The 2021 first half data shows that the torrid pace of the Riviera real estate market has not slowed down, however the rapid escalation in the median price is abating. In fact, while the number of sales increased dramatically from the first quarter, the median price has remained the same.
In the Riviera/El Cielito/Eucalyptus Hill areas that I have tracked for several years there was a total of 73 sales in the first half with a median price of $2,450,000. This represents a substantial increase in both new homes coming to market along with the overall number of sales since the first quarter. In the first quarter analysis I reported that only 6 of the 30 sales were homes that came on the market in 2020. Since that time there have been 43 properties that have sold. This is a sure sign that the market is beginning to stabilize and the main reason that the median price did not increase in the last three months. It is worth noting that the median price of $2,450,000 is an all time high and represents an increase of 14% since the end of 2020.
Three months ago, my advice to Riviera residents was that the extreme sellers’ market won’t last forever, so do not hesitate if you are thinking of selling in the near future. As of this writing we are still experiencing a market that favors sellers, however there are clear indications of more balance. Of the 14 currently active and pending listings more that half of these have been on the market for over 30 days, and 6 have experienced price reductions. My advice now is that if you are considering a sale before the end of the year, the best way to take advantage of the current market is to set a realistic list price and hire a real estate professional with experienced marketing and negotiating skills.