Manhattan Beach Sand Section Updates

After a high-flying couple of years, gravity has come to the Sand Section real estate market. 

The number of homes sold in the Sand dropped to 102 for the full year, far lower than in 2021, and 26% below the 5-year average. The shortage of sales hit fast. It was a citywide concern.

Median prices are up, however, by 13% in the Sand, and by a modest 3% citywide. Upbeat median price data may conceal a true reversal in prices that is happening now. We see it on individual sales, rather than in full market data. 

Sellers in this market will be wise to do everything right. We hope to see the market stabilize in the first half of 2023.

For daily updates on the local market, see MBconfidential.com.

With a median home price now approaching $4 million, the Sand Section continues to power Manhattan Beach real estate.

True, the number of sales in the past 12 months (132) is down almost 30% year-over-year. But that figure is absolutely typical for the area over a 5-year span.

With relatively few homes available, we still see many listings moving pretty fast. Prices don’t seem greatly impacted now, despite higher interest rates and some slowing trends in the real estate market as a whole. Sellers only need one buyer!

There’s always demand for homes by the water, and with ocean views. Buyers looking for second homes and vacation rentals – including a few of our clients – remain a force in the market.

For daily updates on the local market, see MBconfidential.com.

Most indicators for the real estate market in the Sand Section remain positive and support a seller’s market. The median price is up 18% in one year, while the number of homes available has dropped. Buyers have to compete when a great home in the Sand Section hits the market.

Homes that sell these days sell faster than almost any time before, with 14 days on market (median), far less than average for the past 5 years.

The world-famous Strand has not been as busy this year, with just 4 closed sales so far. Two of four listings priced over $20M have quit. Six more Strand homes under contract by early July.

Typical buyers do face negative circumstances with higher interest rates, which limits affordability and could impact prices down the road. For now, data don’t show a downshift.

From the highest-end sales on The Strand down to cottages sold for land value, the Sand Section continues to impress. The area has the 2nd-highest median home price in Manhattan Beach at $3.565M, a 15% increase in only one full year.

As the Spring market takes shape, the Sand Section hosts about half the inventory of homes for sale in the city, including 6 homes on The Strand and several priced over $5 million.

Most buyers just can’t find homes easily, and are pursuing off-market deals where possible. Jumps in mortgage rates are adding to the challenges for buyers.

It’s a seller’s market in this popular seaside district, but nothing is easy or automatic. If you’re thinking of selling, consult EDGE for the best strategy to bring you top dollar.