Industry News

California luxury real estate values set records

Prices sizzle in state's major metro areas

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Luxury home prices posted double-digit gains and rose to all-times highs in Los Angeles, San Diego and San Francisco in the second quarter of 2005 compared to a year ago, according to an index that tracks luxury homes. Los Angeles values jumped 21.9 percent in the second quarter compared to a year ago; San Diego values increased 16.5 percent in the same period; and San Francisco Bay Area prices jumped 10.4 percent for that period, according to first Republic Bank's Prestige Home Index. Los Angeles values jumped 2.6 percent from the first quarter of 2005 to the second quarter of 2005 and rose 21.9 percent from the second quarter a year ago. The average luxury home in Los Angeles is now a record $2.09 million, up $376,000 from a year ago. Values have increased 20 percent or more for four consecutive quarters on a year-over-year basis, the index indicated. San Diego values increased 2.2 percent from the first quarter of 2005 to the second quarter of 2005, and were up 16.5 percent fro...