The real issue is simply supply and demand.
During the month of July 2010 a total of 17 condos and townhomes sold in Burbank.
The average list price was $387,106 , the selling price average was $375,606, and average market time of 104 Days on Market (DOM).
There are 78 units currently on the market, 34 which came on the market since July first.
Developers in Burbank have opted to sell their units, rather than lease them, which is what most developers in Glendale did. So the new development at 556 E. Palm has two units left to sell, the 250 N. First St. project, completed in 2009, still has five units (at least) on the market...and these are all Brand New Units.
When brand new units are available, pressure is placed on older, re-sale prices.
11 of the units for sale are bank-owned
26 are short sales, meaning that the owners are in financial distress and their lenders have agreed to let them sell their property for less than they owe, plus pay closing costs.
So with 37 "distressed" sales out of 78 units, this is not the time to sell a condo in Burbank. Anywhere.
The rule of supply and demand is also at work here. With almost half the market distressed sales, pressure is on prices. The bank HAS TO SELL to recoup it's loss. The lenders HAVE TO SELL to get the sellers out of foreclosure (the short sales).
Hope this is helpful. Wish I had better news for you.
The good news is that you can certainly sell your property if it is priced right, which will probably be less than you want. Remember, with the economy they way it is, things could get worse, so if you need to sell, now is going to be better than later.
Seen your response, the property on Tujunga does have an offer but nothing has been accepted. This means that the offer does not meet the terms and conditions that the seller is looking for. The other 2 are available, and have no offers. There are 2 on Elmwood and if you notice on the price there is about $100k difference. One is a short sale and the other one isn't. Whenever there is a Short sale or Foreclosure agents always list them at blow out prices to sell quickly. When an agent lists a foreclosure they are paying the tab on water, electricity, etc... till the property sells and the bank reimburses them. So of course they want to sell it fast and have it not sit on the market. On a Short sale, agents know that buyers and their agents do not like short sales. They take forever, you never know what is going to happen and it is a waiting game. On a regular sale the agent takes the price into consideration of the market and what the seller is looking for, everyone has to be reasonable.
I think the bottom line is if you are thinking of selling contact one of us, get an opinion and see. You would have nothing to lose except a few hours of your time and if you decide to sell than it is meant to be. If you are doing a regular sale and you are paying the agents commission, I think they will do ( or should) do their best to sell it at the highest price possible to keep their client happy.
Let me know,
569 E Tujunga, 635 E Elmood, and 631 E Santa Anita. The Santa Anita one is the priced well below the other 2. My wife and I have been to all of them at open houses and Santa Anita one seems the nicest yet has been on the market about 3 months... just kind of scary to get in the market anytime soon... thanks again
The market is not slow, it comes down to pricing and location. There is a lot to consider when selling your place besides the square footage. Is your condo an end unit? Is it close to the stairs or elevator? Is it by the pool? How about the parking? Is the condo close to the Trash dumpsters outside? A buyer and their agent will look at and consider (or should) these things. If the condo is close to the stairs the you get a lot of traffic and noise going by. Too far and imagine lugging the groceries. Close to the pool? The screaming kids.
A lot of condos are short sales, which most probably have offers but they are waiting for the bank approval and the agent hasnâ€™t done their job and put the property on hold or back up offers. This confuses people because they see a lot of properties as active but once you do the leg work and call on them you will see that they already have offers and are waiting for bank approval, which takes anywhere form 2-4 months.
One thing you will have to check is your HOA's. How are they? Are they FHA approved? are they delinquent? How many units are owned compared to rented out? This will come in to play to because lenders are really picky these days on lending on Town homes/ Condos. ( I should know I also own a Mortgage company as well as a Real Estate company). This will also affect the pricing of a property. No matter who you use make sure they do their job and do the research.
Remember the market is not slow, it is actually moving along pretty good. If you have any questions or would like to meet in person I would be glad to.
Thank you and have a great day!
3500 W. Olive 3rd floor
Burbank CA. 91-505
Lic # 01436395
My wife and I live and work in Burbank so we are very familiar with the area. We'd love to meet with you to talk more about the local Burbank market. We work with many buyers as well that are interested in Burbank. Demand is still high. Some of the condos in your area are short sales so they are on the market for quite some time waiting for bank approval. We'd love to take a look at your condo and discuss your plans. Give us a call anytime.818-636-4330 or 818-516-7387 firstname.lastname@example.org
It's important to determine if you will be selling as a regular sale or short sale. There is a lot of for buyers to consider out there with a ton of inventory. The key to getting it sold is being the best looking at the best price.
If you want me to run comps on your condo, let me know.
The Carrabba Group
Keller Williams Hollywood Hills