While overall home sales in California increased by a solid 8.2 percent in 2012, it was the high-end of the real estate market that particularly surged. According to the Los Angeles Times, sales of million-dollar homes in the Golden State last year reached heights not seen since prior to the housing crash.
There was a 26.9 percent spike in the number of homes that sold for more than a $1 million in California last year. The 26,933 homes that sold past that threshold in 2012 was the most since 2007, but still far from the all-time mark of 54,773 million-dollar homes that were sold in 2005. Particularly pushing the increase was the sale of multi-million dollar homes, according to the Times’ analysis of a recently-released DataQuicks report.
To illustrate that point, the story notes the number of homes that sold for more than $5 million in California, 697, was a 42 percent jump from 2011.
Among the top 10 locales for million-dollar home sales in 2012 were Beverly Hills and the Brentwood section of Los Angeles. Silicon Valley was the site of the most homes that changed hands for a million dollars or more last year. That includes the highest-priced home sold in the state. A home in the Woodside section of Silicon Valley featuring 8,930-square-feet of living space and nine acres of land sold for $117.5 million.
DataQuick officials noted safe-haven investing and return on investments available given the current low interest rates played a key role in the surge of million-dollar home sales last year.
One final note–it was revealed that 7,791 high-end buyers paid cash for their homes, which is the highest number ever recorded and a big leap from 2011 when 5,082 million-dollar homebuyers paid cash.