by Calculated Risk on 10/13/2005 03:32:00 PM

The NC Times reports: North County median home prices decline slightly

Median prices for existing North County homes eased downward in September, according to the monthly report from the North San Diego County Association of Realtors.

Single-family detached homes sold for a median price of $620,000 in September, down 2.8 percent from August's year-to-date high of $637,750.

This is a small one month decline and may not be a trend. Perhaps of more immediate interest is the market dynamics of price reductions and rising inventories:

More sellers appear to be lowering their asking price to reflect those conditions, said Kurt Kinsey, broker/owner of Blue Pacific Realtors.

Often, these properties are being sold by "flippers," people who buy homes with an eye to selling them for a quick profit, said Kinsey, whose firm specializes in Carlsbad and Oceanside real estate. Kinsey estimated that 20 percent of sellers in Carlsbad are flippers, and perhaps half that percent in Oceanside.

"There are as many homes for resale in Carlsbad as in Oceanside, which has more than double the population," Kinsey said.

Added to this abundance of resales are new homes being sold in Carlsbad in developments such as Bressi Ranch, La Costa Greens and Calavera Hills, Kinsey said. That gives Carlsbad buyers a strong bargaining position.
...
Jerry Kalman, a Realtor in the Fallbrook/Bonsall area, reported that September was notable for "an unusually high number of homes that were repriced lower and that eventually sold for less than their original listing price."