Press Releases

LA Area Home Value Appreciation Slowed Last Quarter, Says Zillow.com Quarterly Home Values Report

Values Continue to Grow Faster than the Nation, But Tapering Off Significantly

Aug 14, 2006

Los Angeles – August 14, 2006—Single-family homes in the Los Angeles metropolitan area appreciated at an annualized rate of 8.5% during the second quarter of 2006 – significantly lower than the pace of the past year, according to the findings of Zillow.com’s inaugural quarterly home values report. The values of both single-family homes and condominiums in the Los Angeles metro real estate area (Los Angeles, Orange, Riverside, San Bernardino and Ventura Counties) continued to grow in the quarter that ended in June. But single-family homes appreciated at only about a third of their annualized rate for the past five years as measured by Zillow.com’s Zindex™ home value indicator. The Zindex is a measure of the median value of all homes in the area (not just those that sold). The annualized rate of condo appreciation also showed a softening as measured by the Zindex values for the quarter. The annualized appreciation for condos from April through June was 4.8%, about a quarter of the annualized condo appreciation rates realized over the past five years. The Zindex for all single-family homes in the area stood at $564,085 in Q2 2006, while the condo Zindex was $450,842 (see table below). “On a percentage basis, the slowdown in Los Angeles home value appreciation in the quarter versus the full year was about on par with that seen nationally, though Los Angeles homes still appreciated at a rate above the national average of six percent annualized,


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