In most of the US is expected to decline in the real estate market in 2019. Downtown Los Angeles, where a building boom was replaced by a surplus of housing units, was also not spared the decline in the number of sales and rentals.
According to a new report from brokerage firm Loftway, sales of condominiums and lofts in Downtown LA in 2018 fell by 20% to 294 units. In 2017 it sold 353 object. This figure is in turn 40% more than in 2016.
The new Loftway Report is out. For a copy go to: www.loftway.com/report
Posted by Loftway on Monday, January 21, 2019
The number of signed leases also declined by approximately 7% to 410. The rental price is a third of the buildings on the market has dropped significantly. The Loftway report is based on the lists submitted to the office of multilistinga system shared electronic databases open to participants of the market of real estate. Sales made inside the company or out of the market, these data may not be reflected.
In addition, more time is required to remove the property from the market. In 2018 on the sale of a single object took an average of 55 days, and the lease will be 42 days. However, these figures are slightly better than in other major cities such as Miami or new York. There house did not sell within 84 and 74 days, respectively, according to Re/Max.
Despite the decline in sales price per unit of housing in Downtown LA continues to grow. Average price per square foot in 2018 amounted to about $2150, which is 2.4% more compared to $2100 per square meter in 2017. Condominiums in Greenland USA’s Metropolis Tower 1 are sold at the highest prices — about $3400 per square meter. According to Loftway, last year the building was sold 6 apartments.
The complex Santee Cornell Lofts in the Fashion District prices also rose slightly. Two loft was sold at an average of $2310 per square meter, which is 18.7% more than the year before.
Perhaps the main indicator of the downturn in the real estate market in downtown Los Angeles is the most expensive sale last year. In 2018, the condominium in a high rise building EVO South on Grand Avenue was sold for $4 million Is much lower compared to 2017, when the object Ritz Residences at LA Live bought for $9.13 million
