CONDO SALES BOOST REAL ESTATE MARKET.

Byline: Gregory J. Wilcox Staff Writer

A surge in condominium sales helped the Santa Clarita Valley real estate market maintain positive momentum during October as the single-family home market hit a seasonal slowdown, a trade group said Monday.

Last month, escrow closed on 126 condominiums, up 31.1 percent on an annual basis, said the Southland Regional Association of Realtors. At the same time, consumers bought 200 detached homes, a decline of 6.5 percent from the 214 sold during October 1998.

Strong condominium sales enabled the combined market to gain 5.2 percent on sales of 326 units, vs. 310 units a year ago.

Condominium prices softened. The median, the point at which half the units sold for more and half for less, dipped to $127,000, a decline of $2,000, or 1.6 percent, from the October 1998 level.

Prices slid 9.3 percent from September.

Single-family home prices, however, gained ground. The median price rose $14,500, or 6.8 percent, to $228,000 from October a year ago. Prices inched up 1.4 percent from September.

John Karevoll, an analyst at Acxiom/Dataquick, a market research firm, said that strong condominium sales means that the market is getting into a more normal balance.

And the price appreciation should continue.

``The rate at which prices are going up is sustainable. It's pretty much in balance with the growth in the economy,'' he said. ``It could easily continue for another year at the current pace.''

Jim Link, the trade group's executive vice president, said that the Santa Clarita market is experiencing the same kind of pressure facing the San Fernando Valley market.

Demand is strong while supply is tight.

``Like the surrounding regions, the only negative is the lack of inventory combined with fierce competition for quality homes,'' he said in a statement.

Indications are that the market will remain strong for a while longer.

Pending escrows, a measure of future sales activity, continue to run well ahead of last year's level. October ended with 351 escrows open, an annual increase of 15.8 percent.

``Today's numbers are incredibly strong and will remain very favorable through the end of the year,'' said Nancy Starczyk, president of the Santa Clarita division.

This is especially impressive since the market has been on a growth curve since November 1997, she said.

ADDED COSTS:

Here's a breakdown of the fees for expanded public services that developers pay per house in the Santa Clarita Valley, based on costs charged per average 2,000-square-foot single-family home.

Schools: $1.93 per square foot, or $3,860 for 2,000 square feet.

Los Angeles County Fire District Fees: 19 cents per square foot, or $380.

City permits for electrical, plumbing and building: $4,000.

Roads and bridges: $6,000

Sanitation connection fees: $1,780 to $2,330.

Water connection fee: $6,400 to $8,000.

Library mitigation fees: $580 per unit

Public transportation: Presently, $200; Proposed increase: $980 to $1,400.

Note: Developers also pay fees or donate land to create parks and open space, figures are based on total subdivision sizes, not individual residential units.

Sources: City of Santa Clarita, Los Angeles County, Castaic Lake Water Agency.

CAPTION(S):

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Box: Added Costs (see text)