This blog begins with the following premise:
HOME PRICES ARE DROPPING IN MANHATTAN BEACH.
The good old days are over. A gigantic rally ended in late 2005/early 2006. We coasted through 2006, with some sellers getting their prices, and lots more watching their houses sit for months and months. Initial asking prices…
This blog begins with the following premise:
HOME PRICES ARE DROPPING IN MANHATTAN BEACH.
The good old days are over. A gigantic rally ended in late 2005/early 2006. We coasted through 2006, with some sellers getting their prices, and lots more watching their houses sit for months and months. Initial asking prices increasingly gave way to a new reality. (Some people simply never sold at all.)
So why are brand-new listings RAISING their prices? Two recent examples from the Tree Section:
#1 is 2305 Pine Ave. - a 3br/2ba house, 2,000 sq ft, a charming remodeled 1950 cottage. (First photo above.) So charming, in fact, that the sellers raised their price from $1,495,122 to $1,595,122 just eight days after hitting the market (list date 2/21/07). It seems anyone who missed it in the first week was expected to pay a penalty.
#2 is 2507 Valley Dr. - a newer (2004) 4br/3ba house w/ 2,850 sq ft. (Second pic.) This was a steal at $1,999,999, the price it held for four days. You snooze, you lose - since March 13, it's now $2,099,000.
That is two separate $100k increases. In a slow (but not dead) market in which most sellers are taking less.
Both homes have their challenges, and don't look like quick movers in today's market. Are the sudden price increases supposed to add a sense of urgency?!?
We'll seek other examples and track the fates of these sellers and this tactic. But we are skeptical here at MBC, where we can recall two things from recent years:
First, in the runup (2001-05), buyers often paid more than list price, but prices generally were not raised on listings.
Second, in the last 9-12 months, price cuts of $100k-$300k have been the rule, not the exception.
Please see our blog disclaimer.
Listings presented above are supplied via the MLS and are brokered by a variety of agents and firms, not Dave Fratello or Edge Real Estate Agency, unless so stated with the listing. Images and links to properties above lead to a full MLS display of information, including home details, lot size, all photos, and listing broker and agent information and contact information.
Based on information from California Regional Multiple Listing Service, Inc. as of March 19th, 2024 at 5:55am PDT. This information is for your personal, non-commercial use and may not be used for any purpose other than to identify prospective properties you may be interested in purchasing. Display of MLS data is usually deemed reliable but is NOT guaranteed accurate by the MLS. Buyers are responsible for verifying the accuracy of all information and should investigate the data themselves or retain appropriate professionals. Information from sources other than the Listing Agent may have been included in the MLS data. Unless otherwise specified in writing, Broker/Agent has not and will not verify any information obtained from other sources. The Broker/Agent providing the information contained herein may or may not have been the Listing and/or Selling Agent.