It’s time for a snapshot update on the local real estate market in Long Beach & Lakewood, California, a community in the south end of Los Angeles county, near Orange County, population approximately half a million.
Today is August 27, 2018 and while it is not month end, we are reaching that time at the end of our traditional summer, where we are approaching Labor Day weekend…. children are making their way back to school, and we are already thinking about what we need to accomplish before this year comes to a close.
Normally, this time of year, there is an accumulation of house and condo inventory on the market, and a slowing down of sales as people do the last of their vacations and get their kids ready for school.
And as the 4th quarter approaches, activity in the real estate market normally picks up as people get back to business, and sometimes that business is buying a new family home or investment property before Thanksgiving and Christmas arrive.
So how does this point in time, August 27 this year, look compared to last year? Let’s look at a few numbers that we can analyze and ponder.
Today in the cities of Long Beach & Lakewood, there are 703 residential homes for sale. That includes condos and houses.
121 of them are priced over $1million. That’s 17% or 1 in 6 homes priced over $1 million.
In the last 30 days, 330 homes have gone under contract or gone into Pending status. That’s about 47% of homes being “absorbed” – implying that we have approximately 2 months worth of inventory on the market. There are a total of 455 homes under contract or pending in total.
Interestingly, only 23 of these that went under contract/Pending in the past 30 days were over $1 million.
So by my calculations, for homes priced over $1 million, the absorption rate is 19% as opposed to for the entire market, which is 48%.
The absorption rate under $1 million is 53% (307 went under contract/Pending last 30 days divided by 581 active homes for sale under $1 million).
Closings last 30 days – 334 residential homes have closed escrow in the last 30 days. Using this closing number, that’s 47% of the active inventory level, again suggesting we have about 2 months worth of inventory on the market as a whole in this area.
A Year Ago’s Stats
Taken straight from my blog page at TheBestBeachHomes.com in August 2017, you can see this market snapshot excerpt from last year end of the month:
Market Snapshot August 31, 2017
Today, on August 31, 2017, our local Multiple Listing Service shows 562 residential homes are listed active for sale in all of Long Beach and Lakewood, California.
That number of Pending Sales and Homes Under Contract today on August 31, 2017 for the area Long Beach and Lakewood is 527.
In the month of August 2017, 428 homes sold/closed escrow in Long Beach and Lakewood, California,
(1) More inventory this year at the end of summer. 703 actives today vs 562 a year ago, a whopping 25% increase in inventory!
(2) Lower numbers of pending and closings this year vs last year. 455 total pendings today this year vs 527 on August 31 last year, down 14%, and closings 334 this year vs 428 last year, down 22%.
Slower, or more normal market this year vs last year, and a more balanced playing field for our buyers and sellers instead of the sellers holding all the cards…… we are seeing great inventory out there, not just junky houses….. great deals for buyers and still not a bad market for sellers – 2 months inventory is certainly a healthy market still, and with prices at a healthy level.
Upcoming Seminars! Yes, back to school for you too!
What better time is it than to have a Buyer’s Seminar for those who are interested in all the great LOAN OPTIONS out there!
Come out and be a part of Loan Officer Rick Loveall’s Seminar on Loan Options for Today’s Buyer!
Happening Saturday Sept 15, 9 am, bright and early, and we will have coffee and other refreshments for you.
Cost: Free but you must RSVP! RSVP by emailing TeamNancy@century21masters.com.
Location: Nancy’s office at 5150 E Pacific Coast Hwy #770, Long Beach, CA 90804
Bring your questions about mortgage loans and options and special programs for first time buyers and move-up buyers!
Stay tuned.… in October, we will have Estate Planning and Trust Attorney Curtis Kaiser in to discuss how to set up a trust for your property, why we do it, and how to have all the details taken care of when you buy and own this important asset – your house!
Save the date! Saturday Oct 20, 9 am!