The median price of existing, single-family homes in California declined 2.5 percent in November compared with a year earlier and 2.4 percent compared with October, C.A.R. reported today. The sales pace slowed 8.6 percent compared with the year prior, but rose 9.2 percent compared with the month prior.
Both the Unsold Inventory Index and Time on Market increased from a year ago in November to 6.2 months and 54.7 days, respectively, C.A.R. reported.
“We are encouraged by November’s sales increase, but realize a more sustained recovery is being hampered by the distressed market,” said C.A.R. President Beth L. Peerce. “While we are experiencing a greater share of short sales, these transactions are notoriously difficult to navigate with no guarantee of closure. A recent C.A.R. survey indicated that it takes many lenders 90 days or more simply to communicate whether a short sale has been accepted, causing tremendous frustration for buyers and sellers,” she said. “Moreover, the survey found that more than two out of five short sale transactions never close. The housing market can’t fully recover until lenders streamline and improve the short sales process, which would help expedite transactions,” said Peerce.