Biggest Discounts July Update

Let’s check in on our stats once again and find out where buyers are currently getting the biggest discounts off asking price. If you are a potential buyer, this will help you to know which neighborhoods may be softer in terms of sale price discounts off list price, and help you know where to look for potential bargains.

In the charts below, we have taken all sales data from last month in Los Angeles County and sorted it by city/town. We calculated the overall difference between the sale price and the list price. Note that this reflects the final list price, after all price drops in the listing. Any areas with fewer than ten sales are excluded from the top and bottom ten rankings, but interested readers may download the full data summary in Excel format (xls).

Here are the top ten areas with the largest overall discount:

la-sale-to-list-most_2009-06

The overall discount rate dipped slightly from May to June, moving from 3.6% to 3.2%. Beverly Hills moved up from #2 to #1 this month, while last month’s #1-ranked Malibu dropped to #3.

Here are the ten areas with the smallest discounts:

la-sale-to-list-least_2009-06

Of the 110 areas we ranked, thirty-three came in in with an average sale price above the average list price.

Here’s an added bonus. The following chart shows the top ten areas with the largest overall discount from the original list price, instead of the final list price:

la-sale-to-list-most-orig_2009-06

Beverly Hills and Malibu switch places in discounts off the original list price. Across the entire LA area, buyers are getting a 9% discount on average off the original list price.

Is the area you’re shopping not on either the top 10 or bottom 10? No problem, just download the full rankings in Excel format and hit the “FullSummary” sheet.

Of the 5,360 sales we tracked in the 1-month period, 434 homes (8%) sold for 10% or more off the asking price, while 835 homes sold for 5% or more above the asking price.

  • http://los-angeles-real-estate-blog.com Phyllis Harb

    Great analyis, interesting that it is the high end neighborhoods that appear to be taking the biggest discount. A couple of thoughts come to mind:

    1) Financing is very hard to obtain for jumbo loans

    2) Price decreases on the high end seem to lag behind, likely high end home owners can hang on a bit longer.

  • http://www.edhardyworld.co.uk ed hardy

    I really appreciate your help.