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Carson real estate booming

A Carson landmark greets visitors to the city.
A Carson landmark greets visitors to the city.ietrealestate.com

Southern California was not spared from the negative impacts of the real estate bubble. One of the SoCal cities that was slightly affected by the series of unexpected mortgage foreclosures was Carson. However, it has shown signs of bouncing back from the aftermath of the economic recession that almost crippled the economic well-being of the United States.

Why is this so? Carson has a moderate climate and plenty of room to grown, apart from the affordable real estate properties that can be had by both individuals and families alike. In fact, real estate development is going full steam with the successful implementation of the projects like the Vellagio
Apartments, the Dominguez Hills Village and the South Bay Pavilion. Don't be surprised at all because the median price of home in Carson hovers between $80,000 to 330,000. Although the most expensive unite is priced at around $950,000.

What makes it ideal for families is its having a small population of about 95,000 people. Yet Carson offers many amenities no one can imagine. It is also home to big commercial establishments like the California State University in Dominguez Hills, the Home Depot Center, K-Mart, Target, Ikea and so forth
and so on.

It is not surprising at all why many people are flocking to the city, owing to its fast transformation as a commercial hub in the South Bay area of the Los Angeles county. In fact, the U.S. Census Bureau has predicted rapid growth this year as gleaned from the mushrooming of manufacturing and retail
establishments in the area. Despite the recession, Carson stands out in so far as real estate development is concerned.

 In the meantime, the California Association of Realtors reported that the California housing market started to improve in November 2009 in so far as prices,  supply and sales are concerned. In fact, its monthly median price crossed the $300,000 threshold in the same period with a median of $304,520, up 2.4 percent from the October median price of $297,500.

The slight rebound in the housing market came through after suffering heavy losses a year ago, whereby the median price of a house declined by 41.3 percent. The housing bubble had aggravated the exposures of banks to loan defaults after thousands of workers were laid off from their jobs which rendered them unable to repay their housing mortgages in time, while others failed to comply with their repayment obligations with the respective banks.

According to Robert A. Kleinhenz, deputy chief economist of CAR, "the California median price has increased 24.1 percent from a trough of $245,170 that occurred in February 2009." He said that the increase in price was sustained by a combination of lean supply and high demand. Comparatively, the National Association of Realtors (NAR) median price for existing single family homes, which saw a 29 percent decline, grew by 4.7 percent from its trough of $164,200 in January 2009 to $171,900 in November 2009, he explained.

The improvement in the median price was attributed to the lean inventory conditions during the nine-month period in 2009. "The unsold inventory index of California has averaged 4.8 months since the start of the year as against the national unsold inventory index for single family homes averaged 8.4 months
over the year," he said.

Home sales in California in November 2009 reached 536,720 units, although it was 4.6 percent lower that the October sales of 562,400 units. However, it was 4.7 percent above the November 2008 figure of 512,840 units. Average sales during the year totaled 545,600 homes.


 

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