California is the most populated state in America, and it contains eight out of ten of the most populated cities. But compared to the rest of the nation, hardly any Californian homes were bought or sold last month. Why was this, and what does it mean?

It may herald the end of the 27 month slide in the Californian real estate market, which means investors will be planning to buy up the property market. House prices have returned to 2005 levels and this year saw a large increase in foreclosures for California. With prices dropping so low, most people opted to stay where they were and not list their home for sale.

One year ago, over 70% of homeowners in default were able to make good their problem. It was solved by either refinancing, selling up or bringing their payments up to date. This year only 42% managed the same feat.

Investors in real estate are watching Californian property prices and some are beginning to pounce. Sales are down 33% - which increases inventory. Prices are down 16.5 % and the mortgage rate is down a full point since December. In some parts of California sales are down over 40% from last year, and have hit a 20 year low.

The prices have dropped considerably and one real estate tracking firm has concluded that prices are now low enough that investors are moving into California. They are basing this on the fact that non-occupying sales are creeping up, which indicates that some investors are already moving in 'for the kill'.

Realty experts now believe that if foreclosures slow down in California, the market prices will quickly improve. California is one of the high-cost states that will most benefit from the raising of conventional mortgage limits. The figure has just jumped over $200,000 from $417,000 to $625,000.

This may halt the further drops in the Californian realty market, forecast by PMI (Private Mortgage Insurers) last month. Once the prices of homes level out, existing Californian home owners will still be in a good position. The drop in prices in California is only balancing the large 'jump' in prices that preceded it in 2006.

In the last ten years house prices have almost doubled. Most home owners have already built up equity in their homes. The ones that haven't, know that if they weather out this storm, the realty climate will warm up and homeowners will soon be basking in that lucrative sunshine again.

More info on your stop foreclosure information search:

Get Free Foreclosure Advice and Free Refinance Quotes
Get your free on-line foreclosure refinance quote and free advice from foreclosure mitigation specialist in minutes. Compare real offers from top national subprime and hard money lenders... more...

The Coachella Valley Housing Market
The figures relating to declining home sales in the Coachella Valley as summer begins and temperatures rise do not look good. But as with all things, even poor figures in a strong housing market make for headlines, but have little affect on reality. Here are the latest figures. First, the Statewide ... more...

Fixing How Real Estate is Sold - The Time for Change is Now
The government has confirmed that which nearly everyone in the country already knew ? the median price for homes has fallen all over the country. That's not news for the countless number of home sellers who are facing severe crises due to the length of market time. When the fallout of this market ... more...

California Home Equity Sales Contract Act - A Mine Field for the Unprepared!
When I first got started in the real estate investing business in 2006, the avalanche of foreclosures was just beginning. Before attempting my first short sale here in Southern California, I discovered I needed to comply with Civil Code Section 1695 by using a very particular type of purchase and ... more...

Third Quarter Real Estate Market Report
Third Quarter Market Report Challenges, Opportunities, and Surprises, Oh My! Someone named Anonymous once said, "Many an opportunity is lost because a man is out looking for four-leaf clovers." That quote seems to sum up the real estate market - buyers seem to be looking for some sort of incredible ... more...