Every Day Is A Good Day In The South Bay In LA
Hermosa Beach
Tuesday, August 19, 2008
Saturday, July 26, 2008
South Bay In LA Median Home Prices Drop But Only By 0.04% In The Beach Cities.
Home prices keep falling
Even with rising statewide sales, the South Bay's housing market continued its pricing slump in June as homebuyers picked up discounted and foreclosed homes, according to a report released Friday.
The median price of all South Bay homes sold in June dropped 10.2 percent to $617,500, compared with the same month a year ago, the report by the Los Angeles-based California Association of Realtors says.
The median refers to the middle figure where half of homes sold for more and half for less.
The drop in South Bay home prices was nearly across the board and mostly in double digits.
Torrance was an exception, since its median home price fell only 5 percent to $570,000.
San Pedro was more representative of the local communities hit by the housing slump. The port area saw its median price drop 17.8 percent to $411,000.
Carson, Hawthorne, Inglewood and Gardena all saw respective percentage drops in the 20s as those cities continued to struggle with fallout from subprime loans.
The housing slump, which is nationwide but more acute in certain areas such as Southern California, is driven largely by lenders having given out mortgages to people who couldn't afford them, which has led to a severe credit crunch.
For the second month this year, Manhattan Beach was directly cited in the CAR report. This is significant and possibly a sign of an improving local housing market since a community must have at least 30 homes sales in a month to be cited in the reported.
"The first part of the year seemed to be pretty slow for me. And as we speak, it's been really busy," said
Adolph James of Shorewood Realtors in Manhattan Beach. "In the last two days, we've had three or four calls on listings we have in the beach cities. Typically, it's been two or three ad calls a week."
June was busier in part because the summer months usually see more real estate activity, James said.
The other major component that usually drives sales is optimism, "which we don't have," James said.
With a median price of $1.9 million, Manhattan Beach was the priciest community cited in CAR's statewide report. The city saw its median price rise 49.4 percent in June, compared with the same month last year.
However, that increase is likely an anomaly caused by a large share of sold homes at the high end of the market, thereby skewing the median price.
Thursday, May 15, 2008
Market Synopsis (Manhattan Beach)
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| Homes Closed in Apr. 2008: 32 Homes Placed under Contract in Apr. 2008: 26 Supply of Homes - Months of inventory: 5.8 Market Advantage - Neutral | |||||||||||||||||
| Average Days on Market: 58 Sold/List Price Ratio: 96% | |||||||||||||||||
| Average for sale price (in $,000): 2235 Average sold price (in $,000): 1601 Price Trend: Depreciating | |||||||||||||||||
 | Shorewood Realtor - Market Reports (All Manhattan Beach) - MAY. 2008.pdf |
Market Synopsis (All GSB Cities Combined) For April 08
All GSB Cities Combined Property types: Single Family Homes, Condo/Townhomes & Residential Income Price Range: 0 - No Limit Number of homes for Sale vs. Sold vs. Pended | |
| | Homes Closed in Apr. 2008: 400 Homes Placed under Contract in Apr. 2008: 482 Supply of Homes - Months of inventory: 10.6 Market Advantage - Buyer |
| Days on Market & Sold/List Price % | |
Monday, April 28, 2008
March 2008 Median Home Prices
The price statistics are derived from all types of home sales -- new and existing, condos and single-family. See note below table.
| County/City/Area | Mar-08 | Mar-07 | Y-T-Y % Change |
| Southwest Los Angeles Selected Areas | | | |
| Beach Cities | $1,112,500.00 | $1,037,500.00 | 7.2% |
| South Bay | $599,500.00 | $655,000.00 | -8.5% |
| Palos Verdes Peninsula Area | $1,225,000.00 | $1,237,500.00 | -1.0% |
| Median home prices contained in this chart were generated from DataQuick Information Systems. The price statistics are derived from all types of home sales -- new and existing, condos and single-family. Movements in sales prices should not be interpreted as changes in the cost of a standard home. Median prices can be influenced by changes in cost, as well as changes in the characteristics and size of homes sold. Due to the low sales volume in some cities or areas, median price changes may exhibit unusual fluctuation. N.A. = Not available. |
Friday, April 25, 2008
South Bay home price slide continues
The South Bay housing market continued its skid in March, with every local city and community cited in a new report seeing a drop in median home price.
