Sales activity in Montecito for the third quarter showed dramatic improvement, especially for higher priced properties. In fact, there were more Montecito sales over $10 million in the third quarter than in the previous three quarters combined!
During the third quarter, there were a total of 46 sales in Montecito compared to 34 sales in the second quarter – an increase of 35%. Of those sales, 9 were above $5 million and of these, 3 were above $10 million. The two largest sales during this period were 815 Cima del Mundo for $18,500,000 and 2549 Sycamore Canyon Road (The Val Verde Estate) for $15,310,000. (For a complete look at all Montecito sales for 2009, click here.)
Compared to the second quarter of 2009, the median price for Montecito properties rose 21% to $2,725,000 and the average price rose 14% to $3,947,020! These impressive numbers reflect a return in sales activity for higher-priced properties which had been very quiet the previous nine months.
Stronger sales activity has been a result of an improving economy, a rebounding stock market, and a great selection of homes at substantially lower prices. Financing for conforming loans is still readily available and interest rates are very attractive. Unfortunately, unemployment is still a big problem, and competitive jumbo mortgages are still not easily accessible for estate homebuyers. As jumbo financing becomes more obtainable and competitively priced, look for even more activity in the estates market.