Agent

Home prices are up, so should I sell?

Why it's easy to misread the market
Published on Jul 30, 2007

The median price of homes sold in the San Francisco Bay area was up 6.6 percent in April 2007 compared to a year earlier. For homeowners waiting for a signal that it's time to sell, this could be good news. Or, is it? Half the homes sold in a given time period sold for more than the median price quoted for that period and half sold for less. Changes in median price do not necessarily reflect changes in home values. An increase in the median sale price for a period could reflect an increase in home values. However, even if home values didn't change, the median price could increase if more higher-priced than lower-priced homes sold during that period. Conversely, a decrease in the median sale price could reflect a drop in home values. Or, it could be a result of the fact that were was more sales activity in the lower-priced ranges than there was in higher-price ranges. The April increase in median sale price for the San Francisco Bay Area represented an increase in the number...

Comments