About 3 years ago, the buyers' market in Manhattan Beach was winding down. A firmer, more optimistic market was taking shape. It would gradually become the current rally, or whatever you want to call today's rapidly rising market.
In June 2011, we were accustomed to seeing homes trade around their 2004 values.…
About 3 years ago, the buyers' market in Manhattan Beach was winding down. A firmer, more optimistic market was taking shape. It would gradually become the current rally, or whatever you want to call today's rapidly rising market.
In June 2011, we were accustomed to seeing homes trade around their 2004 values. And yet, 319 S. Poinsettia in the Hill Section sold then for a notable markup over its 2004 sale price. That got MBC's attention at the time. (See "A Big Markup Over '04.")
The 2004 sale of the home, when new, was at $2.137M. The resale in a (supposed) buyers' market was for $2.495M, the list price, which had seemed ambitious at the time.
A 17% bump over an '04 price back then was an outlier.
Now the home is back up at $3.999M (can we call it $4M?), looking for a markup of 60% over acquisition in 3 years.
But now, how will the market view a $4M listing in the Hill Section?
Its only direct competitor on the public market in the Hills is a comparably sized, luxe, ocean-view home at 853 6th, asking $4.950M. The lots and home sizes are close to identical, even if the homes are very different. So it's $1M less to be down the hill and along Boundary Place on a downsloping lot.
Most of the off-market properties in the area that area being discussed are nearer to $5M, also.
So if you just want to relate this one to what else is available, maybe it looks OK.
What definitely looks OK: A walking-away profit of $1.3M for buying in at the right time – at whatever price... if the sellers can pull that off.
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 24th, 2023 at 5:31pm 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.
