Lake County Home Sales Increase, Values Drop.

LAKE COUNTY- Home sales increased 19.2 percent in December in Lake County compared with the same period a year ago, while the median price of a home fell 37.4 percent according to information gathered from the Lake County Multiple Listing Service (MLS).

Closed escrow sales of homes in Lake County totaled 45 in December according to the MLS. The median price of a home in Lake County during December 2008 was $150,000, a 37.4 percent decrease from the $239,500 median for December 2007 according to the MLS. The December 2008 median price fell 18.9 percent compared with November's $185,000 median price. The countywide median dropped below $150,000 for the first time since early 2002.

The median price can be a bit deceiving because of the low numbers however the quarterly figures reflect the same picture.

Inventory has been steadily declining since May and along with the increased number of sales shows that many buyers are taking advantage of the low prices. Historically sales drop off in December through February and reach their peak in May.

Highlights of Lake County's housing figures for November 2008:

Lake County's Unsold Inventory Index for homes in December 2008 was 14.5 months, compared with 17.2 months for the same period a year ago. The index indicates the number of months needed to deplete the supply of homes on the market at the current sales rate.

Thirty-year fixed-mortgage interest rates averaged 5.14 percent during December 2008, compared with 6.21 percent in December 2007, according to Freddie Mac. Adjustable-mortgage interest rates averaged 4.95 percent in December 2008, compared with 5.48 percent in December 2007.

The median number of days it took to sell a single-family home was 177 days in December 2008, compared with 199 days (revised) for the same period a year ago.

What does this all mean?

Prices are at their lowest in years along with interest rates. January has historically been one of the months when homes sell at their lowest prices. Investors and savvy buyers are snapping up many of the bargains as reflected in the lower inventories and higher sales numbers. Now would be the time to buy a home if you have good credit scores and down payment money. Some sellers are working with buyers by helping out with down payments. If you are considering buying or selling property, call Ray Perry at 277-9255 Ext 101 or email Ray@RayPerry.com for more information. http://rayperry.com