WC Varones

Don't lend your hand to raise no flag atop no ship of fools

Sellers unclear on the concept: Del Mar

Real estate market health is often measured in months of supply on the market. 2-3 months supply would be a hot market. More than 6 months' supply would be a slow market.

How is our old friend Del Mar holding up?



The green houses are for sale. The blue houses are sales over the past three months. Hmmm. 90 green and 2 blue. That's 11.25 years of inventory.

What's the problem? Unrealistic sellers. The asking prices are not in the range where people are buying. The two sales were at $1.4 million and $1.85 million, or $987 and $590 per square foot. Meanwhile the listings are at $3.9 million (mean) and $2.5 million (median), and $1494 (mean) and $1017 (median) per square foot.

But hey, what's the rush? At those prices, these houses only cost you $10,000 or $20,000 a month to carry. Sellers can afford to wait 11 years. It sure would suck to be the poor schlub realtor who has to keep holding open houses for 11 years though.

Del Mar is the new Hotel California: you can check out any time you like, but you can never leave. Or maybe it's the new Roach Motel: the idle rich check in, but they don't check out.

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