Sky High Sales: A Look at Trophy Property Sales in Manhattan vs. Los Angeles in 2011 by Ruth Shari January 10, 2012
Posted by Ruth Shari in High End Sales, Manhattan vs. Los Angeles properties, Multimillion dollar homes pick up speed.Tags: A Look at Highest Sales in New York City and Los Angeles, Demand Strong for Trophy Properties in New York, Foreign Money Enters NYC real estate Market, New High for Manhattan Units, Price per square foot at Peak in Manhattan, Ruth Shari, Truth From Ruth, What’s Driving High End Real Estate, Where are Wealthy Foreigners Buying
add a comment
A trophy listing went under contract in December in the Big Apple: the 20th floor penthouse at 15 Central Park West owned by Sanford Weil, former chair of American Express. The 6.744 square foot residence was listed at a startling $88 million, pricey even for the New York market where the previous highest sale was a $53 million townhouse that sold in 2006. Those close to the deal say the huge penthouse with a wraparound terrace was purchased for near list price by a Russian billionaire for his 22-year old daughter, who is a college student.
Brokers in Manhattan who work the very high-end say they’ve had strong business right through December and could sell more if there were a greater inventory of apartments. According to brokers and lawyers interviewed by The Wall Street Journal for an article published December 23, 2011, wealthy Russian buyers, who once sought second homes in London, are especially active in Manhattan at the moment, which is seen as safe, in contrast to the increasing political uncertainty in Russian. The Weil sale at $88 million equates to $13,048 a square foot, far in excess of the previous high in the same building at $9,940.
For the year ending 2011, seven sales were recorded for $30 million or more, according to city property records. The highest closed sale was a $48 million purchase at the Plaza Hotel, bought by another Russian, a composer and music promoter.
In comparison, the highest published sale in the Los Angeles area closed for $85 million in July, 2011. Originally listed at $150 million, the property, known at The Manor, was built by entertainment magnate Aaron Spelling and wife Candy. With 14 bedrooms and 27 baths in more than 56,000 square feet, the Bel Air property allegedly was sold to a wealthy British man whose daughter will live in it. For the whole of 2011, there was only one other sale in excess of $30,000: A Hal Leavitt re-designed masterpiece purchased for $35 million, from a list price of $42 million, located at 1004 Hillcrest Road, north of Sunset in Beverly Hills. (See photos of both Los Angeles area properties.) What brokers experienced for the past 12 months is sluggish sales of properties over $10 million with the exception of the Beverly Hills’ Leavitt house which closed within just 47 days last May.
Taking the Pulse Beat on the Housing Market – by Ruth Shari December 30, 2011
Posted by Ruth Shari in Consumer Confidence, Economic trends, Housing rebounds, Pending Home Sales Rise, property values.Tags: factors positive and negative impact housing, good housing news spurs consumer confidence, housing poised for improvement, housing rebounds, pending home sales rise, pending sales highest in 19 months, Ruth Shari, the mood is mixed, Truth From Ruth, unemployment claims drop, unemployment holding
add a comment
For the first time in longer than I can remember, there was good news today. Pending home sales continued to gain in November and reached their highest level in 19 months, according to the National Association of Realtors (NAR).
It’s undeniable that a number of factors greatly impacted the housing industry during 2011: government, the mortgage industry and the forces of Nature (floods, freezes, fires, etc.). 
Initial unemployment claims in the United States fell to a three year low in November, the lowest level since June, 2008. This is terrific news. But, don’t rejoice yet. It wasn’t until the third week of December that claims again rose, possibly in response to holiday temporary workers needing to re-enter the job market.
Experts tend to agree that the housing industry’s positive and negative factors are equally weighty at present. Others cite the challenges of grappling with the onset of more foreclosures in 2012 as well as reduced home values after a four- year downward spiral in median home prices.
Some Price Points Sell in Any Real Estate Market – by Ruth Shari December 16, 2011
Posted by Ruth Shari in Buyer's Choice, Buyer's Market, Finding a solution to buyer needs, How to make your home worth more.Tags: Buyer's Market, buyers persevere for what they want, Buyers seek a deal, Buyers’ market heats up, Location sells, Pricing key to selling fast, Pricing under value leads to selling high
add a comment
In the most affordable residential neighborhood of Santa Monica, the average sale price for the past year has hovered at slightly over $1,000,000 for a single family home. Any house for up to $900,000 or so appears to be good value in SunsetParkdistrict where sales have been brisk: 73 homes sold through December 15, 2011. Case in point was the listing at 1214 Pacific, a 1924 vintage house with 2 bedrooms and a bath, offered at $799,000. Ten people made an offer on it and it sold, although court confirmation was required, for $910,000 on November 30th, 2011.
