Redondo Beach Market Update | February 2016 Sales are in the Books

I had to run the search twice because I just could not believe that there were only 18 closed escrows in North Redondo Beach during February 2016. Not a misprint, 18 sales. By comparison, last year during the same time period with on less day there were 26 properties sold and during the prior month of January 2016, 27 properties closed escrow. So, what's going on? Is the market "slowing down?".

Based on the number of buyers I'm seeing at open houses and with properties still getting 15 offers and selling way over the asking price, it doesn't quite feel like a slowdown. On the other hand, with only 36 active listings, this is market is inventory constrained to say the least.

So here's some good news. Well at least good news for sellers.

Median price for February was $870,000 and the average price was $952,189. Both numbers pretty much in line with my very subjective gut instinct which is that the 90278 "sweet spot" is between $850,000 and $950,000. Above $950K and $1M there are some very nice properties.

Six of the listings sold above the asking price. Ten of the listings were only on the market for 26 days. Of those, 5 sold above the asking price and 4 sold at the asking price with only one going below asking.

Five of the properties on the market longer than 60 days sold for under the asking price. Seller's take note - price your property to get offers quickly because the evidence is very powerful that gets you the highest sale price price.

So as to that market slowdown. With 59 properties in escrow as of this writing, there is no doubt that we'll see some healthier sales numbers in March and April. And as long as inventory remains at these historically low numbers prices will continue to creep up provided that interest rates stay low.

If you are a Buyer, don't despair. At least not yet. Now that we are at or even over previous market highs, more Sellers will be listing their homes. Will it be enough to change the balance and satisfy demand? We shall see.