January new-home sales in Northern California reached their highest level since mid-2005

Group: January surge in new-home sales

Sacramento Business Journal - 2:55 PM PST Friday, February 9, 2007

by Michael Shaw

Staff writer

January new-home sales in Northern California reached their highest level since mid-2005, the North State Building Industry Association reported Friday.

The group tracks sales in 186 communities in 20 counties in Northern California, excluding the San Francisco Bay area, representing about 60 percent of the new home market in that area, according to industry analysts.

Among those communities, there were 702 new-home sales in January, up 85 percent from the 379 during the previous month and up 44 percent from 486 in January of 2006.

The majority of the homes were priced between $400,000 and $600,000, according to the association. It predicts a gradual recovery in the housing market this year.