Prices Flat In "Shocked" Santa Cruz
The Santa Cruz Sentinel reports that home prices didn't rise in April, "for once." The median price for single-family homes in April was $715,000; March’s median was $723,129. The average price of a single-family home last month was $803,238, the second time it’s been over $800,000; the average in March was $821,695."
One realtor says the easy money loans are propping up the market. "The continuing high housing prices, said Szychowski, are the result of those low interest rates, combined with low inventory and the loans available."
"The interest-only loans have pulled in another huge buying pool,' he said. 'We’re seeing a lot of dual incomes and a lot of big down payments on the move-up buyers, which is new equity created by this run-up.'"