Welcome to Spring!
Warm weather and blooming flowers arrived just as Spring opened its doors, and the increasing number getting their vaccines, which hopefully helps all of us spring into new and renewed life.
As we enter our second year of the pandemic, we find our housing market conflicted — nationally, prices are zooming upward — up 14.4%, but the number of homes sold in the U.S. fell 3.6%. And in Southern California the median sales prices reached an all-time high, jumping nearly 15% from a year earlier, but sales surged 19.1% from February 2020 in Los Angeles County. What is challenging these impressive numbers is that homes are selling faster than ever, and buyers had 13% few options to choose from. Lower mortgage rates are still driving this home-buying onslaught in Los Angeles County, where we have seen a turnaround also in the higher-end market (homes selling for over $5 million) where sales and prices are up significantly over previous months compared to 2020. (See the next SchifferLine for our High-End Sales Report.)
The competition is keen everywhere that I am seeing on the Westside — multiple offers on homes that are competitively priced, and 35% of homes sold are now being sold for over listing price — a clear indication that demand continues unabated. The same situation exists with leases as well. I have a client who is temporary moving here from Mexico City, and every house he likes is gone before he can come here to see it.
The external issues we have been monitoring Vs a Vs the proposal to create a high-speed monorail system from the San Fernando Valley through the Westside to LAX continues to ramble along as does the proposal for the construction of the Berggruen Institute. Both of these proposed projects have a fair amount of opposition so we shall see how each of them progresses. I will keep you abreast of what is happening.
I have so much gratitude for all of you and the life we live here in our lovely community. However if you are taking of selling or perhaps wish to purchase something else, please know that I am here to assist you!