Saturday, February 7, 2009

January Sales Numbers Show Huge Price Declines in Laguna, Corona Del Mar and Newport Coast

The "immune" cities are not immune. Price have rolled over and are screaming downward. Lansner's blog has posted Dataquick numbers through January 15.

Laguna Beach median home price - down 23% to $1.176M
Corona Del Mar median home price - down a whopping 50% to $1.25M
Newport Coast median home price - down a whopping 57% to $1.88M

Buying anything but the cheapest condo in these cities carries with it a ton of down side risk. Losing $20,000 to $40,000 per month in home value is one realistic scenario. Any real estate agents out there with any comments? If you go to an open house this weekend, throw these numbers around for mild amusement!


Anonymous said...

Its going to get very ugly this summer. Lots of inventory... very few qualified buyers.

Anonymous said...

I just did an informal survey of detached homes listed in Laguna, up to $2 million. I wanted to see the number of homes listed for less than the previous sales price. Here's how it broke down:

< $1 million -- 9 out of 28 total listings
$1 million to $1,250,000 -- 4 out of 19 total listings
$1,500,000 to $1,750,000 -- 2 out 25 listings
$1,750,000 to $2,000,000 -- 5 out of 28

Anonymous said...

Well, that's get real.
So many of the million dollar homes in Laguna are old shacks that need plumbing, electrical, cable, kitchens, baths, etc., etc., to make them liveable.
Those could stand to come down 60% or so. With newer, nicer homes and great views, who knows?
There's just a lot of inventory, as you said.

Anonymous said...

But look at what those prices were eight years ago. An average, run-down old house with 2/2 and no view or garage for 1.1 mill? You've got to be kidding.
I think 400K is a lot for something in those areas with no view and zero lot, or old and rickety.
Newport Coast is really faux and way overpriced. Those condos were 500K in 2002; now they want 2.8 mill?

Anonymous said...

over 500 SFRs on the market and it is only March. 7 SFRs sold last month... you do the math.

Prices will drop significantly this summer.