South Bay Real Estate Blog

Monday, May 22, 2006

Southern CA, South Bay Area - Days on Market Stats

The number of days on the market before a home sells is gradually increasing, which is more evidence for our market slowing down. Please keep this term "slow down" in perspective, however. Prices are still high, interest rates are low, and homes are selling, just not in the hour and a half of market time that we had within recent years.

When we compare the number of homes available with the number of homes currently in escrow, it shows that the Southern California South Bay market is still strong with inventory at 2-3 months. That means that with the number of sales we have now, it takes a home about 2.6 months to sell. In other words, we have about 2-3 times the number of homes for sale than the rate that buyers are currently buying them. Part of the reason is that there are slightly more homes for sale than there were a year ago, and perhaps a bigger part of the reason is that buyers are cautious about buying now because they want to see what the market will do next.

Palos Verdes - 279 available, 109 in escrow, ratio of 2.6
Redondo Beach - 272 available, 122 in escrow, ratio of 2.2
Manhattan Beach - 179 available, 66 in escrow, ratio of 2.7
Hermosa Beach - 88 available, 24 in escrow, ratio of 3.7
San Pedro - 199 available, 76 in escrow, ratio of 2.6
Torrance - 368 available, 183 in escrow, ratio of 2.0
Lomita - 50 available, 18 in escrow, ratio of 2.8

Please email Laurie@SouthBayHomeTeam.com if you'd like market information on cities not mentioned here.

Thursday, May 04, 2006

Back to a "Normal" Market

One of the activities we do for our clients is read all new listings and send appropriate ones to our clients. Some are looking for a "fix and flip," while some are looking for a home in particular neighborhood, for example.

As we do this, we're seeing a lot more of the language we used to see before the most recent and long-lasting raging seller's market. We're seeing phrases like, "seller wants to see offers," and "motivated seller," for example (but not in our marketing, of course, because those phrases help the buyer negotiate from more strength than necessary).

Prices are still going up in the South Bay, but inventory is increasing - about 2.5 months to sell a home these days, and less experienced agents are writing words like "seller will consider all offers" instead of calling all the shots by saying, "seller will review all offers on [insert date and time here]" like we saw up until just a few months ago.

To have market statistics emailed to you each month, please send an email to Laurie@SouthBayHomeTeam.com and please indicate the particular area(s) you are interested in. We compile many South Bay cities on a monthly basis and would be happy to share this information with you if you don't want to take the time to do it yourself.