Industry News

California real estate not expected to crash

Strong sales, record prices headed for 'soft landing'

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Despite California home sales continuing at near-record pace in December and prices setting new highs, the state's housing market will likely slow this year, according to real estate information service, DataQuick Information Systems. Home sales in the San Francisco Bay Area finished out the year with the second-strongest December on record, with a total of 11,068 new and resale houses and condos sold in the nine-county region in December. That was up 1.6 percent from 10,897 in November, and down 2.5 percent from 11,354 for December last year, DataQuick reported. The median price paid for a San Francisco Bay Area home was $533,000 last month, matching the record set in November. That was up 16.4 percent from $458,000 for December a year ago. Year-over-year price increases in the region have been in the 15 percent-18 percent range since April. In Southern California, a total of 30,317 new and resale homes were sold in Los Angeles, Riverside, San Diego, V...