While the market is always slow over the holidays and homeowners often take their homes off of the market for a few weeks, the inventory in Manhattan Beach has reached a new low. As of January 5th there are only 28 homes for sale in all of Manhattan Beach.
Compare that with a high of 189 homes for sale in May of 2010 and you can see just how drastic the market changes have been. Even the summer months (with traditionally the highest inventory as it’s a peak buying season) had 68 homes for sale during the months of July and August.
So what does this mean?…..well that depends on which side of the market you’re on
For sellers the demand is incredible. Prices are at peak levels, sellers are receiving multiple offers on homes priced at market value, buyers are willing to overlook the usual challenges such as busy streets, homes needing updates, and homes with ideal locations or potential are having some amazing bidding wars. See our recent post on the walkstreet, half lot home that sold for almost $600K over list price. If homeowners have given any thought to selling their home, regardless of area, condition and location, it’s an ideal time to sell.
For buyers the market has been incredibly challenging with some buyers simply taking a break from the madness. Builders are buying any home in Manhattan Beach that hasn’t been built in the past 25 years at big numbers, buyers are lined up in certain neighborhoods waiting for the next listing to hit the market (if the home even hits the market as pocket listings are becoming more common in this market) and entry level homes no longer exist.
In this market buyers have to be aggressive if they really want to own a home in Manhattan and need to be even more aggressive for premier properties. Knowing about homes the minute they hit the market, or even before is critical and understanding pricing can make all the difference.
Contact us if you are an eager seller, or frustrated buyer, as we have a deep understanding of the market and can certainly help.