The Central Coast of California or meditation therapy for my cold weather friends!  Enjoy

I enjoy doing these monthly neighborhood updates throughout the Palos Verdes Peninsula neighborhoods because it keeps my finger on the pulse of the local market. 

The Eastview neighborhood in Rancho Palos Verdes had a fabulous October!  Here are the stats for the month:

Active Listings:  16 homes are listed for sale priced from $479,000 to $1,299,000.

Pending Sales:  5 homes are in escrow priced from $633,900 to $909,900.

October 08 Sales:  4 homes closed escrow priced from $525,000 to $890,000.

The Eastview market was flying high during October!

For the past couple of years price and value had a serious disconnect, but I'm beginning to see the two form a closer relationship.

It stings when assets drop in value, and since a home is many people's largest asset, the pain can be very intense as the dollars disappear.  Denial is common.  Anger usually follows, and finally months later acceptance appear.  It's a process we all journey through after a significant loss. 

Once acceptance arrives, sellers are ready to either remove their home from the market or move forward with the sale.  Ahh, price and value are in balance, a sale is on the horizen and the real estate market is one step closer to recovery.

Balance is a beautiful thing.

The real estate market is sizzling in the Silver Spur neighborhood of Rancho Palos Verdes!  Check these statistics for October 2008:

Active Listings:  13 properties are currenly for sale priced from $785,00 to $1,280,000.

Pending Sales:  6 properties are in escrow priced from $799,000 to $1,200,000.

October Sales:  0 properties closed escrow in October.

The inventory is down, and sales are up---maybe we've touched bottom and are experiencing the first indicators of recovery, or are we in for a continued bumpy ride?  Check back next month to see what the numbers say in November.

Wow, the pending and sold properties outnumber the active listings!  That's a healthy sign for the Peninsula Center neighborhood in Rancho Palos Verdes. 

Active Listings:  4 homes are currently listed for sale priced from $934,000 to $1,475,000.

Pending Sales:  2 homes are in escrow priced at $949,000 and $975,000.

October 08 Sales:  3 homes closed escrow priced from $925,000 to $1,275,000.

Those number are toast-worthy!

I'm beginning to notice a shift in buyer's expectations.

The dream of the McMansion on The Hill is being replaced with the lure of a romantic cottage by the sea, or in the hills, or tucked away at the end of a private lane.  Perhaps they've spoken with their lenders and had their dream home reconfigured by the loan amount on their pre-approval letter, or maybe they are deciding to buy what they can comfortably afford now.  Either way, I think they are wise.

Perhaps it's the uncertain economic times, or maybe it's time management--it takes time or money to care for a sprawling lawn, pool and built-to-impress house.  Many of my clients prefer a walk along the beach or a day trip with the family instead of a day of home maintenance.

Perhaps they are preparing for yet unknown changes, but maybe they are just happier living within their means.

The Crest neighborhood is primarily in Rancho Palos Verdes, but the Terraces, a townhouse development, is located in Rolling Hills Estates. 

Single Family Home update for Oct. 2008 for the Crest neighborhood:

Active Listings:  9 single family homes are currently for sale priced from $850,000 to $1,475,000.

Pending Sales:  3 single family homes are in escrow priced from $799,000 to $1,329,000.

October Sales:  Two homes closed escrow for $950,000 and $1,180,000.

There's a home for everyone on The Hill.  If you would like some help locating the right one for you, it would be my pleasure to assist.

Your down payment of 20% is in the bank for that million-dollar home you want to buy in Palos Verdes.  Congratulations, but there is still work to be done before you start shopping:

Know the Score:  If you're not already familiar with your credit score, find out what your number is.  If it's below 700 spend a few months pumping it upward.   If necessary, there are professionals who can help you clean it up.

They've Got Your Number:  One of the first things a lender will do when you apply for a loan is run your credit score.  That's why you know what it is and have taken the steps to send it skyward.

Low is Better than High:  Credit card balances are best kept on the low side in the months before you plan to purchase a home.  Running a high balance will impact your credit score and your ability to secure a home loan.

Wait for New Wheels:  Monthly installment payments impact your credit score, so postpone adding a new car (or other major purchase) in the months before you plan to buy a home.

Show Me the Money:  In addition to the down payment, you'll need at least three months of living expenses tucked away--maybe more.

Keep the Job You Have:  The months before a move is not the time to change jobs.  Banks are looking for some stability and recent job-hopping makes them a little jittery.

Two Homes Equal Two Payments:  It takes a truckload of cash to carry two homes for an indefinite period of time.  The banks do not want to take back your home; they already have enough real estate on their books from past mistakes.  More than likely, they'll give you the soft rejection, by asking you to come back when you have more cash or have sold your current house.

 My advice is to sell the first one before you buy the next one.  You may have to rent until your dream home comes on the market, but straddling two homes can be a very uncomfortable and expensive experience.  Not to mention cause for many a sleepless night.  Make life a little easier on your nerves. Sell first, and sleep well.

Dear Valued Clients of Norma Toering & Team,

It is mid-November and Thanksgiving is fast approaching.

My first note of gratitude goes out to you for your loyalty and business.  You are truly the cornerstone of my business. I appreciate your continued support and stand ready to assist you with your real estate needs.

As you know, I collect Toys for Tots for needy children each year, and it's time to pull out the those big empty boxes and fill them with toys.  I need your help with this one.  The Marine Corps Reserves will pick up the boxes a few days before Christmas.  The toys must be new and unwrapped and have a suggested retail value of $10.00 or more. If you prefer, I will do the shopping for you, or pick the toys up from your home.  Thank you in advance for your participation and generosity.

2008 finds the price of detached homes in Los Angeles County down 35% from the lofty prices of a couple years ago.  The median price is now approximately $400,000 compared to nearly $600,000 then.  Property values in the South Bay and Palos Verdes have not experience the steep decline of many other California areas.  That is a wonderful reason to be thankful for the lovely location and communities that make up the Palos Verdes Peninsula.

Rest assured, homes are still selling. We live in a beautiful coastal area with award winning schools.  We're close to an urban area with world-class cultural events available.  Yes, it is true housing prices are down, but there are still many buyers excited about the possibility of buying a home in Palos Verdes.

Happy Holidays to you and your family.

 Norma Toering & Team

The Los Verdes Neighborhood is located off Hawthorne Blvd. in Rancho Palos Verdes.  This coastal neighborhood enjoys sea breezes and ocean views from its lofty location on the Palos Verdes Peninsula.

Los Verdes real estate update for October 2008:

Active Listings:  9 homes are listed for sale priced from $850,000 to $1,659,000.

Pending Sales:  2 homes are in escrow priced from $899,000 to $1,098,000.

October Sales:  2 homes closed escrow priced at $860,000 and 870,000.

If you would like your own private garden in Los Verdes, I would be happy to help you find it.