Market Trends 2015

Carmel
Save

Here are a few important trends that emerged in the Carmel / Pebble Beach market last year that are setting the stage for 2015:

  1. The return of the high-end market. Pebble Beach had 8 sales over $8M, the highest number we’ve seen in this price segment in over 10 years. 3392 17 Mile Drive closed in October for $31.25M, setting a new record for Monterey County. In Carmel’s most sought after locations there were 7 sales over $4M. The highest, $6.8M, was one of four sales on Scenic this year. The other 3 were fixers ranging from $3.8-$4M.
  2. Decreased affordability. Although our market has not fully recovered to peak level pricing, overall values have increased year over year. In Pebble Beach, the average sales price is 12% higher this year than in 2013 and 8.5% higher for Carmel.
  3. Sales volume was at peak levels in 2014. The sheer number of transactions in our market closely resembled the volume we saw in 2004. We almost doubled the activity we had in 2008 last year. Volume for 2015 is down given the limited supply we have now.  
  4. Limited inventory. Across all market segments inventory has declined. Last January there were 21 active listings in the Golden Rectangle; today there are only 11.
  5. The under $1M market has nearly evaporated. There are only 7 listings in all of Pebble Beach and Carmel-by-the-Sea under $1M.  If you are a buyer in this segment, your best bet is the greater Carmel area or Carmel Valley. Carmel Valley has 9 sales currently in escrow under $1M. 
  6. Average marketing periods are approximately 4 months. Unlike the Bay Area, homes for sale stay on the market a few months and although there are certainly multi-offer scenarios on well-priced homes, it isn’t the norm. 

Comments

Comment on blog post.