South Bay-Beach Cities: Sold September 2011

Beach Cities:  Homes and townhomes sold in September 2011

North Redondo 2 on a lot Townhome

September  is always a tough month for real estate sales in the South Bay-Beach Cities.  This September was no exception.  The good news is that the number of sales was up for Hermosa Beach and South Redondo over 2010 and  just slightly less in North Redondo, Manhattan Beach and El Segundo.  The bad news( for sellers) and good news (for buyers)  is that prices were down in almost all the Beach Cities.  

Much of the decline in price levels is due to short sales.  In the last two weeks North Redondo is posting significantly lower prices for a number of REO's and short sale 2 on a lots and buyers are waiting in line to purchase at the new price levels.   Another significant factor is that many owners want to sell before the end of the year and  have  realized that they need to cut their asking price now to  be sure escrow closes by the end of the year. 

But before everyone gets  excited a lot has been happening this week that may change the picture a bit.  The Administration announced yesterday their new plan for refinancing properties of  homeowners who  owe more than their home is worth .   But as all programs put forward by the government there are a few hitches in their get along so read the fine print carefully before you get too excited. 

   If all goes as the administration hopes folks will be refinancing right and left.  In fact banks will be so busy with refi's they might not be able to deal with buyers who want to purchase a new home.  Dan Green the author of The Mortgage Reports has written an interesting article on  why interest rates may be headed upward in the future.    


South Bay-Beach Cities: Sold September 2011                    

     

Manhattan Beach Market Snapshot: Sold September 2011

Manhattan Beach homes and townhomes Sold September 2011

Flowers along The Strand in Manhattan Beach



September is the odd month when it comes to closed sales.   September sales reflect figures from the end of July and August.  August is usually the slowest month for sales as folks take the last vacation  of the summer and scramble to outfit everyone for the new school year. 

While total home and townhome sales for September(34) were near those of  2010(37) and higher than the figures for 2007(31), 2008(29) and 2009(26).... the median price was significantly lower than any year since 2003. 

I've been having an interesting online discussion with a reader about what is a distressed property.  While we don't quite agree on the precise definition of  distressed  properties, I think we are in agreement that this is a distressed market in all parts of the South Bay-Beach Cities.  The question is whether or not the Manhattan Beach real estate market will become more distressed or if it will remain  more on the flat side with  little movement. 

Currently  I see  roughly 20%-25%  of the Manhattan Beach properties that are for sale as  distressed which I think is  better  than  the numbers found  in many communities in Southern California.  My reader sees the market as closer to 38% of the available properties as distressed.   But then we have different definitions of what constitutes  a distressed property.  My definition is based on the financial situation of the owner while my Reader believes that  there are other items that make a property distressed. 

It has been over 4 years since the housing market took a major dive and there doesn't seem to be much happening to change the situation.  The boys in DC don't have a clue as they scramble to come up with something... anything.. to make the housing problems go away.  They can't seem to figure out that if you want the housing maket to stabilize you are going to have to make it easier,  not harder  for people to buy.  I'm not talking about reverting to the old programs that got us in this mess.  What I'm talking about is sensible guidelines that work on the consumer's behalf.  These guys are so busy grandstanding  and posturing  they have forgotten the basics.... making a loan to someone with good credit and cash for a downpayment who wants to buy a home.

Manhattan Beach Market Snapshot: Sold September 2011

Open House 3011 Johnston Ave Redondo Beach

Saturday October 22 , 2011...1-4 pm

Hard to find... Home plus legal Guest house on a large lot
Don't miss this rare opportunity to own a single family home and a permitted guest house on an oversize lot in the TRW tract of North Redondo. ... The main house is an 1860 sq ft 2 bedroom 1.5 baths with large family room, huge dining room and remodeled kitchen and baths.. The guest house is a charming  300 sq + studio with remodeled bath.

This home is the ideal solution if you are looking for a place for parents, grown children or a separate office area. The terrific home is on an 8300+ sq ft lot that has alley access... The possibilities are endless....

This is a wonderful mid-Century home with a definite Palm Springs resort feel...

$819,000