August Real Estate Report
This summer has been quite interesting when looking at the average monthly sales prices of Downey and the surrounfing areas. The graph below includes the following cities: Bell, Bellflower, Bell Gardens, Cerritos, Downey, La Mirada, La Habra, Long Beach, Lakewood, Montebello, Norwalk, Paramount, Pico Rivera, Santa Fe Springs, South Gate, and Whittier. When looking at the graph below, we can see a steady incline in the average sales price collectively over all the cities mentioned above which is a good sign. There is also a consistancy and a balance when looking at the the average sales price since January of 2010 which tells us that buyers shouldn't wait much longer to buy if they are considering buying.
Another interesting thing that we noticed when we looked at MLS reports for June and July is that properties are selling for slightly more than what they are being listed for. Typically in this market it's the other way around. An agent ususally lists the house for a certain price and then offers either come in at asking price or slightly below. For the month of June we saw an average sale price of 1.61% more than what the property listed for in the cities of Bellflower, Lakewood, Montebello, Norwalk, and Paramount. In July the average sales price was 1.594% more than the listed price in the cities of Norwalk, Paramount, Pico Rivera, South Gate, and Whittier. One of the reasons that this is taking place is because on many homes currently on the market there are multiple offers being presented creating a slight bidding war between buyers. Another reason is that since the majority of homes on the market are short sales, and in short sales the banks are the final decision makers on the sales price, banks are then limitting their losses as much as they can.
View the chart below to get a visual perspective of the what real estate is doing in Downey and the surrounding area.
