Prices in Newport Beach have to fall

A

ABC123_IHB

New member
Having the <a href="http://www.forbes.com/2009/08/26/most-expensive-zip-codes-lifestyle-real-estate-zip_full-list.html">11th most expensive zip code</a> with a median home price of $3,080,806, there is no way housing prices can be sustained with a median household income of $64,293. Home prices should drop to $350,000 tops.
 
[quote author="ABC123" date=1252126722]Having the <a href="http://www.forbes.com/2009/08/26/most-expensive-zip-codes-lifestyle-real-estate-zip_full-list.html">11th most expensive zip code</a> with a median home price of $3,080,806, there is no way housing prices can be sustained with a median household income of $64,293. Home prices should drop to $350,000 tops.</blockquote>




$350,000, huh? No chance, but I like the attitude.



We are looking pretty much exclusively in NB. We would love to see a 20%-40% decline from here. Still hoping the downward pressure in prices from neighboring cities will have an effect on Newport.



I agree that there cant be enough people making enough money to keep prices inflated like they are. The next year or two will be interesting.
 
[quote author="ABC123" date=1252126722]with a median home price of $3,080,806, there is no way housing prices can be sustained with a median household income of $64,293</blockquote>NYC is $3,500,00 and $66,000
 
Areas of Newport are second- and third-generation money; trust funds, money management, and degreed professionals who work in recession-proof industries. You might see some price declines in areas around the Upper Back Bay or along the Peninsula but I'd wager Graphrix's next paycheck that any serious price drops get swallowed up by a local REIT before it ever hits the open market. Better luck to be had with Newport Coast.
 
How about Harbor View aka the Port Streets? It's always seemed to me that relatively "normal" wage earners live in this area because of Anderson Elementary and the family focus, etc., and the old money/big money folks want to live elsewhere in Newport and have a view or be closer to the ocean. Prices got driven up to pretty crazy levels in the Port Streets during the bubble so I've been hoping that they can see a significant correction in the next year or so.....
 
I think the East Bluff and West Cliff neighborhoods are prime examples of areas that will be buoyed by locally owned REITs. The areas are too nice, the current owners have been there for decades on average, and anyone who id forced to sell will find their agent "knows someone" who will buy it before the listing actually gets printed. This is one of the few times that knowing a local agent personally my actually pay off.



In other words, you have great taste in neighborhoods but you aren't alone ;)
 
[quote author="Nude" date=1252129930]Areas of Newport are second- and third-generation money; trust funds, money management, and degreed professionals who work in recession-proof industries. You might see some price declines in areas around the Upper Back Bay or along the Peninsula but I'd wager Graphrix's next paycheck that any serious price drops get swallowed up by a local REIT before it ever hits the open market. Better luck to be had with Newport Coast.</blockquote>




Newport Coast because there were more purchases at the peak?



I prefer the community of Bonita Canyon to the port streets. Slightly smaller lots, but newer homes. And gated.
 
Newport Coast was the bubble writ large. I understand the draw because the views are awesome, but it is the stereotypical McMansion development and it attracted all the people who wanted the OC/Newport lifestyle without actually buying into the older more established (and more stable) neighborhoods. That TIC was able to trade undevelopable land for that swath of former state park is a testament to their power.



I think it should be razed as a public service.



And no worries garrison, I'm not house hunting in NB. There's a nice section of homes on the Costa Mesa side of Irvine Ave. that I would prefer. All the benefits, yet lower prices, lower taxes, and no silly CC&Rs; telling my my house has to be a specific shade of beige ;)
 
[quote author="Nude" date=1252148328]Newport Coast was the bubble writ large. I understand the draw because the views are awesome, but it is the stereotypical McMansion development and it attracted all the people who wanted the OC/Newport lifestyle without actually buying into the older more established (and more stable) neighborhoods. That TIC was able to trade undevelopable land for that swath of former state park is a testament to their power.



I think it should be razed as a public service.



And no worries garrison, I'm not house hunting in NB. There's a nice section of homes on the Costa Mesa side of Irvine Ave. that I would prefer. All the benefits, yet lower prices, lower taxes, and no silly CC&Rs; telling my my house has to be a specific shade of beige ;)</blockquote>




Whats wrong with beige?



