2017
MIRACLE MILE Market Report
2016 REVIEW CARTHAY CIRCLE
MUSEUM SQUARE
CARTHAY SQUARE
PICFAIR VILLAGE
FAIRCREST HEIGHTS
WILSHIRE VISTA
When you think Real Estate, think The Cunningham Group.
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THE CUNNINGHAM GROUP
Cover photo by Jimmy Baikovicius / CC BY-SA 2.0
MIRACLE MILE Neighborhoods in the Miracle Mile area continue to have low inventory with few properties coming onto the market, which has led to solid property values. Wilshire Vista and Faircrest Heights prices increased as more buyers sought out these appealing neighborhoods with homes in the $1-$1.5million price range. With its central location near LACMA and the Grove, and good access to Hollywood, the beach and LAX, expect growth in values in these neighborhoods to continue.
Rick’s Insider Tip: We expect three interest rate hikes in 2017. The consensus among economists is that the real estate market will continue to see price increases throughout 2017. Not as robust as recent years, but both property values and interest rates will climb. The market is showing strength earlier this year. Typically, we don’t see market activity increase until mid-February. This year, late January is already showing lots of activity. So if you are eager to make a move, I suggest you start looking immediately
As we look forward, neighborhoods where there is investment in public works development such as schools, parks, transit, urban development and retail will see dramatic growth. Koreatown has been experiencing such growth for years, and we can expect that to spread.
Data Compiled by The Cunningham Group; The MLS does not guarantee its accuracy
Miracle Mile Market Report
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Carthay Circle
Avg Sales Price
$1,315,900
$1,537,749
-14%
Avg Price/sq ft
$653
$657
-1%
Avg Days on Mkt
60
75
-20%
# of Units sold
10
14
-28%
Turnover Rate
2.8%
3.9%
-28%
2016
$825,000
% Change
$2,900,000
2015
$936,000
2016
$1,683,000
Single Family Homes
2015
HIGHEST VS LOWEST SALE SINGLE FAMILY HOME
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THE CUNNINGHAM GROUP
Based on information collected from The MLS/CLAW. May include off market transactions.
Carthay Square
Avg Sales Price
$1,542,861
$1,571,294
-2%
Avg Price/sq ft
$706
$653
8%
Avg Days on Mkt
41
56
-26%
# of Units sold
12
17
-30%
Turnover Rate
3.4%
4.8%
-30%
2016
$1,075,000
% Change
$2,670,000
2015
$1,180,000
2016
$2,400,000
Single Family Homes
2015
HIGHEST VS LOWEST SALE SINGLE FAMILY HOME Data Compiled by The Cunningham Group; The MLS does not guarantee its accuracy
Miracle Mile Market Report
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Faircrest Heights % Change
Avg Sales Price
$1,087,714
$1,019,686
7%
Avg Price/sq ft
$618
$552
12%
Avg Days on Mkt
43
29
48%
# of Units sold
40
31
29%
Turnover Rate
3.2%
2.4%
29%
2016
Condos $715,000
1,775,000
2015
$750,000
2016
$1,995,000
Single Family Homes
2015
HIGHEST VS LOWEST SALE SINGLE FAMILY HOME
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THE CUNNINGHAM GROUP
Avg $
2016
2015
$558,580 $565,000
% -1%
Avg $/sf
$515
$491
5%
Avg dom
45
72
-38%
# Sold
10
6
67%
Based on information collected from The MLS/CLAW. May include off market transactions.
Museum Square % Change
Avg Sales Price
$1,398,477
$1,428,307
-2%
Avg Price/sq ft
$650
$670
-3%
Avg Days on Mkt
61
48
27%
# of Units sold
22
14
57%
Turnover Rate
7.5%
4.7%
57%
2016
2016
Condos
$980,000
$2,695,000
2015
$850,000
2016
$2,600,000
Single Family Homes
2015
HIGHEST VS LOWEST SALE SINGLE FAMILY HOME
Avg $
2015
$791,866 $606,573
% 31%
Avg $/sf
$535
$449
19%
Avg dom
143
45
218%
# Sold
15
17
-12%
Data Compiled by The Cunningham Group; The MLS does not guarantee its accuracy
Miracle Mile Market Report
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Picfair Villiage
Avg Sales Price
$908,383
$898,808
1%
Avg Price/sq ft
$656
$570
15%
Avg Days on Mkt
41
36
14%
# of Units sold
30
35
-14%
Turnover Rate
3.1%
3.6%
-16%
2016
$605,000
% Change
$1,750,000
2015
$450,000
2016
$1,200,000
Single Family Homes
2015
HIGHEST VS LOWEST SALE SINGLE FAMILY HOME
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THE CUNNINGHAM GROUP
Based on information collected from The MLS/CLAW. May include off market transactions.
Wilshire Vista % Change
Avg Sales Price
$1,214,882
$1,155,397
5%
Avg Price/sq ft
$649
$618
5%
Avg Days on Mkt
54
29
86%
# of Units sold
17
17
0%
Turnover Rate
4.3%
4.3%
0%
2016
2016
Condos $780,000
$1,610,000
2015
$865,000
2016
$2,350,000
Single Family Homes
2015
HIGHEST VS LOWEST SALE SINGLE FAMILY HOME
Avg $
2015
$561,833 $529,500
% 6%
Avg $/sf
$572
$417
37%
Avg dom
47
43
9%
# Sold
3
1
200%
Data Compiled by The Cunningham Group; The MLS does not guarantee its accuracy
Miracle Mile Market Report
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EXP ERIENCE . C OM M IT M EN T . R ESUL T S
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THE CUNNINGHAM GROUP
Based on information collected from The MLS/CLAW. May include off market transactions.
