OVERALL SUMMARY OF HERMOSA STRAND SALES IN
2020Looking at all of these sales being on the market for an extended period of time and starting at a much higher price than where they sold one might think the market is going down on TheStrand. But, I would argue that’s not the case. I would also like to point out that only one of these sales closed during “COVID-19”, and that was the largest sale of all at 12M.
The working price range for houses on The Strand is between $2,000/sqft and $3,000/sqft. Of course, there are some outliers, but if you use that range as your guide you can see why some of these properties started off way out of line…for example 3033 The Strand sold at $2,965/sqft. This was a very dated but very unique property and at the original list price of 19M that puts it at $4,695/sqft which is just way off base.
What happens when you do that in almost all price ranges is when the buyers are smart and they know you’re too high they move on and let you sit on the market and accumulate “days on market.” Then, when the seller finally drops the price to where it should be, you have been on the market so long that the buyers in the market wonder why and now think something major is wrong with the property when really it was just priced wrong, to begin with.
Sellers in the high end always want top dollar and I get that. But, there are many, many examples of sellers asking too much for their property which actually gives them less than what they should get, on top of time wasted and opportunity cost wasted.
