How much have Los Angeles home prices REALLY dropped?
From Dr Housing Bubble (who I respect but not always agree with): “In states like California, how do you explain a median price drop of 38% in one year? I love the new argument that goes like this, “well the few sales that are occurring are distressed properties and don’t accurately reflect the overall market.” Newsflash. The entire state is distressed. Unless you are selling prime property in the Hollywood Hills get accustomed to distressed sales. The number one issue on the minds of Americans is the economy. The vast majority don’t feel like buying homes when the economy is in the gutter.” Read Remainder here:
My father is one of the most intelligent men I know. He reads, he studies and he doesn’t overreact. He told me to calm down and not pay too much attention to the media. I know real estate prices have dropped; fortunately we live in Los Angeles County, not Riverside. Let’s look at MLS data from a few Los Angles locations and see how much prices have changed from 2005 – 2008.
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There aren't a great number of homes in this Linda Vista (and adjacent) neigbhorhood but note the steady price increase in basically the same square footage home. Yes, the MLS stats reflects an increase!
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La Crescenta has experienced an 11% decrease since 2006 - what about that 38% figure? - Not here!
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Glendale (91202) starter homes (1000-1500 sq ft) have experienced a nearly 30% decrease since 2006. Still not that 38% drop in one year!
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There are fewer homes in this Glendale 91207 example, only those between 3000-4000 square feet were counted.
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Large La Canada homes reflect a price per square foot increase from 2006 to 2008 - $550 - $581.
Trackbacks
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9/10/2008 8:11 AM
Los Angeles Real Estate Blog wrote:
.....Once upon a time there was a dear little chicken named Chicken Little.One morning as she was scratching in her garden, a pebble fell off the roof and hit her on the head. "Oh, dear me!" she cried, "the sky is falling. I must go and tell the King," and away she ran down the road.I had an interesting conversation yesterday with a potential home buyer. This buyer thinks he is unique because his credit is good and he has a larger down payment. ... -
9/10/2008 9:20 PM
Los Angeles Real Estate Blog wrote:
My dad is better than yours? My father is the smartest man I know. He is also a retired Fireman And he is a hero – A medal of valor recipient Please take a moment and say a prayer for the families of the police -
9/11/2008 6:34 AM
Los Angeles Real Estate Blog wrote:
My father is the smartest man I know. He is also a retired Fireman And he is a hero – A medal of valor recipient Please take a moment and say a prayer for the families of the police -
9/11/2008 6:36 AM
Los Angeles Real Estate Blog wrote:
My father is the smartest man I know. He is also a retired Fireman And he is a hero – A medal of valor recipient Please take a moment and say a prayer for all of those who suffered a personal loss and the families of the police -
9/11/2008 6:41 AM
Los Angeles Real Estate Blog wrote:
My father is the smartest man I know. He is retired from the Los Angeles Fire Department.And he is a hero – A medal of valor recipient Please take a moment and say a prayer for all of those who suffered a personal loss and the families of the police -
9/18/2008 10:41 AM
Los Angeles Real Estate Blog wrote:
Good Morning Phyllis, My name is XXXXX, and I'm a researcher with NBC Nightly News. I'm working on a mortgage/home buying story and I came across your blog. I'd like to ask you a couple questions if you have any time today. My numbers are below. Thanks and be well,XXXXXXXXXX - NBC Nightly News with XXXX (O) 212-664 xxxx (Cell) 281-xxx-xxxnightly.msnbc.com This was the email I received yesterday and I was so excited that I might be on the NBC nightly news…or at least a mention. I quickly called XXXXX, but ... -
9/18/2008 10:43 AM
Los Angeles Real Estate Blog wrote:
Good Morning Phyllis, My name is XXXXX, and I'm a researcher with NBC Nightly News. I'm working on a mortgage/home buying story and I came across your blog. I'd like to ask you a couple questions if you have any time today. My numbers are below. Thanks and be well,XXXXXXXXXX - NBC Nightly News with XXXX (O) 212-664 xxxx (Cell) 281-xxx-xxxnightly.msnbc.com This was the email I received yesterday and I was so excited that I might be on the NBC nightly news…or at least a mention. I quickly called XXXXX, but ... -
9/19/2008 6:49 AM
Los Angeles Real Estate Blog wrote:
Good Morning Phyllis, My name is XXXXX, and I'm a researcher with NBC Nightly News. I'm working on a mortgage/home buying story and I came across your blog. I'd like to ask you a couple questions if you have any time today. My numbers are below. Thanks and be well,XXXXXXXXXX - NBC Nightly News with XXXX (O) 212-664 xxxx (Cell) 281-xxx-xxxnightly.msnbc.com This was the email I received yesterday and I was so excited that I might be on the NBC nightly news…or at least a mention. I quickly called XXXXX, but ... -
10/23/2008 6:00 AM
Los Angeles Real Estate Blog wrote:
It's easy to get carried away by statistics and because of that, I prefer to look at small segments of the Los Angeles real estate market.In La Canada, six homes have closed escrow, month to date (per the MLS). These (month to date) homes are smaller and more affordable (by La Canada) standards. When smaller homes are selling, the average selling price is reduced (not because of falling prices but because inexpensive homes are selling). Yes, prices have dropped, but trying to determine a percentage is a bit difficult. Just a bit about the sales:San Juan was ... -
10/23/2008 6:05 AM
Los Angeles Real Estate Blog wrote:
It's easy to get carried away by statistics and because of that, I prefer to look at small segments of the Los Angeles real estate market.In La Canada, six homes have closed escrow, month to date (per the MLS). These (month to date) homes are smaller and more affordable (by La Canada) standards. When smaller homes are selling, the average selling price is reduced (not because of falling prices but because inexpensive homes are selling). Yes, prices have dropped, but trying to determine a percentage is a bit difficult. Just a bit about the sales:San Juan was ... -
10/23/2008 6:09 AM
Los Angeles Real Estate Blog wrote:
It's easy to get carried away by statistics and because of that, I prefer to look at small segments of the Los Angeles real estate market.In La Canada, six homes have closed escrow, month to date (per the MLS). These (month to date) homes are smaller and more affordable (by La Canada) standards. When smaller homes are selling, the average selling price is reduced (not because of falling prices but because inexpensive homes are selling). Yes, prices have dropped, but trying to determine a percentage is a bit difficult. About the sales:San Juan was a fixer, which ... -
10/23/2008 6:10 AM
Los Angeles Real Estate Blog wrote:
It's easy to get carried away by statistics and because of that, I prefer to look at small segments of the Los Angeles real estate market.In La Canada, six homes have closed escrow, month to date (per the MLS). These (month to date) homes are smaller and more affordable (by La Canada) standards. When smaller homes are selling, the average selling price is reduced (not because of falling prices but because inexpensive homes are selling). Yes, prices have dropped, but trying to determine a percentage is a bit difficult. About the sales:San Juan was a fixer, which ... -
10/23/2008 6:15 AM
Los Angeles Real Estate Blog wrote:
It's easy to get carried away by statistics and because of that, I prefer to look at small segments of the Los Angeles real estate market.In La Canada, six homes have closed escrow, month to date (per the MLS). These (month to date) homes are smaller and more affordable (by La Canada) standards. When smaller homes are selling, the average selling price is reduced (not because of falling prices but because inexpensive homes are selling). Yes, prices have dropped, but trying to determine a percentage is a bit difficult. About the sales:San Juan was a fixer, which ...
I can't believe anyone didn't comment on this post!
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This is another great post - why no comments?
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LOL WOW FIRST THIS DATA IS INCORRECT ! SECOND THIS INFO IS FROM A REALTOR . THEY WILL SPIN AND SAY ANYTHING TO GET PEOPLE TO GO OUT AND BUY ! SHE MUST FOLLOW JIM CRAMER . TRUST ME ! WE ARE FAR FROM OVER ! ONLY HALF WAY ! GET READY FOR THE REAL CRASH ! ITS ALREADY STARTING AND WILL GET WORSE . WANT SOME REAL ANSWERS ? CHECK THIS OUT ! http://www.fieldcheckgroup.com/2009/05/13/5-12-april-foreclosure-servicer-tracker-report/ REMEMBER ! NEVER TRUST A MEMBER OF THE NAR !!!!
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This data is from MLS records and is correct. And, I didn't tell anyone to go and buy real estate.
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Keep posting and keep providing interesting and great information.
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Great approach on the subject. Thanks for sharing.
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The article blew me away with all the facts, that were backed up with charts, figures and percentages. If the banks refused to lend and kept their standards, it would have helped. These banks need to take the loss, because they created it. They need to be held accountable for their decisions.
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