California's home sales improved by 3.1% on a seasonally adjusted basis month-to-month and 1.5% year-over-year in March, according to the California Association of Realtors.
Moreover, the median home price in the state increased by 5.4% over February but declined by 4.9% when compared with March 2010.
Closed sales of single-family detached homes in California were at a seasonally adjusted annualized rate of 514,900 units in March.
“For the first time in many months, we are seeing a genuine improvement in the overall economy, especially with respect to jobs,” said Beth L. Peerce, president of CAR. “However, while interest rates and current home prices are favorable, uncertainty about whether the economy has stabilized, concerns about inflation, and an unresolved state budget have created hesitation among buyers.”
The unsold inventory of existing single-family homes was 5.3 months for March, down from 7.3 months in February. The median number of days to sell a home was 56.7 in March, up from 37 one year prior.
March sales had a median price of $286,010, up from February's $271,320.
Median sales price in the Bay Area was up nearly 10% in March over the previous month; in Marin, the median price was up nearly 31%. Tehama, in northern California had the largest gain, 50%.
The largest price drop-off was in Lake County (part of the state north of the Bay Area noted for its wine production), where the median price fell nearly 24%.
