SANTA MONICA REAL ESTATE SNAPSHOT – JUNE 2010

by Jodi Summers

Congratulations to us! Experts across the board say our home values may have hit bottom. As you know, the U.S. housing rebound has depended upon where you live. This map shows the year-over-year change in home prices for the 20 metro areas covered by the Index…and Los Angeles made the top 5!

San Francisco, one of the nation's priciest markets, posted the largest gain -- 16.2% over the past year. San Diego (10.8% ), Cleveland (6.7% ), Minneapolis (6.5% ), L.A. (6% ), and D.C. (5.6% ) also posted significant gains.

The Case-Shiller Home Price Index Housing prices concludes that prices have held up better in wealthier and more productive regions with a well-educated (122 colleges + universities in L.A. County), multicultural population; offering professional (medical) and creative work (entertainment), and high-tech industry (aerospace), and higher levels of amenity . Housing prices have fallen further in blue-collar locations with lower wages and skills, lower levels of amenity and openness. Expect to see great values in Appalachia going forward.

Zillow agrees, nothing that the Los Angeles, San Diego, San Francisco, Santa Barbara and Ventura metro areas have seen month-over-month appreciation for at least the past 10 months - each appears to have hit a low point in April or May of 2009.

"It's a very positive sign that several large markets have hit what appears to be a tentative bottom
                in  home values," observed Zillow's chief economist, Stan Humphries. "While this is no guarantee
                that home values there will not fall again, it is more likely than not that they will remain above their
                lowest point last year." 

In Santa Monica, comparing May-08 vs. May-10, the median price of for sale properties is down
                8%, and the median price of sold properties is down 22%. With the mean price dropping from
                $2,352,500 to $1,835,000, it a buyer’s market.  If you evaluate May-08 vs. May-10, you'll notice,
                the number of under contract properties is up 17%. 

And, although the sales volume remains unchanged, the average amount of days on the market
                for a single family home in Santa Monica from May-08 vs. May-10 is down 34% 

Indeed our market has hit bottom, and now is a great time to buy. If you need help, contact us.
                 Jodi@jodisummers.com. We look forward to working with you.

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

http://www.theatlantic.com/national/archive/2010/05/housing-prices-and-the-great-reset/57287/

http://www.creativeclass.com/creative_class/_wordpress/wp-content/uploads/2010/05/YearOverYear.jpg

http://www.inman.com/news/2010/05/10/real-estate-bottom-reached-in-some-california-markets

https://www.terradatum.com/agentmetricsonline/report_chart_view.td

http://www.dqnews.com/Articles/2010/News/California/HighEndSales/MDCA100204.aspx