Buyers On The Move: A Frenzy To Snap Up Homes in L.A.

Think that the real estate market is the same all over? Think again. L.A.'s market is comprised of dozens of niche areas, each with its own desirability. That's why it can be misleading for would-be L.A. home buyers to expect bargain-basement prices in neighborhoods like Venice, Santa Monica, Los Feliz or Culver City.

While prices have softened in some neighborhoods, in other neighborhoods they have barely shifted. Home loan interest rates are currently at historic lows for conventional loans (at 4.78% cash for lending is very inexpensive), while rates on "jumbo" loans (homes valued at over $730,000 - which is a lot of L.A. real estate) are finally starting to downtrend.

http://www.latimes.com/classified/realestate/news/la-fi-cover3-2009may03,0,1360420,full.story

This article in the recent Sunday L.A. Times captures the flavor and frustration that many buyers are experiencing. We know first-hand for our buyers, some of whom have been submitting 30-40 offers to try to land a home in the $300,000 range.

On the other hand, for one of our higher pricetag listings, up in the Hollywood Hills and priced at $959,000 now, the buyers have been slow to come and slower to write offers. Problem? Tighter lending and credit guidelines for jumbo loans, requiring would-be buyers to put down 20-30% of the total price in cash and pay higher interest rates. Until things improve in the jumbo market, home sales there will continue to be sluggish.

If you have been waiting for prices to get lower, wait no more. Everyone else is already in the huddle, scrambling to find the right deal. Multiple offers are flourishing everywhere in the under $417k price range.

Call us today for help with your real estate transactions. We are never too busy to help you or your friends and family to fulfill on your dreams of home ownership, investment and financial freedom.