Notes from C.A.R. Economist’s Talk
Got back yesterday from California Association of Realtors (C.A.R) meetings in San Jose. Highlight of our fall get-together is the presentation of C.A.R.’s chief economist, Leslie Appleton-Young. Here are some tidbits;
- Median home price in CA was $594,500 in May 2007. In February 2009, it was $245,200, down 59%
- Comparing August 2008 to August 2009, median CA price is down 16.9%
- Bay Area median price at $450,000 in July 2009 was up slightly from 2008
- C.A.R. member survey revealed cash to seller at closing, $220,000 in June 2005, was $50,000 in June 2009. Forty per cent of sellers in 2009 experienced a loss
- Twenty-one per cent of buyers in survey did not know or were unsure of details of their loan
- Forecast: 15,000-20,000 foreclosed properties will hit market in CA over the next few years
- Forecast: Single family home re-sales will be down 2.3% in 2010; median price will be up 3.3%
- U-shaped recovery predicted
- Inflation future problem
- Concerns about value of U.S. dollar
- Wild cards: commercial foreclosures, inflation, H1N1