L.A. real estate news and insights.
A new study has found that home prices in Los Angeles are on the decline year-over-year.
In December 2022, the median price of a home in Los Angeles was $810,000; down $40,000 or 4.7% from December 2021.
That was the second largest decline in the study for all US cities, behind only San Francisco which saw a 5.1% decrease.
Considering rising interest rates, inflation, major layoffs, and recession fears, a 4.7% decline is not that bad.
Source: RE/MAX
Despite the sharp increase in December, recent housing data has indicated that rents have begun to fall: Realtor.com®, for example, reports that rents have dropped in many of the nation’s hottest real estate markets after rising more than 20% over the past three years.
Also, robust apartment construction likely will raise rental vacancy rates, which could help further ease rental prices in the months ahead.
Source: The National Association of REALTORS®
Share of U.S. homes bought with all cash hits highest level since 2014. Roughly one-third (31.9%) of U.S. home purchases were paid for with all cash in October.
However, expensive West Coast metros dominate the list of places with the lowest share of all cash-purchases. They’re least common in the Bay Area: Just 14.3% of home purchases in San Jose and 16.5% in Oakland were made in cash. Next come Seattle (19%), Los Angeles (19.2%) and Newark, NJ (20%).
Source: Redfin analysis of county records
For the general location, in Google maps, put in "Almetz St. and Fenton Ave."
Text me for more info at 818-445-7953.
This home has 3 bed/3 baths and 2,050 sq. ft. of living space.
The 2-story home features an open floor plan, a breakfast bar in the kitchen, a loft at the top of the stairs, and a primary ensuite with high vaulted ceilings.
The HOA covers the water utility, front yard, gardening basketball court, and visitor parking area.
Despite higher interest rates negatively impacting housing affordability and demand for homes, not all buyers have been sidelined.
According to the latest Housing Trends report by the National Association of Home Builders (NAHB), in Q3 2022 59% of prospective buyers had moved beyond the planning phase and had become fully engaged in the buying process. This was up from 46% in Q1 2022 and 49% in Q2 2022.
The share of prospective buyers actively searching for a home rose in every region between the second and third quarter of 2022, with the West having the largest share at 68%.
Less competition and more inventory were the driving force for the share increase in the recent quarter.
A majority of house hunters say it’s not prices that are keeping them out of the housing market—it’s other buyers. 45% of prospective buyers recently surveyed say they keep getting outbid by other offers, according to a new survey from the National Association of Home Builders. The NAHB says this is only the third time in the survey’s history that the top reason prospective buyers have been unsuccessful has not been due to finding a home at an affordable price.
In the third quarter, 66% of active home buyers say they’ve spent three months or more searching for a home without success.
Source: National Association of Home Builders’ Eye on Housing blog
Only 58.9% of home offers faced competition in September, the lowest level for 2021 so far, according to a market index produced by Redfin based on offers written by its agents. That’s down from a peak of 74.3% in April. September also marked the fifth consecutive month of declines in bidding wars.
Still, homes are selling quickly: 86% of homes sold in September were on the market for less than a month, according to the National Association of REALTORS® latest housing report. About 33% of homes that went under contract had an accepted offer within just one week of being listed on the market.
45% of homes sold at or above list price, up from 22% in 2019.
Here's an update on 2 "Hot Homes" from earlier this year.
Hot Home #1: Hermosa Dr., San Gabriel
Asking price: $1,495,000
Sold price: $1,660,000
Hot Home #2: Rossmore Ave., Los Angeles
Asking price: $12,375,000
Sold price: $10,000,000
Not available on Zillow, Redfin, or the MLS... Off-market property in West Hills!
This move-in ready home has 4 bed/3 bath, 2,333 sq. ft. of living space and is on a 7,508 sq. ft. lot.
The renovated & remodeled home features dual pane windows, high ceilings in the living room, stainless steel appliances in the kitchen, and a large family room with a fireplace.
There is a bonus room downstairs with a separate entrance and kitchenette.
The private backyard has a fishpond & fruit trees.
Text me if you want a tour at 818-445-7953.
Mortgage rates remain below 3% for the eighth consecutive week, but economists believe job growth will determine how much longer they'll likely stay so low. The 30-year fixed-rate mortgage averaged 2.87% this week, Freddie Mac reports.
“Job growth seems to be very critical for the following several months as it will indicate when the Fed’s tapering will likely start,” Nadia Evangelou, a senior economist and director of forecasting for the National Association of REALTORS®, writes for the association’s blog. “There is ample talk about the Fed cutting its monthly bond purchases before the end of the year.”
The Fed’s asset purchases have helped keep rates lower than they otherwise would be, Evangelou adds. “Expect mortgage rates to rise further when the Fed will raise interest rates since rising interest rates increase the cost of mortgages,” she notes.
Here's an update on 2 of my "Hot Homes" from earlier this year.
Hot Home #1: Sycamore, Pasadena
Asking price: $1,799,000
Sold price: $2,100,000
Hot Home #2: Eton Dr., Burbank
Asking price: $1,349,000
Sold price: :$1,425,000
L.A.’s already pricey real estate market is getting pricier.
Los Angeles County’s 2021 Assessment Roll, which looks at all taxable property in the county as of Jan. 1, grew by $62.9 billion to $1.76 trillion — that’s the 11th consecutive annual increase.
I told you they were "HOT"!
Here is a quick update on 2 of my "Hot Homes" from earlier this year.
Hot Home #1: Valley St, Burbank
Asking price: $1,325,000
Sold price: $1,531,100
Hot Home #2: Tuxedo Terrace, Los Angeles
Asking price: $1,549,000
Sold price: $1,855,000.
Here is the most expensive home to sell this week in Shadow Hills.
Asking price: $1,299,000
Sold price: $1,435,000
This single-level equestrian home has 4 bed/3 bath, 1,864 sq. ft. of living space, and is on a 21,199 sq. ft. lot.
The home features a chef’s kitchen, and large dining area, and a family room with a brick fireplace.
The entertainer’s backyard offers seating areas, a fire pit, pool, and spa.
There is a standalone large barn, 3 car garage, and workshop.
Have Shadow Hills prices peaked?
Kate Beckinsale just listed her Brentwood home for sale!
Asking price: $3,995,000
This private home has 4 bed/5 bath, 3,603 sq. ft. of living space, and is on a 17,308 sq. ft. lot.
The home features a library with built-in bookshelves and a gourmet kitchen with 2 islands.
What's really unique is from the master suite you can take a bridge that will lead you to a hidden spa outdoors.
There are multiple outdoor lounging areas, a stone patio with a fireplace, and an outdoor shower.
Text me if you want a tour at 818-445-7953.
