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Californians Selling Real Estate Are Doubling Their Money

The real estate research arm of Santa Ana-based title company First American Corp., says the majority of sellers in five Southern California counties owned their homes at least three years, and the bulk of them who sold their homes in October, 2006, doubled their money.

About 13% of people who bought homes in Southern California from 2004 through the first half of 2006 used adjustable-rate mortgages that are likely to default. According to First American economist Christopher Cagan, it could be a painful scenario for some of these homeowners, but this type of mortgage is not something that will break the economy.

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