Single-Family Home Sales Rise 26% in Past Year

Sales of single-family homes in the San Fernando and Santa Clarita valleys jumped 26% in October over a year ago, while average selling prices rose 7.7% and inventories slipped across the board.

In what continues to be the most active market in eight years, 1,027 single-family homes closed escrow last month, compared to 815 in 1996, according to the Southland Regional Assn. of Realtors, which tracks home sales in the San Fernando and Santa Clarita valleys.

Normally, the market cools in the fall and winter months. But this year, the number of pending escrows--a measure of future sales activity--were up 50% over 1996 and 14.7% over September’s figures, suggesting that 1997 will end with a flourish.

“From all indications, we’ll have more good news in the coming months even with the holidays,” said Mel Wilson, president of the group. “Buyers are taking advantage of affordable interest rates and they understand that the pressure on prices is increasing.”

Interest rates for 30-year fixed-rate mortgages--the standard home loan--stand at 7.25%, a seven-month low, according to the National Assn. of Realtors.

Last month, the number of homes for sale in the Valley area fell 10.7% to 4,721 from 5,288 a year earlier.

“Right now, we have a problem--there’s just no inventory out there,” said Marty Levine, sales manager for Century 21 Vic Harvey Realtors in Woodland Hills.

Last week, Temmy Walker, a broker with Coldwell Banker in Woodland Hills, sold five properties in seven days, something unheard of in a market where one to two sales a month is considered the norm.

“There’s a different attitude out there,” said Walker, who has 24 years experience in the Los Angeles real estate market. “There seems to be a lot more confidence in the economy and that people are going to have jobs next week.”

Andrea Jacobs, director of estates with the same firm in Westlake Village, said homes are being snatched up at twice the normal rate--in 30 to 45 days instead of the regular 60 to 90 days.

Prices in the mid- to upper-range home category are starting to rise for the first time in years, said Jim Link, the association’s executive vice president.

The average sale price rose 7.7% in October to $229,800 from $213,300 in 1996 and the median price climbed 9.2% last month to $171,500 from $157,000 a year earlier.

The median price means that half the homes sold last month for more than that amount and half sold for less.

Sales in the condominium market also picked up last month, as did prices.

Condo sales rose 9.1% in October over a year ago, and average prices rose 7.2%. The condo inventory fell 27.5% to 955 active listings.

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October Valley Home Sales

NORTH EAST

+1%

Avg. Price:

$129,100 ’97

$127,600 ’96

Sales: 146

*

SOUTH EAST

+12%

Avg. Price:

$280,300 ’97

$251,300 ’96

Sales: 191

*

SOUTH CENTRAL

+7%

Avg. Price:

$229,800 ’97

$214,500 ’96

Sales: 212

*

SOUTH WEST

+6%

Avg. Price:

$269,100 ’97

$254,800 ’96

Sales: 225

*

NORTH WEST

+13%

Avg. Price:

$213,200 ’97

$189,100 ’96

Sales: 241