HOLD FOR Release: Sunday, January 27, 2002

MEDIA CONTACTS:

Jim Link, SRAR Executive Vice President, 818-786-2110

David R. Walker, 818-222-1335

Santa Clarita Valley Housing Sales Shatter

Records as Annual Sales Leap 26%

2001 was a banner year for residential real estate in the Santa Clarita Valley with records being shattered in virtually every category, the Southland Regional Association of Realtors reported today.

Realtors negotiated a record high 4,756 properties sales last year B an increase of 26.3 percent over the prior year.

Those closed escrows generated more than $1.16 billion for home buyers, sellers and the local economy.

AWe fully expect 2002 to be an equally busy year,@ said Tacie M. Jares, president of the association=s Santa Clarita Valley Division. ABuyers are out in greater numbers than ever for this time of year, lured by low interest rates and a strong desire to live in the Santa Clarita Valley.

AEven as we=ve grown and offered all the amenities of a big city, Santa Clarita has retained a small town feel,@ Jares said. AWith the inventory of new homes has been depleted, we expect an even greater emphasis on resale properties.@

Single-family home sales accounted for 3,159 of the total 4,756 properties that changed owners last year, Association statistics indicated. That represents a 31.3 percent increase over the prior year and a record high.

Condominium resales reported a similar pattern with the annual total rising to a record high. A total of 1,597 condominiums changed owners last year, up 17.9 percent over 2000.

AWhile other communities have seen a slight slowdown in resale activity, the Santa Clarita Valley has posted unusually strong sales numbers,@ said Jim Link, the Association=s executive vice president. AThe word is out that buyers get so much more here than anywhere else for their housing dollars.@

Demand has continued even as resale prices rose to record highs. The median price of single-family homes sold last year was $267,158, up 10.0 percent over 2000. It was the fourth consecutive year that the annual median has risen to a record high.

Likewise for condominiums, which also have reported four consecutive years of increases in the annual median resale price. The record high condo median of $152,508 was up 11.7 percent over a year ago.

AWhen you consider the community, the schools, the shops and restaurants, I doubt that even rising prices will keep buyers away,@ Jares said. AWe could sell so many more homes if only we had the inventory.@

The Southland Regional Association of Realtors processed more than 6,240 listings during 2001, up 14.7 percent over 2000. More to the point, however, there were only 750 active listings throughout the region at the end of December. Given the current sales pace, that represented barely a two-month inventory in a region that should have a minimum five-month supply or more than 1,790 active listings.

AThere are no storm clouds looming when it comes to residential real estate,@ Link said. AHome sales reflected a strong local economy last year and, assuming Realtors have properties to sell, will do much the same this year.@

The year ended on a particularly bright note with the 248 single-family homes that closed escrow up 13.2 percent over December 2000. Escrow also closed on 110 condominiums which was identical to the total reported 12 months ago.

Pending escrows B a measure of future sales activity B suggest that 2002 is off to a strong start. The 302 pending escrows at the end of December were a record high for the month and 57.3 percent higher than December 2000.

AWe=re so busy now that it=s difficult to believe that this is the slow time of year and Spring, the busy season, is just around the corner,@ Jares said.

The Southland Regional Association of Realtors is a local trade association comprised of more than 7,000 members serving the San Fernando and Santa Clarita valleys. It is one of the largest local associations in the nation.

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