First, a Dr. challenges the conventional wisdom of gauging the health of the real estate market based on “median” price appreciation, and now a Realtor in San Diego curbs some “average price” appreciation enthusiasm:
“The average price for the month [in San Diego] was $635,775, up 11% from last March. Don’t get excited or misled, prices did not go up. The under $500,000 sales made up 45% of the sales volume versus 55% last year, this mix change pushed up the average price because of the sale of more expensive homes.”
“Another item to watch in average price is that in some cases sellers are beginning to pay all or some of the buyer closing costs which is being financed in the selling price. This has the effect of raising the price of the home by about 2%.”
Inconceivable! [Thanks to the Housing Bubble Blog for the tip.]
∙ It’s All About The Mix [SocketSite]
∙ Market Conditions for San Diego, California [Realty Times]
∙ San Diegos’ ‘Downward Sales Trend Accelerating’ [Housing Bubble Blog]