Thursday, January 1, 2009

Brentwood Meltdowns

836 S. Bundy #405, 90049
2+1.5, 1256 sqft, Sold for $585K on 10/16/08, $465/sqft

836 S. Bundy #305, 90049
2+1.5, 1256 sqft, Sold for $630K on 7/25/08, $501/sqft

Same Unit, Higher floor, Sold for $45,000 (-7.2%) off in less than 3 months. Annual Rate of Decline (ARD) = -31.7%

Here is another one,

11965 Gorham #505, 90049
2+2, 1321 sqft, Sold for $500K on 6/13/08, $378/sqft

11965 Gorham #408, 90049
2+2, 1046 sqft, Sold for $527K on 4/8/08, $503/sqft

Larger unit, Higher floor, Sold for $125/sqft (-24.9%) less, in just over 2 months.


Anonymous said...

I live in this condo complex (836 S. Bundy and 11965 Gorham are connected buildings) - for the 836 S. Bundy comparison, the unit that sold for less was not remodeled or updated (only new carpeting and paint)...the other unit was fully remodeled and updated.

For the 11965 Gorham comparison, again, the unit that sold for less was basically "as-is" - plus there were other circumstances involved with its sale.

Yes, prices have dropped some - but in these two examples, other factors played a significant part in the price differences.

Latesummer2009 said...

These are the comps that banks and appraisers will be looking at. In their minds, the trend is definitely down in the building, considering there are now two sets of comps.

latesummer2009 said...

Latest from Melissa Data for January, 2009 (YOY)

Total Sales Volume $9,189,000 (-66.5%)
Average Sales Price $1,021,000 (-47.9%)

Market Leader #6 to the downside...

Anonymous said...

Comps...meh. Do some research on past sales in these buildings - you'll see wide price variances between seemingly similar units.
Prices have always varied greatly based on unit condition. Good realtors understand this and adjust accordingly. Prices are down, but there are other explanations for the variances.

Tired of all the talk of gloom and doom. If you keep saying it long enough it becomes fact, you know what I mean? No thanks, I'm not buying into that attitude.

latesummer2009 said...

I wonder how a good realtor adjusts for a 2/3 drop in Sales Volume last month?

Price drops normally follow sales volume declines, no matter what type of attitude you have.