| ORANGE COUNTY REAL ESTATE ON A POSSITIVE | | | | The median Orange County home price held solid at |
| NOTE… In spite of reports that Orange | | | | $625,000- up 3.1% from last Octobers medium sales |
| County real estate was headed downhill, it may just | | | | price. There were 1,685 single-family resale, 655 |
| be a very momentary delay as headlines in all papers | | | | condominium resale, and 375 new homes. The price |
| conclusively report the facts, we are in a correcting | | | | range sales statistics are: below $400,000 = 339, |
| market shifting to a moderating market. What are | | | | subsequently is $400,000 - $500,000 = 320, after |
| the exact news headlines? The LA Times prints | | | | that $500,000 - $600,000 = 479, followed by |
| "Region's Home Prices Hold Firm," and the OC | | | | $600,000 - $700,000 = 506 and finally we have over |
| Register, "A Moderating Market." Both articles | | | | $700,000 = 955. |
| continued to report that after months of price | | | | DON'T BE CONCERNED ABOUT EMPLOYMENT |
| adjustments, it did appear that the median home | | | | SHIFTS AS HOUSING ADJUSTS… The |
| price in Orange County had stabilized. It is important | | | | Kiplinger California Letter reports on the impact of |
| here to remember the newspapers goal is to sell | | | | $43 billion in bonds. According to the report, "A public |
| papers and so dramatize what really didn't justify it. | | | | works construction boom over the next 10 years, |
| Namely, the reports were about sales plummeting as | | | | benefiting builders, designers and construction |
| well as prices. Well, that's not truly valid. The Orange | | | | materials firms. Not since the 1960s has there been |
| County real estate market had appreciated 200% | | | | so much work undertaken on the state's |
| over 6 years and then fallen 5% to 8% over 8 | | | | infrastructure." The article further states an expected |
| months, "plummeting" seems a bit unjust. Similarly, | | | | 140,000 new jobs over 10 years, in excess of those |
| when you have sales in excess of 4,500 in a month | | | | to be gone in the current home-building downturn. |
| to set an all time high number of sales, "plunging | | | | These jobs will assist strengthen the employment for |
| volume" seems a bit untruthful as sales numbers | | | | more population entering California as well as the |
| adjust to a customary volume peak for the seasonal | | | | trickle down and trickle up economics associated with |
| real estate cycle. Late November and early | | | | that number jobs. FROM KIPLINGER LETTER, "The |
| December inventory levels have done exactly what | | | | area's tech industry is robust and likely to expand |
| this newsletter calculated; they've reduced. Sellers | | | | hiring." There have also been reports of up to 30% |
| who were trying to get more than the market | | | | 3rd quarter sales increases compared to the same |
| accepted have seen their listings expire which most | | | | quarter in 05' from Irvine based companies such |
| have not re-listed their home for sale. Now the sellers | | | | asBroadcom, Ingram Micro, Western Digital, and |
| entering the market are realistic about current | | | | Microsemi. |
| market conditions are listing their homes at market | | | | This article can be freely published on a website as |
| price and are watching them sell. | | | | long as it is not modified in any way including author |
| THE REAL NUMBERS… The total sales | | | | bylines, plus the hyperlink must be made active just |
| numbers for October (the most recent month | | | | like below. |
| available) is 2,715, up 1.9% from September and | | | | Andrew Thomas is the editor of "What's Happening |
| September's sales were up from August. The | | | | In The Orange County Real Estate Market Regarding |
| percent change from the previous October 05' is | | | | Homes For Sale And Home Prices. |
| down 24.9%, which should be no surprise to anyone. | | | | |