There are many conflicting indicators in the Sherman Oaks housing market currently.
On balance it would seem that it is a sellers market. But ask any seller if they feel that the value of their home indicates a sellers market and you will get a resounding “NO”! This is largely due to the devastation on home values over the past few years. A fair, “correct” answer to the question needs to give less importance to the current values than the average homeowner would like to see given.
Unemployment numbers are a mixed but overall it seems they have turned the corner into positveness. Consumer confidence is certainly improving with some qualifications. Looking at Real Estate in a vaccuum, the numbers in the Sherman Oaks, San Fernando Valley and greater Los Angeles areas seem to strongly indicate the best “sellers” market we have seen for more than 5 years. Values seem to have stopped their slide, loan products are vastly more available to most qualified buyers, Interest rates are at hugely advantageous levels, home affordability is at a higher rate than any time in recent history, And the biggest factor of all is that the inventory of homes for sale is at record low levels in conjuction with the “months of inventory” rating is very strong for sellers.
With all the above factors listings in the Sherman Oaks area in particular are seeing very short marketing times for a home that is priced accurately commensurate with the appeal of the house. Multiple offers above the list price are not unusual currently. The discussion is open on what kind of premium to put on a straight forward listing price as compared to the closed sales prices of “distressed” short sales, foreclosures and other value priced listings.
This translates into very good news in that it gives the seller the opportunity to choose the right buyer for their situation. The best price is not always the best deal. There are many other factors that will contribute to a seller choosing the best deal for them. Overall, I would definately classify this market in Sherman Oaks a “Sellers Market” with the exception of the long term value losses that most homeowners have suffered.