A few days ago the LA Times had a front page article about the decline of home prices in April in southern California. The tone of the article was indeed dire as it proclaimed this April to be the worst in 3 years. But as with many articles about the southern California housing market, the reality of the Manhattan Beach-Beach Cities market is not quite on the same level as other areas... especially those that are inland.
There were 36 homes and townhomes that closed escrow in April 2011 in Manhattan Beach. The numbers were the same as April 2010 while higher then April 2009 and April 2008.
That said home sales in the Manhattan Beach-Beach Cities real estate market this spring have been slower than many expected with interest rates hovering at 5% or lower and prices remaining flat or declining slightly in some parts of the South Bay -Beach Cities market.
Buyers are still unsure about where the economy is headed. The economic numbers nationwide may sound better but unemployment is still high in California and the rest of the country. Credit remains very tight as lenders seem to continually find new reasons not make loans to credit worthy buyers. It seems that once Congress decided to make lenders keep a percentage of their own money in the game the rules changed dramatically.
Appraisals continue to be an issue depending on whether or not the appraiser is familiar with the local market. The condition of the property has become more important than in previous years as lenders only want to loan on homes in average or better condition making "fixer" sales difficult to finance.
Inventory is creeping up with 156 homes, townhomes and condos for sale in Manhattan Beach. This is not as high as we have seen in previous years but higher than a few months ago. There are 32 properties for sale priced under $1,000,000 and 27 priced over $3,000,000. Properties that are priced right in a good location that show well are selling quickly... the rest are lingering on the market as they try to find buyers.
Manhattan Beach: Market Snapshot Sold April 2011
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