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Housing prices showing signs of a turnaround

Average sale price for homes in the 91011 ZIP Code went up 9.6% in April compared with last year.

May 13, 2010|By Megan O’Neil

La Cañada Flintridge home prices continued to make modest gains as the inventory of available properties shrank in April, according to real estate data released this week.

The average price per square foot for a home in April was $465.01, up from $431.56 the previous month, according to Keller Williams Real Estate Services, which tracks the Crescenta-Cañada, Glendale and San Fernando markets.

The average sale price in the 91011 ZIP Code was $1.25 million, a 9.6% increase from April 2009.

“As supply dwindles prices appear to be actually trending upwards, which is good news for people, “ Keller Williams agent Keith Sorem said. “I don’t think they will go back to where they were in 2007, but [La Cañada] is better than other markets where prices continue to decline.”

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Among the 20 new listings last month were four short-sale properties and one foreclosure property, Sorem said, adding that that trend could continue.

“Twenty-five percent of the homes that came on as listings were distressed sales, and that is a pretty sizable amount,” Sorem said. “I think that is a sign of the economic times.”

A slight softening in the credit market combined with federal and state tax incentives has helped spur activity, said Wes Seastrom, of Dickson Podley Realtors in La Cañada.

“Notwithstanding the volatility of the stock market in the last few days, I think there is a little bit more optimism,” Seastrom said. “I think that home sellers are more realistic in their pricing.”

Properly priced homes continue to move, La Cañada Realtor Doug Drummond said. Homes in poor condition, however, are lingering.

“It’s certainly a very different market right now, and we see that as a trend for the next six to eight years; different meaning there aren’t many properties on the market,” Drummond said. “Buyers are extremely selective so they have a tendency to stay on the market a long time.”

Local real estate has a history of being the last to decline in value and the first to recover, Drummond said, predicting that La Cañada would be at the forefront of climbing prices.


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