LA Weather has made international news this Winter. Historic rains point to the wettest season on record. The Oroville Dam failure, which is America’s tallest dam, threatened thousands of nearby residents and suggests climate change may produce more of these catastrophes before they can be repaired or strengthened. We’ve also had the coolest temperatures for Jan/Feb in recent memory. When will Spring arrive for Angelenos?
Our Spring may follow the Real Estate market behavior, as March opens to a different beat compared to this time last year.
Sales Volume (number of transactions) is relatively stable however a substantial
increase was noted in Sunset Strip with lesser increases in Santa Monica & Pacific Palisades. Registering a slight
decrease in Sales Volume were Beverly Hills, BHPO & Bel Air-- we will monitor that activity.
The Median Sales Price has maintained steadily but a slight decline in sales price was registered in BHPO, Sunset Strip and Bel Air.
Days on Market, or how long it takes a property to sell, has become “static” across the board and is very specific to each neighborhood. Bel Air and BHPO logged much shorter Days on Mkt compared to all other neighborhoods and Beverly Hills logged a slight increase in Days on Mkt.
New Listings in almost all neighborhood markets have remained stable except for a substantial increase in Sunset Strip and a noticeable decline in new inventory in Pacific Palisades. Inventory levels determine Buyer demand, which is important to remember.
We are entering a 3 month period that typically exhibits the highest selling volume for the year. Even though there is record inventory in some neighborhoods, my recommendation to Sellers is to get on the market if you intend to sell within the next year. For Buyers, perhaps you can take advantage of the increased shopping inventory and feel less pressure, but be mindful of interest rate increases if you intend to utilize a mortgage in your purchase.