The Laguna Beach Real Estate market is starting to see changes in the way homes are sold with rising interest rates causing things to slow down, especially for those who need the assistance of getting a loan. It was only a short year ago when homes were flying off the shelf and multiple bids on properties were a common place. This was due to the low inventory of homes available in Laguna Beach along with record low interest rates. All of this has quickly changed and the sellers market has slowly turned into a buyers market. Buyers now have more time to compare properties when the first come on the market without being pressured by other home buyers looking to make a bid on the same property. The inventory of homes is still relatively low which is keeping the price up on some high demand properties.
Sellers and local real estate agents are getting smart and realize that they need to stand out in this kind of a market. We are starting to see properties being advertised as "priced to sell" which is something we have seen for several years now. Some times this is just a marketing play that real estate agents do to get a home sold but in this kind of market it is typically priced to cause it to generate an offer. There are currently two properties in the Terraces Laguna Beach community that are being advertised as priced to sell. They are listed at $755,000 and $815,000 with a total of two bedrooms each. A quick look at recent home sales in the Terraces as pictured below shows homes have sold between $850,000 to $890,000 for the two bedroom floor plans. If you look at 2021 those prices were between $622,800 and $735,000 for the two bedroom floor plans. So we are almost looking at 2021 pricing now with the homes that are currently priced to sell with a little negotiations off their asking price. The big thing is what will happen to real estate prices next year with so many estimating a rough year for the market. Only time will tell.