Downtown Los Angles Real Estate Market Report January 2024

REAL ESTATE NEWS (Los Angeles, CA) — The numbers are in. Did urban L.A. property market go up or down last month compare to the same month last year? A mixture of both, as the more affordable units get more affordable, while the more expensive units get more expensive. It’s been taking longer to sell Downtown condos lately. These add up to signs of economic stagnation and price inflation, strongly affected by higher interest rates.

The Pulse of Progress: Downtown L.A.’s Real Estate Evolution

In the heart of Los Angeles, the real estate market has always been a beacon of change, reflecting the city’s ever-evolving skyline and the dreams of its residents. As we dive into the Downtown L.A. real estate market, a comparison between home sales in January 2024 and the same period in 2023 reveals a fascinating narrative of growth, challenges, and the unyielding pulse of progress.

A Year of Transformation

January 2023 set the stage with 15 condo and co-op properties changing hands, showcasing an average days on market (DOM) of 38 days. The listings ranged from a modest $373,000 to a lavish $1,568,000, with an average selling price slightly above the listed, indicating a market of close matches between buyer expectations and seller demands. The average price per square foot stood at $760.62, a figure that bespoke the premium on downtown living space.

Fast forward to January 2024, and the narrative took on additional layers. The number of listings sold rose to 19, a subtle yet telling increase reflecting the market’s resilience and appeal. However, the average DOM jumped to 64 days, hinting at a market that required more patience from sellers and more deliberation from buyers. The price brackets expanded as well, with the high reaching $1,645,000, although the median selling price remained steady, suggesting a consistent core market value amidst a widening range of options.

Analyzing the Numbers

The slight dip in the average selling price to list price ratio from 97.36% in 2023 to 97.01% in 2024 indicates a market that’s becoming slightly more favorable to buyers, offering them a tad more negotiation room. Yet, the decrease in the average selling price over the original list price ratio from 107.87% to 93.10% signifies a shift towards a market that’s aligning more closely with initial pricing expectations, possibly reflecting sellers’ adaptation to more accurate market valuations.

Notably, the average price per square foot experienced a decline from $760.62 in 2023 to $633.58 in 2024. This adjustment could reflect a variety of factors, including changes in the types of properties sold or variations in market demand. Yet, the increase in the average square footage from 775 to 1,035 underscores a trend towards larger living spaces, reflecting a market evolution that caters to a diverse range of buyer preferences and lifestyles.

Beyond the Numbers

The story of Downtown L.A.’s real estate market is not just told through numbers but through the lives that animate its spaces. The increase in the average lot size, from 80,283.50 square feet in 2023 to 92,249.11 square feet in 2024, hints at a broader canvas for the city’s architectural creativity and the residents’ aspirations.

As Downtown Los Angeles continues to morph, with its blend of historic charm and modern luxury, the real estate market mirrors this dynamism. The market’s shifts and trends are more than mere statistics; they are a testament to the area’s resilience, its capacity for renewal, and its unwavering attraction for those seeking to write their own stories within its vibrant landscape.

The Downtown Los Angeles real estate market’s journey from January 2023 to January 2024 is a microcosm of the city itself: diverse, dynamic, and ever forward-moving. It’s a market that demands attention, not just for its economic indicators but for what it signifies about urban living and the enduring appeal of calling Downtown L.A. home.

The most dramatic differences between January 2023 and January 2024 in the Downtown Los Angeles real estate market are seen in the significant increase in the average days on market (DOM) from 38 to 64 days, indicating a slower pace of sales, and the notable expansion in the average square footage of sold properties from 775 to 1,035 square feet, reflecting a shift towards larger living spaces. Additionally, the average price per square foot saw a decrease from $760.62 to $633.58, suggesting a market adjustment that potentially offers more value per square foot for buyers. These changes highlight a market in transition, adapting to evolving buyer preferences and market dynamics.

What about average sold price and median sold price? The average and median sold prices between January 2023 and January 2024 in the Downtown Los Angeles real estate market also reflect noteworthy shifts. The average sold price increased from $625,400 in January 2023 to $661,842 in January 2024, demonstrating a growth in the overall value of properties being sold. In contrast, the median sold price remained consistent at $578,000 across both years, indicating stability in the market’s central tendency despite the overall increase in average values. This consistency in the median sold price, paired with the rise in average sold price, suggests a broadening in the range of property values sold, with high-value sales driving up the average while the bulk of transactions centered around a steady median price point.

