All in all, August was a good month in our local Redondo Beach Real Estate market for both Buyers and Sellers. Also a good month for my team with 2 North Redondo listings sold (to all cash buyers) and 1 South Redondo Buyer deal.
In general the feeling seems to be that while many Sellers are quite happy with the price their home sells for, there are definitely Buyers who are also quite satisfied with their final purchase price and terms. In other words a more balanced market. Imagine that.
For the month, there were 91 total sales with 51 closing in North Redondo Beach and 40 in South Redondo.
Some of the themes that jump out to me are:
- The gap in pricing between 90277 and 90278 continues to close.
- New construction continues to set new highs.
- Buyers are saying "no" to more listings.
Through the previous 7 months of 2018 there were 263 sales in North Redondo Beach and 223 in South Redondo. So we were averaging 37.5 closings per month in NRB and just about 32 in SRB. For both zips August showed a nice jump and significantly so in North Redondo.
The median price for the first 7 months of 2018 in NRB was $1,058,500 and for August it was just slightly lower at $1,015,000 (Buyers saying "no").
For South Redondo Beach the median sales price for Jan-July was $1,250,000 and for August $1,213,500. So the slight price softening (but higher sales volume) held throughout Redondo Beach.
Looking at the other two Beach Cities, Hermosa and Manhattan Beach, the sales were 18 and 38 respectively albeit at much higher median price points: $1,975,000 for Hermosa and in Manhattan Beach $2,790,000.
NORTH REDONDO AUGUST 2018 SALES BY MLS AREAThere are 4 MLS designated areas in North Redondo Beach.Within the MLS areas there are some further micro markets such as the "TRW tract" in Area 151 and the Golden Triangle within Golden Hills.
Here's the sales for each MLS Area:
- MLS AREA 151 North of Artesia Blvd 15 Sales
- MLS AREA 152 South of Artesia Blvd 18 Sales
- MLS AREA 153 El Nido 4 Sales
- MLS AREA 154 Golden Hills 14 Sales
Please note, 2 sales were mistakenly reported in MLS Area 155 which is South Redondo Beach. (Out of area agents.)
NORTH REDONDO BEACH AUGUST 2018 "OVER-UNDER"As a leading indicator I always like to look at how many properties sold for more than the asking price and how many for less.
During August 21 properties sold for over the asking price, 25 under and 5 for the MLS list price.
What jumps out to me is that of the 25 properties that sold at $1M or less, 14 sold for under the asking price. That would seem to indicate that Sellers at the lower end of the current price spectrum are over valuing what they think their homes are worth. Or maybe their agents are.
If I look at sales at $1.2M and above, 12 of the 23 sales sold for over the asking price and 10 under with 1 at the asking price.
Out of 51 total sales, 31 were in escrow in 15 days or less and of those 16 sold for over the list price. Moving out to 30 days we saw 39 out of the 51 sales in escrow and by the time we got to over 60 days on the market, every listing sold for less than the asking price.
NORTH REDONDO SINGLE FAMILY HOMES AUGUST 2018There were 25 Single Family Residences (houses) sold during August ranging in price from $775K for a 3 bedroom 1 bath 1129 Sq Ft house on a 4093 Sq Ft lot up to $1,925,000 for a new construction 5 bedroom 4.5 bath 3575 Sq Ft house on a 5005 Sq Ft lot.
The median price of SFRs was $1,224,000 which gets you into a nice Golden Hills property.
Let's take a look at what a few examples of your investment dollar at the median prices for 90278.
NORTH REDONDO BEACH AUGUST MEDIAN PRICEFor just above the median, selling at $1,030,000 (listed for $999K) you could have bought a 3 bedroom, 2 bath SFR in the Golden Triangle neighborhood of the Golden Hills.
1641 Ford Avenue Redondo Beach Golden Hills SFR
Or for slightly less than the median, $1,000,000 you could have acquired a 3 bedroom attached 2 on a lot townhome located at.....
2514 Harriman Ln Unit B Area 152 Two on a Lot Townhome
FYI, this one was listed for $1,050,000 and sold $1,000,000. So as I mentioned, while some properties are still selling for over the asking price, Buyers are saying no to other list prices and those homes are selling for less.
Ford was on the market for 7 days and Harriman for 18 days.