As we are short sale specialists from the abundance of short sales we were involved in when the market went south years ago, we’re often contacted by home buyers looking for a “deal”……meaning a distressed home sale including bank owned homes (REOs) and short sales. Here’s a chart that shows why currently that’s just about impossible. Keep in mind that this is all combined short sales and REOs for all the listed cities in the South Bay.
During the housing decline around 2007-2009 there were a fair amount of “distressed” home sales in the South Bay and Beach Cities. Distressed home sales encompass bank owned homes, notice of default sales, REOs and short sales. We’re still contacted by buyers hoping to find a deal in the distressed market. Unfortunately for them there just isn’t currently a market. Values have gone up so consistently that it’s fairly difficult to be “underwater” on a mortgage. If people struggle to make their mortgage payments or receive a notice of default….there’s usually plenty of equity in their home to simply sell it, pay off the mortgage and still come out ahead.
As you can see from the chart below, the number of active, pending and closed “foreclosure” home sales has slowed to a halt.
The chart below shows the past 10 years of of active, pending and sold short sales and bank owned sales in Redondo, Hermosa, and Manhattan Beach.
The big home sale of the month was a single family estate style property located in the part of the tree section closest to the beach. The home at 528 15th Street offered 6 bedrooms and 5 baths and was built in 2015. The home sold for $8,215,000 after originally being listed at $9,999,999. View all of the homes that sold in September.
528 15th Street, Manhattan Beach CA
While you’re stuck at home why not sit back and get an understanding of what’s happening in our local real estate market.
April 2020 saw a big drop in the number of home sale with 20 closed escrows compared wtih 44 a year earlier. Average days on market was only 41 and the median sales price was a whopping $3,540,000. View the Manhattan Beach homes that sold in April 2020.