Miracle Mile, Carthay - Homes are Selling

I checked the MLS today as I do every day to see what is happening in the Miracle Mile Market of Los Angeles. I get into just about every listing when it hits the market and like most people, form an opinion on the house, the price etc.

I noticed today that 2 homes that recently came on the market in the Miracle Mile, specifically the popular South Carthay neibhorhood both went into escrow this week. One was a bit dated and listed at $1,199,000 and the other was a showplace that listed at $1,495,000 (pics http://www.postrain3.com/kw/1016alvira/mls.php . The house listed at $1,495,000 belongs to a real estate agent I know and according to him he got multiple offers and over asking within the first 2 weeks of coming on the market.

The interesting thing is that this is a high price for the neighborhood - even during 2007 this would have been a high price. What it tells us is that when a house comes along that is really unique and special, buyers will still pay a premium. His home was on a larger than average lot, had a guest house, a pool and a separate garage which is not typical for most homes in the area. Buyers realize that another home like this won't come along for awhile so they pay for it.

At the same time, we have plenty of homes sitting in the Miracle Mile that have been on the market for months. Those homes are often nice homes but not something buyers feel they need to jump on. In those cases it's all about being a good deal. Pricing is what will move all those other listings that are just sitting. Price it right and the buyers will come.

I'm encouraged to see some of this stuff moving - it's a good sign that buyers are out there ready to buy.