In the Miracle Mile area of Los Angeles, we are still experiencing a bit of a sluggish market, especially in the price point above $1,200,000. Overall there are 67 active listings in all price points ($400,000 to $2,355,000) with an average days on market of 73 days. The average list price per square foot is $536.
Homes are selling in the Miracle Mile area, especially if they fall in the price point below $1 million. But that is not to say that homes in the higher price range aren't moving. Buyers will buy in this market for 2 reasons - either they think it's a good value or the home is unique and special enough that they know another similar home only comes on the market a few times a year. In that case, those homes can still sell at a premium.
In that past 3 months (since July 1st) there have been 40 closed sales ranging between $569,740 and $1,550,000 and an average price per square foot of $474. When you compare that average price per square foot to that active listings you can start to understand why some homes are sitting. They are PRICED TOO HIGH. There are still plenty of sellers in denial about the current market and in my opinion many of the active listings can sell within 5 to 10% of where they are currently listed. That translates to anywhere from $50,000 to $150,000 less in most cases.
Buyers should not be afraid to jump in and make low offers. Worst thing that will happen is they will say no. Some Sellers are real and some are not. Real sellers will negotiate to get their homes sold. There are 24 homes in the Miracle Mile in escorw right now in all price ranges. So Buyers are out there and they are willing to write offers when the PRICE IS RIGHT.
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