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Home Building Institute: Santa Barbara's median home asking price spikes

2 Oct 2012 8:24 AM
Home Building Institute: Santa Barbara's median home asking price spikes

As a whole, America's housing market has made slow but steady gains over the last several months. Of course, this progress has not been uniform - some regions have seen their sectors continue to sputter, while others have taken even more substantial strides. One region in the latter category is Santa Barbara, California, where housing prices - including those of luxury homes - have jumped recently.

In fact, when the Home Buying Institute released its September list of markets where list prices are rising fastest, Santa Barbara stood at the head of the pack. From July 2011 to July 2012, the metro area experienced the largest spike in median listing price, with an amazing leap of 31.53 percent, according to the source. This figure put it well in front of other top performers such as Phoenix, Boise and San Francisco.

One reason that Santa Barbara has likely seen such a dramatic rise in listing price is that the housing stock has diminished recently. The source reports that the number of real estate listings in the metro dropped by more than one-third during the same time frame. With this in mind, the analysts at the Home Buying Institute believe that, with dwindling supply, high demand and an improving local economy, the next few months could feature a similar rise in sales prices.

Other real estate experts in the area have a slightly more tempered outlook. According to a recent article from KEY News, Santa Barbara's housing market has not changed as significantly as the median list price surge reported by the Home Buying Institute suggests.

Because the Santa Barbara market never dipped as precipitously as others did during the recession, its recovery has been similarly subdued, KEY News reports.