Pasadena Real Estate, May Sales Report

May was an exciting month with the Phoenix Mars Lander arriving on the Red Planet. Its goal is to look for signs of life. Was there water on Mars? If the Mars Lander somehow became misguided and landed in the San Gabriel Valley, would it find signs of life in the Pasadena Real Estate market?

There does appear to be some activity as the positive signs indicate increasing unit sales in single family homes. Monthly increases this year are much smaller than in years past, but they are slowly on the rise and the gap between unit sales last year is decreasing. There is still some pricing weakness in the market as sellers have to offer bigger discounts to sell their home.
Pasadena Real Estate Single Family

We are seeing the market for homes under $500,000 redevelop, thanks to foreclosed and bank owned properties. This month, 12 homes sold under $500,000 compared to only 3 in May ’07. On the other end of the market, $1 million dollar homes declined with 17 sales this month compared to 27 last year.

Pasadena Townhomes and Condominiums

I recently recapped the Pasadena Townhome and Condominium building boom. Looking at the sales results in this area you have to ask “What were they thinking”? New multi-use projects are nearing completion and are targeted at upper end homebuyer’s.Pasadena Town Homes
Median sale prices are near 2006 levels and current inventory is close to a 10 month supply. Current sellers and developers are becoming more aggressive in an attempt to solicit offers from the declining pool of buyers.

Market to Level in July

Based upon the current trends, July should be the point we begin to see equilibrium as the decline became very pronounced last year. The market probably will not pick up; it’s just that the news reports will not seem so ominous.

Pasadena Real Estate Sales Chart

1 thought on “Pasadena Real Estate, May Sales Report”

Comments are closed.