South Bay Real Estate: Resale Trend Report For May 2008

May Grey is finally behind us and we're only a few days away from ditching June Gloom.

May's Resale Trend Report reflects pretty much what everyone expected...property price declines in the Greater South Bay from May of 2007 to May of 2008.

Only South Redondo and Rancho Palos Verdes showed increases of 5.30% and 3.80% in sale prices respectively.

The decreases ranged anywhere from -2.90% in Manhattan Beach to -27.40% San Pedro.

We'll be watching closely to see when things begin to level out. With the influx of distressed properties on the market and the number of Bank Owned Real Estate, decline in prices might continue throughout the year. When these inventories begin to diminish is when we should begin to see some leveling out.

The good news is we're seeing a lot of investors who've been sitting on the side lines begin to pull some triggers on buying up properties. Many banks are finding more creative ways to lend money and it's begun to stimulate an increase in opened escrows. We live in a resilient area and should bounce back quicker than most parts of the nation.

I'm curious to see if South Redondo and Rancho Palos Verdes will hold strong in June. Stay tuned and we'll let you know next month!

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