Michael Greenwald's Real Estate News:
Second Half 2002

The second half of 2002 is showing similarities to the first half, with interest rates still at an almost all-time low, and an inventory that is historically very low. There remains a swell of buyer demand, yet sellers are not coming out of the woodwork to place their houses on the market. Why? Because many sellers say that there's not enough inventory if they do so, especially if they're moving up. There simply aren't many places to go at this point given our low inventory.

It appears that because of what is happening in the stock market and the economy we may begin to see a very slow turn from a seller's market to a buyer's market--possibly by the first part of the year. This means inventory could begin to increase and buyer demand decrease--hence we could lose some value in homes still on the market.

As we head into fall and winter, we can expect the market to be very strong in Southern California. Traditionally this is near prime time for buyers, who are looking to relocate by the New Year and want to take advantage of vacations to visit Los Angeles and the available real estate. Many have already made their moves for the school year--now others are setting their sights on making moves by the New Year.

Prices on homes recently dipped a bit, but are now very stable. Many appraisers I've spoken to tell me that they have not seen--at least on the Westside of L.A.--a significant dip in prices. This is evidenced by the many multiple offers we're seeing on properties, as well as the surprising number of all-cash buyers that are in the marketplace.

What's Hot and What's Not
Fixer homes that are in good original condition are still very hot. Those fixer homes in which the originality has been compromised are seeing problems on the market. On the other end of the spectrum, homes that are in complete move-in condition (i.e., "bring your toothbrush") are also in significant demand. Everything in-between depends on location, the square footage of the house, usability of the land, and the TLC the seller has shown the home over the years.

Limbo Land
Should you buy first? Should you sell first? We are in a bit of limbo land at the moment--it is neither a true seller's market, nor a true buyer's market. There are sellers out there that initially try to buy--putting themselves in escrow--and then attempt to quickly sell their home. Unfortunately, they're finding themselves unsuccessful, and they end up having to cancel their purchase. My suggestion is to first put your home on the market, and possibly look into a temporary rental or a lease back of your home if you can't find the right house to buy. But do not put yourself into a position of buying your home dependant on the sale of your present house. You, too, may find yourself not being able to sell. The market right now is really right in the middle, that gray area between a buyer's market and a seller's market--and I don't think we'll see either one of those extremes this year.

For those of you looking to buy homes this year, I invite you to fill out my Buyers Home Wish List. I'll be glad to help you search for homes--simply e-mail me your wish list. Buyers can also access my Search For Homes link to search directly in the Multiple Listing Service.

For those looking to sell homes this year, you can go to my Home Seller form and forward me information about your home. I will get back to you the same day. It's always good for potential sellers to go to my Homes For Sale page to see what kinds of homes I am listing or have recently sold.

I have also added Virtual Tours to most of my listings through A Bird's Eye 360-degree Solutions. My featured listing and other portfolio listings will be using this excellent technology, putting you "inside the house!"

Westside Real Estate Market Overview:
Second Half 2002

Brentwood: Brentwood continues to outpace Pacific Palisades and Malibu in terms of sales, though Beverly Hills is now the hottest area in all price ranges. The good news is that when Beverly Hills is on fire, so to speak, it spurs price increases throughout most of the L.A.'s Westside market, from Beverly Hills to the ocean.

In Brentwood, we continue to see some record sales in Brentwood Park and the area north of Sunset, primarily in new construction. The spec market has slowed down a little bit in terms of new homes, but there is still a lot of inventory on the market from homes built within the last year. Don't hesitate to contact me at any time for more information on any of these properties. I also invite you to please visit my Brentwood page.

Westwood: The Little Holmby area of Westwood, which borders Wilshire Boulevard, Sunset Boulevard, UCLA and Beverly Glen, is arguably one the most popular areas now on the Westside due to its proximity to both the Westside and Beverly Hills. Always a popular estate area, it is now becoming increasingly popular and even a bit more expensive as major remodels and, in some parts, even brand new construction begins, with speculative contractors entering the market to flip the houses for profit.

Work has been partially completed to turn the Westwood Village into a walking promenade and return it to its glory days of the 1960s and 70s. At present, all of the walking areas and parking facilities have been completed. New, high-end furniture stores, supermarkets, and restaurants are under construction or have been completed, and are increasing the student and tourist population. Controversy still abounds regarding what to do with the theaters and retail areas of Westwood. To date, no complete resolve has been made. Overall, this is a project that will certainly affect the Westwood homeowner in a positive way. In keeping with the updates at Westwood Village, you can link through my site to Westwood movies, restaurants, retailers, and the UCLA site.

Care to find out more of the things that make Westwood tick? The campus of UCLA and the Armand Hammer Museum at the center of Westwood Village are both area attractions.

Bel Air: With properties almost 100% residential, Bel Air is a unique community on the Westside of L.A. It is an incredibly valuable area with prices broadly ranging from the low 500's up to 10 million. We are currently seeing a trend for the more affordable homes here to rise rapidly in market value. Don't forget to enter my Second Half 2002 contest to win a two-day stay at the Hotel Bel Air.

From lodging at Hotel Bel Air, to the exclusive Bel Air Country Club, my Bel Air page will help you get a feel for this Westside area.

Pacific Palisades:Entering into fall and winter in Pacific Palisades makes it one of the strongest and most beautiful communities on the Westside due to the village-feel of its downtown restaurants and shopping.

Pacific Palisades is probably the best value on the Westside right now. Prices have remained stable, yet have begun to depreciate ever so slightly. If you've had your eye on homes in Pacific Palisades, this makes it a good time to buy. Areas that are seeing activity in particular are the "Alphabet Streets" and the "Pacific Palisades Highlands."

A great resource on my site is my Pacific Palisades page, which includes community, school, and business links throughout the Palisades. In particular, you can access information on Pacific Palisades schools, including Marquez Charter Elementary School, Palisades Charter High, and Paul Revere Charter Middle School.

Santa Monica: You can link to my updated Santa Monica page--one of my most extensive community pages--which features a myriad of resources, including schools, arts and entertainment, parks, city groups, local events and activities, and businesses online.

Single family homes north of Montana Avenue--especially in the Gilette areas--are appreciating close to double digits for the first time in the last six years. If you haven't driven down Montana Avenue recently, you've missed some of the best restaurants and retail shopping boutiques in all of the Westside. Also, check out the Third Street Promenade, which has its own Web site.

For getting around, one of the best bus systems in Southern California is considered to be the Santa Monica transportation system. For a system map, routes, schedules and other information, see Santa Monica's Big Blue Bus Home Page.

For local schools, you may also link to Santa Monica High School's own Web site.

Helpful Sites for Those on the Move:
Second Half 2002

Fall and winter are popular times to move in the Westside area, as well as make home improvements and repairs. "Helpful Sites for Those on the Move" continues to help get you where you're going, from finding school reports to making home improvements and repairs yourself to answering your questions about home inspection and locating an inspector in your area.

California Dept. of Education Standardized Testing and Reporting Program (L.A. Unified District)
The California Department of Education S.T.A.R. reports show statistics for Reading, Math, Language, Spelling, Science, and Social Science test score results.

Do It Yourself
This Web site provides excellent hints for the do-it-yourselfer. It covers everything from electrical and energy efficiency, to appliance care and repair, to painting and decorating. Besides home-related topics, there are also a number of topics outside of home improvement, including automotive, woodworking and hobbies.

The American Society for Home Inspectors, Inc.
This site leads you through the FAQs about home inspection, including what a home inspection includes, when and why you need one. It also helps you to locate a qualified home inspector near you. This site also provides resources to professionals, but the content most easily reached should provide basic information and set you on your way.