Do You Want To Buy A New Construction Home in Redondo Beach?

If you are a follower of this Real Estate Blog Site it may seem that this year we are mostly writing about either new construction homes being built in Redondo Beach or distressed home sales (short sales, bank owned foreclosures, and probate) and you are correct on both counts. The reason is that these two real estate trends are for the most part good indicators of the direction of the overall real estate market. Here's why.

New construction homes set the pricing benchmark of similar resale properties at the top end and, at least in theory, the downward pressure created by distressed real estate sales pulls the market in the other direction. So, as the housing recovery takes hold, or at least seems to, these are the the interesting topics or at least most indicative and relevant whether you want to buy or sell Redondo Beach Real Estate.

If you've been going to open houses in Redondo Beach recently or just driving around looking for open house signs, you can't help but notice the new construction being built. While we are not quite back to the boom days preceding the real estate bubble when it seemed as if everyone was building a spec home for sale, there is a fairly healthy amount of new building going on. The Redondo Beach new construction activity is primarily coming from the "usual suspects": Amir Amiri - Merit Real Estate; Manoj Narang/Jerry Carew - 3 Leaf Realty; Esmail Soltani - RE/MAX (E&S), Nelu Ardeljan with Riviera Realtors and renowned local builder Craig Casner with a variety of listing agents. All of these local Redondo Beach real estate agents and brokers represent quality homes that today are available at the best pricing we've seen in quite a number of years.

1905 Speyer Lane (pictured above) is a good example of incredible value on quality built new construction. In fact, when we first walked through the house we thought the price was a misprint. This 2500+ sq ft 4 bedroom, Jefferson School district detached 2 on a lot masterpiece was listed for $899,900 which is about $350 sq ft for new construction. Amazing.

True the home has some, shall we say, "whimsical" features such as the black and white checkerboard tile in one of the bathrooms and the mosaic back splash in the kitchen and around the fireplaces but the floorplan was is unique for a two on a lot, there is a roof top deck, outside fireplace, loft, and an amazing suspended iron staircase that is just draw dropping. And great curb appeal including exterior stone work.

No surprise that both the front and back units went into escrow very quickly at we're assuming full list price or above.

So, how does this affect the market for let's say the standard resale 2 on a lot detached North Redondo Beach Townhouse? Here's an example.

2104 Clark Lane Unit A was recently listed for $849,000. Built in 2005, 4 bedrooms, 2200 sq ft. Birney Elementary not Jefferson, which for some parents is an issue. Question we ask is why would anyone pay $849K when they can get new for slightly more? Let's see. We'll expect a price reduction coming on that one soon.

We're going to continue this article in our next blog post in a few days looking at some other new construction homes in Redondo Beach that are currently either on the market, in escrow, or have recently sold. Meanwhile you can view new Redondo Beach homes here.

We're really interested in the new building project in the 1900 block of Grant Avenue (3 on a lot) and a really interesting project going on at Aviation Way in MLS Area 151 and hoping to see those listings sooner rather than later. For more information on Redondo Beach Real Estate call 310 975 5139 or email socalistings@yahoo.com.