Teles Properties has a entire research department dedicated to detailed market research in our local markets. This is very different from what you might read or see in the mass media.
As I peruse these numbers I am struck by one inescapable conclusion- La Crescenta is a BARGAIN!!! Median price for a single family home is a measly $462,500. Clean air, safe streets and access to some of the best schools, anywhere- I am high on La Crescenta today, Chilluns.
But I digress. When you talk about what is happening, just in La Crescenta the conversation gets really interesting. In Glendale and La Canda the median price has been basically flat over the last twelve months and both areas had a dip in price in February. However La Crescenta actually saw a gently RISING price curve up until October of last year. Fall and winter were brutal, however, as we saw a rash of short sale homes finally close escrow at greatly reduced values.
The good news is that we have a nice increase in the number of homes entering escrow and a 21% drop in the number of homes on the market. Increase demand plus decrease in supply should mean increase in price- so why are our prices down?
The Shadow Knows. Shadow Inventory, I mean. The Shadow Inventory are those homes that are in some level of the foreclosure process but are not available for sale. There are more homes in this category than the current inventory for sale. Imagine what would happen if these homes became available…. and that is why prices remain low- and could go lower.