Local home prices continue to rise

The median price of a home in Riverside County rose 32.5 percent in May, compared to the same month a year ago, reflecting a statewide jump that gave California the biggest year-over-year price increase in 33 years, according to figures released today by the California Association of Realtors.

The median price of a Riverside County home was $282,560 in May, up from $213,240 in May 2012, according to Los Angeles-based CAR. May’s median price was 3 percent higher than April, when the median was $274,420. Home sales in the county increased by 5.4 percent between April and May, but were down 14.9 percent from May 2012.

Statewide, the median price of a single-family home was $417,350 in May, up 31.9 percent from $316,460 in May 2012, according to CAR. It was the 15th consecutive month of year-over-year increases, and 11th straight month of double-digit jumps.

According to CAR, the 31.9 percent increase was the largest annual jump since at least 1980, when the association began tracking the statistic.

“More home buyers are putting down larger down payments, and many of them are opting for more stable loan products,” CAR Vice President and Chief Economist Leslie Appleton-Young said. “Additionally, historically low mortgage rates have reduced monthly mortgage payments substantially, making owning a house more affordable, even with rising home prices.”

The number of homes sold in California increased by 1.9 percent between April and May, but fell 3.6 percent from May 2012, according to CAR.