Sales slower in high-end homes...but hold their value (for the most part)

Research firm MDA DataQuick reported that sales of homes for $1 million or more were down 42.5 percent, hitting the weakest sales pace since 2003. Analysts attributed the decline to tougher loan standards and seller resistance to low-ball offers.

Although sales have slowed, experts guess that most high-end homes have only dropped in price by 10-15%. Not too shabby for a county where some homes have dropped in value 45%.

Some interesting tidbits:

• Of all homes sold in California last year, at least 2,052 that previously sold for more than $1 million were resold for less than $1 million.
• High-end homes weren't immune to the foreclosure trend. There were 1,612 foreclosures and 5,243 notices of default on California homes that previously sold for more than $1 million.
• For those buyers who bought homes costing more than $5 million, more than half were all-cash deals.
  

Source: The San Diego Union-Tribune