Valley House Sales Increase 12% While Prices Decline 8% : Real estate: The average resale figure drops to $220,500 in November. The high sales volume is considered unusual for this time of year.

By GREG MILLER

Dec. 13, 1994 12 AM PT

TIMES STAFF WRITER

The San Fernando Valley housing market rambled down the same path in November that the market has followed for more than a year: Sales were up, but prices were down.

Last month, sales of existing single-family houses totaled 908, which represented a 12% jump from a year earlier, and a 3% increase from October’s total of 880 sales. But the average resale price slid to $220,500, down 8% from November of 1993, and $6,800 below the average price in October, according to the San Fernando Valley Assn. of Realtors.

Sales volume last month was the highest for any November since 1989, while prices last month were the lowest for any November since 1988. The heavy activity was out of character for this late in the year, when the market usually settles in for a winter lull.

The median sale price of a single-family house last month was $175,000, down 9% from the same month a year ago, and $3,500 below October’s median. The $175,000 median price means half the houses sold for more than that price, and half sold for less.

Jim Link, executive vice president of the association, said prices have been sinking for 24 months, as the market has continued to feel the effects of Southern California’s economic woes. Prices have also been deflated by the Jan. 17 Northridge earthquake, which is bringing an abundance of foreclosed properties to the market, as well as homes that were sold with quake damage.

First-time buyers have fueled market activity by snapping up bargains, but prices may be scraping bottom, Link said, and the market might be even more active if it weren’t for recent interest rate hikes.

“I expect sales activity to remain higher than normal as long as interest rates remain . . . under 10%,” Link said. “Let interest rates drop to where they were earlier this year, and you would see local real estate activity take off.”

Overall, 1,051 houses and condominiums were sold in November, up 11% from a year earlier, and 4% higher than in October. The average sales price of a condominium was $105,300 last month, $25,900 below the average a year earlier, and down 10% from October. The median sale price last month for a condominium was $101,500, down 18% from November, 1993, and $2,000 below the median sale price in October.

The inventory of available houses and condominiums also continued to decline. There were 7,523 houses and condominiums listed for sale last month, which represents a 30% decline from a year earlier.

The Valley realty group, the largest in California, has 7,800 members from North Hollywood to Calabasas. Its figures generally do not include sales of new homes.

(BEGIN TEXT OF INFOBOX / INFOGRAPHIC)

November Valley Home Sales

NORTHWEST

Avg. Price: $274,800

Sales:58

NORTH CENTRAL

Avg. Price: $244,200

Sales: 137

NORTH EAST

Avg. Price: $145,000

Sales: 114

SOUTH WEST