Sales Drop In Southern California
If southern California is experiencing a bubble in home prices, it would be expected that the psychology to keep paying more would continue, even as the buyers disappeared. This report from Inman News shows that now the sales volume is down, in some cases by double digits.
"A total of 31,431 new and resale homes were sold in Los Angeles, Riverside, San Diego, Ventura, San Bernardino and Orange counties in April. That was down 3.8 percent from March, and down 4.5 percent for April last year, DataQuick reported."
"'More homes will probably be put on the market in coming months, as potential sellers try to sell at the peak in their local markets,' said Marshall Prentice, DataQuick president."
The Bay area is leading the way with price increases. There is a complete table at the bottom of the link. Here's a few of the bigger drops in numbers sold. San Diego, 12.30%, Riverside, 6.50%, Contra Costa, 12.4%, San Francisco, 10.3%, Santa CLara, 15.4 and Sonoma, 14.1%.