Prices increase in continually improving California housing market during Q1
May 13 2013 2:49PM
Homes for sale in Los Angeles appeared to be hot commodities during the first three months of the year, as home prices made their way up throughout California during the period.
According to the California Association of Realtors, the percentage of home buyers who could afford a median priced, existing single-family home in the Golden State was 44 percent in the first quarter, down from 48 percent in the previous three-month period and 56 percent during the same time a year ago.
With the hike in prices, a rise in sales was noted in the state, particularly in Southern California. Around 20,500 new and resale houses and condos sold in the area in the final month of the first quarter, a 29.1 percent jump from the past month and 3.1 percent higher than March 2012., according to DataQuick.
"It's remarkable how much the housing scene has changed in a year," said DataQuick president John Walsh. "At this point in 2012 there were still plenty of folks sitting on the market's sidelines, waiting to be sure the recovery was real. But gradually the psychology shifted as the economy picked up steam and mortgage rates fell to historic lows."
Near-record-low mortgage rates have helped thwart price increases, and could keep buying activity strong in Downtown Los Angeles.
