Call Us Now


Email Us

LA Digs - Northeast LA Real Estate Blog

Welcome to LA Digs, the real estate and Northeast Los Angeles community blog written by Realtors Tracy King and Keely Myres.

Here, we share tips, market updates, and local news bits to keep you informed on what's happening in Northeast Los Angeles and the surrounding neighborhoods. Read on to learn about the latest in your neighborhood!

Just Sold in Altadena: 4501 Risinghill Road

4501 Risinghill Road, Altadena

This freshly re-done home in the Meadows neighborhood of Altadena, received multiple offers with the first few days of being on the market.  4501 Risinghill Road is a contemporary-styled mid-century with all the modern touches--dark-stained hardwood floors, updated kitchen with marble countertops, central heat & air, fireplace next to built-in shelves, French doors and more.  A few steps up your own hill in the backyard takes you to a patio where you can see for miles across the San Gabriel Valley.  Congratulations to the new homeowners!

Property Details:
Listed for $429,000
Sold for $465,000
3 bedrooms, 1 bath
1,135 sq. ft. on a 6,191 sq. ft. lot
Built in 1955

4501 Risinghill Living

4501 Risinghill Kitchen

4501 Risinhill Bath

4501 Risinghill Yard

Continue reading
  1949 Hits
1949 Hits

The Big Seller Question, Shadow Inventory, & Northeast LA By the Numbers

The first quarter issue of our newsletter is available online now!  Click here to get the latest news on Northeast LA real estate, including:

  • The Big Seller Question: Why won't they just make an offer?

  • Current state of the market

  • Northeast LA real estate by the numbers

  • Is cash always king?

  • Shadow inventory: What the heck is it? Will it even affect our local market?

Click here to download a PDF copy.  If you would like to receive a hard copy via snail mail, email us your address - it's free!

Continue reading
  2023 Hits
2023 Hits

Another Point of View on Pricing and the Market

Distress sales account for between 30-50% of the total housing sales both nationwide and in a number of local areas. In 2008 and 2009, there were a lot of foreclosures and now there are many more short sales. This has had a downward pressure on home prices in general. Also affecting prices has been the uncertain job market. If you are afraid you might lose your job, you don’t want to put your life savings into a down payment on a home you might not be able to afford in a few months. A number of homeowners have experienced job loss and this has resulted in many of the distress sales. You see the inter-woven relationship between the economy and the housing industry operating here.

But look at this graph of housing inventory for Eagle Rock 90041:

The number of homes on the market compared to the number of homes that go pending and sold has dropped significantly over the last couple of years. The monthly supply of inventory of homes available to sell was slightly over 2 months in September, 2011.

Typically, less than 4 months inventory indicates a seller’s market. So why are prices down? The common theory today is that “Shadow Inventory” (the number of potential foreclosures and short sales from people who are currently “upside down” on their loans) is causing prices to stay low. Why? Because if they all came on the market at once, prices would collapse. I have pooh-poohed this theory before because why would they all come on the market at the same time?

But here is another way to look at it:

With the inventory so low, this inventory of distress sales does take on a significant importance. Meaning, if over half the properties that sell are distress sales, those distressed prices affect the regular market. The common discount that a short or foreclosed property sells at has been computed as around 27%. But if you look at this year’s Eagle Rock prices, you only see a 5% discount. Why? Partly because with so many distressed sales, they have pulled the prices of “normal” sales down to a lower level in general.

Another aspect of the market is the “retail show ready” property vs. the “fixer poorly presented” property.  Look at 2030 Estes Rd, a midcentury home, almost entirely remodeled, staged and gorgeous - and compare it to 4842 Algoma, a short sale, not available to be shown, in need of a lot of repair. Guess which one sold for $925,000 (23% over the original list price) in multiple offers in 21 days (start to close of escrow) and which one sold for $470,000 (15% under list price) in 48 days? That is a huge difference in price for houses that were very similar in size. And they both sold for cash!

This is an extreme example of a distress property selling at over 50% less than the regular sale, but the condition, location and amenities of the properties were quite different as well. In other words, if these two properties were in the exact same condition and presented equally, Estes still would have sold for more because of its location, style and amenities. But how much more? That’s why pricing a home for sale and determining value with an appraisal is an art, not a science.

Continue reading
  1856 Hits
1856 Hits

Then and Now Numbers for Altadena, CA 91001

Keep in mind that Altadena had a large area of more or less starter-type homes that were very hard hit by the subprime lending debacle and saw prices plummet a shocking amount--even higher than the 32% noted here. But Altadena also has a very large area of custom homes in lovely neighborhoods where there have been very few sales since homeowners who didn't have a compelling reason to sell have not gone on the market.

Continue reading
  2592 Hits
2592 Hits