Home Sales Slow, but Prices Hold Steady

Southland home sales slowed in September as some potential buyers decided to wait and see what effects the events of Sept. 11 might have on the market, a real estate information service reported. A total of 24,777 new and resale houses and condos were sold in Los Angeles, Riverside, San Diego, Ventura, San Bernardino and Orange counties last month.

That was down 23.5% from 32,386 for the month before, and down 5.3% from 26,151 for September last year, according to DataQuick Information Systems.

A drop in sales from August to September is normal for the season.

The August sales count was the highest since June 1989 when 32,968 homes were sold. So far this year 229,625 homes have been sold in the region, up 0.9% from 227,605 for the same nine-month period last year.

“Most of the home purchases that closed escrow during the last half of September were already in escrow Sept. 11. Backing out of a signed purchase agreement is a lot harder than deciding not to buy in the first place. We’ll know a lot more about any change in purchase patterns with next month’s numbers,” said Mike Ela, DataQuick president.

The median price paid for a Southland home was $236,000 last month. That was up 10.8% from $213,000 for September last year.

The typical mortgage payment that Southland buyers committed themselves to paying was $1,186 in September. A year ago, when interest rates were higher, it was $1,185. The all-time peak was April 1989 at $1,360, DataQuick reported.