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2014 Valmonte Home Prices Rise 3% and Where We’re Heading in 2015

February 24, 2015, Palos Verdes Estates, CA

Valmonte 2014 Real Estate in Review  

After a gangbusters 2013 where we saw a 21% year-over-year increase in values (based on price/foot), the Valmonte real estate market cooled off a bit in 2014.  Values continued to rise, but at a more modest, and much more sustainable 3.14% year-over-year increase.  While the price increases slowed, the average Days on Market (DOM), an important measure of how long it takes a house to sell, dropped from 67 days in 2013 to 52 days in 2014 (this was the lowest average DOM since 2007).  Looking at another key figure, the asking vs selling price comparison remained tight with houses selling at 97.74% of the asking price in 2014 compared to 98.26% in 2013.  Compare this to 2009 when houses were selling at 93.52% of the asking price – a tough market for sellers.  Finally, another sign of strong seller’s market is the fact that 11 of the 34 houses sold in 2014 sold at or above the asking price – another improvement from 2009 when not one house sold over asking.  This continues suggests that there is fierce competition for well priced, move-in ready homes and sellers have their choice of buyers.

According to the S&P/Case-Shiller CA-Los Angeles Home Price Index, prices were up 5.1% year-over-year in the Los Angeles area in 2014.  This suggests that our local Valmonte market is relatively on par with the general market in the greater Los Angeles area, albeit at a higher priced entry point to move in.  This higher entry price could explain the slightly lower YOY appreciation.

Figure 1a. 3 year Valmonte SFR sales statistics

Year # Houses Sold Average Price Average Price/Foot Year/Year % change Ave. Days on Market
2012 41 $1,213,049 $509.05 -2.73% 132
2013 33 $1,513,765 $616.62 21.13% 67
2014 34 $1,354,569 $635.98 3.14% 52

 

2015 Is Off to a Slower Start

Since the new year, 6 homes have closed at a price per square foot of $607.91 with selling prices between $799k and $2.05m.  The average days on market is 101 days – a considerable uptick from last year’s 52 days (one of these homes was a short sale which skew the numbers to the higher side).  In addition to closed sales, there are 7 homes in back-up and 2 listed as pending.  The majority of these homes were listed in the latter part of 2014, during which home sales are traditionally slower than the peak spring and summer months.

Active Listings

There are currently 7 Valmonte homes for sale as of today priced between $1.475m for a 1742 square foot traditional home on Via Nivel to 3,500 square foot traditional home on a corner lot on PV Drive North in the Eucalyptus grove priced just under $2.2m.  The average list price/foot is $685/foot – a nice bump from last year’s $635/foot – but time will tell if these homes sell close to that price.  Three of these listings have been on the market for 120 days or more, a good indication that they will likely need a considerable price reduction before buyers are ready to move in.  In fact, their respective prices confirm this – all are priced considerably more than the average price per square foot of the other listings.

What’s on the horizon as we head into the traditionally busy selling season?  If you are a seller, you’re in luck.  Demand for Valmonte remains strong with many young families looking to enjoy the peaceful tree lined streets and top rated Palos Verdes Schools.  In addition, financing continues to be favorable to buyers with low rates and banks willing to lend.  If you are a buyer, I would qualify ASAP for a solid loan with a good mortgage banker and be ready to write a strong offer when your dream house is on the market.  And, of course, whether you are a buyer or a seller, I would suggest you call me to help you reach your real estate goals while the market is hot!

For a custom price analysis of your home or for tips on buying or selling a home, please feel free to email directly at kyle@kyledanielsrealestate.com.  You can also visit my website at www.kyledanielsrealestate.com.

Thanks for reading!

The 4th of July weekend is finally here

The neighborhood is a buzz with the kids out of school, beach days all around, and the Valmonte gardens all in bloom. But almost as great as the anticipation for Christmas is the joys of freedom as the 4th of July weekend draws near. On my evening walk lately I passed neighbors decorating their house with bunting for the holiday, flags were flying in the afternoon sun, and I must have passed nearly a dozen fellow evening strollers out enjoying the warm summer evening. Nothing quiet beats the sounds of kids playing outside until the last bits of light are gone or the smell of a backyard grill firing up. This independence day be sure to take a minute to relish in the fact that we live in a great neighborhood in a free country. But don’t take it for granted – we enjoy this spirit of freedom as the result of all the men and women, many of them our neighbors, who have risked their own personal freedom so that we may enjoy it safely here at home. God bless America and the people that keep it free! See you in the neighborhood!

