The key to understanding the market is looking at the market trends. We use a Market Index to put the market into a number that we can compare and track trends. Above 1.20 is a seller's market, between 1.20 and 0.80 is a neutral market, and below 0.80 is a buyer's market. La Canada does have some very different market numbers compared to its neighbors, La Crescenta and Pasadena.
From August (prior to the mortgage industry shift), and December, we see a curious trend. From 0.56 in August (second only to San Marino) , then 0.44 for September , October 0.23, and November 0.18, December 0.12.. Now, December, 2006 had a market index of 0.46. La Canada seems to be headed for a soft landing. Will it go up next month? What will spring market do? In December of 2006 there were 6 new listings added.with a total inventory of 41. In 2007 we saw 14 new listings added (over twice as many), and the inventory climb to 67 listings. That is a 63% increase in listing inventory Not a large number of new listings, and a proportional number being sold, yielding a pretty much flat market index for the past few months..
La Canada Market Summary |
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December, 2007 | August | September | October | November | December | Variance | Change |
Active Listings | 17 | 32 | 20 | 18 | 14 | -3 | -17.6% |
Pending in the month | 13 | 18 | 6 | 3 | 2 | -11 | -84.6% |
Pending Ratio | 76% | 56% | 30% | 17% | 14% | -0.62 | -81.3% |
Inventory at month end | 80 | 99 | 77 | 74 | 67 | -13 | -16.3% |
Sold listings | 32 | 26 | 12 | 10 | 6 | -26 | -81.3% |
Average Days On Market | 68 | 50 | 105 | 73 | 69 | 1 | 1.5% |
Market Index | 0.56 | 0.44 | 0.23 | 0.18 | 0.12 | -0.44 | -78.8% |
Data is from iTech MLS. Data is deemed reliable, has not been verified, and is subject to change.
What is important about the relatively constant figures? Even considering the shift in the market, along with the significant changes occurring in the mortgage industry, homes are still selling. If you are a buyer, and are waiting for prices to drop, this may well be the time to start getting serious.
F\or sellers know that buyers are looking for VALUE. Properties that show the best value sell first, leaving the rest of the inventory to sit on the market. Homes that are properly prepared, marketed, and priced, will still sell in under a month. The longer a property sits on the market, the greater the gap between the asking price and the sales price.
For a no-obligation Highest Price Analysis just call 1-888-284-2056 or email Keith@GlencrestTeam.com.
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