September home sales for the state of California remained steady in September, with home price gains easing from high increase in previous months, according to the latest the California Association of REALTORS® (C.A.R.) sales and price report.
C.A.R. reports closed escrow sales of existing, single-family detached homes in California totaled 396,440 units in September, up 0.4 percent from a revised 394,700 in August. September home sales were down 4.2 percent from 413,850 in September 2013. September marked the 14th straight month that sales have declined on a year-over-year basis.
"All of the current market indicators point to a more balanced real estate market," said C.A.R. President Kevin Brown. "With market competition cooling down, buyers' and sellers' expectations are more in line with each other."
The median price of an existing, single-family detached California home fell 4 percent from August's median price of $480,280 to $460,940 in September. The September median was 7.6 percent higher than the revised $428,290 median in September 2013.
"Home prices are coming to terms with what they should be. Though still high, they are largely dictated by the still low inventory," said David Tonna, president of the Silicon Valley Association of Realtors. "In Silicon Valley home sales are down from the previous month, but that's to be expected at this time of year. We will likely see some improvement in the coming months."
The September median price for a single-family detached home in Santa Clara County was $850,000, 1.7 percent lower than the August median of $865,000 and 9 percent above the median of $779,480 in September last year. San Mateo County's median of $1,075,000 was up 7.5 percent from the $1,000,000 median in August and 18.3 percent above the September 2013 median of $909,000.
In the San Francisco Bay Area, with the exception of Napa and Sonoma counties, which saw month-to-month home sale increases of 18.5 percent and 1.9 percent, respectively, home sales fell in September in all other counties in the region. San Mateo County sales were down 3.5 percent and Santa Clara County down 2.7 percent from August. Compared to the same month last year, home sales in Santa Clara County were down 4.5 percent, while San Mateo County sales saw a gain of 13.9 percent last month.
While California as a whole saw its housing inventory inch up higher in September, with the available supply of existing, single-family detached homes for sale increasing from four months in August to 4.2 months in September, there was no change in inventory in Santa Clara County, which remained at a steady 2.2 months. In San Mateo County inventory rose slightly from 1.9 months in August to two months in September.
Mortgage rates rose slightly in September, with the 30-year, fixed-mortgage interest rate averaging 4.16 percent, up from 4.12 percent in August, according to Freddie Mac. Adjustable-mortgage interest rates in September were also up, averaging 2.43 percent, up from 2.37 percent in August.
The Silicon Valley Association of REALTORS® (SILVAR) is a professional trade organization representing over 4,000 REALTORS® and Affiliate members engaged in the real estate business on the Peninsula and in the South Bay. SILVAR promotes the highest ethical standards of real estate practice, serves as an advocate for homeownership and homeowners, and represents the interests of property owners in Silicon Valley.
The term "REALTOR®" is a registered collective membership mark which identifies a real estate professional who is a member of the National Association of REALTORS® and who subscribes to its strict Code of Ethics.
Variations of this article have appeared in local area newspapers.
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