Case Shiller through October 2012 have been released.
They show another up-tick in the price index for home sales across the nation, including higher than average increases for the California cities in the study (Los Angeles, San Francisco and San Diego.)
If you look at the graph below, you will see that the past three years have had ups and downs. The numbers for Los Angeles have been at about 174 three times since 2009. Overall, the outlook appears to be holding steady and if it doesn’t take another dip, it is definitely on an upward trend.
As can be seen, the so-called bubble began when the increase in sales price began a very steep incline, compared with the years before. The bubble of the late eighties hardly appear to be a blip compared with the massive increase of the nineties and two thousands.
We’ve included a couple of trend lines. Depending upon what you believe a reasonable inflationary trend to be, 6.25% or 4.25% you can see what the future might be. Without a crystal ball, one can never precisely predict the future, but things are definitely looking up for buyers and sellers in the real estate market. Holding steady is a real improvement over free fall.
For more information, go to the index site: http://us.spindices.com/