HOME SALES AT WEAKEST PACE MARKET-WATCHERS SAY THIS IS THE BIG, EXPECTED SLOWDOWN.Byline: GREGORY J. WILCOX Staff Writer Home sales in Southern California Southern California, also colloquially known as SoCal, is the southern portion of the U.S. state of California. Centered on the cities of Los Angeles and San Diego, Southern California is home to nearly 24 million people and is the nation's second most populated region, continued slogging along at their weakest pace in nine years during August, driving appreciation down to its smallest amount since 1999, an industry tracker said Tuesday. Last month's sales of new and previously-owned houses and condominiums across the six county area plunged an annual 25.3 percent to 25,628 transactions, said DataQuick Information Systems. It's the ninth consecutive annual sales decline. But sales did increase 12.8 percent from July. But August's total was the lowest for that month since 22,308 sales in 1997, a time when the market was emerging from a years-long funk Funk , Casimir 1884-1967. Polish-born American biochemist whose research of deficiency diseases led to the discovery of vitamins, which he named in 1912. . DataQuick began tracking the market in 1988. August sales have varied from a high of 35,339 that year to a low of 12,769 in 1992. An average August has 25,845 sales, the company said. The monthly sales gain is somewhat encouraging, but not too much should be made of it at this point, said DataQuick analyst Andrew LaPage. ``It does tell us we're not in a nosedive nose·dive n. 1. A very steep dive of an aircraft. 2. A sudden, swift drop or plunge: Stock prices took a nosedive. Noun 1. in terms of sales Terms of sale Conditions under which a firm proposes to sell its goods or services for cash or credit. because then you would see constant month-to-month losses.'' However, this is the big slowdown that market-watchers have been expecting for several years. ``It feels kind of scary once you're there because it's a lot different than what you've been seeing the last five years,'' LaPage said. There is clear evidence that a sales slump is entrenched en·trench also in·trench v. en·trenched, en·trench·ing, en·trench·es v.tr. 1. To provide with a trench, especially for the purpose of fortifying or defending. 2. in many markets, but its final impact on prices is not clear at this point. During August, the median price of a Southern California home rose 2.7 percent to $489,000 and fell 0.6 percent from July. But that was the smallest annual increase since July 1999, when it also rose 2.7 percent. ``The market is certainly off from its frenzy Frenzy Beatlemania term referring to the Beatles’ (rock musicians) immense popularity; manifested by screaming fans in the 1960s. [Pop. Culture: Miller, 172–181] Big Bull Market , but we have to remember that it takes much more downward pressure to push prices down than upward pressure to push them up,'' DataQuick president Marshall Prentice said in a statement. He notes that prices have doubled in the last four-and-a-half years and the question now is whether the market will keep all of that appreciation or 90 percent of it. The company also held firm to its position that indicators of market distress are still largely absent despite the sale plunge and soft appreciation. Leslie Appleton-Young, vice president and chief economist The Chief Economist is a single position job class having primary responsibility for the development, coordination, and production of economic and financial analysis. It is distinguished from the other economist positions by the broader scope of responsibility encompassing the at the state Realtors association, said that prices have pretty flattened flat·ten v. flat·tened, flat·ten·ing, flat·tens v.tr. 1. To make flat or flatter. 2. To knock down; lay low: The boxer was flattened with one punch. out and that trend should continue. greg.wilcox(at)dailynews.com (818) 713-3743 CAPTION(S): box Box: Southern California home sales slowing |
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