Manhattan Beach Real Estate-Redondo Beach Townhomes: Manhattan Beach, CA: Market Snapshot February 26, 2008

Manhattan Beach January 2008

There may be light at the end of the tunnel. It might only be a pinpoint but it will be welcome after the dismal sales of the last few months. February closed escrows are a reflection of December and January sales which were very low. However over the last few weeks there has been a slight uptick in activity with 19 homes and 5 townhomes pending since February 1, 2008.

I'm seeing increased activity at Open Houses. Most of those going through say they are ready to buy within the next two-four months. The smart buyers are talking with lenders now and getting pre-approved and locking in rates. The current mortgage market is just bizarre... and that's the kindest word I can use.

Lenders are so skittish that they are questioning every loan.. even those where buyers have high FICO scores and down payments of 20% or more. Appraisals are being questioned and review appraisals are the norm for all transactions. Rates are moving up and down on a daily basis. I know I keep repeating myself... but I truly haven't seen a mortgage market like this since the late 70's and 80's.

While prices are soft there are few foreclosures in Manhattan Beach. Inventory is about where it was in the fall. There are 126 homes and 30 townhomes for sale. The biggest change in the market is the numbr of properties under $1, 000,000. There are 11 homes and 9 townhomes currently listed under the $1 million mark. There is even a little one bedroom condo on Manhattan Beach Blvd at $350,000.. no misprint!

Manhattan Beach: Market Snapshot February 26, 2008(click graph to enlarge)