Palos Verdes Real Estate

January 2022 Newsletter

Dear Neighbor:

Whew!  We made it thru 2021.  The media continues to report brisk real estate sales but, as I’ve mentioned before, the media doesn’t know what they’re talking about.  The data they use is 2-8 months old and reflects what was going on then, not now.  I just heard 2 days ago that October business was up.  It kind of depends upon how you define “October business”.  They are talking about escrows that closed in October, which therefore generally went into escrow 60-120 days before . . . so it really tells you what was going on then, not in October.  It’s like looking at the star Proxima Centauri, which is 4.2 light years from earth – you’re seeing it as it was 4.2 years ago.  There are definite signs of slowing.  When this happens, there is historically a reluctance to recognize it until it’s too late.  Not trying to be the prophet of doom – just giving you my best reading on the market after 37 years in it.  The good news is that property values are at an all time high, so there has never been a better time to sell.

I know I’ve talked about this before, but I just ran into it again a couple of weeks ago – don’t get a property inspection before you go on the market, whether you’re trying to avoid any buyer repair requests, or you intend to fix everything on the report.  In the former case, usually advocated by estate attorneys because it looks smart from their office, the buyer will still have a “due diligence” period at the beginning of the escrow and he will also nearly always have his own inspection, because he reflexively won’t trust yours; so now you have two inspections (you have to give the buyer the one you got), and the buyer is now looking at the cumulative defects between the two.  He will still have the right to ask you to repair or give a credit for anything he wants.  You have gained nothing by having that inspection.  In the latter case, fixing everything (or just the major things) on the inspection is worse than doing nothing because the buyer will take all those repairs for granted and have another list for you . . . which he wouldn’t have had if the things you fixed were still defective.  In fact, you may have spent money repairing things that are unimportant to the buyer.  And, as before, you have to give him a copy of your inspection and he will still nearly always get his own.  The bottom line:  don’t get inspections before you go on the market.  Generally speaking, you want to concentrate on fixing cosmetic defects that the buyer will notice when looking at your house – not the sticky window or the defective shower diverter — the buyer will not be taking a shower in your house.  There are occasional exceptions and we can talk.  I also have a couple of articles about this on my website:  www.DanaGraham.com.

About the time you get this I will have a really nice new listing on Via Palomino.  Being sold for the first time by the family of the original owner, this is a roughly 2600 square foot one level 4 bedroom 3 bath mid-century home on a large 12,000+ square foot utterly flat lot.  It is surrounded by parkland, giving a sensation of complete privacy.  Asking price will be $2.5 million – a rare opportunity to own a unique property on the most desirable street in Valmonte.

I’m also talking to a few other sellers so if you, or anyone you know, is looking for a house in PV, give me a call at 310 613-1076 and I’ll give you the latest.  As you know if you read these newsletters, the Top 10 PV agents, a group to which I belong and which meets weekly, is an excellent source for upcoming listings . . . just in case they somehow, thru some error or miscalculation, didn’t list with me.  I have to put my license number in these letters so here it is:  00877973.

Thank you for your trust, and let’s hope that 2022 brings a return to normality.

This entry was posted on Friday, January 14th, 2022 at 8:46 am and is filed under Buyers, Everything I've Written, Newsletters, Palos Verdes Information, Real Estate General Info, Sellers. You can follow any responses to this entry through the RSS 2.0 feed. Both comments and pings are currently closed.

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