The South Bay, excluding the Palos Verdes Peninsula, experienced an 8.5 percent year-over-year drop in median home price to $599,500 in March, the Los Angeles-based California Association of Realtors reported Friday.
The Hill saw a drop of 1percent to $1,225,000 in March.
The median price refers to the middle figure where half of homes sold for more and half for less.
Housing prices have been dropping statewide and across the nation as fewer buyers are able to qualify for home loans amid a tightening of standards and a souring economy.
"It hasn't been this tough in the South Bay for a while," said Adolph James, a Realtor with Shorewood Realtors in Manhattan Beach.
James said he recently took a "knockout listing" in Rancho Palos Verdes off the market after about four months because the seller gave up.
"The owner was getting tired of showing it," James said.
The South Bay beat Los Angeles County, which posted an 18.5 percent drop in the median home price in March.
Most South Bay cities cited in the report posted double-digit losses.
Hawthorne's median home price plunged 27.4 percent to $429,500 in March. Carson's median dropped 16.6 percent to $417,000.
San Pedro, Inglewood and Torrance also fell by double digits. Torrance
Because of the relatively small number of homes sold during a single month in any individual South Bay city, the median price can skew up or down depending on the types of homes selling in that period.
Last month, Redondo Beach was the only South Bay city in the report to post a tiny drop in the median price, down a mere 0.8 percent to $774,000.
In addition, Redondo Beach was ninth in the report's top-10 list of the highest-priced California communities for March, ahead of San Francisco.
"I can believe it," James said. "I think one of the things south Redondo has had through the years is it's almost been overlooked. South Redondo, near the Riviera Village, has just become really a charming area. And people like it because there's a lot of restaurants and it's come into its own. And it's become pretty pricey."
Redondo Beach was helped in its top-10 standing by Manhattan Beach and individual cities on The Hill, none of which was cited in the report. A city must have at least 30 home sales in a month to be cited.
The housing market has been so slow that many South Bay cities, including Gardena and Lawndale, cannot make the 30-sale-minimum cutoff. However, these cities' home sales are included in the regional median figures such as those for the county, South Bay or Palos Verdes Peninsula.
muhammed.el-hasan@dailybreeze.com
Friday, April 18, 2008
Prices Are Falling But Not As Much In The South Bay
Area home sales fall - prices dip
March sales of homes in much of the South Bay was less than half of what it was a year ago, a sign of the continued weakness in the real estate market, according to a new report.
Last month, 149 single-family homes sold - a drop of 52 percent - and 84 condominium and town homes changed hands, representing a fall of 64 percent, according to the report released Friday by the South Bay Association of Realtors.
The Realtors' report excluded the Palos Verdes Peninsula, Inglewood and Lennox, three areas the group says follow different market dynamics than the rest of the South Bay.
The median price of a South Bay single-family home sold in March was $640,000, down 8.4 percent compared with the same month last year, the report says.
(The median represents the middle figure where half of homes sold for more and half for less.)
The median price of a condominium or town house sold last month was $534,280, a drop of 6.3 percent.
By comparison, the median home price in Los Angeles County was down 18.5 percent in March, according to DataQuick, a San Diego-based firm that compiles real estate statistics. Southern California's median home price fell 24 percent in March.
"Twenty-four percent is nowhere near a reality in our market," said Carol Olney, the association's president.
"We're in single digits."
Regarding the steep drop in the number of homes sold, Olney said, the volume is the disturbing thing.
It is unclear how the South Bay median price would have fared if the Peninsula, Inglewood and Lennox were included in the calculations, or if condos and town houses were grouped with single-family homes.
