The real estate market has reached the mid-point for 2013 and there are some interesting numbers. On the COVER this issue is a stunning Modern Plantation style home in the Manhattan Beach Hill Section. With approximately 4700 square feet of living space, this wonderful home incorporates the best of indoor / outdoor living design. Offered by Brett Zebrowski, Palm Realty Boutique.
Palos Verdes has just entered a new dimension in luxury real estate offerings with the newly listed “Hacienda de la Paz,” a 50,000 square foot estate set on 8-acres in the private gated community of Rolling Hills. Listed at 53,000,000 (no, that’s not a typo,) this amazing five-story home doesn’t violate Rolling Hills one-level building standard because of the four subterranean levels! On the COVER this issue is an KAA designed home situated on a rare lot and a half on the north side of 18th street.
It’s once again, summertime in the South Bay. The local real estate market has been picking up velocity all year and I’m seeing lots of new construction in the beach cities. All year we’ve been hearing about the lack of inventory, but would you believe that Manhattan Beach has had more closed sales in 2013 (January – June 17th) than Hermosa Beach and South Redondo Beach combined! See chart below. On the COVER this issue is the ultimate luxury family home in the Hill Section in Manhattan Beach.
Mortgage rates are at their highest level in more than a year, Freddie Mac reported at the end of May. While still extraordinarily low by historic standards, Freddie Mac’s survey reported that the average for a 30-year fixed loan rose from 3.59% a week prior to 3.81% the week of May 30th. Just imagine trying to purchase and finance a home back in 1981 and 1982, when typical mortgage rates exceeded 16%! Below is a quick snapshot of 30-year fixed-rate mortgage average rates going back 10 years.
Since we tend to always focus on what the local real estate numbers are telling us about local market conditions, I thought I would share some “big picture” economic numbers that you may find interesting. Housing contributes to Gross Domestic Product (GDP) in two ways: private residential investment and consumption spending on housing services. Historically, residential investment has averaged roughly 5% of GDP while housing services have averaged between 12%-13%, for a combined 17%-18% of GDP!
It’s not every day you get to sit down with some of the most famous names (and painted faces) in the rock ‘n roll world. The DIGS team did just that last week as we got the chance to interview Gene Simmons and Paul Stanley of KISS and learn more about “The Rock and Roll Restaurant of The Future.” Don’t miss our feature article on another locally inspired Zislis Group restaurant with major Rock and Roll DNA, Rock N’ Brews. On the COVER this issue is a custom built contemporary in the Gas Lamp section of Manhattan Beach. Absolutely no expenses were spared in this gorgeous home — a must see!
The Palos Verdes real estate market is starting to hit its stride; total year-to-date volume is up $58,831,607, there have been 41 more closed sales, average sales price is up and average days on market is down 28 days from same period last year. On the COVER this issue is a lush Mission Style Spanish Revival estate on a wonderfully quiet street in Palos Verdes Estates. This fabulous home features an amazing outdoor space on spacious 40,000+ sq ft lot situated across from Parkland, and luxurious architectural details throughout.
It’s no secret, the South Bay real estate market is heating up and one beach city in particular, Manhattan Beach. Looking at closed sales for Single Family Residences in Manhattan Beach (March 1 – April 1, 2013,) a total of 32 homes sold at an average $52,350 over listing price at an average of 40 days on market. Several homes in the area have sold for multiple six figures over asking price with multiple offers. Where does it go from here?
Despite the ongoing tight inventory in the South Bay market, aggregate Single Family Residence (SFR) home sales are up 30% so far in Q1 for the Palos Verdes Peninsula over last year. For the period of January 1st through March 26th, there have been a total of 148 homes sold vs. 114 last year. Interesting, average days on market are down 31% and average selling prices are up 4.5%. On the COVER this issue is the serene “VILLA BALINA” — a timeless estate on one of the best streets on the entire Palos Verdes Peninsula with panoramic views of the Pacific Ocean and entire Santa Monica Bay.
Buyers, buyers and more buyers! That’s what is going on in the local real estate market with inventory still very tight. Manhattan Beach is an interesting case study, with only 32 active listings (SFR) as of press time. Prices are also on the rise in Manhattan Beach, which are now at levels not seen in over four years for Single Family Residences. Sellers…? On the COVER this issue is an unforgettable Mediterranean Estate originally built in 1929 for the daughter of Frank A. Vanderlip, the impressive grounds boast unobstructed panoramic ocean, canyon, coastline and Catalina Island views.
It seems like every other conversation I’m having these days with local real estate professionals centers around the topic of “off market” inventory. For our purposes, we refer to “off market” as the properties that are not listed in the Multiple Listing Service (MLS) but are actively for sale in the local market. While this is a subject of much debate, the “off market” inventory in the Beach Cities in the South Bay may be as high as 10% of total available listings for sale at any given time. What is for certain in today’s real estate market is that there are more buyers than sellers, inventory is still low and prices seem to be edging up. As we get into Spring, the market should give us a good indication if inventory will loosen up, but I’m starting to feel that the tide may be turning.
