Housing prices in California picking up
While the whole of US economy continues to struggle, the Real Estate market in California continues to swell up in terms of prices. Almost every corner of the state is registering hike in the prices of the houses. Nine months in a row, the prices in the Real Estate market in the state of California kept increasing and, in the month of July, the prices were registered at 10.4% gain year-over-year. This has raised the median price of the state to $315,000, which is almost double of the national median price of $183,000.
San Francisco registered highest growth at 14.3% compared to last year. This is the highest for any US metro. The median price here came up to $607,000; San Diego follows with a gain of 11.2% and median price of $389,000 and Los Angeles gained 9.2%, having a median price of $345,000.
California is gaining so much when the other states are actually struggling, because the prices went down extremely fast and this made the California housing very affordable. As a result, the demand for houses increased in the state and this pulled up the prices. The subprime mortgage melted and the foreclosures crushed and this explains why the pricing rebound took place with a delay. With these rebounds, the Real Estate in California has become very expensive and the irony is that the single-family homes required the buyers to overdo with the mortgages. This was a serious concern. However, this is no longer the situation as the distressed properties (subprime-related) have been flushed.
But, though the economy of California is picking up, the concern still remains for the rest of the country as the enormous numbers of foreclosed properties are still posing threats for the housing market and this is actually helping those who are willing to invest or buy a foreclosed home.
For the latest news and the most updated foreclosure listings, visit ForeclosureDataBank.com.
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Arlington, Virginia, United States