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Study upbeat on home prices: JOB GROWTH LIFTS OUTLOOK FOR BAY AREA.
Byline: Sue McAllister
Mar. 8--The ongoing "adjustment" to the California housing market is likely to be mild compared with previous downturns, a bank economist wrote in a report released Wednesday, and home prices in the Bay Area will suffer less than in the state as a whole.
"It's clear that adjustments in the housing market are in progress," Keitaro Matsuda, senior economist for Union Bank of California, wrote in his annual statewide housing report. He cited federal data showing home prices in the state rose 4.6 percent in 2006, compared with the national average of 5.9 percent, as well as a 22 percent drop in housing construction statewide.
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Source: HighBeam Research, Study upbeat on home prices: JOB GROWTH LIFTS OUTLOOK FOR BAY AREA.