California’s median home sales price rose 4% in May, nudged up by an increase in sales volume (still mediocre) of higher-priced homes. The statewide median sale price was $230,000 in May, up from $221,000 in April. That’s a 52% drop from the state’s peak median price of $484,000 in 2007.
Despite the momentary pick up in higher-priced homes, foreclosures still comprised 51% of May sales and 1 out of every 5 homes sold was from the foreclosure ridden Inland Empire.
The high end momentarily picked up due to the typical spring selling season and seller’s realizing the reality of the market. After six months of very little activity, it is nice to see a faint heartbeat in this market.