The Battle Rages: Prices Down in El Cerrito?

When I posted in late March that prices have at last started dropping in El Cerrito, one of Contra Costa’s most desirable cities (though by no means as upscale as, say, Danville or Orinda), a reader took strong exception. But now, in mid-April, here’s some more drops, one of which is a really nice property.

What I’m hypothesizing is that just as prices are coming down fastest in less desirable locations and those plagued with foreclosures, it’s the more vulnerable properties in desirable cities like El Cerrito that are taking the hit, like canaries in a coal mine. (Apologies if this is a mixed metaphor!) In my earlier post, comments were made that the houses with lowered prices were flawed; one, for example, was next door to a trailer park (who knew there were trailer parks in the Bay Area?) One of these properties seems to be a great deal, I assume a victim of the foreclosure mess because it’s a short sale. (Hoping anyone with more information will feel free to comment!) 

Here’s the latest signs (I believe) of weakening El Cerrito prices (and credit goes to Randy Son of Robert for the spectacular photo of a drop):

 714 Midcrest Way, El Cerrito: 3 bedrooms/2.5 baths, 2,097 sq ft, was $749,000, now $677,000. Yowza! This two-story El Cerrito Hills house has a view of the bay and the Golden Gate Bridge, a fireplace, breakfast nook and island, updated kitchen and what looks like a really nice back yard. It’s also about 12 or so blocks from the El Cerrito BART station, though it’s an uphill walk from the station. True, it’s right next to the cemetary, but to me that means peace and quiet. This is a short sale. (Though most Sweet Digs readers already know this, a “short sale” is when a lender agrees to accept less than it is owed to permit a sale of the property, a way of avoiding foreclosure.)

1336 Richmond Street, El Cerrito: 3 bedrooms/1 bath, 1,100 sq ft, was $479,000, now $440,000. This cottage has been on Redfin 149 days. It has a brick fireplace and a stone counter and is a mere six or seven blocks from the Del Norte BART station and Interstate 80 – sweet! This is a short sale and there’s a natural hazard disclosure; perhaps the natural hazard is the problem.

555 Everett Street, El Cerrito: 2 bedrooms/1 bath, square footage not listed, $395,000. While this is not a price drop per se, it seems like a relatively low price even for a tiny single-family dwelling like this, considering that (a) it’s in El Cerrito and (b) it appears to be in topnotch condition. What would be a big disadvantage for many: It’s only a block from the El Cerrito BART station, so you can hear the BART trains coming and going. I’m going to try to drop by the open house Sunday to see how loud the noise is; I live relatively close to the Richmond BART and don’t find it bothersome. It’s so cute and beautifully staged, with a lovely back yard