Before delving into markets and business…. Brittney and I are getting married at the end of the month!! Pending nuptials will take place in Martha’s Vineyard, MA, where I grew up spending my Summers, and a place Brittney has also grown to truly love. As is the norm around here, I am nose to the grindstone in work while Brittney organizes the wedding and tells me when and where to be as we gear up for the big day. We’ll be coming home after the wedding and deciding where to do a honeymoon next year, when we have a little more time, because we still have a real estate market moving along here in Carmel!

Which brings me to my next talking point.. We still never had a crash; more of a reset to equilibrium. At least 3/4’s of the transactions I have been doing continue to be all cash, and I have quite a bit of buyer demand sitting sidelined waiting for the right thing to come along. We did have values move downward some roughly 5% to 12%, based on what I can see with like-kind versus like-kind properties, after which we started to see more and more traction with new sales around Carmel and Pebble Beach. As the latest dust settles, I could probably begin to make an argument that some of the truly prime, irreplaceable properties in town have not lost much or any material value. And to that effect, the top end has traded semi-consistently over the Summer and into the Fall.

Our team has completed a few transactions over the last month or so, some of which are represented in videos below in this newsletter. We also have a wonderful 1920’s MJ Murphy, Arts & Crafts cottage just recently on the market at San Carlos 2 SW of 11th, in downtown Carmel-by-the-Sea. We were able to secure the owners a feature article in the New York Times, regarding the historicity and wonderful shape of the home. Click here to read. This home features original redwood floors, full raw, board and batt redwood interior, and an oversized 1,874 Sq Ft floor plan, with garage, a;; on a 4,000 Sq Ft lot. At $2,695,000, this property is walkable 3 flat blocks to town, and represents one of the better values in the Village.

Finally, reverting back to market trends to close for this month, when looking at actual data, the # of closings we saw overall in August, continued to lose some of the momentum that we saw back in May and June. Active inventory also fell slightly. The list price to sale price ratio is just off the pace from this time last year. Prices are still holding somewhat steady with the median down 5-6% compared to this time last year. As for active listings, we’re seeing anywhere from 25% to 45% that have had at least 1 price reduction since being on market, which is another argument for the importance of pricing your homes very accurately and sometimes even slightly under market, depending on what your home’s product type is doing in your neighborhood. With 7%+ current mortgage interest rates, we’re seeing many buyers waiting on the sidelines to see if there is going to be some relief in the near future, however I don’t think that’s expected until mid-year 2024. In fact, according to Fannie Mae this week, it is likely to be until Q4 2024 that we see rates back down towards the low 6’s.

As always, scroll down for a link to market stats by area on our website, and to see some of our activity and highlights from our prime markets. Please reach out to me if you know of someone looking to sell their home, as we have a multitude of buyers in all ranges.

Cheers,
– Ryan