L.A. real estate news and insights.
There's no doubt Trump is controversial. But as an investor and agent, it's my job to cut through the yelling from both sides to find new opportunities for my clients. We all know Trump's a real estate guy. So what does that mean for LA's housing market? Here's a really smart video from luxury housing market pros.
There's been much talk about the development of Ktown, from kick ass new hot spots, cool restaurants and all sorts of neighborhood revivals along the Wilshire Corridor. On the surface this bodes well for the long-run property values in the area, but under the hood, K-town's crime rates are still among the highest in Greater LA.
As a residential real estate investor, these are major considerations I often discuss with clients looking to buy or sell. On one hand, we're amid a major wave of development. Among them will be 30+ new buildings that alone, will change Ktown's skyline completely. From mixed use properties to high rise condos and the like, we'll definitely see a spike in commercial activity and new tenants flooding the half dozen zip codes of the area, bringing new sources of wealth.
On the other hand, there's the stark reality of consistently high crime rates. And I'm not talking smash and grabs, but actual violent crime. The LA times has an awesome crime mapping site; check it out and see for yourself. K-town still ranks among the top 20% in violent crime and the top 50% in property crime. It will be interesting to see how further development of Ktown will impact (hopefully reduce) crime rates.
What does this mean for real estate today in Koreatown? Reach out and we can talk strategy.
A recent report from the Census Bureau highlights a significant drop in LA's rental vacancy rate from 3% in 2016 Q1 down to 2.4% in 2016 Q4. With a national average of 7.1% for the nation's largest metro areas, LA ranks at the bottom in terms of available supply for folks looking to rent. This continues a longer term downward trend--LA's vacancy rate was 6% in 2010.
Low rental inventory is especially concerning in LA, which has the highest percentage of renters (52%), according to the Harvard Joint Center for Housing Studies. Even more concerning is that with remaining supply, we see the same effect we're seeing with the residential real-estate market--higher prices. Marcus & Millichap predicts rental prices to rise 5% in 2017 to reach a city average of $2,095. LA's current median rental price stands at around $1,990.
This could prove to be a great entry point for those looking to get in the rental game. Looking for properties to rent out? Reach out and let's have a conversation.
LA's Great Streets program will be expanding to include seven new projects worth $2M. Since it launched in 2013, Mayor Garcetti's Great Streets program has sought to reinvigorate some of LA's most iconic neighborhoods. Check out the site to learn more about the program.
In it's most recent project selection round, stakeholders from the program selected 7 proposals out of a total 37 submissions. Check out the full list of winners and proposal descriptions here.
This should be seen as great news for residents in any of the 7 winning neighborhoods and a positive for real estate values in those areas.
Interested in selling your home? Feel free to reach out and we can discuss how changes in property values are bringing new opportunities for those looking to sell.
The development of the $2.7B City of Champions Stadium in Inglewood has real-estate investors excited about the prospect for a mini-boom in this famous LA suburb. Not since my beloved showtime Lakers graced the presence of the Great Western Forum has Inglewood been in any serious conversations about prime time sports and real-estate.
So, for me, as an LA native, sports fan and real-estate investor, it's great news to see Inglewood get back on the map. Set to open in 2019 and host both the newly moved NFL teams -- the Chargers and Rams -- the stadium has already brought new real-estate money into the community.
Developer Sandy Sigal has committed $15M to renovate a 1960's era and currently run down shopping center on Crenshaw. Sigal, who is president of NewMark Merrill Cos. of Woodland Hills, explains, "Once the Rams announced, it made a bunch of those retailers who didn’t know where Inglewood was, or had a preconceived notion about it, think...It pushed a lot of guys over the edge."
It'll be interesting to see how the market changes moving forward and how it will certainly gentrify. Inglewood's median home prices stand at $389K, well below the LA average. Could this be an opportunity to buy low and sell high?
One thing's for sure, we're already seeing activity. Homes in Inglewood are already selling much faster in recent months, than the LA average, according to Redfin.
Are you thinking of selling your home? Want to know what this means for you? Reach out and let's have a conversation.
The most recent Census report highlights national home ownership rates remained flat at 63.7%. LA, however, continues to lag with a 49% home ownership rate. As we've noted here at Contempo Realtors, low supply, coupled with higher prices can pose a big challenge for buyers. We've gotta make moves and increase supply!
Climbing LA prices means current inventory will be increasingly unaffordable to most Angelinos. Meanwhile, cities like Dallas and Houston are becoming more accessible. With more favorable regulations for development and urban sprawl, Texas certainly has an advantage over California, which is bedeviled with highly restrictive building regulations.
Here's an interesting piece from the Hill about what legislators can do with zoning ordinances to boost LA's housing market.
Are you thinking about selling your home? Do you want to know how all of this impacts you? Please reach out for a free consultation.
Annual home sales in the San Fernando valley have been below the 7,000 level since 2010. In 2016, total sales equaled 5,643 down 4% from 2015. Market observers expect this trend to continue in early 2017 as low supply and high prices continue to dampen the market.
What does this mean for folks looking to sell? Feel free to reach out and I can give you a personalized assessment.
A recent report highlights median home prices in Venice rising by 15% in 2016 and rapidly approaching $2M per home. We know from a previous post that while prices are rising, actual sales have fallen. This could create excess supply that will force prices to stabilize. Sellers should take note.
If you're thinking about selling your home and want a free market consultation, feel free to reach out.
Southern California home prices jumped in December, reaching its highest peak in nine years. On the flip side, lower demand has lead to a decrease in actual sales. What does this mean for homeowners looking to sell?
House flipping has made a strong comeback. Home flippers accounted for 6.1 percent of U.S. home sales in 2016. That’s the highest share since 2006, when flips accounted for 7.3 percent of sales.
A great overview from LA times on how Koreatown has grown into a feature rich neighborhood for Angelinos.
My wife Julia behind the scenes.
My wife and I recently purchased a home and we're lucky to have it featured on House Hunters Renovation. It was a really exciting experience and we hope you'll tune in on Saturday, August 6 for the premier. Follow our journey along with our son Leonardo and see which house we pick and renovate!
Click here to see showtimes in your area :-)
A rendering of a proposed development at 8150 Sunset Blvd., which has special designation under state law to speed up any environmental lawsuits. (Rendering by Visualhouse)
According to the LA Times, "two Hollywood mega-projects could mark the Los Angeles skyline years sooner than planned if state lawmakers pass a bill intending to cut down on lawsuits against large developments in California."
"The bill aims to force any environmental lawsuit against the projects to wrap up within nine months, a perk that proponents believe would allow the developments to be built three years sooner than would otherwise be possible without such a law in place."
LA Curbed reports "Back in April, Zillow CEO Spencer Rascoff shelled out just under $20 million for a six-bedroom mansion in Brentwood...even more surprising, his own company’s price estimator [Zestimate] suggests Rascoff overpaid a bit for the nearly 13,000 square-foot home."
