The state of California experienced an 11.2 percent growth in home sales over the May-to-May time period, according to recent data from the California Association of Realtors.
May was the fourth-straight month of double-digit housing sales gains in California, on a year-over-year basis.
"Despite a slowdown in economic growth in recent months, sales in California remain strong as record low mortgage rates and favorable home prices continue to fuel demand in the housing market," said LeFrancis Arnold, CAR's president, in the statement.
"The strong results in pending sales -- double-digit year-over-year gains in the last nine out of 10 months -- suggest solid housing market performance for the state in the upcoming months."
Due to its large population, California is considered a leading indicator for the entire U.S. housing market.
Adding to the good news, the Commerce Department data on new home sales released on Monday showed a 7.6 percent rise in May from April, or 369,000 homes.
It was the best month for new homes sales since April 2010 when the expiring first-time homebuyer tax credit was nearing expiration leading to increased, albeit short-term, buying.
Recent National Association of Realtors data and commentary has been similarly encouraging.
Year-over-year U.S. home sales were up 9.6 percent from May 2011 to May 2012, the NAR reported. A 1.5 percent decline in nationwide home sales from April to May that the NAR tracked might not be cause for concern, either.
