Lake Tahoe Real Estate - Donner Summit

C.A.R. REPORTS MEDIAN HOME PRICE INCREASED 23.1 PERCENT IN NOVEMBER The median price of an existing, single-family detached home in California during November 2004 was $473,260, a 23.1 percent increase over the revised $384,470 median for November 2003, C.A.R. reported today. The November 2004 median price increased 2.9 percent compared with a revised $459,800 median price in October. "Sales hit an all-time high in November as consumers snapped up single-family homes at a record pace," said C.A.R. President Jim Hamilton. "The median price of a home in California continued its upward march, increasing by double-digits for the 36th month in a row to $473,260." Closed escrow sales of existing, single-family detached homes in California totaled 652,340 in November at a seasonally adjusted annualized rate, according to information collected by C.A.R. from more than 90 local REALTOR® associations statewide. Statewide home resale activity increased 4 percent from the 627,190 sales pace recorded in November 2003. The statewide sales figure represents what the total number of homes sold during 2004 would be if sales maintained the November pace throughout the year. It is adjusted to account for seasonal factors that typically influence home sales. "While the inventory of homes for sale has increased to more than a three-months' supply, consumer demand and the low mortgage interest rate environment are still driving the market," said Leslie Appleton-Young, C.A.R.'s vice president and chief economist. "Time on the market has trended up to 40 days, an indication that buyers are taking more time prior to making the purchase decision compared with the frenzied pace we witnessed most of this year."

FANNIE MAE CEO AND CFO DEPART Fannie Mae's Board of Directors on Tuesday announced the retirement of Chairman and Chief Executive Officer Franklin D. Raines and the resignation of Vice Chairman and Chief Financial Officer J. Timothy Howard. Effective immediately, board member Stephen B. Ashley will become the non-executive chairman of the board, Vice Chairman and Chief Operating Officer Daniel H. Mudd will serve as interim chief executive officer, and Executive Vice President Robert Levin will serve as interim chief financial officer. The board further announced that the audit committee has dismissed the firm KPMG LLP as the company's independent auditor.

U.S. LEADING INDEX REVERSES FIVE MONTH DECLINE The U.S. leading index, a key barometer of economic conditions, increased 0.2 percent to 115.2 (1996=100) in November after falling for five consecutive months, The Conference Board recently reported. During the six-month span through November, the leading index decreased 1.1 percent, with five out of 10 components advancing. The top three contributors to November's increase were stock prices, real money supply and the average weekly initial claims for unemployment insurance. The coincident index, an index of current economic activity, remained strong in November, increasing 0.1 percent to 118.5. All four components of the coincident index advanced. The lagging index decreased 0.1 percent to 98.3 in November, with four of the index's seven components advancing. Negative contributors to the lagging index were outstanding commercial and industrial loans, the average duration of unemployment and the change in labor cost per unit of output. The Conference Board stated in a written release that the growth rate of the leading index has slowed below its long-term trend, but not to a rate historically associated with a recession.

Informatin provided by - C.A.R. Newsline is published by the CALIFORNIA ASSOCIATION OF REALTORS®, a trade association representing more than 150,000 REALTORS® statewide.