Signs of a Softening Market?

As of January 31, there were 56 single-family Palisades residences listed in the Multiple Listing Service, which is 25% lower than this time last year. In the last 12-month period (February 1, 2023, through January 31, 2024) there were 228 sales, down 15% from the previous 12-month period. The median sales were $4,469,500 over that same timeframe, down just 3% from the prior 12-month period. There are now 13 homes in escrow in Pacific Palisades.

The lowest-priced available home is a three-bedroom, two-and-a-half-bath on Sunset Boulevard at $1,995,000. The highest-priced property is a seven-bedroom, 11-bath on Casale Road, asking $49.95 million. The median asking price for Pacific Palisades is now at $7,045,000.

The lowest sale price so far this year was a four-bedroom, three-bath on Las Lomas, which sold for $1.98 million. The highest sale so far this year was a six-bedroom, eight-bath on Alma Real, which sold for $20 million.

There are 10 condominiums/townhouses on the market now—a 29% dip over the start of January 2023. They range from one-bedroom, one-bath in the Edgewater Towers on Sunset Boulevard offered at $595,000 to a three-bedroom, four-bath townhome on Michael Lane offered at $1,779,000.

Four condos are currently in escrow. Likewise, four condos sold in January, ranging from a two-bedroom, two-and-a-half-bathroom unit on Sunset Boulevard, which sold for $1,025,000, to a two-bedroom, two-and-a-half-bathroom, ocean-view unit on Sunset Boulevard, which sold for $1,565,000. The median condo sale price is currently $1.1 million.

There are currently seven pieces of raw land available, ranging from a 3,852-square-foot lot on Castellammare being offered at $1.25 million to 10 acres off of Enchanted Way in Marquez Knolls being offered at $6.5 million. So far this year, there are no lots in escrow and no lots have sold.

There are currently 91 available leases in the Palisades, a 28% increase from this time last year. They range from a two-bedroom, two-bath unit on Sunset asking $3,998 per month to a fully furnished, six-bedroom, 14-bath home on Pampas Ricas in the Huntington asking $140,000 per month.

There have been 20 leases so far this year, an 18% increase over January 2023. The highest lease so far this year was a five-bedroom, eight-bath on Spoleto in the Riviera, which leased for $55,000 per month. The lowest was $2,700 per month for a two-bedroom, two-bath on Sunset, and the median was $9,500 per month, which is a 19% jump from this time last year.

Michael Edlen, an agent with Coldwell Banker, has been keeping statistics on Pacific Palisades housing prices for the last 39 years.