The real estate market in Los Angles in 2016 has been interesting to say the least. It has been a year of change since we came out of 2015 with a crazy busy market and now we are seeing a bit of separation from the regular market and the luxury market. The regular market with homes being under $750,000 is still very busy while the luxury market has cooled down a bit.

So for the rest of 2016 and going into 2017 where do we thing the market is going to go? We think that the $750,000 to $1.5 million is going to stay red hot because interest rates are still ridiculously low and people will want to take advantage of that before rates start to go up. Even though the luxury market above the $1.5 million has cooled a bit, it will still be a good market because homes are still selling. There is activity in that range and there will continue to be action because of the low interest rates.

If you are a buyer, buy now to take advantage of the low rates, and if you are a seller, you should sell now. This is because there are more buyers out there looking for great properties. If you wait until rates rise, there may not be as many buyers and those that are in the market may be looking for deal. We don’t know what will happen with interest rates in the future, but we do know that they are low right now. That is a fact and you should act on it since we do not know what the election of Trump will do to the markets. If anything, they will rise if the economy starts to improve.

So, we are saying that the beginning of 2017 will be both a sellers market and a buyers market at the same time.

Thanks to Peter Lorimer at PLG Estates in Beverly Hills for his insight into the Los Angles real estate market.