How’s the Real Estate Market?
How is the residential real estate market in La Crescenta, Ca? Are prices up? Down? Are we going to “you know where” in a handbasket or is the economy turning around and happy days will soon be here?
If you are a regular reader you will remember that last month we were feeling down in the dumps . Our prices were down and there were fewer homes to sell. This meant that both buyers and sellers were in a world of unhappy.
What a difference a month makes
Last month our median price was down nearly 12% compared to the same month last year. In May, our median price is UP a whopping 15.5% compared to May of last year. So, are prices trending up or down?
Let’s look at the last twelve months
Take a look at this lovely chart, produced by the Teles statistician we keep in the basement. See that squiggly red line? That is a line representing the median price trend over the last twelve months, in La Crescenta. (click to embiggen this and any of the other, charts)
The median price has been doing a literal roller coaster over the last twelve months. Approximately 4 months of decline followed by a sharp rise and, then in February, a double dip followed by four months of rising prices. If the pattern continues, we should see a sharp decline in June.
But, prediction is difficult, especially about the future.
I think a more telling indicator of price is the average price per square foot. This number tends equalize the upper and lower end of the inventory- too many sales on either end can really wank the median price without really telling you anything about actual prices.
The average price per square foot has fallen 18.4% and the trend line over the past twelve months shows a steady decline, month by month.
Do you have ANY good news?
Why, yes- yes I do. Buyers, there are more homes to chose from and interest rates are great! Will prices fall in the near future? It looks likely. However, where will interest rates be? Will there be as many homes to chose from?
If you see a great house that suits your needs and you intend to be there for the foreseeable future- grab it!
Sellers- the good news is, if you want to sell, you can. You have to accept the current market price, but the buyers want to buy!! I know you aren’t going to get the price you want, but waiting will not improve your bottom line.
If it makes sense for you and you family to move on in life- do it.
Like the say in the Mastercard commercial, “Moving on with your life? Priceless”