Agent David Mossler in Beverly Hills agrees. “The demand is incredible. It is much stronger than it was in 2006 at the height of the market. Homes that were selling at $10 million in 2005 and 2006 are now $20 million and $25 million. It’s astounding.”
In Orange County, values also continued to rise. “We saw a dip in sales activity in the fourth quarter, but prices increased,” says agent Ron Millar of Newport Beach. “There are plenty of buyers and not enough inventory. Homes at $4 million are selling above their comparables from last year. The attractive properties are generating multiple offers. I see some buyer resistance now and expect the market to level off.”
San Diego Area Values
The 16.6 percent increase year-over-year was also the second straight quarter of double-digit gains in the region.
“In Rancho Santa Fe, we’re seeing multiple offers and offers over the asking for properly priced homes up to $3 million,” says agent Linda Sansone in Rancho Santa Fe. “From $3 million to $5 million, the market is solid, prices are appreciating and supply is tight. For homes $5 million and above, there is plenty of supply, and prices are rising modestly.”
Source: First Republic Bank