No Home Sales Above $2.8M
Since October 2008, there has not been a single home sold in Coronado priced higher than $2.8M! That’s seven months of no sales at $3M, $4M, 5M, etc.! While the Coronado market tends to be slow in the winter, these are certainly unusual times. I have a friend who is an agent; she says her office salivates when they hear there is a buyer in town who is looking above $3M, just hoping the buyer will be interested in a showing of their listing. Crazy. Two years ago, new buyers at this price point were around town every week or two.
It is especially strange to have no Coronado homes being sold above $2.8M because homes in Coronado have an average selling price of around $1.6M. Thus, $2.8 is not an abnormally high price. There are lots of homes for sale above $2.8 and generally a fair amount of activity. It’s one thing to have scarce buyers at $2.8 in Carlsbad, or scarce buyers at $7M in Coronado, but in Coronado, $2.8M should be rocking and rolling!
It seems that the Obama incentives and FHA loans are motivating buyers beneath $700K, which is where the action is in Coronado. Unfortunately, $700K buys a mediocre condo and listings are scarce. The entry point for a tear-down Coronado home is about $1M, so Obama’s tax plan is not helping Corondo homes get sold. Hopefully the activity at the low end will at least trigger some momentum upwards. I know agents are hungry, and I can only imagine that Coronado home owners are frustrated if they are not even getting buyers through their door to have a look.