Thursday, June 15, 2006

June activity notes

Sales activity in the 90278 area looks like it is way down when compared to last year. We'll have to keep watching to see if the malaise is here for good. It is not clear if we are passing the "normal market" phase into the "sick phase", but we're watching.

My favorite realtor source has not published a June report for the Redondo area. Maybe he is on vacation, or maybe, the numbers are really bad and a decision was made not to publish them. Dunno.

There is now a more substantial handful of "repeat offenders", listings that expire and then get relisted.

3191 Setag was listed early this year at $1,198,000. It expired and now is relisted at $1,099,000, a reduction of over 8%, still not what I would consider a very serious reduction.

3391 Swehtam was listed early this year at $889,000 and is now listed at $819,000, a reduction of 7.8%.

3032 Mossolb is a new bubbleminium that has been on the market at least since early this year, and its asking price of $1,299,900 has not changed at all.

The earliest I knew about 2500 Nosnibor being on the market was late last October. At the time the asking price was $1,290,000. It was re-re-relisted June 13 at $1,149,000, a reduction of over 10%.

5 Comments:

Blogger judicious1 said...

Here we go...the correction years are just beginning here in the SB.

1:11 PM, June 15, 2006  
Blogger LARenter said...

Definitely seeing some anecdotal evidence of a slow down here in South Redondo. I'm seeing it in the body language of the realtors here. We have three units now available in our building on Esplanade. There was an Open House this weekend and we asked the realtor if she would let is in the unit unless of course she was meeting somebody in the lobby. And it was just the way she said "Oh no, don't worry about that" it was cynicism mixed with a little panic. There was another realtor siting in the lobby deeply into a good book. What a difference several months can make.

5:25 PM, June 15, 2006  
Blogger judicious1 said...

larenter -

My wife and I went into the condo complex at the South end of the Esplanade about two years ago to view a unit. We just happen to be walking by and looked out of curiosity. This was the complex directly across from the little park (Miramar?), the one that is mostly glass and green metal frame. They were asking $800K for the unit which was about 1100 sq ft. The realtor asked us if we were serious about buying and I told them I thought the market was going to turn down and was willing to wait. They just looked at each other like they knew exactly why I had this concern. I wonder how much foot traffic they would get in that unit today if it were for sale. I'm not sure it ever sold as the For Sale sign just disappeared one day. Times sure have changed in the past year or two...inventory is building and homes aren't getting multiple bids over asking price any longer. I think the next couple years will be sobering for those who thought prices will never go down.

10:02 AM, June 16, 2006  
Blogger judicious1 said...

Did everyone read today's LA Times article? The beginning of the end here in LA...

5:25 PM, June 17, 2006  
Blogger LARenter said...

Judicious,

I wrote this in Bens blog about this article;

What I think the story is here, is the inflection point of the media coverage. Annette Haddad point blank said “This housing bubble” in an article about San Diego recently and now Gayle wrote this somewhat accurate article about LA real estate. A couple of months ago they were emphasizing quotes from permabull RE agents, CAR and NAR representatives, although they still quote the NAR talking point things are normalizing and in the words of Tony the Tiger “That’s Great”. I believe the new tone reflects how fast market conditions in LA are changing. For the past 12 mos we have been watching cities like San Diego and Phoenix slow down reflected in their escalating record inventories. LA is just now entering that phase except in a much worse interest rate environment. So they are getting a double whammy. The slowdown here could be much more pronounced as a result. I live in Redondo and I am seeing an awful lot (and I mean awful lot) of Open Houses and For Sale signs that have been so absent in the past couple of years. Hold on to your hats this could be a pretty big ride.

10:32 AM, June 18, 2006  

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