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Strategies & Market Trends : The Residential Real Estate Crash Index -- Ignore unavailable to you. Want to Upgrade?


To: MulhollandDrive who wrote (6582)11/5/2002 12:36:02 PM
From: Elroy JetsonRead Replies (2) | Respond to of 306849
 
Similar to the blow-off top in real estate prices in 1989 prior to the ensuing six year price declines - the difference in price between condos and single-family homes narrowed significantly in Southern California in September.

The September median sales in Orange County California show the cost of a condo per square foot is only 5.4% less than that of a single-family home of equal size, $220.22 vs. $232.17.

In San Diego County, the cost per square foot of a condominium in September was actually 3.3% more than that of a detached house of equal square footage, $226.80 vs. $219.47.

Appreciation in the price of condominiums normally lags behind single-family homes until single-family home prices move beyond buyer's ability to pay for them. The remaining demand becomes focused on condos.

Related article:
latimes.com