Trying to get a handle on the local Beach Cities real estate markets is can often seem like trying to climb a slippery pole... difficult at best. The South Bay-Beach Cities real estate markets, like all LA County real estate markets, have seen home values and sale volume decline in recent years.... we just haven't been hit as hard.
The Beach Cities market has had its share of distressed sales...foreclosures, short sales, pre-foreclosures, job transfers, divorce and deaths. Tighter lending guidelines, difficult appraisals and paranoia on the part of many lenders have helped keep prices and volume low. But this is not necessarily a bad thing. Markets need time to adjust to different parameters.
Overall the South Bay-Beach Cities Real Estate market has been on the flat side and will likely remain so unless market forces take a sudden dive. A flat market gives buyers and sellers a chance to review their options and take some time to make decisions about their housing needs and desires. As long as inventory and sales remain relatively flat, the South Bay-Beach Cities real estate markets will continue to be on the stable side.
However even a somewhat stable market will have price fluctuations. Our local real estate markets have a number of sub markets that are constantly in flux. Many High end Strand properties are selling at some benchmark prices. Many of these sales are off market. Short sales will continue to be more of a factor in Redondo then in Manhattan, Hermosa or El Segundo.
Lenders show no signs of making credit easier to obtain. Whether you are looking to purchase a home or need money to run a business banks show no signs of easing on their stringent requirements. These decisions by the credit markets will keep the economy from gaining much momentum in the coming year.
South Bay-Beach Cities: Sold 2007-2010
South Bay-Beach Cities Inventory Levels: January 2009, 2010, 2011