Depends on the specific location and home. Now is a great time, but need to look carefully. I can help you on that.

Fri May 9 2008, 08:39

Megan, Wrigley is not a very desirable area. I have to agree with Ledeen that Bixby Knolls would much more desireable. It depends on what your price point is right now. But, if Wrigley is all you can currently afford, perhaps you would be better off delaying a purchase in the near term, saving a bit more money and let the home prices continue to fall around you.

Apart from a few “the world is flat” realtors, everyone realizes that residential real estate prices are falling in Long Beach. Those that are expecting a quick turn around from this bubble are dreaming. The last cycle took about 11 years to reach peaking pricing from the previous peak. Here are your Los Angeles County vanilla medians between 1989 and 2000: http://www.laalmanac.com/economy/ec37.htm

1989: $214,831
2000: $215,900

Pretty amazing, someone who purchased the “median home” for 214,831 sold for 215,900 11 years later. However, this bubble appears even larger that the 1989 run up, as depicted in the following graph: http://latimesblogs.latimes.com/laland/2008/04/where-we-stand.html . Granted prices are falling faster, so perhaps we can reach a bottom faster.

In my opinion this would generally be a terrible time to “invest” in real estate, unless you must buy now (because of a 1031 exchange, for example). All leading indicators are pointing in the same direction as to the Los Angeles market, (i) inventory has increased, (ii) sales transaction volume has slowed dramatically, (iii) lending standards have tightened (pulling thousands of potential buyers from the market), (iv) notices of defaults and foreclosures are at records levels, (v) the economy is slowing (looking more and more like a recession), (vi) literally thousands of high paying mortgage and other real estate related jobs have been lost in southern California over the past year and (vii) the mania which surrounded the real estate market a few years ago has been replaced by a conservative caution steering people to other investment classes. All of these things will put downward pressure on pricing for some time to come.

The reality is that residential prices in Long Beach will almost certainly be lower later this year, likely lower in 2009 and possibly even lower in 2010. Real estate cycles take many years to play out and we are at the early stages of a down cycle.

With that said, if you find your dream home and can purchase with a large down payment and conventional financing and don't care about prices dropping further, consider the purchase. But DON"T purchase with the expectation of future price gains for a long time. If history is any guide, prices will not rebound quickly when the bottom is finally reached. If all you can currently afford is Wrigley, you are better off waiting.

Best of Luck,
NewportFiji

Tue May 6 2008, 05:55

Hi Megan,

I agree with Maggie. It's always a good idea to check with local police for crime statistics.

I think Wrigley is a great area! Yes, I do have a listing there & yes I live near Bixby Knolls. You can find some great buys in Wrigley right now. There are some great tudors & spanish styles. Upper Wrigley, north of Willow is considered a better area.

I'd be delighted to show you (either by email or in person) some properties if you're not already working with a Realtor.

Good luck,

Karen Miller

Mon May 5 2008, 21:14

Dear Megan,

Contact the local Long Beach police and they will give you ALL the stats and current crime information for Wrigley and all different areas of Long Beach. The Long Beach police has a special community website which reports all that is happening in a neighborhood. That's your best bet.

Sincerely,
Maggie

Mon May 5 2008, 20:02

NOOOOO, maybe agents will tell you its nice, but I used to live there. Lots of drug dealing gangs shootings etc. I moved to Bixby Knolls to get out.

Mon May 5 2008, 19:49

Megan,

Hi, the Wrigley area is a very nice area especially north of Spring. Let me know if you would like properties sent to you, it would be my pleasure.

Lou McNamee
Coldwell Banker

Mon May 5 2008, 17:13