WASHINGTON - Real estate markets everywhere but in California improved for the third consecutive quarter, according to a Federal Deposit Insurance Corp. survey of bank examiners.
Even commercial real estate, which has lagged behind the residential rebound, made strong progress, the FDIC found in its May-to-July survey.
Golden State Declines
Only 11% of the 470 FDIC examiners and liquidators questioned said commercial real estate markets are deteriorating - the lowest number since the FDIC began its survey in early 1991.
Just 45% of the nationwide sample said there is an excess supply of housing in their markets - the lowest survey reading to date.
The spoiler continues to be California, where real estate continues to lose value.
Because real estate is so important to banks' bottom lines, the FDIC tracks property markets across the country every three months.
The FDIC boils the sentiments of its examiners and liquidators down to a composite number: any result over 50 means markets are improving.
For the May-to-July survey, the FDIC's composite figure was 67, up one from April's results.
The figure representing residential market perceptions dipped to 73 from 74 in April, while the rating for commercial real estate climbed to 58 from 57 in April.
Top Scores in South, Midwest
Breaking the scores down by region, the West is worst, pulled down one to 49 by problems in California. That's the weakest report from the West since October 1992.
Realty fared best in the South and Midwest, where composite scores were 77 and 74, respectively. The Northeast scored 66, up from 64 in April.
