Nearly Half of Southland Home Sales Foreclosed Properties

September 18, 2008 No Comments »

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Southern California home sales slipped from July to August, but were still higher than a year ago as a record price drop meant potential bargains for buyers, Dataquick reported.

A total of 19,366 new and resale homes and condos sold last month, down 4.7 percent from July’s 20,329 sales, but up 9.1 percent from the 17,755 properties sold in August 2007.

The increase in sales was led by a 43.9 percent jump in Riverside County and a 16.4 percent bump in San Bernardino County, two of the hardest hit communities in Southern California.

Despite the annual pick-up in sales, it was still the third-slowest August sine 1988, with sales coming in 30 percent lower than the typical August.

The median price paid for a home in Los Angeles, Orange, Riverside, San Bernardino, San Diego, or Ventura County last month was $330,000, down 5.2 percent from $348,000 in July and a record 34 percent from $500,000 a year earlier.

The median is now at its lowest point since November 2003, and a long way from its peak of $505,000 just last summer.

Foreclosure resales made up 45.5 percent of all Southland resales during the month, up from 43.7 percent in July and 10 percent a year ago.

Just 15.6 percent of sales last month were financed with a jumbo loan, down from nearly 40 percent a year earlier.

On a positive note, the average monthly mortgage payment fell to $1,566 last month, the lowest level in more than five years.

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