Okay, since I'm just getting started and it is already the middle of February (Happy Valentines Day!), I'm posting the year-to-date sales. Some of these are great examples of what has happened over the last six months, given the length of time some of the homes took to sell (see the "DOM/CDOM," meaning days on market and combined days on market in the listing information).
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Sales volume is down an bit from the same period last year, 16 compared to 13 this year. It's hard to look at the price per square foot, because there are so many factors to consider: location, age of home, condition, lot size. 612 Houseman, that closed at the alarmingly low $308.73 per square foot, was an original mid-century modern that backed up to the freeway. Would it have sold at the height of the market for much more? Maybe a bit more, but the fact is even in the best market Buyers don't like to be lulled to sleep by the roar of the freeway in their back yard.
The bigger changes can be seen looking at houses that a year ago would have been gone before the for sale sign went up. New and newer homes that were selling in multiple offers for $650 per foot are now selling below $600 per foot. Take 2040 Tondolea, a lovely brand new home on a terrific cul-de-sac. Listed in July '07 for $2,350,000, the above ground square footage was approximately 3650 square feet with a 700 square foot finished basement. Admittedly, the market was changing at that time, but most people didn't realize how much. The home had incredible curb appeal, amenities, granite, custom tile, wood floors, French doors...I could go on and on. And that fabulous basement, perfect for kids, home entertainment, a wine cellar...the endless possibilities! But Buyers, empowered by real estate reports in the LA Times were getting picky. The back yard is too small! Why is the master suite on the main floor? Why are there so many houses on this street for sale? A year ago buyers and agents would have killed to have new construction on Tondolea. Soooo, nearly 6 months and a few price reductions later that house is sold for $449 per square foot (or in my calculations, $200 per foot for the basement, $497 per foot above ground).
Is it realistic to say our market has dropped 5-10%? Yes. Will it continue to go down? Hmmm...I hate to say but, maybe. However, the basic fundamentals of La Canada are still strong, unchanged. Excellent schools, short commutes to Pasadena, LA and Burbank. We live in a very safe environment with a strong sense of community. If you need to buy a home, La Canada is now and always will be a good choice. We are not impervious to what is going on the the greater real estate market, but because of our quality of life and what we have to offer as a community, I think we will remain a strong market.
