How San Francisco and Los Angeles are Reflecting Each Other
While our cousins down in LA can’t say they have the highest rents in the entire world (as SF can), and they can’t boast of having the best non-car experience in the U.S., or many of the top U.S. K-12 schools, they can say: hey, we’re right there with you on real estate home buying and selling patterns.
In fact, LA is like a mirror to our SF real estate conditions. A recent story in the latimes.com put it this way: Jobs and wages are on the rise. Buyers are newly urgent, fearful an era of cheap money is ending. And to top it off, there simply aren’t enough homes listed for sale. As a result, bidding wars are common and prices are rising during the popular spring buying season. A report out Tuesday from CoreLogic shows the Southern California median home price jumped 7.1% in March from a year earlier, hitting $480,000 in the six-county area. And despite low inventory, sales rose 7.8%.
The LA home market is so white hot now that buyers are writing “love letters” to the seller exclaiming how much they love the house, plus offering a heap of money over the asking price. One couple wrote their “love letter” and accompanied it with $102,000 over the $798,000 list price. They bid on 11 homes, and finally landed one with $100,000 over the ask of $799,900.
Here is the full article.