Product & Placement
This year more than ever, we are seeing that today’s buyers are looking for move-in-ready homes. This trend towards instant gratification has largely divided the market into two types of sales: newly updated homes that sell quickly for top dollar or with multiple offers and more dated properties that tend to languish on the market and often appeal to value-driven buyers, or those with patience for a project. Of course, not all sales fall into one of these two categories but there is plenty of data that sort many of 2019 closings along these lines. The old adage of “location, location, location” still rings true as many of the properties which sold quickly are in the Golden Quadrangle, near the beach, or are walking distance to one of the Villages.
Sold: new construction or RECENTLY redone
OTHER Solds
All the world’s a stage(d)
In 2019, Montecito had 43 sales over $5M; of those, 31 were professionally staged. Of the remaining 12, 11 were beautifully furnished with today’s modern look and feel. So what does this mean? The data shows that there is a specific aesthetic that resonates with today’s buyers. For sellers, there is a clear and replicable strategy that will attract the widest audience possible and help best position a property among its competition.
Sample of staged listing
High-five?
Q4 in 2018 had 40 sales, 8% of which were over $5M (3/40). Q4 in 2019, 22% of Montecito sales were over $5M (13/61). Not only did the number of transactions increase, so did the average price. While the under $5M segment of the market remains quite strong, we are seeing continued renewed strength in the upper segment of the market.
Montecito
Montecito’s Q4 saw a dramatic increase in closings over last year - 61 sales in 2019 vs 40 sales in 2018. As Montecito’s recovery continues and the community strengthens, the market is seeing renewed activity. In fact, in December 2019, southern Santa Barbara County had more closings than any of the previous 5 years! This momentum and current pending inventory is sure to equate to a robust start to 2020.
hope ranch
In Q4, Hope Ranch had 7 pendings and 6 closings, one more than Q4 2018. Of the 6 properties sold, 4 closed in the $2M range and one traded at $5.450M. The highest Hope Ranch sale of the last quarter was 4191 Mariposa which closed $7.99M; ironically, this property previously closed in Q4 2018 for $9.5M. This reduction is less an indication of diminished market value and more of a sale of convenience for the seller. Hope Ranch remains a desirable destination though habitually sees fewer sales than its neighbor, Montecito.