High-end home values remained strong in Los Angeles, San Diego, and San Francisco during the first quarter of 2007, according to the First Republic Prestige Home Index™, which tracks homes valued at more than $1 million in key California markets. Last quarter the market for homes priced above $10 million remained particularly strong, while the market for the homes in the $2 million to $6 million range continued to normalize, according to the report.
Boosted by strength in the entertainment industry and a diversified economy, luxury home values remained the strongest in Los Angeles, where first quarter luxury home prices were up 6.5 percent from a year ago and the average luxury home is now valued at $2.44 million. High-end homes in San Diego also recorded modest annual gains last quarter, rising 3.2 percent to $2.17 million, while luxury home values in the San Francisco Bay Area remained unchanged from a year ago. The average price of a luxury home in San Francisco remained at $2.92 million, according to the report.