Looking at the sunset over the ocean, it’s hard to imagine that there could be any better reason to purchase Manhattan Beach real estate. If your goal is to live close to one of the meccas for surfing or playing volleyball on the beach, it’s the place to be.
Manhattan Beach has been home to many movie shoots and celebrities. It’s also home to great restaurants and shopping and there’s always something going on. Los Angeles is close and the commute is one of the shortest and least stressful of any beach suburb, which is another reason why people gravitate to this area.
Most buyers looking for real estate in Manhattan Beach are from California, including San Diego and San Jose, and many homes are sold to those who want to have their first or second home close to the beach.
Whether you’re a buyer or thinking about selling your home, it’s time to do some research into past, present, and future trends to determine if the Manhattan Beach market is right for you
The past
It’s difficult to make predictions about 2023’s real estate market. The past few years have seen an increase in prices and a decline in the number of properties available. As well, forecasts over the last few years seemed to change from quarter to quarter.
In Manhattan Beach, home sales over the past few years have risen. At the end of 2019, Manhattan Beach’s real estate market began to dip. However, the median home price rose by almost a million dollars between 2019 and 2021.
These trends in supply and demand weren’t exclusive to Manhattan Beach real estate. The difference was—and continues to be—the type of homes available.
The luxury home market has seen a steady increase throughout California and the country as a whole. Luxury homes are always in demand, and this niche market requires special consideration of location, amenities, builders, and exclusivity.
In the last few years, luxury homes throughout the country were in more demand, and in locations such as Manhattan Beach, they’re still in high demand due to the city’s great schools, amenities, and, of course, the beach.
The present
The cost of living in Manhattan Beach isn’t quite double the rest of the state, but the gap is decreasing. Except for housing, the majority of costs for goods and services, groceries, healthcare, and transportation are on par with the rest of California.
The homes here are what make the difference. The current median home price in Manhattan Beach is over three million dollars, and although interest rates continue to rise, real estate is still in demand.
Reports show that the housing shortage has affected the entire country, and the California coast is one of the places that has been hit the most. Even with this supply issue, luxury homebuyers are still searching for properties. More international buyers are seeking out properties in areas like Manhattan Beach, and buyers throughout the state and country are still searching for pristine beaches and the California dream.
The future
The forecast for Manhattan Beach’s real estate market still favors sellers. New construction and building permits are dropping throughout the country, rent prices are rising, and demand still exceeds supply.
While buyers are seeing fewer negotiations to up the price of homes they’re interested in, prices are still high. In fact, in many cases, sellers are willing to wait for a sale to go through rather than negotiate down from the price they’ve set.
Even with increased rates, home prices are still expected to rise around 3% in 2023. With such low inventory, many homeowners aren’t willing to attempt a sale, which keeps the supply of homes at a minimum.
NASDAQ predicts a strong spring market in 2023 since they expect inventory to increase. However, the most important thing is to take the time to understand current market trends so that you can invest intelligently and determine when the time is right—whatever side of the sale you’re on.
Overall, if you’re interested in purchasing luxury properties, the luxury real estate market has flourished over the last few years and trends show this will continue throughout 2023.
If you’re looking to buy or sell property in Manhattan Beach, make sure to research current market trends. Speak with the professionals at Jen Caskey Group since they keep up-to-date with all of the trends in Manhattan Beach’s real estate market and beyond. Ready to make your next move? Reach out to one of the trusted local agents at Jen Caskey Group today.
