These days, itâ€™s very easy to get caught up in the mediaâ€™s reports of
what home prices are doing nationally or for a metropolitan area such
as Los Angeles.Â But that doesnâ€™t mean home prices in your specific area
are matching those of the rest of the city, and for luxury areas on the
Westside, they often perform in a separate league of their own.
As of February 2011, Dataquick is reporting that while the median
sales price of all homes countywide â€“ including new and existing
single-family homes and condominiums â€“ remained unchanged from February
of 2010 at $315,000, prices in various Westside areas fell by as much as
39% (Malibu) or rose by nearly 11% (Marina Del Rey).
one important factor to keep in mind is that median prices â€“ which
define the midpoint at which homes are selling â€“ can fluctuate wildly
depending on the number of sales recorded.Â So, even though the median
sales price technically fell by 39% in Malibu to $1.0 million, that
figure was based on just 14 sales.Â Similarly, the 11% increase in the
median price in Marina Del Rey to $649,000 was based on just 17 sales.Â
If youâ€™re shopping for a home in Malibu, that could mean that your
choices have become more affordable, whereas Marina Del Rey has become
slightly more exclusive.Â Or, depending on the home youâ€™re looking to
buy or sell, these median prices could have little or no bearing at
all.Â Theyâ€™re simply an index.
For those areas in which there were more sales, the market seems to
be close to flat or starting to improve.Â In Santa Monica, that means a
2% decline in the median sales price to $779,000 based on 39 sales,
whereas in West L.A. the 119 sales yielded an increase of nearly 10%
from February of 2010 to $615,000.
Want to know what current asking prices are for active listings?Â Give us a call at Klein Real Estate and weâ€™ll be happy to help you negotiate the statistics!