I am excited about the market right now and where it will go over the coming months. What was happening throughout 2020, 2021, and part of 2022 was not sustainable. Even though homeowner equity was at an all-time high, it left many homeowners stuck because even had they sold, they did not want to deal with buying a replacement home and all of the stress and effort that would come with that. And from the buyers perspective, imagine how disheartening it is to offer a significant amount of money over the listing price and still not have your offer accepted because 10 others had higher offers than you. We are in an adjustment phase, where sellers need to recognize that their home is no longer worth what is was back in April due to a) higher interest rates reducing the purchasing power for buyers and b)higher inventory (supply) that we have had in the past two years (we are currently at 2.6 months of supply, the highest since Nov 2020). All of this being said though, there are still closings happening every single day, and a buyer out there for every home. It is our job as agents to educate out sellers on the current market trends (literally hyper focusing on the past 30-60 days) and to ensure as listing agents we are leaving no stone unturned in finding buyers and driving enthusiasm to our listings.
I have a very important line graph below. The graph represents what the final sale price was as a % of the original list price. As you can see, in the month of November we hit a 3-year low. This means that on average, homes were listed 3.4% higher than what they eventually sold for. The sellers that yield the highest amount of money possible in todays market, are those who are aggressive on their list price to allow competition. Only when you have competition will your final sale price go up. Since Jan 2020, property values in the Valley peaked to a 43.9% increase in value in April of this year, we are currently at 34% growth compared to Jan 2020 which is still an incredible amount of equity growth.
If you have a specific situation and want some honest insight, please reach out to me anytime.
6.67% Average Interest Rate on a 30-Year Fixed Rate Mortgage
48 Average Days on Market
96 Single Family Homes closed escrow last week in the Valley
1,094 Active Listings as of today
96.6% Final Sale Price as a % of List Price
* All data above is based on single family homes in Encino, Sherman Oaks, Studio City, Tarzana, Woodland Hills, and West Hills. This specificity ensures the most accurate data reflective of your neighborhood.
Welcome home to this meticulously built home situated in this fantastic prime Tarzana, South of the Blvd location. This home has it all, radiating natural light, an open layout and custom design and finishes. 5 bedrooms, 7 bathrooms, a den, an office & movie theater, this solar powered, designer home sits on an oversized, almost 20k SF lot! As you enter the grand double doors, you walk into a magnificent open floor-plan with soaring ceilings, and tons of natural light.
A great friend of mine, who recently moved to the Valley from Virginia is originally from Hawaii and was happy to find this restaurant. We met here a fee weeks back because he was excited to have found a good Hawaiian restaurant. My experience up to that point with Hawaiian food was limited to Ono Hawaii BBQ. We shared the Pono mix plate as well as the Spam Crispy Rice and all of it was amazing. I look forward to visiting here again.