To a degree, price points like $1m, $2m and $3m are just symbols.
In the Tree Section, $2m has served for some time as the minimum price for new construction. When a new home recently came on the market a hair below $2m, MBC treated that as news. (See "First Newbie Below $2m.")
By the same token, $3m has served as…
To a degree, price points like $1m, $2m and $3m are just symbols.
In the Tree Section,
$2m has served for some time as the minimum price for new construction. When a new home recently came on the market a hair below $2m, MBC treated that as news. (See "
First Newbie Below $2m.")
By the same token,
$3m has served as the marker connoting larger, higher-quality homes in the Trees.
Now two new Tree Section homes that had sought more than $2m and $3m, respectively, have sunk below those symbolic thresholds.
742 33rd (click for details via Redfin) first went on public offer in late August at
$3.295m, 10% above the $3m mark.
Now, by way of a bogus re-list (not the property's first) and a new $190k cut, it's at
$2.995m. It's not going to fetch $3m, after all.
1901 Poinsettia began a week before 742 33rd at
$2.499m, 25% above the $2m mark. Today, after a new cut of $180k, it's at
$1.999m. This one will miss the $2m+ threshold.
Either Poinsettia or
1144 Elm is going to be the first new-construction home in the Trees to sell for less than $2m in quite a while.
There will be some venom directed at the builder of
1901 Poinsettia, who already shook up the Trees by selling
2807 Elm for $2.1m, -$799k from its start. (See "
Winner of the Race to $2.1m.") He threatened the comps by taking
$600/PSF for Elm, and now he's offering Poinsettia at
$625/PSF, at least $100/PSF lower than the norm.
MBC almost
loved 2807 Elm, but we found Poinsettia
a challenge to like. Still, we've heard from folks who were ready to move on Poinsettia, but wanted a deal. Guess what: at $1.999m, the builder is asking just $449k more than he paid for the lot –
he's unloading.Over at
742 33rd, the price remains at a more reasonable
(achem) $744/PSF, though that's lower than all the new construction above $2.3m. MBC found this home plenty spacious and glistening in parts – especially the kitchen – but bemoaned the lack of a real yard, and the ho-hum media room, in this case just a bright finished basement. The house also fairly screams "stage me" to help bring order to its open first-floor living spaces.
If a home begins in one tier and later sells in another, hey,
it's still selling for a pretty penny. But there could be a psychological blow from slipping from one tier to the next – and not just for these builders.
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 18th, 2024 at 9:48pm 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.