New price heights for L.A. area homes

I know, I know -- this blog is getting to be just a news clipping service.  But bear with me for yet another article from yesterday's L.A. Times by Andrew Khouri.  Here's the link.  The title is "Home prices in Southern California reach bubble-era highs." Among the other data points is this: L.A. County home prices have risen 9.5% this year to $505,000, which is $25,000 higher than the highest 2007 pre-recession price.  The article also states that economists aren't as worried this time around, since the rise is not driven by risky loans.  Instead, it is driven by an improving economy, historically low interest rates and a shortage of homes for sale.

Do I see prices getting soft and perhaps even dropping a little? Not in the foreseeable future.  I predict another rise in prices in the Spring.  I wish I could foresee more affordability instead.
Photo courtesy of  Brian Chan/Los Angeles Times