Valmonte Remains a HOT Market

G06-086_F_Palos-Verdes-photoThings aren’t showing any signs of slowing down here in the Valmonte real estate market. In just the last few weeks we’ve seen most new listings go into escrow with multiple offers.  The sweet spot seems to be move-in ready homes under $1.6 million. Houses in need of significant repairs or updates seem to be lingering around longer until there is a notable price drop. In the last week we saw 3908 Via Picaposte show up with a for sale sign in front and it was quickly in escrow at a price indicated as “over asking” by listing agent Ginni Lee of RE/MAX. Meanwhile, 4109 Via Picaposte was under contract again after a $100k price drop. Considering it closed in January 2013 at $1,060k, a new price of $1.299m isn’t a bad return for a hold and flip. Lastly a nicely upgraded family home, 4304 Via Nivel, had multiple offers and is reportedly on its way to closing over asking.  So far, our micro market is on pace with the general market in Southern California, albeit at a higher priced entry point to move in.

2014 So Far   Since the new year, 5 homes have closed at prices between $1.296m and $2.15m at a price per square foot of $547.  2 of those sold homes have closed over the asking suggesting that competition for homes in Valmonte is tough.  Currently there are 6 homes available in Valmonte priced from $1.13m on the low end to $2.48m on the high end going into the selling season.  What’s on the horizon?  While time will certainly tell, for now, if you are a buyer, I would find a solid rate with a good mortgage banker and be ready to write a strong offer when your dream house is on the market.  If you are considering selling?  Well, of course, I would suggest you call me to get your home sold while the market is hot!

For more tips on buying or selling a home, please go to my website at http://www.kyledanielsrealestate.com or feel free to email directly at surfrealtor@gmail.com.

Fall Has Arrived

It’s hard not to notice that Fall is upon us, despite the summerlike weather that keeps teasing us. Even a walk through this West Coast neighborhood will tell you leaves are changing color in their decent from their branches. The shorter days give us more time to enjoy the interior comforts of home like cooking and reading by the fire. For me its time to get the winter crops planted. This year I’m going with Kale, Beets, Lettuce, and I added to my strawberries in hope that I have a more robust Spring harvest. If you haven’t tried Kale, now is as a good a time as any as inspiration for using it is off the charts. In fact, if a vegetable can be trendy, Kale is arguably giving those Kardashian clowns a run for their money. We like to use it in everything from dinners sides after a quick blanching to adding to fruit smoothies. It’s up to you to enjoy this great time a year, and don’t forget to keep your ears open for the calls of our local owls.

Beat the heat and fog!

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So where do you go when it’s cooking inland and the beach is blanketed in fog? The Mall? Yep, the mall! I never thought I’d be heading away from the beach on a hot summer weekend such as this, but with a two year old in tow, we headed up the hill to the Promenade on the Peninsula for (pause), stay with me, the Fountain! And we weren’t alone. At least a dozen other parents had the same great idea and not only did the little guy have a blast, we ran into several neighbors while we ate lunch and kept on eye on the water fun. Yes, you do catch an occasional whiff of the obnoxious perfume odor billowing out of Abercrombie, but the screams of joy and laughter of the wet little ones makes up for it. And as we headed back home, the view of the fog creeping inland with the ocean breeze was all we needed to assure us we made the right call. Now, if only we had a pool in our backyard….

Happy Summer: Great guide to building raised garden beds

Why recreate the wheel when there’s great stuff already out there.  I’ll add photos from my own experience but so as not to waste anytime, here’s a great article from a website I’m addicted to – http://www.houzz.com.  Happy Summer

Fun Weekend Ahead! Saturday March 2, 2013

ImageWhat a day!  I tried to take advantage of this summer tease but taking the Little Grom down to RAT Beach today and we had a blast.  The water is a little on the cold side but with a light breeze and light crowds, it was worth giving him a shoulder ride up the hill at the end of our session.  I hope you too can take advantage of this great weather this weekend – there’s a lot to enjoy.  Besides the beach, here is what is happening:

Whale Of A Day! (Saturday 10-4) festival celebrates the annual migration of the Pacific Gray Whale off the coast of the Palos Verdes Peninsula. Fun, food, entertainment, whale watching, education, children’s activities (face painting, games, storytelling, inflatable jumpers), Interpretive Center museum tours, Coast Guard exhibits and lighthouse tours (close at 3pm).  Free shuttle to and from the event at Rancho Palos Verdes City Hall, 30949 Hawthore Blvd, RPV.    Facebook.com/LosSerenos or http://www.whaleofaday.com

PV Little League Opening Day Parade and Games.  The Parade will start in Malaga Cove and make its way to the Valmonte Little League fields at Valmonte Elementary School.  There will be games and fun throughout the day.

St. Patrick’s Day 5K Run/Community Walk & Leprechaun Dash (Sunday, March 3) beginning at 8 a.m. The race starts and ends at the Village Runner store located at 1811 Catalina Ave. in Riviera Village in Redondo Beach. The course takes participants along the Esplanade to Knob Hill and back. All participants will receive a St. Patrick’s Day Run t-shirt. There will also be chip timing, age division awards and cash prizes to the top three overall male and female runners in the 5K. Late registration begins at 6:30 a.m. with the 5K getting underway at 8 a.m. and the Leprechaun Dash starting at 9:30 a.m.

I’m hoping to get to at least one if not all of these events and maybe even get started on that veggie garden in the back yard.  Have a great weekend!