Santa Monica, one of Los Angeles’ most coveted neighborhoods, continues to showcase its unique blend of prestige and charm in the December 2024 real estate market. Despite market fluctuations, the area remains a hotspot for buyers seeking a coastal lifestyle with luxurious amenities and vibrant community living. Here’s what you need to know about the current state of the market:

Key Market Trends in December 2024

1.Tight Inventory:

The number of new listings is down almost 10% compared to 2023, making inventory scarce and driving competition among buyers.

2.Closed Sales on the Rise:

There was a 5% increase in closed sales, with total sales volume up 4% this year, reaching approximately $863 million.

3.Median vs. Average Sale Prices:

• Median Sale Price: Up 3% year-over-year to $3,500,000, highlighting strong demand for mid-priced properties.
• Average Sale Price: Down 1% to $4,234,958, signaling that ultra-luxury sales may have softened slightly.

4.Active Listings:

Currently, there are 44 active single-family homes, ranging in price from $1,595,000 to an eye-popping $22,000,000.

Spotlight on Santa Monica’s Top Neighborhoods

1. North of Montana: Prestige and Affluence

Renowned for its luxurious homes and serene streets, North of Montana remains one of Santa Monica’s most desirable areas.

Highlights:

• The most sought-after properties are located between Ocean Avenue and 7th Street, offering unparalleled proximity to the beach.
• Montana Avenue, the neighborhood’s charming commercial strip, is lined with boutique shops, upscale cafes, and trendy restaurants.

Pricing:

• Fixers/Teardowns: $2,500,000-$4,000,000 (up to $7,000,000 near the beach).
• Updated/New Homes: $4,000,000-$10,000,000, with top-tier streets like Palisades Beach Road and Georgina Avenuecommanding up to $20,000,000.

2. Ocean Park: Trendy and Artsy Coastal Living

Ocean Park blends a laid-back beach vibe with a vibrant arts scene, making it a favorite among creative professionals and beach lovers alike.

Highlights:

• Main Street is the heart of the neighborhood, bustling with trendy boutiques, art galleries, and locally-loved eateries.
• Homes tend to be modest in size but offer unbeatable access to the beach.

Pricing:

• Homes start around $1,700,000 and can exceed $5,000,000 for properties within one block of the shoreline.

3. Sunset Park: Relaxed and Diverse

Known for its welcoming atmosphere, Sunset Park offers a mix of cozy homes and larger remodeled properties, attracting a variety of buyers.

Highlights:

• The area is centered around Ocean Park Boulevard, a lively street with diverse dining options and unique shops.
• It’s a perfect blend of suburban charm and urban convenience.

Pricing:

• Teardowns/Fixers: $1,500,000-$3,000,000.
• Larger New/Remodeled Homes: $3,000,000-$6,000,000.

Why Santa Monica Remains in High Demand

Santa Monica’s real estate market thrives because it delivers what buyers seek most: proximity to the ocean, a variety of lifestyle options, and a strong sense of community. With its high walkability, top-rated schools, and robust dining and shopping scenes, the city remains a premier destination for luxury living.

Looking Ahead

As we move into 2025, Santa Monica’s tight inventory and steady demand are expected to keep prices stable, if not slightly higher. Buyers should act quickly when desirable properties hit the market, while sellers stand to benefit from the continued interest in this iconic coastal city.

If you’re considering buying or selling in Santa Monica, now is the time to explore your options. Connect with me at [email protected] to navigate this competitive market.

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