Long Beach Median Home Prices Up, Inventory Remains Low
By Joshua Silavent
December 20th, 2012 – Median sales prices of single-family homes in California last month ballooned nearly 25 percent from November 2011 to $349,300, the ninth consecutive month of year-over-year price increases and the highest level reached since August 2008, according to the California Association of Realtors (CAR).
Meanwhile, the number of homes sold fell 5 percent in November from the previous month but increased nearly 3 percent from one year ago. Inventory across the Golden State held flat at about 3 months in November and interest rates crept even lower, helping sales of higher-end properties continue to rebound.
“Housing markets with higher-priced homes performed better in November compared with lower-priced areas,” CAR President Don Faught said in a statement. “The negative impact of a lean housing supply on home sales is becoming more apparent, especially in markets with more distressed properties,” said. “In lower-priced markets, home sales declined, whereas sales of mid- to higher-priced homes posted strong increases because there is a greater supply.”
In Long Beach, 270 homes sold in November at a median price of $443,500, a 28 percent increase in value from one year ago. Inventory remained very low at 1.5 months, with just 406 homes on the market in November compared with 1,179 one year earlier. Phil Jones, managing partner with Coldwell Banker Coastal Alliance, told the Business Journal that a low availability of inventory remains a caveat to the improving housing market as “demand far outweighs supply.”