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Jeffrey T. Sandorf's Blog

By Jeffrey T. Sandorf | Agent in Brentwood, Los Angeles...
  • 6 Month Market Round-Up

    Posted Under: Home Buying in Brentwood, Home Selling in Brentwood, In My Neighborhood in Brentwood  |  July 19, 2014 11:52 AM  |  22 views  |  No comments
    With the first six months of 2014 in the books I wanted to share with you some thoughts and insight into the current condition of the Los Angeles real estate market.  

    We continue to see a very tight housing inventory which has left many buyers competing with others for the same properties, more often than not resulting in multiple offers and sales prices over asking price.  In the Pacific Palisades for example, 44% of all home sales in 2014 year to date have been at or above the list price.  I am selling homes in all areas of the Westside of LA and have seen a similar phenomenon.  To be sure however, I do not see our market as frenzied or without fundamentals as the properties that buyers perceive as over-priced or that do not show well are sitting on the market.   Many sellers are attempting to test new pricing highs and buyers are definitely taking pause in these situations.

    Nonetheless, prices have steadily appreciated over the last several months as we are now seeing the average price in many neighborhoods surpassing the previous peak of 2006/2007.  This should not be surprising and was expected as the recovery of each past real estate cycle has also surpassed the prior pricing highs.   The yellow highlights on the chart at the bottom of this email (which notes the average price of a single family home in various areas of Los Angeles) denotes the peak average prices, per area, over the last 12 years.   

    As you can see virtually every LA neighborhood noted has seen an increase in the average price over 2013.  Some areas have seen as much as 20% plus average price gains this year including BHPO (+22%), Brentwood (+20%) and Los Feliz (+20%).  Others are posting strong numbers as well:  Cheviot Hills-Rancho (12%), Santa Monica (11%) and Pacific Palisades (16%).  The figures for Bel Air are astonishing as they are posting 73% price gains over 2013.  The data should be taken with a grain a salt as there were several very high-end sales in Bel Air which swung the data dramatically.

    A big differencebetween our current market and 2006/2007 is buyer financing.  The last time around lenders were allowing buyers/borrowers to place as little as 0% - 10% as a down payment with little or no underwriting. It seemed that anyone or everyone, qualified or not, was getting a loan and buying houses which over-fueled the market and created a price push without much substance.  This time around most loans, not all, require at least 20% down and lender underwriting guidelines are significantly tougher.  There is also a high prevalence of cash buyers.

    The biggest happenings in the market catching my eyes is the enormous amount of new speculative construction underway, the massive demand from builders for tear down properties and the high activity of "pocket/off-market" listings.  Drive through any residential area on the Westside and you are bound to see site after site of new construction - many of these homes are being shown to prospective buyers while under construction and indeed many of them are selling before being completed.  There are many "off market" sales, for both new and older homes that the current data does not account for - in the Pacific Palisades for example, unreported sales would account for about 15% of the market.  With inventory so tight we are constantly locating these opportunities for our buyer and seller clients.   

    The next six months into 2015 should continue to be steady but perhaps not as torrid as the last 12 months.  Appreciation at single digits, or even a flat market, is not a bad thing to help balance the market.  The high prevalence of newly constructed homes soon hitting the market will be really interesting to watch.  With values of tear down homes so high I can't help but believe that new home prices will also to have to be higher in order to make these ventures profitable for builders.  We will see how the market reacts to this.

    Lastly, our firm has a very strong international presence as we are now the exclusive Southern California affiliate of Savills, one of the world's largest international firms.  With over 500 worldwide offices we are able to effectively market our US AND international property listings all over the world.   In fact, I am currently listing an authentic Italian Villa in Capri, Italy (http://www.theagencyre.com/for-sale/22a-via-tragara-capri-italy/) for $9.5M Euro.  Located on Via Tragara, recently noted as one of the most scenic walk streets in the world, this is an exciting opportunity to help our clients worldwide.

    Thank you reading this everyone!  I really hope that we can connect soon, please feel free to call or email anytime.  Have a great summer.

