Housing prices in California stabilizes due to an increase demand from the new homebuyers. Median prices move up for Real Estate in California.
When the whole nation is suffering,
because of falling prices of homes, California has a different reading to grab the attention. Signs of stability can be seen in housing prices. Throughout the state, the house prices are increasing and this trend is a continuous one for 9 consecutive months. The year-over-year gain of 10.4% was registered in month of July. The results are amazing, because the median housing price in California is at $315,000, which is almost twice the housing price of the whole nation taken together. The median price of housing is $183,000 for the rest of the country.
The coastal cities of US have also registered some upward trend with stability reviving back in the housing prices. Here are some of the data:
San Francisco: Year-over-year gain of 14.3% in July. Median Price: $607,000.
San Diego: Year-over-year gain of 11.2% in July. Median Price: $389,000.
Los Angeles: Year-over-year gain of 9.2% in July. Median Price: $345,000.
However, the states of Arizona, Florida and Nevada are still struggling. The question is: how did California gain this stability? Simple, the prices went down fast and quick and people felt that the houses became much more affordable. The result was a growth in demand, which pushed up the housing prices. “Simple Economic Rule”, in which demand and prices are directly proportional.
However, the pricing rebound in California was delayed a little, because of foreclosure crush and the meltdown of the subprime mortgage. The sky-rocketing Real Estate prices made housing an expensive affair and many buyers were forced to stretch their limits with huge loans. Very evident that foreclosure was the result!
Most of the inventory created by the subprime distress were flushed and resulted in a snap up when a foreclosed property was put on market. On an average, it took 44 days to sell a foreclosed property, which is very fast! This explains why housing prices in California is stabilizing.
So, if you are looking for a property in California, you need to move now, because longer you wait, the higher the prices will rise. For the latest foreclosure news and the most up to date listing in California and other states, take out some time to visit ForeclosureDataBank.com. You will get the best deal!
