The 2016 forecast for Santa Monica real estate

Real estate Santa Monica is booming. Property prices in Santa Monica are skyrocketing and it is doomed to continue like this in future. You will attract luck by purchasing a property in Santa Monica that meets your price. If you are a millionaire only then you are lucky. Commercial complexes and residential houses are popping up. But then, those who have low credit rating or foreclosures and wish to attain home loans, they can be in trouble. Since price tags are moving out of control, only a few can afford homes in Los Angeles. Even the cheaper locations in Santa Monica where properties were priced lower, a sharp price rise can be noticed.

 

Prices of real estates in the coming year

 

Marcus & Millichap made the recent report on real estate Santa Monica. The asking rent for the year 2016 citywide was 7.8% and this came to an average of $1873/month. The year 2016 will be no better than the rents climbing upto 4.8% overall.

 

The cost of median homes in Santa Monica

 

The price of the single-family home in Santa Monica has jumped 5.2% shockingly. Median homes hover just between 2.9%. Real estate consultants have to say that it seems Santa Monica only wants its residents to rent a home. So, it can be said that only a few Santa Monicans will own their own homes in Santa Monica. For the real estate agents, apartments are new markets. Douglas Elliman puts up the latest market report according to which the apartment vacancy rates have fallen to 2.8%. More than 15000 units in Los Angeles are under construction. It is predicted by Marcus & Millchap that every section of the town will receive at least 1000 units.

 

The real estate San Fernando Valley

 

In the San Fernando Valley rents are up by 7.4% on an average. The average asking rent price in the region is 15.1% which comes around to $1500 per month approximately. Certain areas in the valley just experience small increase in the average rent. Areas like Pasadena/Burbank saw an increase up to 6.8% in the rent. In the last one and a half years only 1000 rental units have been added. In the year 2014 and the first quarter of 2015, 2250 units were added. But then, 2016 will see a sharp rise in the number of apartments. In the market next year, 3000 units are expected to be added.

 

The real estate market Santa Monica

 

The housing market in the Los Angeles region is hitting new records of craziness as the prices of property are rising day by day. Even the rental charges can be seen increasing. If you are a real estate agent, you should focus on rental apartments since they are on high demand.

 

Santa Monica is a fabulous place to live in. Situated between the Los Angeles and the bay, Santa Monica is a pedestrian friendly place offering attractions, shopping destinations and educational institutions. Hence, the demand for the property here is going up. If you wish to extract more information on the same, you can visit the official website Whit Prouty: Coldwell Banker.

 

About the Author:

 

The author of this article has an extensive knowledge in the field of Real Estate Los Angeles.