Tree (Section) trimming

Posted by Dave Fratello on Sunday, May 6th, 2007 at 12:34am.

Several Tree Section sellers have made price reductions for the weekend.

With a lot of stagnant inventory, some price moves were inevitable.

Recall that 2104 Poinsettia went into escrow moments after making a serious reduction – its second $150k reduction down to $1.799m.

Buyers notice that sort of thing.

Nine more of the 33 active Tree Section SFRs cut their prices May 1 or after. Here they are in order of their new prices:
Address_____WAS_____ IS______ CUT

2507 Valley__$1.999m___ $1.850m__$149k
758 14th____$1.925m ___ $1.899m__$ 26k
1800 Laurel__$2.499m __ $2.350m__$149k
628 Marine__$2.425m ___$2.375m__$ 50k
579 29th____$2.499m___ $2.400m__$ 99k
637 35th____$2.699m___ $2.629m__$ 70k
2310 Palm___$2.689m___$2.639m__$ 50k
3212 Maple__ $2.679m___$2.649m__$ 30k
2104 Palm___$3.499m___$3.449m__$ 50k
True, some of these are token moves, done more for effect than to find the right price. But it's notable that few Tree Section listings had made cuts in the previous month.

Two of the big movers were previously discussed by MBC. 1800 Laurel was priced on a lark by live-in remodeler/flippers. They didn't get their lucky price after a month, so they're moving. They have more room to go if necessary.

And 2507 Valley has made a real move after some fake moves. More importantly, that seller has faced the fact that this home will wind up a short sale, and they're telling the world instead of hiding it.

579 29th has now dropped $175k from the initial list in early December 2006. This cut was accompanied by a bogus relisting. It seems significant that this is one of very few $2.4m+ listings that is not new construction – builders do not yet appear to be aggressive on price.

As detailed in the most recent Manhattan Beach Market Update, much of the current Tree Section inventory has been lingering quite a while. Of the 33 homes for sale as of April 30, actual days on market broke out this way:
0-30: 4

31-100: 12

101-200: 9

201-300: 6

301+: 1
So there are several listings that might need to keep moving to find their buyers.

UPDATE 5/6: 628 Marine is now pending after making its price reduction.
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