Well folks we are now in March of 2014, and as promised at the beginning of last month, we would like to welcome you to our second installment of what we have decided to call the “Los Angeles Real Estate Inventory Report”.
For those of you who may have missed our first inventory report, here is a synopsis of what all the hoopla is about:
At JohnHart, we believe that every decision should be an educated one – especially when dealing with hundreds of thousands of dollars. So. in an effort to provide our agents, peers, and clients, with the information they need to make an educated decision, we have decided to do our own research and make those findings public. At the beginning of every month we will post an updated report right here on our blog!
For those who would like more information/explanation please see the previous article by clicking here.
For everyone else, let’s jump in!
Below you find the graph and table reflecting the current “Months of Inventory” in the Glendale, Burbank, La Canada Flintridge, North Hollywood (No. Ho.), Pasadena, and Downtown Los Angeles (DTLA), real estate markets.
There are two things that you will notice right off the bat:
1. We have added DTLA to the list of markets covered (and aim to add an additional market each month).
2. We saw a spike in supply during February everywhere except in Downtown Los Angeles.
I say a spike in supply because the number of properties sold per month in each market (including DTLA) for February remained relatively inline with the previous month’s sold figures; however the number of new listings that came on the market increased (resulting in our spike in supply and Months of Inventory figure).
Essentially telling us that demand has remained stable, while supply has increased. Which is often a precursor to a pull back in sales price, as the market begins to shift towards a “buyers’ market”.
Now, before you panic, it is important to understand that we have only seen two months following this pattern so we can’t exactly call it a trend just yet – IT IS MERELY A HEADS UP THAT WE MAY BE MOVING IN THAT DIRECTION 😉
It will be interesting to see if this pattern continues, especially since we are moving into the peak of the real estate cycle: SPRING.
Without Further Ado, here is your data: