Malibu Closed 2012 With Sale for $36.5 Million

The Malibu luxury real estate market improved in 2012 over the previous year.

According to the Combined LA Westside Multiple Listing Service, there were 204 sales of single-family homes over $1 million, through Dec. 31, the best since 2005 and 65 more sales than 2011.

Looking at the $5 million plus market, through December there were 46 sales, the best in years and 25 more than in all of 2011.

Looking at the ultra-high-end, ($10 million market plus) there were eight sales, but when three undisclosed sales from the L.A. County Public Records are included, the total adds up to 11 sales for 2012. This is compared to only 8 sales over $10 million in 2011.

As of December 31, 2012, there are 32 Malibu single-family homes in escrow over $1 million, there are 5 over $5 million and only 1 over $10 million.

Some notable blockbuster sales in Malibu from 2012 include a November mega sale for $37 million on Carbon Beach, an Encinal Bluff estate sold for $13 million in June. 

In April, a Point Dume Bluff home sold for $21 million. There was also an $18 million sale on Malibu Road in October. On Dec. 28, a Paradise Cove Bluffs Property with 11, 313 sq. ft. on 6.6 acres sold for $36.5 million. It had been listed for 842 days and started at $45 million. 

Several industry experts have weighed in on the real estate market with positive expectations. According to a recent article from the California multiple listing service, "California is one state posting significant improvements" as the "housing market continues to improve." On a broader national scale, the Wall Street Journal reported on Nov. 29 that the real estate market in October "saw demand hit its highest level in 2.5 years."

Beyond the luxury real estate market, The California Association of Realtors (CAR) reports that the California median home price experienced highest year-to-year increase since June 2004.

As the statewide median price continued to register double-digit gains from year-ago levels, strong sales of higher-priced homes led to a year-over-year increase in sales in California during November, CAR reported in December.

In Los Angeles County, there is a reported 15.7 percent increase in the median sold price of single-family homes over those sold in 2011. This is compared to another high-end marketing area of San Francisco which welcomed a 21.5 percent increase in median sold pricing.

“Housing markets with higher-priced homes performed better in November compared with lower-priced areas. The negative impact of a lean housing supply on home sales is becoming more apparent, especially in markets with more distressed properties,” said CAR President Don Faught. “In lower-priced markets, home sales declined, whereas sales of mid- to higher-priced homes posted strong increases because there is a greater supply.”

 “California’s median home price continued to strengthen in November, marking its highest point since August 2008,” said C.A.R. Vice President and Chief Economist Leslie Appleton-Young. “The significant increase in price was due in part to the change in the mix of sales. Coastal markets, (such as Malibu) which tend to have high-end properties, accounted for a larger share of total sales and led to strong price gains overall.

“It is likely that sales and price will remain solid moving forward, dependent upon the strength of the economy and if Congress preserves the valuable mortgage interest deduction all homeowners, especially those in California, depend on.”

A key fact in CAR’s housing report noted that interest rates dipped further in November, with the 30-year fixed-mortgage interest rate averaging 3.35 percent during November 2012, down from 3.38 percent in October, and down from 3.99 percent in November 2011, according to Freddie Mac. Adjustable-mortgage interest rates also edged down in November, averaging 2.57 percent, down from 2.59 percent in October and down from 2.9 percent in November 2011.