"We have a sense that Inglewood tends to trend more to South Los Angeles ... and Palos Verdes is a uniquely different dynamic as well," said David Kissinger, the group's director of government affairs.
Olney added that The Hill has its own Realtor association, "so I really shouldn't speak for them."
In addition to the median price, the South Bay Realtors report also included average sales prices.
The average price of single-family homes sold in March was $924,215, which was down just 0.7 percent compared to a year earlier.
The average price for condos and town houses was $614,109, down only 3.6 percent.
For both categories, the average sales price was much higher than the median, while the drop in average price was much milder than for the median.
The median is considered a more accurate measure of home prices, especially when representing a market with widely varying home values, said Robert Kleinhenz, deputy chief economist at the Los Angeles-based California Association of Realtors.
"We rely on the median because we know there's a mix of homes out there. And there are some high-end homes out there that can skew the average up," Kleinhenz said.
That was the point of including the average, Olney explained, to show that even with a down market, sales of high-end homes are strong enough to skew the average upward.
"The average shows you that the high end is still selling," Olney said.
"Those who have money are spending it. Those who are working stiffs are hit. The middle class gets hit every time."
Tuesday, April 8, 2008
Beach Cities Homes Holding Their Value
In February, the average of median sale prices in 18 beachside ZIP Codes, including parts of Santa Monica, Manhattan Beach and Long Beach, was $1.08 million, down nearly 8.9% from August and 10.2% from February 2007, according to monthly sales data from DataQuick Information Systems. The 18 ZIP Codes were selected by The Times for relative affordability, excluding such spend-happy areas as Malibu, Palos Verdes and Newport Beach.
Some of the biggest seaside bargains, real estate agents said, were in Huntington Beach's three coastal ZIP Codes. Median prices peaked at $785,000 to $1.2 million in 2007, but the range had declined to $635,000 to $827,000 in February.
In eight beach ZIP Codes, homes were selling for less in February than a year earlier. An additional seven ZIP Codes showed price increases over the year.
Newspaper ads for beach-area houses are beginning to echo those for properties farther inland, with headlines such as "$$ PRICE REDUCTION!!" and "BEACH HOME STEAL!"
"A year ago, bidding wars were the norm," said Denise X. Lavell, who runs Beach Girl Realty. "You'd have a buyer out there the day the property was listed. Now, people are taking a month or two months to decide."
Javier and Marianne Cano recently spent nearly $1.9 million for a two-story, five-bedroom Spanish-style house less than a quarter of a mile from the ocean in Redondo Beach. Six months earlier, the Canos would have had to pay about $2 million to $2.1 million, based on comparable home sales at the time.
"We got a little bit off the asking price, but we thought it was priced pretty reasonably in the first place," said Javier Cano, a 50-year-old hotel industry executive who transferred to Southern California from the Hawaiian island of Maui.
Still, most looking for beach bargains are in for a bit of sticker shock.
Buyers "want to believe the sky is falling," said Tracey Nesicolaci, a Shorewood Realtors agent. "This is a buyer's market, but in their minds they think they ought to be able to buy a 3,500-square-foot to 4,200-square-foot beach house for a lot less than the listed price. They're surprised that a small starter home in Manhattan Beach still costs $850,000."
There are several reasons home prices in the beach cities haven't fallen as much as in some other spots. Fewer sub-prime loans were made in the coastal areas, where the buyers tended to have less trouble qualifying for good fixed-rate loans, said Stuart Gabriel, a finance professor and director of the Ziman Center for Real Estate at UCLA.
"The sub-prime problems are focused on lower-income and lower-credit borrowers who were stretching to afford homes. Those areas are very visibly and geographically concentrated in the interior parts of the state," Gabriel said.
Housing supply and demand also play an important role in keeping price declines in check. Beach housing supply grows slowly, Gabriel said, and demand always remains high. But inland areas saw significant overbuilding, he said, which leads to falling demand and prices.
Moreover, beach city owners aren't feeling nearly as much need to unload their homes quickly or at sharply reduced prices. The number of sales in the 18 beach ZIP Codes fell to 149 in February from 205 a year earlier.
