`TIS SEASON FOR HOMES VALLEY RESIDENTIAL SALES KEEP BRISK PACE.

Byline: Gregory J. Wilcox Staff Writer

The San Fernando Valley's residential real estate market maintained its brisk pace during November with sales topping the 1,000 mark and prices gaining 8 percent on an annual basis, a trade group said Monday.

Last month, consumers bought 1,032 previously owned homes, just 12 fewer than in November 1999, said the Van Nuys-based Southland Regional Association of Realtors.

The median price, the point at which half the homes sold for more and half for less, was $240,000, a gain of $18,000, or 8.1 percent, over the past year.

So far this year, single-family sales are 11.1 percent less than last year's level - 11,435 vs. 11,873.

It is still a strong performance nonetheless, considering that the 2000 sales count already beats every year from 1990 to 1996.

``By any measure, this has been a great year for the local residential real estate market,'' said Jim Link, executive vice president of the Realtors group.

In some respects there are similarities between this year and 1989. This year saw a record median price of $247,000, besting the old mark of $245,000 reached in 1989.

Eleven years ago a bruising economic slump was on the horizon and a downturn is in the forecast again, albeit a small one.

But there is a big difference in the two boom cycles.

Speculation fueled the market in 1989 and interest rates ranged between 9.86 percent and 11.17 percent. Creative financing was also in vogue. This market is market is based on sound fundamentals and buyers don't have to resort to fancy financing schemes. And interest rates are lower, with the monthly average ranging from 8.71 percent to 7.90 percent.

``Buyers are making the same size down payments. Nobody is stretching their finances, the pipeline is still active and there is an even distribution of sales from the entry level all the way up to the prestige market. Nothing is drying up and the foreclosure activity is very low,'' said John Karevoll, a market analyst for DataQuick Information Services.

He doesn't think the predicted economic slump will be very bruising when it arrives.

And Nima Nattagh, a real estate market analyst at CMDC, doesn't think any impact will be felt in the real estate sector until we are seven to eight months deep into next year.

``The fundamentals are still right. Demand is still strong and supply is rather limited and the interest rates are lower. That all bodes well for the housing market,'' he said.

One concern is prices. They have been fluctuating on a monthly basis but running well ahead of those of a year ago.

The market has been able to handle the gains, though.

It explains why the condominium market is flourishing.

During the first 11 months of this year agents have sold more condominiums, 4,145 units, than in all of 1999, 3,940 units.

So even with a modest December this will turn out to be the second or third best year ever for this sector.

Increased demand is pushing prices ahead in this market, too.

Last month consumers bought 363 units, nearly 5 percent more than in November 1999.

But the median price, $147,500, jumped 18 percent on an annual basis.

A tight inventory continues to play a major role in the price spike.

At November's end, association members had listings for 4,469 properties, a 3.3 month supply based on the current sales pattern.

A more healthy mix would be a six month supply.

The single-family inventory was down 10 percent on an annual basis and the condominium inventory down 6.9 percent.