SANTA MONICA PROPERTY SNAPSHOT – FEBRUARY 2010

REASONS FOR OPTIMISM

By Jodi Summers

CONDOS

This month we start with condos because the news is good!

Oh, what a difference two years make. After languishing for much of 2008 + 2009, the Santa Monica condo market is showing signs of recovery. Since prices dropped so low, people pulled their properties from the market, waiting for signs of strength. Clarus Market Metrics reports that contrasting January 2008 vs. Jan 2010 volume of for sale properties is down 29%. Meantime, thanks to government incentives, condos are selling in Santa Monica. The number of sold properties is up 12%.

As far as price dips go, you’ll notice that the condo market comparison is not quite as severe as the single family market. Weigh Jan-08 vs. Jan-10 - the median price of for sale properties is down 13%, BUT the median price of sold properties is up 8%. So, if you think abstractly, it’s a drop of 5%. And we saw increases of 400% in the past decade, right?

Another bright spot in the Santa Monica condo market is that the average months supply of inventory is down -12.3%.

SINGLE FAMILY

The nicest thing we can say about the Santa Monica single family real estate market this month is that, n contrasting January 2008 vs. January 2010 is that the average months supply of inventory is down -35.6%.

Now keep in mind, like the unemployment figures in this grueling recession, that doesn’t necessarily mean sales are up, it just means that sellers have stopped trying

From Jan-08 vs. Jan-10, the number of for sale properties is down 19%...and here’s an interesting caveat, the number of sold properties is up 27%... and here’s why…

Clarus Market Metrics points out that if you compare Jan-08 vs. Jan-10, the median price of for sale properties is down 14%, and the median price of sold properties is down 47%.

So, now is the time to sell only if you need to.

Away from the beach, in the more afford end of the real estate market things are looking brighter. The California Association of Realtors (CAR) recently released their December 2009 report for existing home sales and prices in California. Statewide, sales of existing single-family homes rose by +1.7% (compared with December 2008) to 558,320 units (seasonally adjusted, annualized rate) while the median price increased by +8.4%. The was the second consecutive year-over-year price increase (in November prices rose by +4.7% for the first time since August 2007) and was the largest year-over price increase in three years. On a month-over basis, December marked the tenth month in a row to see an increase in median price (+0.8%). In Los Angeles County, unit sales during December rose by +4.3% over the year. The median price increased by +4.9% to $353,560.

We would like your real estate business. If we can provide you with more detailed information, please contact the SoCal Investment Group through Jodi Summers, Jodi@jodisummers.com or call 310.392.1211. We look forward to working with you in your next real estate transaction.

http://www.cirbdata.com/

https://www.terradatum.com/

http://www.globest.com/news/1590_1590/washington/183353-1.html

http://www.SoCalGreenRealEstateBlog.com

http://www.laedc.org/eedge/index.html#1

http://www.iamnotastalker.com/wp-content/uploads/2008/01/img_18842.jpg

Posted Saturday Feb 06

Jodi Summers
Sotheby's International Realty

Jodi Summers: Real Estate Agent in Santa Monica, CA

Office: (310) 392-1211

www.santamonicapropertyblog.com is where the Santa Monica community can go to collect its thoughts. The blog, first of it's type for this forward thinking city, gives us a place to unite.

SANTA MONICA PROPERTY SNAPSHOT – FEBRUARY 2010

Jodi SummersSotheby's International Realty

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Jodi Summers
Sotheby's International Realty