Big Bear is off to a great start in 2012.  Skiers are flocking to the Big Bear Mtn. Resorts claiming Big Bear has better skiing conditions than the Mammoth Lakes area.  The New Years Holiday has just finished and private home vacation rental companies and local business received a great shot in the arm to start the year.

Real Estate in Big Bear ended on a high note with 103 closed residential sales in December.  That was the highest closing month in 2011.  With properties in escrow dropping by 1/3 in the past 45 days We should see closed unit numbers in the 60 unit range in January 2012.  Available inventory will remain in the low 600 unit range until the spring when inventory that was removed from the market for the winter months or those on vacation rental programs are re-listed for the  summer selling season.

Where is the Big Bear Real Estate Market going?  That depends on who you talk to.  Most current homeowners tell me they expect the market to get better….some of them admit it really is more of a hope than an expectation.  Buyer’s generally feel prices are at their lowest are are approaching the bottom of the market.  Personally, I don’t think there will be much of a change over the next 12 months than we experienced in 2011.

1.  Seller’s who sold and closed escrow were highly motivated.  2.  Buyer’s negotiated from a position of strength and felt like they got a bargain.  3.  Transactions involving Bank financing or Bank sellers were almost universally difficult to close, delayed past contract dates, and uncertain to close due to lenders adding additional requirements up until the last days of closing.

This is the market we are in.  Please feel free to call with any questions or help with your real estate needs in Big Bear!

Big Bear is prepared for a white christmas with plenty of new snow and cold weather for making more. The skiers and snow boarders couldn’t ask for more.

The Big Bear Lake Real Estate Market has not cooled as quickly as many expected.  Inventory has fallen again which is expected at this time of year.  The surprise is the fact than pending sales in escrow did not drop over the past thirty days; they remained fairly flat.  96 residential sales closed in the Big Bear MLS in November.  With the current pending business it is likely we will see a strong December and January as well.

A curious anecdote is the disparity that remains in the opinion of what is happening in the real estate market between homeowners who would like to sell and the buyer’s willing to buy a property.  Two news reports released today are very clear: In the first report, the national market data indicates the bottom is approaching…one to two years from now.  The evidence is the price/rental ratios and price/income ratios are merging.  The second report  released indicates there are more foreclosures to coming for banks than the ones they have already processed over the past 5 years.  Many sellers I talk to are absolutely committed to waiting for the market to get better in order to get their price and are willing to ignore all evidence that that is a losing, costly proposition.  I have represented several sellers who literally spent their entire life savings paying for a home they didn’t want until they no longer had the ability to do so.  That in my opinion is the great tragedy of this real estate recession.

Buyer’s on the other hand seem to be quite comfortable and their behavior shows it.  90% of the buyer’s I talk to will not pay what they think a property is worth today.  They are only willing to pay what they think it will be worth at the bottom of the market.  During negotiations I see it time and time again.  The seller’s and listing agent provide closed comparable sales to justify a sales price of. let’s say, $400,000.  Even though the comparable properties are recent, relevant, and legitimately justify the sellers price the buyer often remains firm and will only pay $375,000.  The big question is:  Are those buyer’s anticipating lower prices or are they creating them?

I would like to hear what you think.

Happy Holiday from the Mark Dolan Sales Organization!

The Big Bear Market is meeting expectations.  Click the thumbnail to the right to view the latest market statistics.

As expected, pending sales are at their peak for the year and available inventory is beginning to fall as the summer season has come to an end.

Call our office for the latest inventory including distressed properties for investors!

This anchor retail property in “The Village” is being offered for sale by Candice Grant, Receiver. Current Businesses Include:  Amengela’s,Georgy’s Girl, Charlez, Special Effects, Cedar Rose, UPS Store, Village Spa, Dr. Emley, Bella Donna, and The Home Warehouse.

Click the information sheet to the right to enlarge, click twice to open a printable version. The Sales Brochure provides all the details of the sale, including the process for making an offer.  For a confidentiality agreement for this property please email Village Mall CA in the subject line to MarkDolan@RealtyExecutives.Com

As we enter what is traditionally the most active 90 days in the Big Bear real estate market it is interesting to look at what the actual sales numbers are, what they tell us about active buyers and sellers, and the chance to anticipate what the next 90 days will bring.

The market statistics to the right can be enlarged by simply clicking on the image.  Two things stand out as I review this months numbers.  The first is that the market bounced back in July after a disappointing May and June.  With the slew of bad news in the economy, the debt limit issue, and repeated negative reports on the housing market, sales continue which is great news.  Looking at the pending traditional sales there is every reason to believe that sales units will continue  above 65 units per month for the next 90 days.  We may even get to the 100 unit range.  I have added the pending short sales and conditional sales at 49 units.  Those are sales that are 50/50 on closing and often take 60 days or more to move through the short sale process.

The second trend that is a carry over from June is the high number of price reductions.  Nearly 35 percent of properties have reduced price for the past two months in a row.  Clearly a good portion of sellers are truly motivated to sell.  For this reason and others I don’t expect any increases in prices and I have not heard anyone who does except for property owners who will not sell at today’s current market value.

One of my friends here in Big Bear who works at Coldwell Banker has an interesting video entitled “What’s Selling in Big Bear?”  He gives a great description of what is selling and what is not.  Three takeaways from his report are:  There is a lot of activity under $300,000 and the market over $300,000 is slow and competitive. 2.  Distressed sales only account for 45% which contradicts what I hear from both buyer’s and sellers.  3. Properties are selling on average near 100% with foreclosures selling on average 101%.  Buyer’s find their discount buying well priced properties not by making offers with steep discounts. If you are a buyer or selling agent, low offers go nowhere, insult the seller and waste time.

As always, please feel free to contact me with any questions or comments.