AREA HOME SALES RISE 11.2%; INTEREST RATES SPARK RECOVERY.

Byline: Terry Kanakri Daily News Staff Writer

Home sales in Simi Valley, Moorpark and the Santa Rosa Valley increased by 11.2 percent in March compared to year-ago figures, with prices continuing to stabilize.

Local Realtors say they expect sales will continue to improve as more buyers rush to beat the threat of increasing interest rates.

``Barring any unforeseen economic blip, recovery is here and it looks like this spring will be a strong one for home buyers and sellers,'' said Vicki Gemette, president of the Simi Valley-Moorpark Association of Realtors.

The association, which represents nearly 600 members, reported 119 single-family homes closed escrow in March, up from 107 in March 1995, and an increase by nearly 47 percent from February when 81 were sold.

Condominium sales increased by nearly 17 percent, reaching 21 in March compared to 18 a year ago, and 17 in February.

Realtors also were encouraged by signs of stabilizing home prices, which declined in seven out of 12 months last year compared to year-ago figures.

The average cost of a single-family home sold in the area last month was $218,840, up from $205,353, but down slightly from $219,591 in February.

``Prices have stabilized,'' said Debbie Rodgers Teasley, regional manager for Coldwell Banker Town & Country, which serves Simi Valley and Moorpark. ``I do believe we've hit the bottom of the market . . . A lot of buyers were worried about purchasing property and losing equity. Now, there's more confidence in the housing market that the property will at least hold its value.''

The average cost of a condominium sold last month was $115,438, down from $117,350 in March 1995, but up from $109,507 from February.

Realtors said they are encouraged by the apparent rise in activity in the trade-up market.

A year ago, nearly 61 percent of all sales were priced under $200,000, while 39 percent exceeded $200,000, the association reported.

Last month, 56 percent were under $200,000, while 44 percent were over $200,000.

``It's especially encouraging to see any activity, no matter how slight, in the trade-up price ranges,'' Gemette said. ``It's a sign that buyer confidence has returned and prices are in the process of stabilizing.''

Over a six-month period, however, prices remain on shaky ground.

As of April 20, the average price of a three-bedroom house in Simi Valley sold during a 180-day time period was $181,647, up from $171,671. In Moorpark where homes are traditionally newer and larger, the price was $198,342, down from $207,202; and in the Santa Rosa Valley, the price was $382,600, down from $423,750.

Teasley said interest rates, currently between 8 percent and 8.5 percent, will play a large role in determining trends, as any increase can price many potential buyers out of the market.

Teasley said Realtors remain optimistic, however.

``I wouldn't call it overwhelming optimism,'' she said. ``Certainly, there are a lot of economic factors that we don't have control over. But if it continues in the right way, we're heading in the right direction.''

CAPTION(S):

Chart

Chart: HOME SALES