Did average price per sq ft go up or down? The average price per square foot in the Downtown Los Angeles real estate market went down from $760.62 in January 2023 to $633.58 in January 2024. This decrease suggests a market adjustment where buyers could find more value per square foot, indicating a potential shift in the balance between buyer demand and available property characteristics.

These numbers sound like stagflation, as the rich get richer and the middle class gets poorer. The trends observed in the Downtown Los Angeles real estate market from January 2023 to January 2024 indeed present a nuanced picture that could be interpreted through various economic lenses, including aspects reminiscent of stagflation. While the term “stagflation” is traditionally used in the broader economic context to describe a period of slow growth and high unemployment accompanied by inflation, some parallels can be drawn with the real estate market dynamics.

  1. Slowing Market Velocity: The increase in average days on market (DOM) from 38 days in 2023 to 64 days in 2024 suggests a slowing velocity in property transactions, akin to slowed economic growth.
  2. Price Inflation: The rise in the average sold price, despite a decrease in the average price per square foot, indicates that while there might be more value per square foot, the overall price levels are increasing. This could suggest a form of price inflation where higher-value properties (potentially appealing to wealthier buyers) are driving up average prices.
  3. Disparity in Value: The consistent median sold price alongside the falling average price per square foot could reflect a growing disparity in the market. This scenario might indicate that while the median (representative of the “middle class” of properties) remains stable, the average is skewed by high-end sales, suggesting that wealthier individuals are still investing in more expensive properties, potentially widening the gap between different market segments.

These dynamics can reflect a form of economic divergence within the real estate market, where the experiences and opportunities differ markedly between segments of the market. This interpretation aligns with concerns over economic disparities, where the benefits of certain economic conditions are not evenly distributed. However, it’s important to note that real estate markets are influenced by a multitude of factors including interest rates, supply and demand dynamics, and broader economic conditions, making the comparison to stagflation a conceptual rather than a direct correlation.

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Copyright © This free information provided courtesy L.A. Loft Blog with information provided by Corey Chambers, Broker DRE 01889449. We are not associated with the seller, homeowner’s association or developer. For more information, contact 213-880-9910 or visit LALoftBlog.com Licensed in California. All information provided is deemed reliable but is not guaranteed and should be independently verified. Text and photos created or modified by artificial intelligence. Properties subject to prior sale or rental. This is not a solicitation if buyer or seller is already under contract with another broker.

Corey Chambers Real Estate Newsletter February 2024 — The California Home

The California Home
The California Home
Love is a group effort

LOVE REMEDIES A MULTITUDE OF WRONGS 

February, as you know, brings in Valentine’s Day. A holiday where many of us scramble to make sure those close to us KNOW we love them! After all – Love is a many-splendored thing. While Love for our family and friends is the most important, I think it’s also essential to express my heartfelt desire for helping people find a home where their heart is. 

Corey Chambers

My favorite love description is: Love is patient, Love is kind. It does not envy, it does not boast, it is not proud. It is not rude, it is not self-seeking, it is not easily angered, and it keeps no record of wrongs. Love does not delight in evil but rejoices with the truth. It always protects, trusts, always hopes, and always perseveres. I could go on with all kinds of examples like – “Love Your Neighbor as Yourself,” even go all business-like and say “ how much we love your referrals” and more. 

But, the point is we do love helping people sell and buy real estate. And those people say we are good at it! 

Please know that my team and I are eager to help anyone you know wanting to make a move. So much so that we are willing to make an offer that your referrals will LOVE – AND – the Kids at Children’s Hospital Los Angeles will love too. 

Your referrals help the kids!

Go Serve Big!!! Investing In Our Southern Californian Kids

If you or a friend are thinking about selling, make sure to choose a real estate company you can trust! A real estate company with experience, proven results and a give-back philosophy!

AND REMEMBER… Your referrals help the Kids…

We are on a mission to raise $25,000 for CHLA. We do this by donating a portion of our income from homes we sell. As you know, Children’s Hospital of Los Angeles does great work in helping kids fight through and survive nasty life-threatening diseases like cancer, Non-Hodgkin’s lymphoma, leukemia and others. They also lead the way in helping kids come back from spinal cord injuries as well as early diagnosis of autism. Last year alone, Children’s helped over 1,000,000 kids right here in Los Angeles. BUT, Children’s relies on sponsorships and donations to provide their elite level of care, and to keep families’ expenses to a minimum. So YOUR REFERRALS REALLY DO HELP THE KIDS…

Who do you know considering buying or selling a home you could refer to my real estate sales team?

Not only will they benefit from our award-winning service, but you can rest assured we are also donating to a very worthy cause.

Go Serve Big!!! Investing in the Children of Los Angeles.

A Real Estate Company that Gives Back!

Children’s Hospital LA leads the way in serving kids one patient at a time.

We are still boldly on a mission to raise $25,000 for the Children’s Hospital of Los Angeles, and we are making progress! We do this by donating to them a portion of our income from homes we sell. As you know, CHLA does AMAZING work in helping kids fight through and survive nasty diseases like cancer, Non-Hodgkin’s lymphoma, leukemia, and others. They also lead the way in many other fields.

They can provide this care and keep patient costs to a minimum due to donations and sponsorships. We are proud to support the Children’s Hospital of Los Angeles!

As in the attached story, Children’s Hospital of Los Angeles provides the best pediatric medical care available anywhere in the country. To do that, CHLA needs donations to continue its leading-edge care. We proudly donate a portion of our income from real estate sales to CHLA to help them continue serving the needs of those who most need it in our Los Angeles!

Who do you know considering buying or selling a home you could refer to our real estate sales team? Not only will they benefit from our award-winning real estate service, but a very worthy cause will also benefit as well. To refer anyone considering buying or selling a home just give me a call or pass on my number. 213-880-9910.

Thank you in advance for your referrals!

You and your referrals mean more than ever to my team and me. As we move forward thru this winter, please know we are extremely thankful for you and you being a special part of our business.

Go Serve Big!!! — Corey Chambers

Entar® Real Estate and Investment Technologies!

P.S. I copied and pasted the story below from the CHLA website. It better tells the story of the work they are doing.

MAKING A DIFFERENCE

As a leading charitable hospital, CHLA depends on sponsorships and donations to continue its leading-edge service. We proudly donate a portion of our income from real estate sales to CHLA to help them continue serving the needs of those who most need it in Los Angeles!

A real estate company with experience, proven results and a give-back philosophy!

Over the years of helping many families sell their homes and/or buy another, we have met some wonderful, loving, caring people. People like you! So your referrals can rest assured that, not only will they get the award-winning service we are known for and the guarantee to back it up, but that a solid portion of the income we receive will go toward helping the kids.

Refer your friends, neighbors, associates or family members considering making a move:

You can go to www.ReferralsHelpKids.com and enter their contact info online or forward the link to someone you know considering a move.

Of course you can always call me direct as well at 213-880-9910


Why I support Childrenʼs Hospital Los Angeles

I grew up right here in the Greater Los Angeles Area, born in Los Angeles County at St. Francis Hospital. I remember when I first heard about a young person close to our family suffering from a serious disease and getting treated for that at Children’s Hospital Los Angeles. It was then that I began to pay closer attention to the work they do at that hospital. Since then, I have learned that it is a collection of hard-working health care professionals, most making their home right here in the Los Angeles area, all coming together for a common cause. That cause is to help young people overcome unfortunate health issues that life sometimes throws our way. Being a Los Angeles Area California native, I take pride in supporting in a way that I can do the good work these people do at Children’s. My team rallies around our annual goal of raising money and donating portions of our income to help Children’s in their quest to heal young people when they need healing. My team and I are committed to providing outstanding results for buyers and sellers referred to us by our past clients. I have discovered that Children’s Hospital Los Angeles shares a similar commitment to their patients. And since their services survive on sponsorships and donations, we are happy to contribute and proud to support them.

Sincerely,

Corey Chambers

Lifesaving Brain Surgery Rescues Buddy From a Rare Encephalitis

A neurological disease called Rasmussen’s encephalitis terrorized the 3-year-old with nonstop epileptic seizures. The only hope was a hemispherectomy, in which doctors disconnect the two halves of the brain so one cannot disturb the other.

By Jeff Weinstock

“How can I say yes to someone asking me if I am OK with them cutting my kid’s head open and taking part of his brain out?” Paul asks, emotion clenching his voice. “I didn’t know how to be OK with that.”