With 20 years of local real estate experience and having built over 20 real estate offices in California and Hawaii, I have the experience overseeing all kinds of real estate transactions. I am proud to support our team of outstanding consultants - caring people with the skills, neighborhood expertise, contacts, personal rigor and style to Help You win. Clients tell us what sets The Cunningham Group apart is how we combine our analytical, business-minded approach with personalized consulting and advisement. We translate the latest trends from your neighborhood and the broader financial markets into strategic investment and lifestyle options that fit YOUR personal, family and financial goals. So you can make the best decision on what may be your largest financial asset with significant emotional investment. Rick Cunningham | Owner/CEO We communicate expectations and explain all your options through The Cunningham Group | KW Santa Monica each step. We pre-anticipate and manage all the details behind the Elite Billionaire’s Club Member scenes so your experience feels effortless. We are known for representing the best listings on the market and commanding by far the highest overall prices year after year for our success.
So please call us. We are here to provide you the highest level of personalized business strategy and advice whether you are buying, selling, leasing, remodeling, or just want to grab a cup of coffee. Because we live in your neighborhood.
Data Compiled by The Cunningham Group; The MLS does not guarantee its accuracy
Miracle Mile Market Report
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Los Angeles County The LA market is a tale of many different markets. The luxury market has slowed quite a bit. At the high end, homes are taking longer to sell and prices have stabilized. In the coming year, however, activity could accelerate due to recent mansionization-driven legislation, which places tighter restrictions on renovations and new development. Projects that were already approved and underway will be in high demand in neighborhoods that no longer allow homes of that size. The rest of Los Angeles is experiencing a relatively robust market. We are still seeing low inventory of homes in popular neighborhoods. These homes stay on the market for few days, and are selling at higher prices versus prior years. Homes that are sitting longer days on market are typically in a less desired area, or are overpriced. We can confidently say we are still in a seller’s market. Of the areas we represent, the majority are at approximately 3 months supply of inventory. 6 months of supply is what is consider a “balanced market.” So, with the exception of Malibu, which at 5 months of supply is still a seller’s market but approaching balance, our communities will continue to see upward price pressure. People often asked whether we are headed toward a repeat of the real estate market of 2008/09. With very different lending requirements in place and the low inventory of homes driving up prices, The structural issues that led to the housing collapse last decade are nott present. With interest rates still at 40 year historical lows, buyers should buy. Especially couples that can qualify for the Home Sale Tax Exclusion. Ones who have lived in their home for more than 2 years can deduct up to $500,000 from the capital gain on a home they sell. Lastly, 2017 brings potential investment opportunities as a result of the new administration and possible changes in tax laws. If we see a reduction in income tax rates, people could be intrigued to buy. This could also include foreign investors who have been waiting.
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THE CUNNINGHAM GROUP
Based on information collected from The MLS/CLAW. May include off market transactions.
Data Compiled by The Cunningham Group; The MLS does not guarantee its accuracy
Miracle Mile Market Report
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As owner of 20 Keller Williams real estate offices stretching up and down the US West Coast and over to Hawaii, I have built a business that brings you the best of a Local Boutique, while leveraging the access and resources of my Global Reach. My pride and joy, Keller Williams Santa Monica, is the #1 volume real estate brokerage in Los Angeles. We pride ourselves on providing exemplary, customized consultation and advisement, and white glove concierge services, for all your real estate needs. We know your neighborhood because my partners and I have served your neighborhood for decades, and we might actually be your neighbor. Our Global Reach can also benefit you in many ways. If you are selling your home, we have access to LA’s largest pool of outside buyers. For example, I am one of only two US companies who is able to partner with the LANDZ Chinese Real Estate Network. This affords
• • • • • • • • • • •
Belize Botswana Canada Colombia Costa Rica Dubai, United Arab Emirates England France Greater Shanghai, China Indonesia Israel
• • • • • • • • • •
Lesotho Mauritius Mexico Monaco Namibia Nicaragua Northern Ireland Panama Poland Portugal
us exclusive access to thousands of buyers from China whom we are introducing to your neighborhood. Also, I am part of Keller Williams Luxury Homes International and Global Property Specialists. So, if you are interested in buying or selling outside of Los Angeles, we coordinate with both the US offices I own, plus our network of thousands of brokers across the US and around the world.
A GLOBAL REAL ESTATE Whether your goals are specific to your favorite neighborhood in LA, or of an exotic international locale, we have the experience,POWERHOUSE connections and desire to serve your real estate goals and wishes. Please call us for a consultation.
KW WORLDWIDE REGIONS
- Rick Cunningham
• • • • • • • • • •
- As of October 2016
Scotland South Africa Spain Swaziland Turkey Turkish Republic of Northern Cyprus United States Vietnam Wales Zimbabwe
Keller Williams Realty is the largest real estate franchise in the world – home to more real estate professionals than any other company. To date, master franchise agreements have been awarded across 31 countries and regions.
Boutique Service Global Reach • • • • • • • • • • •
Belize Botswana Canada Colombia Costa Rica Dubai, United Arab Emirates England France Greater Shanghai, China Indonesia Israel
• • • • • • • • • •
Lesotho Mauritius Mexico Monaco Namibia Nicaragua Northern Ireland Panama Poland Portugal
• • • • • • • • • •
Scotland South Africa Spain Swaziland Turkey Turkish Republic of Northern Cyprus United States Vietnam Wales Zimbabwe
Keller Williams Realty is the largest real estate franchise in the world – home to more real estate professionals than any other company. To date, master franchise agreements have been awarded across 31 countries and regions.
Data Compiled by The Cunningham Group; The MLS does not guarantee its accuracy
Miracle Mile Market Report
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