Some buyers hate to become involved in a bidding war. This occurred with 1214 Pacific as the seller chose to make a counteroffer to nine of the ten buyers. Moreover, the minimum overbid price for the court event was $956,000. Luckily for the buyer whose offer was accepted, who persevered in escrow to remove all contingencies, no other buyers showed up in court. The probate judge confirmed the sale at $910,000 to the buyer whose offer had been accepted from among the original pool of ten offers. 
Reasons for the desirability of this property were several. Listed at $799,000, buyers perceived its value. Secondly, it was located in one of the best locations—and attractive blocks—on an oversized lot for the neighborhood. Most buyers would prefer to take advantage of the lower price and make their own improvements rather than pay the higher amount for a house that has already been remodeled. Sold for $910,000.
Being Able To Walk Everywhere from Your House Increases Value by Ruth Shari December 2, 2011
Posted by Ruth Shari in Environmentally friendly house and home, Features that add real estate value, How to make your home worth more, property values, Residences That Please.Tags: buyers want walkable neighborhoods, higher walkability equals higher home values, homes worth more if within walking distance, more walkability commands more home price, people pay more to walk from home, real estate in Los Angeles, Ruth Shari, Truth From Ruth, walkability equates to higher value
add a comment
Homes in more walkable neighborhoods are worth more than similar homes in less walkable neighborhoods, according to an analysis from CEO’s for Cities. The data analyzed was based on 94,000 sales in 15 major markets and revealed the following: Houses with above average levels of walkability can garner from $4,000 to $34,000 over houses with only average levels of walkability. 
In 13 of the 15 markets, a greater degree of walkability was directly tied to high home values. Those areas are; Arlington, VA; Austin, TX; Charlotte, N.C.; Chicago; Dallas; San Francisco, Sacramento, Fresno and Stockton, CA; Jacksonville, FL; Phoenix and Tucson, AZ and Seattle.
Here in Los Angeles’ Westside territory, areas with high walkability sell well. Venice, CA, for example, has posted 99 sales of homes since June 1st, which sold for 97% of asking. In the Pacific Palisades, houses located within walking distance to the village sold for 98% of asking; 23 have sold since June 1st.
In Santa Monica north of Montana, which is a microcosm of Main Street Santa Monica or Rodeo Drive in Beverly Hills, 39 houses sold since June 1st for 96.7% of their list price. InSunsetPark southSanta Monica, an area largely flat even if some residential pockets are several blocks from shops, 71 homes have sold year to date for 97.5% of the offer price.
Bright Ideas for Better Home Lighting by Ruth Shari November 17, 2011
Posted by Ruth Shari in Features that add real estate value, Green adds value, How to make your home worth more, Lighting, Preparing Your Home For Sale.Tags: Effective lighting adds value to a home, Good light in a home pays off when selling, good lighting increases home value, Homebuyers demand light, Homebuyers prefer light filled space, Light enhances home appeal, Light increases home appeal, Lighting a factor in choosing a home, Lighting a major criterion in selecting a home, Lighting improves household safety, Lighting increases safety at home, Lighting is an inexpensive investment
add a comment
Now that it’s nearly winter and we’re approaching the holidays, lighting takes on a new importance. Lighting affects mood as well as complimenting and illuminating space. As a transplant to Southern California (from the Northeast), I could never go back to a residence with little natural light. Moreover, for 4 out of 5 buyers, I discovered that good light within the home is a major factor. I have never encountered a buyer who asked for a “dark” house. So here are practical tips to bathe your home in light:
- Use halogen lighting in the kitchen and dining areas. The natural white light makes food look more appetizing and appealing.
- Consider fluorescent bulbs for hard to reach light fixtures. They are more energy efficient and they last much longer than incandescent bulbs. In a city like Santa Monica energy efficient light bulbs are widely in use. As demand for them has increased, the cost of these energy saving bulbs has also become more affordable.
- Installing dimmer switches for your overhead lighting will give you enormous flexibility to alter the mood and appearance of a room.
- Illuminating outdoor paths and porches in not only great for safety, but makes these areas very attractive. Use solar powered lights to save energy and eliminate the need for complicated wiring.
- Invest in recessed lighting, especially where you have high pitched ceilings. It creates even lighting within the magnified space and compliments the feel of more expansive space.