But what other option was there? His son, nicknamed Buddy, had been besieged for months by the effects of Rasmussen’s encephalitis, a rare brain disorder that causes inflammation in one half, or hemisphere, of the brain, triggering epileptic seizures that can devastate mental and physical function.

The disease, which generally strikes young children, ravaged the left side of Buddy’s brain. Since its onset in June 2022, when Buddy was 3, the number of seizures would rise and fall, staved off by a pile of medications. But now they were coming virtually uninterrupted—over 150 a day—a potentially fatal condition called status epilepticus that forced Buddy to be admitted to the Pediatric Intensive Care Unit (PICU) at Children’s Hospital Los Angeles with a breathing tube.

“Out of an hour, he was spending 40 minutes either having seizures or recovering from seizures,” CHLA neurologist Latanya Agurs, MD, says, “and he would spend the entire day receiving emergency doses of medications, just to seize over and over again.”

The one effective treatment for Rasmussen’s encephalitis is surgical, but the graphic nature of the procedure, called a hemispherectomy, unnerved Paul and Kristen, Buddy’s mother. Doctors cut away nerve fibers bridging the two halves of the brain so that epilepsy signals cannot travel across—from the side stricken with encephalitis to the healthy side. Removing those connections neutralizes the seizures.

If the surgery worked—as it does 90% of the time—Buddy’s brain would still experience electrical activity that would be picked by an EEG, but he would not feel it, nor could the seizures do him any more harm. In effect, they would be firing blanks.

“If you put an EEG on a person who’s had a disconnection,” Dr. Agurs says, “that EEG’s going to look like he’s having seizures, but I shouldn’t see the patient have any clinical manifestation of them. They’re not spreading from one side of the brain to the other.

“Zero seizures is the operation’s goal,” she says. “Alive and zero seizures. That’s the gold standard.”

When the brain turns on itself

As rare as Rasmussen’s encephalitis is—estimated at 2 cases for every 10 million people—Dr. Agurs, an epileptologist at CHLA’s Neurological Institute, had seen it several times by the time she received Buddy’s case. “I have three or four patients who have it currently,” she says.

“There’s a lot of encephalitis,” she explains. “Rasmussen’s falls into the category of autoimmune encephalitis. Something triggers your cells’ antibodies to attack its own brain, and you can’t always find the reason why.”

Plus, there’s no stopping it. Agurs says one of the indicators for Rasmussen’s encephalitis is progressive atrophy of the brain, which was visible on Buddy’s imaging.

“You get two MRIs three months apart and you’re thinking, ‘Why is the brain smaller?’ It had already happened. He’d had some brain shrinkage already.”

He exhibited the telltale motor deficits of brain degeneration, which are typically experienced on the opposite side of where the seizures occur. So it was with Buddy. The strength in his right leg declined to where he could no longer stand upright.

“He was stumbling everywhere,” Kristen says. “He couldn’t hold his balance.”

His language ability worsened as well. Independent of the encephalitis, Buddy suffered from autism, limiting his speech to one-word sentences, which now came out in a slurred slow motion.

CHLA neurosurgeon Jason Chu, MD, MSc, says Rasmussen’s encephalitis needs to be acted upon early before it erodes so much of a child’s brain that the brain’s growth is stunted and may even regress. Importantly, a central trait of a young child’s brain is its neuroplasticity—a limberness that allows the brain to adapt to a new weakness and gradually autocorrect, as the healthy areas take on the work of the injured part.

“As we get older, our brain starts to solidify in very specific areas,” Dr. Chu says. “But in younger patients, the good side can actually pick up a lot of the functions from the diseased side.”

Disabling the pathways

Disconnecting the brain’s two hemispheres, however, has “trade-offs,” Dr. Chu says. He explained to the family that the procedure would bear significant physical and mental impairments, and a need for extensive therapy to restore those areas. One consequence of the procedure that could not be recovered would be the loss of his right field of vision, opposite where the nerve fibers would be cut.

“That’s a very difficult conversation to have and can be very scary for families,” Dr. Chu says. “But we’re talking about an operation that has a really high chance of curing the epilepsy—never having a seizure again for the rest of your life.”

Kristen quickly gave her approval for the surgery, looking toward the recovery. “Let’s get it over with so we can work on the deficits post-op,” she recalls thinking. “I want to get my son back.”

