And those concerned with education? San Marino Unified schools are consistently ranked among the top California public institutions.

With a median sales price of $1,940,000 in May, you can expect to pay an arm and a leg to call this city your home. Because there are no apartments in San Marino, wannabe posers are not welcomed.

1365 S San Gabriel Blvd.
San Marino, CA 91108

Price: $1,035,188 ($526 per sq. ft.)

• Beds: 2
• Baths: 1.5
• Sq. Ft.: 1,968
• Lot Size: 10,500 Sq. Ft.

A $1MM home in San Marino is on the “lower end” on the median so you should expect to make compromises. This home sits on the busy section of San Gabriel Blvd. just south of Huntington. This is more like North San Gabriel and appears to be very old and in major need of a gut+remodel.

Of course, we can conclude that this home may not even be worth $1,035,188. Just look at the listing price history:

Listing History

Jan 24, 2008	$1,098,888
Feb 09, 2008	$1,049,888
Feb 23, 2008	$1,050,000
Mar 01, 2008	$1,060,000
Apr 07, 2008	$1,081,888
May 13, 2008	$1,020,000
Jun 11, 2008	$1,030,000
Jun 22, 2008	$1,035,188

2225 S Los Robles Ave.
San Marino, CA 91108

Price: $1,049,000 ($589 per sq. ft.)

• Beds: 3
• Baths: 2
• Sq. Ft.: 1,782
• Lot Size: 8,967 Sq. Ft.

While the first property was bordering North San Gabriel, this one is close to North Alhambra. It’s a very charming property built in 1956.

Based on the previous sales price, this home is no doubt overpriced. Some flipper bought it for $805,000 in February 2008 and now trying to make a quarter million dollar profit after 5 months. WTH.

There are a ton of million dollar properties in San Marino in similar condition as these two: old, sub-prime condition and overpriced. I promise that we will see much nicer properties once I start comparing $2MM+ homes!

As you can see, Monrovia borders Arcadia and carries its share of mountain-side homes.

We already know what $1MM can buy you in Arcadia, so let’s see how far your money will go here:

140 E Hillcrest Blvd.
Monrovia, CA 91016

Price: $995,000 ($249 per sq. ft.)

• Beds: 4
• Baths: 4.25
• Sq. Ft.: 3,994
• Lot Size: 0.33 Acres

Right off the bat we have a 4,000sf home in good condition, third an acre lot and listing for only $249 per sq. ft. Nothing in Arcadia will come even close to this property in terms of house + pricing. Unfortunately, Monrovia must be un-desirable enough to even begin considering this a good deal. The listing prices speak volumes:

Listing History

Date	Price
Feb 01, 2008	$1,250,000
Feb 29, 2008	$1,199,000
Mar 20, 2008	$1,100,000
Mar 28, 2008	$1,050,000
Apr 25, 2008	$995,000

$255,000 in price reductions and this homes remain unsold after 151 days.

779 NORUMBEGA Dr.
Monrovia, CA 91016

Price: $975,000 ($659 per sq. ft.)

• Beds: 3
• Baths: 1.5
• Sq. Ft.: 1,479
• Lot Size: 0.77 Acres

As we all have seen, mountain homes with a view command a significant premium in Arcadia. Well, it’s no different here. Compared to the adbundance of living area in the home above, this property offers only 1,479sf.

MID-CENTURY HOME SITS HIGH IN THE HILLS OF MONROVIA. ENJOY YOUR PANARAMIC VIEW FROM YOUR LIVING ROOM…

This is obviously a wishing price at $659 per sq. ft. If you take a look at the interior photos, this home is in need of a serious re-gutting.  But hey, I guess some people really want the “panoramic view”!

How cheap will a home have to be in Monrovia before you consider it over Arcadia, South Pasadena or even Pasadena?

1. How desperate sellers were and,
2. What their bottom-line price was

Between 2005 and late-2006, sellers were in no rush to sell. In fact, many of them would not accept offers if it was within 1-2 weeks of their initial listing. Sellers would hold out until the very end in order to squeeze every last bit of equity out of their home. Even public builders would boast of the how long their waiting list was for homes in LA, OC and the outlying deserts. You’d be lucky to purchase a home for the listing price.

Anyways, times have changed and the tables have turned. Let’s take a look at $1,000,000 homes in Arcadia and South Pasadena. Do you think that a $900-950k offer would be rejected at this point?

ARCADIA

1733 Highland Oaks Dr.
Arcadia, CA 91006

Price: $1,050,000 ($511 per sq. ft.)

• Beds: 3
• Baths: 2.25
• Sq. Ft.: 2,055
• Lot Size: 0.35 Acres

Decent looking home located in a great neighborhood. But at $511 per sq. ft., this listing is ridiculous. Larger homes on the same street have recently sold for less.

316 Laurel Ave.
Arcadia, CA 91006

Price: $1,085,000 ($339 per sq. ft.)

• Beds: 4
• Baths: 4.5
• Sq. Ft.: 3,201
• Lot Size: 6,350 Sq. Ft.

$339 per square feet for a this home seems like a great deal until you find out how close it is to Monrovia and that the neighbor, 5 feet away, looms over your swimming pool. No wonder the seller is offering free vacations to anyone who tours the place.

South Pasadena

If you think Arcadia is expensive, then you’ve never been to South Pasadena. This city hovers North-East of the 110 Highway and, unlike many other cities in the SGV, its residents are determine to preserve its small-town culture and neighborhoods. Therefore, we won’t see too many Spanish stucco boxes in this area.

1124 Hope St.
South Pasadena, CA 91030

Price: $998,000 ($404 per sq. ft.)

• Beds: 4
• Baths: 3
• Sq. Ft.: 2,470
• Lot Size: 8,200 Sq. Ft.

A classic Victorian that has been completely gutted and remodeled. For $1MM you get to share the lot with a home behind you. But like I said, this is South Pasadena so don’t be expecting too much more than Arcadia.

827 Oneonta
South Pasadena, CA 91030

Price: $995,000 ($585 per sq. ft.)

• Beds: 3
• Baths: 2.75
• Sq. Ft.: 1,700
• Lot Size: 3,180 Sq. Ft.

This is one of the more interesting properties I’ve found in South Pas. A tri-level new construction in the hills. You get a view and… a new 58″ flat screeen TV!

Worth your $2MM in the Highlands
2209 Canyon Rd
Listing Price: $1,999,000
5,586sf
Mountain Location

Let’s see if the following homes deserve the same praise. The following is located a bit south of the 2209 Canyon Rd. property and also part of The Highlands community. It is 1,422sf smaller but 0.27 acres larger.

300 Whispering Pines Dr.
Arcadia, CA 91006

Price: $2,988,800 ($718 per sq. ft.)

• Beds: 5
• Baths: 4.5
• Sq. Ft.: 4,164
• Lot Size: 0.71 Acres

It may have a bigger lot but a large portion of it is unusable; as seen below.

Would you pay $718 per sq. ft., or a $1MM premium over over the last Friday’s property? Perhaps the sellers believe their price is justified by the view:

VIEW! VIEW! VIEW! 270 DEGREE SENSATIONAL PANORAMIC VIEW OF CITY LIGHTS.

If you think that’s a wishful asking price, then the following seller is a big dream. So big, in fact, that $2-3MM is chump change compared to this home on Norman:

239 W. Norman Ave.
Arcadia, CA 91007

Price: $5,500,000 ($579 per sq. ft.)

• Beds: 5
• Baths: 7.5
• Sq. Ft.: 9,491
• Lot Size: 0.47 Acres

Absolutely one of the finest estates in Arcadia.

9,491sf home on half an acre?? Does Arcadia not have municipal ordinances and codes to prevent property owners from overbuilding on their land? Take a look below if you want to know what I’m talking about.

The photos only show a pool in the backyard because that’s all there is… And it doesn’t stop there. If you cannot expect privacy in Arcadia for $1MM or $2MM, what about $5MM+?

Is that a neighbor peeking at you from their second floor window?

We’ll be out of town until Monday but please enjoy the following article on homeowner’s insurance. I can spend days writing about the number of families who have been forced into distress because they never took the time to verify their insurance coverage or inventoried their belongings.

It is wise to do a home inventory as soon as you move in and become settled, as opposed to waiting to do one in a hurry after a fire, natural disaster or burglary has taken place. A home inventory is a list of all of the property you own including a list of the value of the items. The police and the insurance company will need to be given a copy of your home inventory for their purposes.

To begin your inventory for home insurance purposes, first take a walk through your home, going room by room. As you do so make sure you have pen and paper in hand to take notes and film the rooms with a still camera or video camera. Any items that are valued at $50 or more should go on the list and photos should be taken of them. Do not forget any small nook and cranny of your home. Remember the attic, basement and garage.

Items that need to be included on the home inventory include clothing, jewelry, tools, computers, electronic equipment, paintings, CDs, DVDs, any collections you own (such as a stamp collection or coin collection), dishes, antiques and family heirlooms.

Once you have an informal list, you then need to formalize it in the event that it becomes of use. Most insurance companies provide these forms to their clients or you can download free inventory software from the Insurance Information Institute.

Key Information

The more information you have in regards to your personal property the better it is. Record the make, model and serial numbers of items as theses are particularly beneficial in helping the police to locate stolen merchandise. Also make sure you write down which rooms your items are located in.

An estimate of the purchase price, current value and replacement cost of items is beneficial for your home insurance purposes. For items such as antiques or jewelry you may need to have them professionally appraised and these items would need to be listed on the insurance policy in the form of a rider.

Always make sure you know where to find your ownership documents for all of your belongings, as well as the receipts, repair bills and owner’s manuals. Make sure you keep your written and photographic inventories in a safe location, such as the freezer, a safe deposit box or a fire resistant lock box or file cabinet. It is best to have two copies of each. Keep one at the bank or office and the other at home.

Listing price: $1,999,000 ($358/sf)

Since it has been a long week at work for me, we will switch gears and avoid the usual negative comments regarding real estate.

So here we have a $2MM home located in the “prestiges” Highland Oaks community. It has plenty of rooms, 5,586sf of living area and sitting on nearly half an acre of land. That’s not all though. If you take a look at the maps below, this home is located on the most northern point of of Arcadia and basically backs up against the base of the local mountain.

At $358 per sq. ft., I give this home the thumbs up if someone wanted to pay spend $2MM in Arcadia. Unlike many other listings, the description does not dissapoint:

Newer Custom Mansion in Prestige Highland Oaks Area…Lavishing Architectural Design Surrounds You in this Newer Home…Impressive Views… Majestic Entrance, High Ceilings and Imported Crystal Chandelier… Marvelous Living Room with Gorgeous View,

Check out the photos!

Given that many McMansions in Arcadia are listing for around $2MM but either lack the size, view or location, this Highland home seems like a steal. Compare it to the following properties listing for $1.9MM:

619 W Palm Dr.
Arcadia, CA 91007

238 W Las Flores
Arcadia, CA 91007

611 W Norman Ave.
Arcadia, CA 91007

My only question regarding this Highland home is this: WHY WAS IT PAINTED PEACHY/PINK?

Of course, we all know that home values are not determined by listing prices. It is based on actual sales data. Duh! Take for example the following property we profiled 2 months ago:

Back House REO

Purchase price: $1,500,000 ($354/sf)
Asking price: $1,169,000 ($277/sf)
Sales price: $1,041,000 ($246/sf)

1233 S 6th Ave
Arcadia, CA 91006

• Beds: 4
• Baths: 3.5
• Sq. Ft.: 4,227
• Built: 1989

Sales price: $1,041,000 ($246/sf)

When REOs like these set a new low in terms of price per sq. ft., it will directly affect its neighbors and surrounding communities. Purchased in 2005 for $1,500,000, it took only 3 years to wipe out $500k in equity; of which $300k was the buyer’s down payment!

Send this post to all your skeptical friends, family and coworkers who argue that the “award winning” Arcadia School Disitrict is enough to prop up home prices. Although price per square footage isn’t the best way to value a home, it gives us a quick and dirty reference as to where home sales are heading (especially during bubble cycles).

As of right now, anything decent for under $300/sf is getting snapped up very quickly but I fully expect us to see more high-$200/sf listings after this Summer/Fall season. Do I sound crazy?

Can’t See the Forest for the Trees
Original listing price: $1,350,000 ($614/sf)

38 E. Forest Ave.
Arcadia, CA 91006

New listing price: $990,000 ($450/sf, -26.6%)

• Beds: 4
• Baths: 2.75
• Sq. Ft.: 2,200
• Lot size: 7,570 Sq. Ft.

