Some neighborhood statistics
I thought you might like to see some of the statistics I am seeing in my Redondo Beach database. Below is the first 30 entries of my unsold inventory table, when sorted in descending order by percent of price reduction. I have included the street name but won't divulge any more information about the properties, in order to protect the privacy of the guilty.
Current Reduction % DOM
Street Price $ $$$ Red
1 Esplanade 609000 190000 0.24 180
2 184th 989999 259991 0.21 229
3 Mathews 789000 206000 0.21 347
4 Knob Hill 975000 250000 0.20 154
5 Marshallfield 740000 179500 0.20 162
6 Ford 699000 151000 0.18 146
7 The Village 745000 154900 0.17 109
8 Paseo de la Playa 698000 141000 0.17 203
9 Juanita 998000 201000 0.17 149
10 Elena 979000 196000 0.17 134
11 Anita 999000 200000 0.17 182
12 Pearl 670000 129000 0.16 65
13 Elena 989000 186000 0.16 134
14 Grant 565000 104000 0.16 169
15 Catalina 469000 86000 0.15 198
16 Calle Miramar 1389000 250000 0.15 135
17 Prospect 724999 124001 0.15 106
18 Havemeyer 699999 119001 0.15 183
19 Catalina 940000 155000 0.14 114
20 Helberta 998000 161000 0.14 106
21 Mathews 699000 110000 0.14 184
22 Sebald 739900 110000 0.13 118
23 Rockefeller 650000 95000 0.13 122
24 Bataan 1049000 151000 0.13 99
25 Carlson 769000 106000 0.12 178
26 Harper 1149000 150000 0.12 108
27 Harper 1149000 150000 0.12 108
28 The Village 974500 124500 0.11 66
29 Loma 960000 120000 0.11 67
30 The Village 445000 54000 0.11 87
The DOM figure is today's date minus the date the property was first listed, as far as I could tell. #3 on Mathews is just about a year on the market now. It is a pity that some of these sellers got caught in the market shift nearly a year ago, and their realtors were still assuming the price gain momentum was still intact. With the other 470+ unsold/unresolved properties in Redondo Beach that I see in my table, it's clear that it's just getting harder and harder to sell a property that's been on the market so long.
The Reduction $$$ is the total reduction taken from the original asking price, in dollars. When I look at the reduced properties in Zip Realty, it is apparent that some of the properties take serious reductions in big chunks, but a lot of them just nibble away and shave off $10K, sliver off $5K there, to the point where it makes me crazy.
The asking price on this property is now down to $899900, from an original $989900 in June. This townhouse sold as new construction in March 2004 at $810000.
posted by bearmaster at 9:19 PM
7 Comments:
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#26 and #27 are actually new construction, the properties adjacent to each other. They are not duplicates.
I know its childish and immature... but am I the only one who wants to send a sheet cake to any property that breaks one year on the market? ;) Not a fancy one, just a simple cake with picture of a house on the front, one candle, and the words "congradulations for one year on the market."
Don't worry, I wouldn't really do it. However, there are several townhomes pulled off the market on N. Juanita. If any re-appear, I plan to visit them in march. Why? I toured them with my fiance' last March! Most were on the market until ~Thanksgiving and were then pulled. Yea... Schadenfreude... but if you're willing to price right, you could sell. (Several townhomes on the street did sell last year.)
Neil
Neil,
Maybe we should send the sheet cakes to the realtors who are listing those properties. They ought to be ashamed of themselves for not pricing "ahead of the curve." People are paying them good money for their services and they aren't getting good service IMO. A cake delivered with that kind of message would be a wake up call, definitely!
Of course I may be wrong - there are lots of good realtors out there who have gotten stuck with homesellers who are being stubborn and refusing to lower the asking price of the property. In those cases, the cake and congratulations should go to the seller.
So many in this market are operating with this built-in assumption that the market will be like the old days come spring. We shall see!
According to Melissa Data, December sales for RB have started out well. If this pace keeps up, the sales volume will almost hit the volume of December 05. But the average sales price is down therefore the total dollar volume will still be down, even if sales volume does match. I have yet to see these December sales confirmed at Domania.
Here's a picture of a Humpty Dumpty 1 year cake. Maybe I should use it as a symbol of time on market and state of the housing market.
Cheers.
The other day I happened to be browsing the ziprealty site, using their map feature. I searched for single family homes w/ reduced prices in the Hermosa/Redondo/Torrance area. I was surprised to find that just by casual observation, I had found 3-4 properties that are already underwater, and a few more that were close.
Other anecdotal info is that there seem to be a *ton* of "for-rent" signs in my neighborhood (N. Redondo), lately.
This is what I mean about people in real estate assuming things will be "back to normal" soon.
This is from some Q&As in the December 10 L.A. Times. When a homeowner runs into trouble, the advice always seems to be to wait until things get better.
Seller's best bet might be to wait
Question: My home has been listed for more than nine months without selling. I've dropped the asking price to $36,000 less than I paid a year ago. My agent has done everything she can. But now I can't afford to pay a sales commission and pay off my mortgage. Nor can I afford to stay and pay the mortgage payments. What about those "cash-for-homes" companies I see advertising?
Answer: It sounds as if you bought at the peak of the market for your area. Those "cash-for-homes" companies buy at huge discounts from market value in return for quick cash sales.
Why are you selling? Unless you absolutely must sell now, I suggest you wait. Maybe you can rent part of or the entire house to help meet the mortgage payments.
Even in the best of times, it is difficult to sell a home and come out even, after paying sales expenses, until after at least three to five years of ownership.
Maybe we should send the sheet cakes to the realtors who are listing those properties. They ought to be ashamed of themselves for not pricing "ahead of the curve."
Great idea! I love it! A little "award" for the agency that is too foolish to move the product.
I love the humpty dumpty cake, it should be the image on the first house that you can document being on the market one year. I've saved *a lot* of fliers over the last 9 months... Dated and some have comments. So its almost time to dig them out and comment. Although, quite a few eventually sold...
That advice from the LA Times is pretty worthless... sadly, that buyer will see no relief. Time for a short sale.
The current frenzy of south bay activity amazes me... It will be interesting to see how many of the buyers are stuck with two properties... the sub-prime market eventually will effect the upgrade market. Oh, I know there is a 3 to 5 month delay... but eventually.
Neil
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