"The individuals who had the income and wealth to own in the beach areas have not seen any significant decline in their situations," said Michael Carney, director of the Real Estate Research Council of Southern California at Cal Poly Pomona. "If the economy really starts to tank, you might find more of an impact in those areas."
Tony and Sara Romero went looking for a deal in Redondo Beach, which they assumed was the cheapest of the beach cities.
"We figured it was a perfect opportunity," said Tony Romero, a surfer and a coordinating producer for the late-night television show "Jimmy Kimmel Live." "We were hoping that the prices had gone down, but you just don't see it happening very much."
The Romeros ended up spending $600,000 for a Torrance house in foreclosure that had been listed at $640,000. The house is two miles from the water but twice as large as anything they could find closer to the ocean. Similar homes in the area sold for $700,000 to $725,000 six months before, said Nesicolaci, their real estate agent.
The Romeros say they are thrilled with their home purchase, even though it is farther inland than they had hoped. The one-story, ranch-style home has two bedrooms, a big kitchen, a formal dining room and a family room. It's still close enough to the water for Tony to grab one of his three surfboards and catch a wave before heading off to work.
And from time to time, he said, "we even get a beach breeze."
ron.white@latimes.com
Saturday, March 1, 2008
February Beach City Home Sales
FEBRUARY BEACH CITY HOME SALES PERK UP FROM
PRIOR MONTH, WHILE MEDIAN PRICES HOLD FIRM
MANHATTAN BEACH, Calif., March. 24, 2008 – Home sales in the Beach Cities of the South Bay showed some improvement in February compared to the preceding month – with both the number of homes sold and those placed in escrow rising from their lows in January – but were still down compared to results from the same month a year earlier, according to the monthly Shorewood Report.
Median selling prices continued to show resilience, rising 2.2% to $884,000 from $865,000 in February 2007. Asking prices fell 4.8%, however, to $1,354,000 from $1,422,000 a year earlier.
A total of 66 homes were sold in the combined cities of El Segundo, Manhattan Beach, Hermosa Beach and Redondo Beach during February, up from 58 in January but down from 128 a year ago. The number of homes in escrow rose to 79 compared to 63 in January. In addition, the typical home spent 51 days on the market last month, down from 77 in January, while inventory based on closed sales edged down slightly to 9.0 months from 9.3 months
The story was much the same for the entire 18-city South Bay region last month, with the number of homes in escrow rising 37% (355 vs. 259) in February compared to the previous month, inventory down to 9.9 months from 13.2 months, and median sales prices up 7.7% to $431,000 from $400,000
“Although year-over-year comparisons in sales and prices continue to decline, we’re hopeful that the results we saw last month, compared to January, indicate improved buyer confidence,” said Arnold Goldstein and Larry Wolf, co-owners of Shorewood.
“Prices are holding steady in the desirable beach markets, and the recent steps taken by the government and the Federal Reserve to stabilize the housing market -- including the increase in the ceiling for conforming mortgages and lower interest rates – will convince more people that now is a great time to buy a home.”
The most active price category in the four Beach Cities during February continued to be homes priced from $750,000 to $1 million, with 139 offered in that range and 15 sold. Another 139 homes were offered between $1 million and $1.5 million, with 16 sold in that range, while 99 homes were offered at $2 million or more, with six selling in that range.
The Shorewood Report is compiled from data supplied by TrendGraphix, a Sacramento-based market research firm. Figures include combined sales of single-family homes as well as townhomes and condominiums in El Segundo, Manhattan Beach, Hermosa Beach and Redondo Beach. The report also includes a supplemental chart with selected data for the cities of Ingle- wood, Hawthorne, Lawndale, Torrance and Palos Verdes Estates.
Shorewood remained the dominant brokerage in the South Bay, with nearly 33% market share by dollar volume in the four Beach Cities – more than three times its nearest competitor – while also leading in other cities such as Hawthorne and Lawndale.
