The Bay Area reported lackluster home sales in June, falling 3 percent from a year ago even as the median price remained unchanged from May.
The nine-county region had 8,373 homes sell last month. That was the third-lowest for June in the last 15 years — behind only 2008 and 2007, according according to MDA DataQuick of San Diego.
The median price for houses and condominiums was $410,000 for both June and May. That figure was almost 17 percent higher than the $352,000 reported for June 2009.
The factors affecting the market include fewer foreclosures for sale and the winding down of sales related to the $8,000 Federal tax credits. To be eligible, buyers had to sign a contract by April 30, and must complete the sale by Sept. 30.
“The next few months should be very interesting: We’re about to see how well the housing market can fly on its own,” said John Walsh, MDA DataQuick President. “The tax credits no doubt stole some demand from the rest of this year, and soon we’ll have a better sense of just how much.”
The region’s housing market is benefiting from “super-low mortgage rates and a slightly friendlier lending environment for high-end borrowers,” Walsh said. “But, barring new government stimulus, the housing market will be relying very heavily on improvements in the economy. A lot will depend on how many people find jobs, or stop worrying about losing the one they have.”
Foreclosure resales made up almost 27 percent of all sales, virtually unchanged from May but down from nearly 37 percent in June 2009. Such sales peaked at 52 percent in February 2009.
FHA loans, which feature relatively low down payments, made up nearly 26 percent of all purchase lending last month, compared to about 11 percent two years ago.
Jumbo loans, those for amounts above $417,000, accounted for a third of all purchase lending. Before August 2007, the jumbo loans made up 60 percent of the region’s purchase loan market.
— Robert Digitale