By Peter Y. Hong and David Pierson
April 16, 2009
Southern California home prices held steady for the third straight month in March, a sign that the housing slump may be near its bottom.
The median sale price remained at $250,000 for the six-county region, which is less than half the median value of homes at the market’s peak in 2007. But the fact that home prices have stayed the same since January could be an indicator that the market is beginning to stabilize — which is considered key to a broader economic recovery.
“In the normal behavior of a recession, the first improvement is in the housing sector, followed by autos,” said economist Edward Leamer, director of the UCLA Anderson Forecast. “When somebody buys a home or buys a car, they’re predicting economic growth, they’re predicting they’re going to be employed. It’s a statement of optimism.”
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