    All the best,

    Jeffrey Sandorf

    THEAGENCY
    Redefining real estate

    Jeffrey T. Sandorf
    Associate-Broker
    m: 310.625.4099 | o: 424.835.7235
    e: jsandorf@theagencyre.com
    w: TheAgencyRE.com/JeffreySandorf
    BRE# 01396545

    Client reviews: http://www.trulia.com/profile/jeffreysandorf/

  • New Construction Home Sales - Pacific Palisades

    Posted Under: Home Buying in Pacific Palisades, Home Selling in Pacific Palisades, In My Neighborhood in Pacific Palisades  |  February 23, 2014 11:18 AM  |  443 views  |  No comments

    Note: Home Sales for homes built and sold in 2013 or later
    Market Analysis Report

    Last Run: 02/23/2014 at 11:16:58 AM   Status: Active, Pending, Backup, Sold Sold Date: 1/1/2013 or later Areas: (15) Pacific Palisades Year Built: 2013 or more
     
    # of Listings
    Average DOM
    Low Price $
    Median Price $
    High Price $
    Average Price Total $
    *Avg. Price w/ Sq.Ft. $
    *Average Sq. Ft.
    *Avg. Price/Sq.Ft. $
    ***Avg. Price w/ LSZ $
    ***Average LSZ
    ***Average Price/LSZ $
    Average SP/Average LP
    Active
    7
    83
    3,695,000
    4,750,000
    12,999,000
    5,782,714
    5,782,714
    5,682
    1,017.73
    5,782,714
    9,566.14
    604.50
    --
    Backup
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    --
    --
    --
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    Hold
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    Pending
    1
    110
    3,600,000
    3,600,000
    3,600,000
    3,600,000
    3,600,000
    4,100
    878.05
    3,600,000
    6,499
    553.93
    --
    Sold LP
    13
    38
    2,665,000
    3,495,000
    16,999,000
    4,933,462
    4,933,462
    4,879.54
    1,011.05
    5,061,750
    9,187.33
    550.95
    --
    Sold SP **
    13
    38
    2,625,000
    3,385,000
    15,350,000
    4,759,923
    4,759,923
    4,879.54
    975.49
    4,874,500
    9,187.33
    530.57
    96.48%
    Expired
    --
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    Canceled
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    Withdrawn
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  • New Construction Home Prices - Brentwood

    Posted Under: Home Buying in Brentwood, Home Selling in Brentwood, In My Neighborhood in Brentwood  |  February 23, 2014 11:15 AM  |  459 views  |  No comments

    Market Analysis Report

    Last Run: 02/23/2014 at 10:36:01 AM   Status: Active, Pending, Backup, Sold Sold Date: 1/1/2013 or later Areas: (6) Brentwood Year Built: 2013 or more
     
    # of Listings
    Average DOM
    Low Price $
    Median Price $
    High Price $
    Average Price Total $
    *Avg. Price w/ Sq.Ft. $
    *Average Sq. Ft.
    *Avg. Price/Sq.Ft. $
    ***Avg. Price w/ LSZ $
    ***Average LSZ
    ***Average Price/LSZ $
    Average SP/Average LP
    Active
    8
    40
    1,950,000
    5,845,000
    9,995,000
    6,239,375
    6,239,375
    7,366.88
    846.95
    6,239,375
    24,749.75
    252.10
    --
    Backup
    --
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    --
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    --
    --
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    Hold
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    Pending
    1
    21
    2,795,000
    2,795,000
    2,795,000
    2,795,000
    2,795,000
    3,500
    798.57
    2,795,000
    5,500
    508.18
    --
    Sold LP
    8
    52
    2,148,000
    4,787,500
    17,000,000
    7,384,125
    7,384,125
    7,118.38
    1,037.33
    7,384,125
    16,203.38
    455.72
    --
    Sold SP **
    8
    52
    1,960,000
    4,825,000
    16,000,000
    6,910,000
    6,910,000
    7,118.38
    970.73
    6,910,000
    16,203.38
    426.45
    93.58%
    Expired
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    Canceled
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    Withdrawn
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  • Jeffrey Sandorf has joined The Agency

    Posted Under: Home Buying in Pacific Palisades, Home Selling in Pacific Palisades, In My Neighborhood in Pacific Palisades  |  November 29, 2013 2:04 PM  |  378 views  |  No comments
    I am pleased to announce that I have joined The Agency, please use the link to see the press release:  http://www.theagencyre.com/2013/11/agency-welcomes-jeffrey-sandorf-team/
  • Property Wanted! Single Family Home in Pacific Palisades

    Posted Under: Home Buying in Pacific Palisades, Home Selling in Pacific Palisades, In My Neighborhood in Pacific Palisades  |  September 17, 2013 1:28 PM  |  577 views  |  No comments
  • New Position With Nourmand & Associates

    Posted Under: Home Buying in Mar Vista, Home Selling in Mar Vista, In My Neighborhood in Mar Vista  |  September 16, 2013 5:56 PM  |  586 views  |  2 comments
  • New Position With Nourmand & Associates

    Posted Under: Home Buying in Beverly Hills, Home Selling in Beverly Hills, In My Neighborhood in Beverly Hills  |  September 16, 2013 5:55 PM  |  491 views  |  No comments
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