Don’t be left in the dark! For advice on current market trends, present market conditions, including new lender requirements and interest rates, give me a call at 310-442-1646.
Safeguard Your Credit Score If You Want to Buy a House by Ruth Shari August 16, 2011
Posted by Ruth Shari in find what you can afford, Good credit score.Tags: Boost credit before buying, Borrowing costs less with excellent credit, Buyer credit important, FICO score affects interest rates, High score facilitates best mortgage rates, improving credit made easy, lenders favor prime borrowers, secrets to good credit revealed
add a comment
Your qualification for home loans, your interest and insurance rates—even your potential employers—can depend on your credit score. Knowing what goes into tallying the number is the first step to improving it.
Here are five ways to boost your score:
- Make payments on time. Set up automatic payments to your creditors.
- Pay down debt and don’t move it around. Moving balances to new credit lines can hurt your score.
- If you have a short credit history, don’t open new accounts too rapidly. Lenders like to see a long history of responsible payments. A large number of new accounts can lower your number
- Don’t close unused accounts. The longer you’ve had a line of credit open, the better it is for your score
- Check your credit report. Order your free annual reports from all three major credit bureaus at www.annualcreditreport.com and correct any errors that could damage your credit score.
- Another plus is to show a history of managing various types of loans from credit cards to retail accounts, mortgages, installment loans, etc. It can help your score.
As applied to a mortgage, your FICO score will directly affect the interest rate you receive for a 30-year fixed mortgage. For example, on a $300,000 loan amount, a borrower with a credit score of 760 or higher qualifies for 4.361% interest (APR) which results in a monthly payment of $1,495. A borrower whose score is between 680 and 699 would obtain a rate of 4.760% resulting in a monthly payment of $1,567, a difference of $72 a month and $864 a year. * Interest rates as of August 9, 2011.
What is New (and Shocking) with Sellers and Buyers in Today’s Market by Ruth Shari July 28, 2011
Posted by Ruth Shari in Buyer's Choice, Consumer Confidence, Real estate news, real estate outside of Los Angeles, Santa Monica real estate, Westside real estate.Tags: buyers determine value, correct pricing leads to bonanza returns, foreclosures on hold, housing industry picking up, national median home sales up, price to sell and reap rewards, price well, real estate news, Santa Monica micro market triumphs, sell well in Santa Monica and Westside real estate, sellers who bought recently overprice the most
add a comment
Many factors are right now influencing the confidence level of buyers and sellers. As of this date, it is a reality that our own government is struggling to balance its budget (July 28). Of course, this impacts people’s mindset about their present and future financial well being; for starters, it is sure to affect the value of those who have a 401 K plan if the credit rating agencies downgrade our federal holdings by even one point.
Recently, Kenneth Rosen, housing specialist at UC Berkeley, described the housing picture as experiencing a sustained but choppy, possibly moderate, pick up. This comment was prompted by the decline in the number of foreclosures in California. A day or two ago, Case Schiller reported that the national median sale price of homes was up a whopping six percent.
The New York Times cited an analysis from the real estate site Zillow last Saturday, July 23rd. It showed that sellers who bought their homes recently—-in 2008 or later—-tend to overprice their homes most sharply. Another interesting finding was that homeowners who purchased prior to 2002 are asking for approximately 12% over market value as compared to those who bought in 2009. Those who bought two years ago are overpricing by about 20 percent, according to the survey.
My realtor experience reveals that not only is pricing key to a successful home sale, but also the competition from other listings will impact the marketing result. Every agent on the Westside of Los Angeles has seen listings not priced for the current market languish, and some have been withdrawn with sellers realizing it was wise to remain in their home rather than take a hit unless they were compelled to sell. In other cases, listings priced under market value have garnered as many as 10 offers. In the Sunset Park neighborhood of Santa Monica, one move-in condition listing with potential for easy expansion on a large flat lot, sold for nearly $200,000 over asking. The sale closed for $1,060,000 on July 26, 2011.
Santa Monica Real Estate from Affordable to the Luxurious by Ruth Shari July 3, 2011
Posted by Ruth Shari in Affordable Housing, Canyon and beach living, property values, Santa Monica real estate.Tags: Affordable to luxurious homes; Santa Monica real estate; homes sell close to asking; good schools in Santa Monica. Canyon and beach living, brisk real estate, June real estate, Ruth Shari, Santa Monica property listings; affordable houses and luxury homes in Santa Monica
add a comment
Famed Beach Community Has a Great Month in Real Estate
June 2011 was mostly brisk for single family residential sales in Santa Monica, CA. In Sunset Park, a pocket of roughly 2500 homes which are located in the southern part of the city, four properties sold for an average price of $1,148,750. The sales took place within 53 days at an amount 97.85 % of the initial offer price.
