With another quarter coming to a close we’ve compiled our Pebble Beach and prime Carmel market updates; overall another solid quarter for both markets – as always, a few interesting patterns worth noting:
While sales slowed somewhat in Q3 from Q2, if Q4 sales match Q3, we’ll end the year matching the highest year in the last 10; this seems a foregone conclusion with 21 deals currently pending. Our take is that 2014 will end up being the best year since 2000.
Nearly 70% of all sales in Pebble were under $2M. We’re predicting this ratio will begin to tilt more toward the middle brackets as inventory evaporates below.
There are only 6 properties currently listed under $1M with 5 in escrow; it won’t be long until the entry ticket to Pebble is once again at $1M.
Clear slowing in the $3-8M sector and some inventory imbalance here with 19 properties on the market and only 1 pending sale; ocean views and prime locations are important drivers in this bracket.
Significant increase in activity in the $8M plus range, with a particular increase at the very top, north of $15M.
We were honored to be retained to handle the sale of one of Pebble’s true gems, Wit’s End, located along the 13th hole with perhaps the best views in Pebble. At $31.25M it’s now the highest asking price in Pebble. We put this one in escrow the week it hit the market. www.WitsEndInPebbleBeach.com
Carmel’s Golden Rectangle (that highly desired walk-to-water/town location south of Ocean Ave) had a big jump last quarter with 14 sales. Collectively, the prime parts of Carmel are almost certainly going to have their best year since the market turned in 2008; Carmel real estate has remained incredibly stable and resilient through several cycles.
Worth noting that, in the Rectangle, there were 14 closed sales and 8 pending sales, with only 14 properties listed for sale – very tight supply/demand ratio.
Carmel Point sales slowed markedly last quarter, to some extent due to the very tight inventory levels. That said, the fall to 3 closed sales and 3 pending sales was more than we had anticipated. The core demand on The Point is between $2-3M, with sales noticeably slowing above that level.
There are no glaring inventory imbalances in the prime parts of Carmel. Bottom line: It’s a healthy market.
Solid quarter for both the Pebble Beach and prime Carmel markets. We’re expecting both to end the year matching records going back 9-10 years. Here is the link to the full report.
Yours very truly,
Mike, Jess and Nic