Southern California saw a 20 percent increase in real estate sales in May causing the median price to rise to a 20-month high.
House sales rose 9.3 percent from April and jumped 17.6 percent from May 2011 to total 41,790 new and previously owned houses bought statewide, according to real estate research firm DataQuick of San Diego.
The state's median home price hit $270,000, rising 2.3 percent from the prior month and up 8.4 percent from May 2011.
"It's not exactly a stampede, but people are starting to move off the housing market sidelines in numbers we haven't seen in quite a while," DataQuick President John Walsh said in a statement. "And it's not just first-time buyers and investors. There are more move-up buyers in mid- to high-end coastal counties."
DataQuick attributed the price increase to higher demand, a drop in the number of distressed property sales and more sales in the higher-cost coastal markets.
In Southern California, the number of homes sold rose 21 percent compared with a year earlier, while the median price rose 5.4 percent.
In the Bay Area, sales were up 26.1 percent from May of last year and the median rose 7.5 percent.
Although the foreclosure problem is improving, a RealtyTrac report underscored that the large number of distressed properties remains a headache, particularly in some areas.
Last month sales in San Diego, Orange, Los Angeles and Ventura counties represented about 70 percent of all sales, up from 67.6 percent a year ago.
The higher end is finally getting some action, too. Last month sales between $300,000 and $800,000 - a range that would include many move-up buyers - jumped 23.1 percent year-over-year. And sales over $800,000 rose 11.8 percent from May 2011.
