Beach Cities: Sold June, July August 2011

Home Sales for Manhattan Beach, Hermosa Beach, Redondo Beach and El Segundo for June, July and August 2007-2011..

If you are confused about where the housing market seems to be headed... you have lots of company!  Even the experts can't seem to get a handle on what is happening..  In fact  the same story can be seen from different points of view... check out the LA Times  and the Daily Breeze  headline views of August home sales.

The graph above  for home sale volume in Manhattan Beach, Hermosa Beach, Redondo Beach and El Segundo for June, July and August  2007-2011  indicates some very mixed messages.  Manhattan Beach, the most expensive of the Beach Cities,  had more sales in the summer of 2011 than in 2007 as did El Segundo.  South Redondo sales are  fairly stable while Hermosa and North Redondo saw sale volume declines.    

This is a very interesting time in our local real estate market.  Prices are down and in many sub areas are still looking for some sign of stability.  Inventory is down across the board with the exception of Hermosa Beach where inventory rose by 4 properties since mid September. Interest rates are still hovering around 4.2% for a 30 year fixed rate loan.  5 year adjustables are 2.75% for conforming loans ( $625,500 or less).  Finley Taylor from US Bank reports  Jumbo loan  rates are slightly higher at 4.875% with 0 points up to a $1,250,000 loan max... significantly below the 7%-8% we thought was amazing  just a few years ago.

For buyers at the entry level  in the Beach Cities the combination of low rates and falling prices mean it may be cheaper to buy than to rent.  I have 2 clients who are closing escrows this month who are paying less on their mortgage  than they were paying in rent.  This isn't true at all price points but definitely at the entry level. 



Beach Cities: Sold June 2011 

Beach Cities: Sold July 2011

Beach Cities: Sold August  2011

Manhattan Beach Homes: Sold June, July August 2011

Summer home and townhome sales in Manhattan Beach held up well compared to previous years. Overall sales volume for 2011 is the highest since 2007 with 306 homes and townhomes sold between January 1, 2011 and September 15, 2011. Home prices however are another matter.

Manhattan Beach home prices for entry level properties under $1,000,000 have been relatively consistent since last year but prices above that range are still searching for stability. As the recession continues with little sign of abating anytime soon and the stock marketcontinues its wild ride, many financially stable homeowners are begining to feel the pinch of lower economic expectations. For some that means fewer vacations and nights out but for others it may mean they need to sell and either purchase a smaller home or perhaps rent for awhile until the economy begins to look better.

Manhattan Beach real estate prices have definitely declined in the last few years although not by as much as many had predicted. Prices still seem to be in flux for much of the market although not by the percentages seen in previous years. The big question for both buyers and sellers is whether Manhattan Beach real estate prices are approaching the bottom of the market or are there still more price cuts ahead.

Manhattan Beach Market Snapshot: Sold June 2011

Manhattan Beach Market Snapshot: Sold July 2011

Manhattan Beach Market Snapshot: Sold August 2011

Fiesta Hermosa... The end of summer.....

You know it's the end of summer when Fiesta Hermosa is back for the Labor Day weekend. I love this mix of art and kitsch... it's just so Hermosa and so beachy. The Fair runs Saturday through Monday.

Shuttle buses run from 7:30 am to 7:30 pm from Northrup Grumman at Manhattan Beach Blvd and Doolittle Drive. Street parking is very limited so go early if you want to drive you car.. and be aware that parking meters are only good for a few hours. Putting in extra money won't save you from a ticket if you are over the hour limit..

The Fiesta Hermosa bike valet program is why a bike ride down the Strand might just be the best way to get to the festivities. You can ride your bike, and park in the guarded lot on the sand just south of the Hermosa Pier. Hermosa Cyclery will valet park your bike and offer air for tires and on-site diagnostic checkups while you enjoy the festival. The lot is open from 10 a.m. to 6:30 p.m. daily. Check http://www.patch.com/ for more info.