21 October 2009

CAR Releases Expectations for California's Housing Future

CAR's expectations are fairly positive for 2010 and beyond. It's been a rough three years for most of the market and although there are some predictions of a second dip, most analysts cautiously feel we're headed back toward positive territory.

From the California Association of Realtors:
“After experiencing its sharpest decline in history, we expect the median price to rise modestly next year,” Liptak added. “2010 will mark the beginning of the ‘new normal’ for California’s housing market. This ‘new normal’ likely will feature a steady stream of sales driven by distressed properties in the low end of the market, coupled with moderate home-price appreciation.”

The median home price in California will rise 3.3 percent to $280,000 in 2010 compared with a projected median of $271,000 this year, according to the forecast. Sales for 2010 are projected to decrease 2.3 percent to 527,500 units, compared with 540,000 units (projected) in 2009.

You can read the entire article here.

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