July Met Real Estate Update...Is the Market Going to Heat Up Again?
Kevin Mcdonald the Realtor 818-256-7514
Hello Friends and Neighbors!
July gave us many signs that the market is definitely changing in the complex. We had the lowest amount of the year for units that went in escrow and current inventory is sitting at 2022 highs. I’m also seeing units undergo multiple price reductions and sitting on the market longer.
The closed sales this month were strong, but we need to keep in mind that those units went under contract in June or earlier so they are not indicative of current market conditions. We were happy to help complete another record breaking sale and highest sale price of July for the Met. We helped our client get $640k for a freeway facing 3 bedroom unit. It’s the highest ever price for a freeway facing unit and the 2nd highest price all time in the complex. Congrats to our great client.
Current inventory in the Met is sitting at recent highs. I’ve been watching how quickly the newer inventory sells and the rate has been very slow as I’m seeing multiple price reductions on some units. Based on the price reductions, I’m seeing unit pricing roll back to 2021 levels which are still historically high prices, but not the same level as a few months ago. Let’s keep an eye on these units and see if/when they officially sell for.
Mortgage Interest rates have significantly decreased recently which may bring buyers back into the market.
I think the market is still hot for top floor and 3 bedroom units so certain segments are still getting a premium.
Feel free to reach out for more details about the market conditions and my knowledge on any units.
Property values in the Met are highly dependent on their location and interior upgrades. Feel free to contact me if you have any questions about how the market is doing and what your unit could potentially fetch in today’s market.
Consumer sentiment about the housing market has definitely decreased and articles regarding the market crashing or bad time to buy are very common. In speaking with agents and home buyers on a daily basis, I am sensing a lot more fear from consumers in conversations.
Articles like this from the LA Times are much more common:
https://www.latimes.com/business/story/2022-06-30/southern-california-home-prices-decline-recession
Thinking About Buying?
The current environment for buyers needing to sell a home to buy another has improved as we are seeing sellers are more willing to consider offers contingent on selling a home. Six months ago, these types of offers had a much lower chance of being accepted by a seller unless the price and/or terms were much higher and better than the non-contingent offers. Feel free to reach out if you have any questions about current buying conditions.
Effect of Mortgage Interest Rates 2021 vs. 2022
Here is the effect of the rise in interest rates compared to last year according to Freddie Mac historical data
The rise in payment compared to last year’s rates is very considerable which should have an effect on home sellers in the near future. For a million dollar purchase it’s almost $1,000 more per month in monthly payment.
Here’s a link to the current and in escrow inventory:
Rental Activity Update:
We get asked about rental activity at the Met quite often so we’ve added additional information to our updates that may be of interest. Please let us know if you have any questions about the rental or sale market.
What are units renting for at the Met (2022-PRESENT)?*
*Statistics reported from MLS
Values are still at or near peak values, but the sales climate is changing.
We’d recommend anyone who has their property as a rental contact me to discuss the market conditions before you decide to rent the property out for another year or sell.
I’d love to help you make an informed decision with no pressure or obligation. This is why it is important to consult with someone who is an expert in the complex so you don’t waste time on the market at a price that the market will not respond to. We can also advise on what improvements can net you the best ROI when it comes time to sell.
It may be a good time to consider selling for anyone thinking about taking their equity and purchasing a new home. There are still many opportunities out there for anyone looking to move up to a bigger home or move closer to shorten your commute.
If there’s anything you need, Real Estate related or not, please feel free to contact me at kmcdona...@gmail.com or 818-256-7514.
Met Woodland Hills Inventory Level Today:
13 Active Listings
1 Listings in Escrow
Link to Current Met Inventory:
MONTHLY MET WOODLAND HILLS SALES ACTIVITY
Latest Customer Testimonial:
Kevin is amazing. He is thorough, knowledgeable and consistently went above and beyond. He got us a great price for our home and helped us find a new place in our price range that we love--no easy task in such a competitive market. Really can't enough good things about him and his outstanding team. A true pro and a great person.
-Bob and Judy B., Sold 2 Bedroom Woodland Hills Condo with Kevin & Kevin and Purchased New Home in Thousand Oaks in 2022.
Always At Your Service,
Kevin McDonald & Kevin Godley
The 818 Life
Realtor & Met Woodland Hills Homeowner
Pinnacle Estate Properties
Lic# 01810388/01216088
If your property is currently listed with another Broker, this is not intended as a solicitation of that listing. This information is based on all homes closed in “The Met” as reported through the Southland Regional Association of Realtors multiple listing service.
Want to View Some Homes on the Market?? Want to View a Different Area? Contact me at 818-256-7514.
If your property is currently listed with another Broker, this is not intended as a solicitation of that listing. This information is based on all homes closed in “The Met” as of 8/1/2022 as reported through the Southland Regional Association of Realtors multiple listing service. Not all homes listed are represented by Kevin Mcdonald, Kevin Godley or Pinnacle Estate Properties.