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The Malibu Real Estate Report: Condo values up in Malibu 57 percent since 2011
Condominium values have been in steady ascent for the past two-and-a-half years, increasing in Malibu from a median value of $528,000 in 2011 to $827,000 so far in 2014. That calculates to a 57 percent increase.
The median prices during 2012 and 2013 were $665,000 and $795,000, respectively. Price appreciation has been steady and consistent.
Sales units have been about average during the first half of this year, projected to approximately 72 sales after last year brought 79 transactions.
These numbers apply to all condominiums and townhouses sold in the 90265 zip code, including some exclusive beach locations, covering the past four calendar years.
Last year provided a real boost to the local condo market as values, sales and volume all jumped profoundly. Median values went up nearly 20 percent for the year. The median is the point where half the sales are for less and half are for more.
The adjacent chart highlights the largest and busiest selling condo complexes in Malibu, with median prices for 2011-2014 noted, based on minimum of three sales. The steady rise that is characterizing all complexes in Malibu is clearly demonstrated.
During 2011, 13 condos sold in Malibu for less than $400,000. This year there has been only one; at this writing, practically nothing is listed for sale for under $500,000, let alone $400,000.
Malibu’s two most affordable complexes, the Malibu Canyon Village and Malibu Gardens, have collectively climbed from about $368,000 in median price to more than $500,000. Malibu Canyon Village has had three prime location sales this year averaging $550,000, and the Gardens has a chance to yet top $500,000 based on current pricing.
While these tallies reflect median values, the average prices, heavily affected by larger beach sales, also shows improvement, albeit less. The average of all 64 sales in 2011 was $850,000. Through half of this year, that average has grown to $1,057,000.
Getting into Malibu most affordably features condos, of course, and they are often used for investment rentals, also. With no new construction planned, and none undertaken for some time in all of Malibu, the supply is essentially capped.
Here are examples of units that have sold twice in recent years:
• At The Malibu on Carbon Beach, a unit that sold for $850,000 in 2011 brought $1.285,00 this year.
• At Vista Pacifica, adjacent to Webster Elementary School, the same unit that traded for $720,000 in 2012 got $830,000 last year.
• A townhouse at Lunita had a sale of $889,000 in 2012. Same place in 2013: $975,000.
• A Malibu Gardens unit that was worth $312,000 in 2011 was sold at $360,000 this year.
In one other calculation of the price increase, all sales in Malibu above $1.5 million are thrown out and only standard, off-the-beach product is considered. Still, for the condos that sold under $1.5 million, the median has increased from $490,000 in 2011 to $770,000 this year. That is also a 57 percent bump.
Additional notes from complexes throughout Malibu:
• Townhouses on the beach near Moonshadows, from 20436–20616 Pacific Coast Highway, only saw one sale above $2 million from 2009–2012. Both sales so far this year have topped that, and there were two others last year.
• The sale this year at The Malibu — 22626 PCH — of $1,285,000 is the largest since 2007.
• The Malibu Villas, after a rough patch of years, has been busy with 10 sales in 2012, five sales last year and three so far in 2014.
• After a six-year absence, the Zuma Bay Villas on Point Dume have seen a sale above $2 million.
• Even though beach front units are not counted in the adjacent chart for Malibu Bay Club, two such units have topped $2.4 million as a sales price recently.
Rick Wallace has been a realtor in Malibu for 26 years.