They say it never rains or gets freezing cold in Santa Monica but this first of month of 2016 was both freezingly cold and rainy… weather wise, but hot and steamy when it comes to real estate activity.
It seems as though there is no end in sight for this crazy upward market in out beloved city. It seems as though we are quickly becoming the most popular place to live and invest in America, let alone California.
Active Listing Inventory: Since January 1st, there has been 51 new listings hit the market. The average price for one of these newly listed homes is $2,878,564 and the medium price as of now is $2,395,000. The highest priced listing so far in 2016 has a price tag of $10,000,000. The average size for these newly listed homes is 2414 square feet in the interior and 15,855 square footage for the lot size.
Pending Listings: Now covering this same period for the first month of the new year we have 54 properties that have went under contract and opened escrow. The average price for one of these pending listings is $2,176,135 and the medium listed price is $1,399,444. The highest price home in this group to go into escrow is a home that was listed for $11,900,000. The average size of one of these homes is 2044 square feet for the interior and 15,823 square footage for the exterior.
Sold Listings: So far this year, there has been 42 closed sales for Santa Monica. The average list price was $1,553,810 but the average closed price was $1,491,151. The average interior size was 1658 square feet for the interior with 16,366 square feet for the exterior. The highest price home to sell this first month of the year sold for $6,750,000. It was listed for $6,895,000.
Absorption Rate: So, based on the current overall listing inventory of 107 homes, coupled with the fact that approximately 53 will sell a month, we have a 2 month supply of homes in our inventory. This absorption rate tells the tale of why prices continue to escalate with no end in site.
With prices going higher and with international cash buyers still buying up everything in sight, I can only see list prices in Santa Monica going higher and higher.
Are you a part of this? Are you invested correctly for the accelerating real estate boom that will peak near the *end of the decade. Until next month…cheers!
*(In my opinion)