For more information, contact Shorewood at (310) 376-8021 or any of its local offices in El Segundo, Manhattan Beach, Hermosa Beach, Redondo Beach and Palos Verdes Estates.
Founded in 1969, Shorewood is the largest independent real estate brokerage in Los Angeles County and among the largest nationwide, with more than 400 agents covering the South Bay and other coastal and beach cities. The firm offers escrow, financing, relocation, property management and other services through owned affiliates and preferred providers.
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NOTE TO EDITORS: CHARTS FOLLOW
The Shorewood Report – February 2008 (Beach Cities)
A monthly summary of home sales data and market activity for the combined South Bay cities of El Segundo, Manhattan Beach, Hermosa Beach and Redondo Beach, based on data supplied by TrendGraphix, courtesy of Shorewood Realtors (single-family, townhome/condo sales combined)
Number of homes for sale: 595 vs. Feb 07 475 (+ 25.3%)
Number of homes sold: 66 vs. Feb 07 128 (- 48.4%)
Number of sales pending: 79 vs. Feb 07 183 (- 56.8%)
Average asking price: $1,354,000 vs. Feb 07 $1,422,000 (- 4.8%)
Average selling price: $1,244,000 vs. Feb 07 $1,048,000 (+ 18.7%)
Median selling price: $884,000 vs. Feb 07 $865,000 (+ 2.2%)
Average selling price
per square foot: $622 vs. Feb 07 $527 (+ 18.0%)
Average days on market: 51 vs. Feb 07 60
Months of inventory
based on closed sales: 9.3 vs. Feb 07 3.7
Homes for sale by price range in February:
Less than $500,000 28 vs. Feb 07 15
$500,000-$749,999 129 vs. Feb 07 73
$750,000-$999,999 139 vs. Feb 07 135
$1,000,000-$1,499,999 132 vs. Feb 07 115
$1,500,000-$1,999,999 68 vs. Feb 07 51
$2,000,000 and up 99 vs. Feb 07 86
Actual home sales by price range in February:
Less than $500,000 1 vs. Feb 07 6
$500,000-$749,999 19 vs. Feb 07 35
$750,000-$999,999 15 vs. Feb 07 46
$1,000,000-$1,499,999 16 vs. Feb 07 22
$1,500,000-$1,999,999 9 vs. Feb 07 11
$2,000,000 and up 6 vs. Feb 07 8
Notes: Median sales price is the point at which half the number of homes sold for more and half for less.
Average sales price is determined by dividing the aggregate dollar volume of all transactions by the number of transactions. “Sales pending” includes homes in escrow during the month.
The Shorewood Report – February 2008 (supplemental)
(A monthly summary of home sales data and market activity for the cities indicated, based on information provided by Trendgraphix, courtesy of Shorewood Realtors (single-family, townhome/ condo sales combined)
Inglewood Hawthorne Lawndale Torrance P.V. Estates
Homes for sale 141 156 60 439 54
vs year ago 80 86 42 298 45
% change +76.2% +81.4% +42.8% +47.3% +20.0%
Homes sold 2 12 4 35 5
vs year ago 13 19 4 74 6
% change -84.6% -36.8% --- -52.7% -16.7%
Sales pending 5 11 6 59 5
vs year ago 7 13 14 109 18
% change -28.6% -15.4% -57.1% -45.9% -72.2%
Average
asking price $432,000 $490,000 $480,000 $606,000 $3,128,000
vs. year ago $480,000 $600,000 $546,000 $676,000 $2,707,000
% change -10.0% -18.3% -12.1% -10.3% +15.5%
Average
selling price $337,000 $543,000 $494,000 $532,000 $1,559,000
vs year ago $481,000 $640,000 $526,000 $600,000 $2,129,000
% change -29.9% -15.1% -6.1% -11.3 -26.8%
Median
selling price $337,000 $513,000 $500,000 $533,000 $1,410,000
vs year ago $495,000 $650,000 $535,000 $590,000 $1,168,000
% change -31.9% -21.1% -6.5% -9.6% +20.7%
Average
selling price
per square foot
