We're in the midst of turbulence and we won't know what really has been going on until things have settled down and we can look back," said Marshall Prentice, DataQuick president.
The median price paid for a Southland home was $425,000 last month, the lowest since $420,000 in February 2005. Last month's median was down 2.4 percent from November's $435,000, and 13.3 percent below $490,000 for December 2006.
Last month's median was 15.8 percent below the $505,000 peak reached last spring and summer. While the steep decline in median sales price does reflect a drop in prices, it also reflects significant shifts in the types of homes selling. Particularly noticeable is a drop-off in sales of more expensive homes financed with "jumbo" mortgages.
Since the credit crunch hit in August, these loans for over $417,000 have become more expensive and harder to obtain. Sales financed with jumbo loans represented about 22 percent of Southland transactions last month, down from nearly 40 percent before the credit crunch.
The median price paid for a home financed with a conforming loan was $386,250 in December, down 4.6 percent from $405,000 a year ago, and down 5.8 percent from the $410,000 peak reached in March and April of 2007.
DataQuick, a subsidiary of Vancouver-based MacDonald Dettwiler and Associates, monitors real estate activity nationwide and provides information to consumers, educational institutions, public agencies, lending institutions, title companies and industry analysts.
The typical monthly mortgage payment that Southland buyers committed themselves to paying was $1,985 last month, down from $2,049 the previous month, and down from $2,242 a year ago. Adjusted for inflation, the current payment is 6.9 percent lower than the spring of 1989, the peak of the prior real estate cycle. It is 21.2 percent below the current cycle's peak in June 2006.
Indicators of market distress continue to move in different directions. Foreclosure activity is at record levels, financing with adjustable-rate mortgages or with multiple mortgages has dropped sharply. Down payment sizes and flipping rates are stable, non-owner occupied buying activity is edging up, DataQuick reported.
| All Home Sales |
No Sold
Dec-06 |
No Sold
Dec-07 |
Percent
Change |
Median
Dec-06 |
Median
Dec-07 |
Percent
Change |
| Los Angeles |
8,479 |
4,430 |
-47.8% |
$525,000 |
$470,000 |
-10.5% |
| Orange |
2,985 |
1,731 |
-42.0% |
$630,000 |
$565,000 |
-10.3% |
| Riverside |
4,542 |
2,503 |
-44.9% |
$432,000 |
$355,000 |
-17.8% |
| San Bernardino |
3,357 |
1,518 |
-54.8% |
$370,000 |
$315,000 |
-14.9% |
| San Diego |
3,823 |
2,468 |
-35.4% |
$495,000 |
$430,000 |
-13.1% |
| Ventura |
1,023 |
590 |
-42.3% |
$590,000 |
$525,250 |
-11.0% |
| SoCal |
24,209 |
13,240 |
-45.3% |
$490,000 |
$425,000 |
-13.3% |
Source: DQNews.com
Media calls: Andrew LePage (916) 456-7157
or John Karevoll (909) 867-9534