But she shared Paul’s fears. “It’s brain surgery. What if they don’t cut enough? What if they cut too much? What if they cut in the wrong spot, and what if my son doesn’t come out of it?”

Meanwhile, Paul read up on Rasmussen’s encephalitis. He overcame his reluctance after he learned what “a monster” the disease is, he says. “I still have Google tabs open right now on my laptop from back when I was looking up the condition. I didn’t want to feel selfish. I didn’t want to be the reason he didn’t get better.”

The experience of their doctors reassured them both, the result of working in a Level 4 epilepsy center, the highest designation of expertise awarded to a hospital. “They sat us down and said, ‘This is not the first time we’ve seen this,’” Kristen says. “Dr. Chu was like, ‘I just did this surgery not too long ago. You’re the third patient to come into the PICU with Rasmussen’s encephalitis.’”

The hemispherectomy was performed Oct. 7, 2022. Scheduled for 12 hours, it went 13—a surgeon’s dozen. Dr. Chu and his team removed all the connections between the two halves of Buddy’s brain, preventing the left side from transmitting seizures over to the right.

“If you leave anything connected, seizures will still get across and you will have wasted your time,” Dr. Agurs says.

Paul describes the outcome succinctly: “They went in and cut my kid’s brain in half and saved his life.”

An unexpected gesture

For the first weeks after the procedure, Buddy did not talk, nor could he move the right half of his body. But Dr. Chu had warned of this outcome beforehand and said the deficits would not last.

“He gave us the rundown,” Kristen says. “‘This is what you need to expect coming out of surgery. It’s going to take him a while to get back up, but just be there for him, continue doing what you’re doing, and he’ll be OK.’”

So it was, as after a month Buddy’s speech returned. “Not full sentences, but he was saying his one-word phrases again,” Kristen says.

Fifteen months since, Buddy’s progress is dramatic. As was hoped, the plasticity of his young brain has worked in his favor, the right side seeming to absorb what had been the tasks of the left—and in Dr. Agurs’ view, at a much higher level.

“After doing his assessment, we assumed that his language has moved itself over,” she says. “Seeing him in clinic now, I think his language and his ability to communicate have gotten vastly better since his surgery. He’s much more verbal than he was.”

And certainly more blunt. “A couple of days ago,” Kristen says, “he was watching TV and I went to play with him, and he says, ‘Hey, I can’t see.’ So he’s speaking clearly now.”

Physically, Buddy has also adapted. A natural righty, he has learned to be left-handed. He limps and wears leg braces, but they don’t conceal his recovery. Asked if he’s walking, Kristen goes one better: “He’s running.”

Dr. Agurs and Dr. Chu marvel at his improvement, having watched Buddy march around the clinic in October. “He couldn’t even stand on his own last year when he was having seizures,” she says. “A lot of things recover really well after a hemispherectomy, especially when you’re under the age of 6.”

The most important post-op finding, of course, was the immediate and complete elimination of Buddy’s seizures. The doctors don’t expect them to return. But Kristen can’t keep from reacting to the smallest sudden gesture.

J

“As happy and hopeful as I am, I always have that doubt in the back of my mind,” she says. “That feeling never goes away. Say he twitches in his sleep or does any little movement, I still flinch. I’m day to day, and I don’t think that’ll ever change.”

There was one unexpected gesture that brought not anxiety, but instead astonishment and joy. One day while on a drive, Paul told his son that he loved him, and Buddy answered back with a complete sentence he had never said before: “I love you.”

“I don’t know why he said it back,” Paul says. “Maybe he just felt safe and comfortable.”

When Dr. Agurs heard about it later, it moved her to tears.

“I always feel so bad for Paul,” she says, noting Paul’s regret over initially delaying the surgery. “He always says, ‘I shouldn’t have waited.’ I told him, ‘It’s OK. We got it done, right? We got it done.’”

How You Can Help

Refer your friends, neighbors, associates, or family members considering making a move: www.ReferralsHelpKids.com or call Corey at 213-880-9910

Copyright © This free information provided courtesy L.A. Loft Blog with information provided by Corey Chambers, Broker, DRE 01889449; We are not associated with the seller, homeowner’s association or developer. For more information, contact 213-880-9910 or visit LALoftBlog.com Licensed in California. All information provided is deemed reliable but is not guaranteed and should be independently verified. Properties subject to prior sale or rental. This is not a solicitation if buyer or seller is already under contract with another broker.