Good news for prices in California for the month of May, as prices rose 20.9 percent from May 2009, as reported recently from Jacob Adelman of the Associated Press. The median price for California in May stood at $278,000.
Adelman reported that as inventories shrink on the lower end of the market, “…transactions in mid-range and high-end neighborhoods claimed a greater share of sales…” Month-over-month, the median price increased 9 percent from April, and the median price is now at its highest level since October 2008.
John Walsh, president of MDA Dataquick said both the tax credit and low interest rates helped to bring higher priced homes into the market. Higher end homes were 21.2 percent of the market in May, as opposed to only 16.5 percent during the previous May.
Home sales for the state totaled 40,965 in May, up 4.9 percent from May 2009 and 9.3 percent from the previous month.