Area home sales drop

February didn’t turn out to be the worst month for Southern California home sales in the last two decades — that dubious honor went to the month before, when fewer people bought houses in the region than in any other month since 1988.

Still, last month marked the Southland’s second-poorest showing since the research firm DataQuick began compiling statistics 20 years ago. The region posted only 10,777 home sales in Los Angeles, Orange, Riverside, San Diego, Ventura and San Bernardino counties, the slowest February returns in DataQuick’s history.

The number of homes sold declined 39% in Southern California and 39.9% in Orange County from February 2007; the median price also fell 17.6% in the region as a whole and 16.1% countywide.

Costa Mesa and Newport Beach mostly mirrored the region in prices and sales dropping, although the latter had a few bright spots. In Corona del Mar, the median home price increased 35.6%, while Newport Coast improved 15.7% and the 92663 ZIP code — which covers West Newport — saw a rise of 70.3%.

Except for Balboa Island, though, which had a 100% increase with only two homes sold, every Newport-Mesa region either stayed the same or saw a drop in sales. The 92660 ZIP code, which covers the northern part of Newport Beach, fell the furthest at 60.7%.

John Hoover, a Realtor for Surterre Properties in Newport Beach, said the decline was mostly among speculators who wanted to purchase homes and turn them around for sale. Most of his clients now, he said, were people who wanted to buy homes just to live in them.

“We haven’t hit an equilibrium again,” Hoover said. “We’re still in a transitional market where values are softening in certain areas, so people are sitting and waiting. It’s like the stock market. People are reluctant to buy if they perceive the market is going to continue to soften.”

MICHAEL MILLER may be reached at (714) 966-4617 or at michael.miller@latimes.com.