The La Cresta area straddles both Rancho Palos Verdes and Rolling Hills Estates, making it fairly unique as far as home sales go. La Cresta home sales dropped in 2009 as did the median sales price. This makes it one of the few areas on the Palos Verdes peninsula to see a decline in single family home sales from 2008. The median price fell a relatively sharp 20 percent in the past year. There have been no newly built homes sold here for a number of years and only a handful of those since the beginning of 2004, so this was not a factor in the recent price drop. Regardless of this, the values of homes have risen at a solid pace since 2000, when the median price was $988,000. This coming year may be the year that the number of sales and the median prices reverse their downward trend here.
There have been two escrow closings this past month and there are currently three homes in the escrow process. This could be an encouraging sign with respect to the number of sales. In 2009, there were 25 closed escrows. The La Cresta homes in escrow have a median sales price of just under $2,300,000, which is clearly a positive indicator of the market direction for price. All three of the homes in escrow were built before 2000, so it isn’t newly built homes that are skewing the recent results. If this pace continues, 2010 may very well be the year that La Cresta home sales gain altitude and start closing the gap in prices from the peak year of 2007. The number of sales reached a peak in 2002 at 69 single family home sales, therefore, it will be a while before we return to those days when there was a lot more sales activity.