That’s a $360,000 price reduction! I’m not entirely surprised though because this “$1.35MM” home was situated right next to the 210 freeway, Santa Anita Ave. off-ramp.

For a home located south of Foothill Blvd. and next to the freeway, the price will have to come down a lot more because who in their right mind would spend nearly $1MM for this? If you value it at $300 per square foot, then this cookie cutter home would be worth only $660,000; $350/sf would give us $770,000.

Would you buy this property for $770,000? It might be worth a try because according to the listing,

SELLER’S IS VERY MOTIVATED. BRING ALL OFFERS.

Pasadena School Rankings vs Arcadia School Rankings

For ~$750,000, you can choose from these 3 homes in Arcadia:

812 Victoria Dr
Arcadia, CA 91007

Price: $748,000 ($596/sf)

• Beds: 3
• Baths: 1
• Sq. Ft.: 1,256
• Lot: 7,675 Sq. Ft.

443 Las Tunas Dr
Arcadia, CA 91007

Price: $750,000 ($735/sf)

• Beds: 2
• Baths: 1
• Sq. Ft.: 1,020
• Lot:     0.26 Acres

209 S Third Ave #A
Arcadia, CA 91006

Price: $759,000 ($324/sf)

• Beds: 3
• Baths: 3
• Sq. Ft.: 2,340
• LOT SIZE:      Attached, Townhouse

You can definitely expect to get more living square footage and land in Pasadena. Unfortunately, there exists many neighborhoods that you will want to stay out of (for safety reasons):

745 E Rio Grande St
Pasadena, CA 91104

Price: $749,000 ($483/sf)

• Beds: 3
• Baths: 2.75
• Sq. Ft.: 1,550
• Lot:     8,208 Sq. Ft.

PROPERTY TYPE:    Single Family Detached, California Bungalow

1700 Whitefield Rd
Pasadena, CA 91104

Price: $750,000 ($250/sf)

• Beds: 6
• Baths: 2
• Sq. Ft.: 3,004
• Lot:     8,550 Sq. Ft.

PROPERTY TYPE:    Single Family Detached, California Bungalow

736 Bonita Dr
South Pasadena, CA 91030

Price: $759,000 ($482/sf)

• Beds: 2
• Baths: 1.5
• Sq. Ft.: 1,576
• Lot:     5,135 Sq. Ft.

PROPERTY TYPE:    Single Family Detached, Mediterranean

We’ve all heard this wishful “prediction” from bankers, brokers, realtors and other hopefuls. Don’t worry, we’re going through a bit of a slump, but once spring rolls around buyers will be geared up for the summer selling season and we’ll “turn around” later this year. Um okay, that’s what you said last year and that’s what you said 6 months ago. Am I going to hear the same thing in another 6 months?

As I was out and about this weekend enjoying my time off, I passed by many for-sale signs and open houses. Some had a car or two parked outside, but most seemed empty. Perhaps the hot weather kept buyers out of the sun, but things aren’t looking too good for these sellers. Time is not on their side and everyday their house sits on the market means money out of their pockets. Whether you believe in the numbers or not, the trend is clear. Sales volume is way down from previous years and prices in all local SGV cities are sliding downward as they buckle under the crushing weight of the struggling economy.

We’ve seen the effects of the tightening lending standards and now we’re all experiencing some rather concerning economic hardship. Gas prices are through the roof with no slowing in sight, gold is off the charts and employment is weak at best. Leisure spending has all but slowed to a crawl and the falling dollar has inflation knocking at our doors. Couple this with low consumer confidence, a huge number of rate resets and the inevitable interest rate increases later this year and the US housing market is toast.

T-O-A-S-T.

So as sellers start to sweat in this heated pressure oven otherwise known as the Summer (RE) Rush, I’ll be that happy renter who’s not worried about losing equity or how long my house has been on the market. There’s no pressure to buy because I’m saving a bunch of cash every month and prices/volume have nowhere to go but down. Don’t believe me? You don’t have to. I put my money where my mouth is and so should you. If prices are going to “rebound” and everything is so fine and dandy, you should hang onto that property you bought a few years ago because it’s such a great investment. *note heavy sarcasm*