Bay area home sales achieved their first year-over-year gain since the beginning of 2005 as distressed properties boosted the numbers, Dataquick reported.
A total of 7,586 new and resale homes and condos sold during July in nine Bay Area counties, a 5.7 percent increase from June and a 2.2 percent increase from July 2007, but still the second slowest July since 1995.
Unfortunately, foreclosure resales made up a whopping 33 percent of all resales, up from 29.9 percent in June and 4.2 percent a year ago.
“So much of today’s market is driven by distress. Unless interpreted in that context, the stats give a rather distorted view of the overall market,” said John Walsh, DataQuick president, in a release.
All those fire sales, especially concentrated in less expensive inland areas of NorCal, led to a substantial median sales price drop during the month.
Year-over-year, the median price paid fell a record 29.3 percent to just $470,000 in July, a 3.1 percent discount to June’s $485,000 average and the lowest figure since March 2005.
The good news is that the typical monthly mortgage payment was $2,218 last month, down from $2,282 a month ago and $3,222 in July 2007.