JustLurking, My experiences at the open houses in La Jolla are similar to yours. Most the realtors are just not willing to admit that the coast could possibly decline in value. I can’t decide if they sincerely believe that, (ie they are all drinking the koolaid still) or if they know that things are going down but don’t want to admit it.
One thing that I’m really wondering about. If you look at SDLookup’s list of closed sales, and scan for the month of June, there are only 9 single family residences that closed in June for 92037. If that is true, that is terrible for sellers. (Given that there are 224 sfr listed today, that would be about 25 months of inventory at that rate!)
But here’s the thing I really don’t understand. With sales in La Jolla dropping in number, commissions must be way way off. Wouldn’t the realtors start to push sellers to lower prices since that would encourage the number of sales to go up? From a conversation I had with a seller the other day, he indicated that realtors wanted him to not go out at a low price. He really wants to sell, but the realtors were really discouraging him from offering at a price less than two years ago comps. Why would the realtors argue that? Given that sales have dried up so much. Are the realtors convinced that everything is going to bounce back? That all they need to do is convince sellers to not give in, and prices will hold? Can someone explain what the realtors are thinking?
