Archive for the ‘BIPI’ Category

Dave’s Top 10 Real Estate Economic Indicators

Tuesday, September 27th, 2016

I wrote the attached article which was titled “David Girling’s Top 10 Economic Factors Realtors Should Be Following Today” – it appeared in the May / June edition of OC Realtor. The article is a few months old, but much of it applies to the current market. I will be publishing an updated version in October, so I wanted you to have the previous version in advance of the article. Feel free to contact me with questions @ dave@girlingreig.com.  Dave

OCAR article

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Balboa Island Real Estate: Balboa Island Price Index (BIPI) ™, Q1 2016 Results

Saturday, July 2nd, 2016

According to the BIPI (chart below) developed by Girling REIG, Q1 2016 interior lots were valued at $1,830,100, up 7.99% when compared to the same period in 2015. The BIPI has steadily increased the since the low point in 2011 and is within 8.5% of the peak 2006 values.  Inventory has also improved with 15 active listings (5 bayfronts) as of this writing.

BIPI

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Balboa Island Real Estate: Balboa island Price Index (BIPI), Q4 2014 Results

Monday, January 12th, 2015

According to the BIPI (chart below) developed by Girling REIG, Q4 2014 interior lots were valued at $1,775,683, up 9.86% when compared to the same period in 2013, but only down 11% from peak values in 2006.  There has been some volatility in the BIPI value the past 4 quarters with a large increase this period which may be due to the low inventory levels, and the number of  buyers looking for entry level properties on Balboa Island.

Graph_Girling_BIPI_Q4_1_15-FNL

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Balboa Island Real Estate: Balboa Island Price Index (BIPI), Q3 2014 Results

Tuesday, October 28th, 2014

According to the BIPI (chart below) developed by Girling REIG, Q3 2014 interior lots were valued at $1,552,221, down 1.4% when compared to the same period in 2013, and down 22% from peak values in 2006. Prices are tracking a constant appreciation rate of 5.0% since 2000.

Graph_Girling_BIPI_Q3_10_14-FNL

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Balboa Island Price Index (BIPI), Q1 2013 Results

Saturday, April 27th, 2013

According to the BIPI (see chart below), Balboa Island interior lots for Q1 2013 were valued at $1,469,754 up 2.3% when compared to the previous quarter, and up 21.8% when compared to the same period a year ago. Compared to late 2006 & 2007 when average lot values peaked, the current average value of a lot has decreased by 26.5%, now at levels we saw in mid to late 2004.

 

 

 

For Q1 2013,10 properties sold on Balboa Island (ranging from $1,375,000 to $3,500,000) compared to 10 in Q4 ’12 and 13 in Q3 ’12.  Currently there are 10 properties for sale:  3 Bayfronts ranging in price from $2,850,000 to $4,995,000, and 7 interior properties ranging from $1,515,000 to $3,750,000.  2 of those interior properties are on Little Island. On average, the properties that sold in Q4 sold for 96.1% of the list price.  Sales are strong, however inventory levels remain low.

 

New construction update:  A newly constructed home at 114 Diamond recently sold for $3,249,000 in Q1 which represents a price per square foot of $1332.  Records indicate that the square footage is only 2440 which is around 300 SF less than is usually achieved with new construction on a standard lot.  If the square footage is correct, this is the highest price ever paid for new construction on the Island.  Even if 2750 SF was used which approximates the maximum SF allowed for newly constructed homes, the price per paid square foot is still $1181 which is still one of the highest ever paid for new construction.

 

Below is a list of the highest prices paid per SF for new construction on Balboa Island:

  -115 Topaz – $1259 (2/2/08)
  -124 Topaz – $1241 (3/11/08)
  -116 Emerald – $1185 (6/27/08)
   -200 Sapphire – 1175 (2/15/07)
   -114 Diamond (assumes 2750 SF) – $1181 (1/20/13)

 

In contrast, prices per SF were less than  $1000 per SF in 2009.  Based on the current BIPI value of $1,469,754, $500+ per square foot can be attributed to the lot, so these prices for newly constructed homes suggest that the builders are realizing in excess of $650 per SF for the improvements.

 

The Girling Team was recently featured in an article in the Orange County Business Journal.  Here’s is the link if you would like to read the article:  OCBJ February Article.

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