Farther north in Santa Monica, 90403, which boasts the highly accredited Franklin Elementary School , a mere two houses changed ownership in a residential pocket of fewer than 1000 houses. The average sale price was $1,377,500, 96% of the list price.
In the estates area in north Santa Monica, which in this survey includes Santa Monica Canyon, seven sales took place, averaging $3,739,000. Listings sold within 60 days and closed at 93.53 % of asking. The average sale price was boosted by features such as oversized lots. in one case, an architectural property on three quarters of an acre located on Kingman Avenue sold for $8.943,000, after two price reductions.
In another case involving a rare listing set deep in the canyon on Latimer Road, the property consisted of more than half an acre. Three out of five listings sold for in excess of the asking price at the time the accepted offer was formalized.
For more information about Santa Monica, its cottages, castles and lifestyle, please contact us at 310-442-1646.
Traits of Today’s Home Buyers by Ruth Shari May 31, 2011
Posted by Ruth Shari in Buyer's Market, find what you can afford, Today's Buyer.Tags: buying a home, California home market, California Real Estate, market trends, Ruth Shari, Today's home buyer, Truth From Ruth
add a comment
Based on a recent national survey from Inman News as well as my personal realtor experience in Southern California (the Westside) over the past several months, here are the conclusions:
1) They are young. Most are under 45. Half said they had annual household incomes of $75,000 or less. Two-thirds are married. On the Westside, couples need to have a combined income of close to about $100,000 in order to qualify for the purchase of a home in the range of $500,000.
2) They are frugal. They consistently told surveyors they were eager to live a simple lifestyle. In Los Angeles’ Westside, with recent buyers, a couple, each one had been saving and they put down nearly 30% on an $800,000 purchase. Another married couple, both working, were happy to find a house that was reminiscent of “’Grandma’s’” with an old fashioned kitchen and just one bathroom.
3) They are concerned about their financial future. About 70 percent in the national survey said the economy is “not so good” with 27 percent saying it could get worse and 27 percent saying there were signs of it getting better. Two thirds said the economy would improve in the future. Some 55 percent said they were concerned about their jobs. In California, that was a strong concern for those working for government or in education.
4) They see themselves as energy efficient but not necessarily “green.” About 32 percent said they’d pay extra for energy-efficient features but only 16 percent said they’d pay extra for recycled or renewable construction materials.
5) Neighborhood is important. 95 percent said they thought the community was as important as the home itself. 79 percent wanted the most square footage they could afford, but 69 percent said they’d consider a smaller home in the right neighborhood. For example, buyers recently relocated from Paris, held out for a property in Santa Monica, paying more for it and accepting less square footage as well as plugging up a swimming pool. They’d previously considered Cheviot Hills but felt the bundle of benefits from owning in Santa Monica was worth their paying the extra price.
They are tech savvy. They search and find homes on line on a daily basis. A good real estate agent not only has to stay a step ahead, but should treat their being proactive as a plus, offering extra information and expertise from first hand market knowledge.
Neutrals Are Still Hot with Home Owners, by Ruth Shari April 8, 2011
Posted by Ruth Shari in Begin at home, Decor, Environmentally friendly house and home, Features that add real estate value.Tags: a little paint goes a long way, add value, enhance your home’s value with paint, home owners opt for neutral colors to create inviting space, hot color choices, livable colors are in vogue, the right colors appeal to more home buyers
add a comment
Gray has become the hot new neutral, and a popular choice in kitchens for backsplashes, countertops, flooring and cabinetry, according to a recent article in Newsday by Kristin Taveira. Of course, white kitchens never go out of style, but some designers are encouraging the use of gray as the new white. “Gray gives you dimension and depth. It can help tie in natural colors like slate and marble on countertops, fireplace backings.”
In the article, designers promoting gray point out that it can:
- Be easily adaptable and coupled with any shade like yellow for more drama, or it can be used to soften another hue;
- Enhance the look of granite, marble and stainless steel as well as slate
- Create a sense of permanence, grounding a long space for more intimacy
Among other neutral choices are warm whites, tawny tans and certain shades of green, according to the Paint Quality Institute’s 2011 Color Trends report. The neutrals and pastels create warm, inviting living spaces.
So what are your favorite finds in paint colors for spicing up a home’s interior? Please contact us with your comments at 310-442-1646.
