Newport Beach, California, Realtors Report Mixed Housing Market by Blanche Evans
Asking prices have seen dramatic ups and downs in Newport Beach, California, say local Realtors, which indicate that the best buys should be judged on a house-by-house basis. "Parts of Newport Beach/Newport Coast had dramatic fluctuations in price increases (18.7 percent average) to 4.9 percent decreases from a year ago as to available homes for sale," says Realtor Tom Abercrombie. "Newport Coast home prices doubled from '04 to a current $1.975 million. Value is the word, properties really need to be special to secure the sale! Prices are stabilizing and there has been a slight percentage drop from 11/03, but still, Newport Beach is a wonderful lifestyle and a strong demand location for all. Primary residences are the first to sell, but there is a continuing and very strong activity base with "tear downs" throughout town. Most of the "scrapper homes" are located in the west end of town in the Heights district. These lots provide lots of land and very good sun exposure." Says Realtor George Greiner, "Orange County's "Gold Coast," Newport Beach offers choices for every home buyer. From luxury homes on the sand to bayside estates with yacht slips to elegant townhomes on the golf course, you can find your perfect coast-side home in Newport Beach." About the market, Greiner says, "July typically signals the end of the annual spring buying season. Normally, the inventory of available homes will increase over the summer months. So far though, this hasn't happened. The available inventory of new listings is still relatively small. Interest rates, while still low are beginning to creep up. That has kept buyers active in the market and ready to jump whenever a home is listed in the neighborhood they want." He advises, "Most experts have predicted a price increase of about 15 percent in 2005. It appears that is about where we will end up. Currently, the median price in the 92661 zip code is up 13 percent over last year to $1,615,000. Other Newport Beach zip codes range from a median of $1,100,000 (92663) to $1,318,000 (92660) and $3,808,750 (92662). As they've been for the past couple of years, condos and townhomes continue to be in high demand, being the best way for first-time or buyers new to the area to get their foot in the door in Newport Beach." " Newport Beach is a gorgeous beach community," says Realtor Charles Mansur. "The market is mixed for Newport Beach. Closed sales that opened in May and June closed higher, but new sales for the month of July were down. New listings taken in July: 149 homes at an average listed price of $1,883,978 -- up by $140,104 (8 percent) from last June. Under Contract in July: 24 homes at an average listed price of $1,371,399 -- down by $341,292 (-19.9 percent) from last June.Closed Sales in July: 73 homes at an average sales price of $1,582,620 -- up by $81,254 (5.4 percent) from last June." Mansur says, "It's like nothing you have seen before. In Newport Beach you can surf, swim, or you can just take it all in. You can take kayak and canoe excursions along the Back Bay, sunbathe, or a take a cool drive along Pacific Coast Highway, the famous Highway 1. Newport Beach has a sense of style and class coupled with warm and down to earth people.Just north of Laguna Beach, and south of Huntington Beach, we are in the heart of Orange County. In Newport Beach, there is something for each of your senses. For aesthetics, try the Orange County Museum of Art, The Newport Beach International Film Festival, or shopping at Fashion Island with its upscale and boutique shopping including stores such as Neiman Marcus, Betsey Johnson, and Kenneth Cole." "For delectable tastes, Newport Beach has world-class restaurants in abundance. If you love fine dining, Newport Beach is your place. The Taste of Newport Beach is a three-day food, wine and music festival. This delicious event serves up culinary masterpieces from over 30 of Newport Beach's finest restaurants, as well as 15 premium wineries from throughout California, ice-cold brews and delicious cocktails. And please, as excited as you get, remember to breathe, otherwise you'll miss the clean air and ocean breeze." He advises, "When I speak to my clients they always ask me if the market is going bust. Here's my answer: "Orange County is growing and is expected to grow by half as much again. There is limited amount of land left and obviously limited supply. Simple economics tells me that if demand is higher than supply then the market will go up. However, once in a while the market does flatten for a few months and occasionally it dips, similar to what the stock market does. If interest rates remain low we will continue to see an overall appreciation. If interest rates go up, the market will slow down just because of the affordability factor." |