Having gone to CdMHS, I am not a fan of that part of Costa Mesa and all those Newport Harbor High Schoolers. 17th Street seems like it is becoming more and more run down though. Only good part about that area is America's Cup.
 
17th Street gets renewed every decade or so, but I hear you on the NHH people. I went to Mariners for one year and Ensign for 7th and 8th grades during my education migration. I was never so glad to be done with that area as, being a kid, when I started at Estancia High School.



That being said, the area is nice for adults and rich kids tend not to spray paint the fences with graffiti. Mostly I just want a decent yard, a semi/detached garage and a sidewalk that runs the whole block. And beige is nice... unless it's on the exterior of a house.
 
[quote author="Nude" date=1252131778]I think the East Bluff and West Cliff neighborhoods are prime examples of areas that will be buoyed by locally owned REITs. The areas are too nice, the current owners have been there for decades on average, and anyone who id forced to sell will find their agent "knows someone" who will buy it before the listing actually gets printed. This is one of the few times that knowing a local agent personally my actually pay off.



In other words, you have great taste in neighborhoods but you aren't alone ;)</blockquote>




<a href="http://www.redfin.com/CA/Newport-Beach/1727-Port-Barmouth-Pl-92660/home/4717383">http://www.redfin.com/CA/Newport-Beach/1727-Port-Barmouth-Pl-92660/home/4717383</a>



Nice short sale on Port Barmouth. I'm sure it will get bid up though. Wonder what this ends up closing at.
 
[quote author="xoneinax" date=1252127522][quote author="ABC123" date=1252126722]with a median home price of $3,080,806, there is no way housing prices can be sustained with a median household income of $64,293</blockquote>NYC is $3,500,00 and $66,000</blockquote>


Massive commuter flows allow for this discepancy.
 
[quote author="Nude" date=1252152067]17th Street gets renewed every decade or so, but I hear you on the NHH people. I went to Mariners for one year and Ensign for 7th and 8th grades during my education migration. I was never so glad to be done with that area as, being a kid, when I started at Estancia High School.



That being said, the area is nice for adults and rich kids tend not to spray paint the fences with graffiti. Mostly I just want a decent yard, a semi/detached garage and a sidewalk that runs the whole block. And beige is nice... unless it's on the exterior of a house.</blockquote>


Word... that area is just bursting with great local businesses. My favorite coffee shop, brunch places, bakery, and pizza parlors. I take my clothes to a tailor in a tiny strip ctr next to a 7-11. It's a 2nd generation business. The cobbler next door has been there for decades and he lives in Newport Coast himself. Business has always been strong and steady for them for decades. Parking is always hard to find in this little center, as well as next to Plums, Keane, Pizza Bakery, Haute Cakes, etc.



Not the prettiest area and might look run down only in comparison to all those strip centers that are supposed to look like ancient citadels with the same homogenous corporate tenants. No doubt TIC is a great landlord when it comes to maintaining their properties. But please, no more Daphnes!
 
[quote author="Minimorty" date=1255649020][quote author="Nude" date=1252131778]I think the East Bluff and West Cliff neighborhoods are prime examples of areas that will be buoyed by locally owned REITs. The areas are too nice, the current owners have been there for decades on average, and anyone who id forced to sell will find their agent "knows someone" who will buy it before the listing actually gets printed. This is one of the few times that knowing a local agent personally my actually pay off.



In other words, you have great taste in neighborhoods but you aren't alone ;)</blockquote>




<a href="http://www.redfin.com/CA/Newport-Beach/1727-Port-Barmouth-Pl-92660/home/4717383">http://www.redfin.com/CA/Newport-Beach/1727-Port-Barmouth-Pl-92660/home/4717383</a>



Nice short sale on Port Barmouth. I'm sure it will get bid up though. Wonder what this ends up closing at.</blockquote>




How long does it typically take before we can see where this ended up closing?
 
[quote author="Minimorty" date=1257321579][quote author="Minimorty" date=1255649020][quote author="Nude" date=1252131778]I think the East Bluff and West Cliff neighborhoods are prime examples of areas that will be buoyed by locally owned REITs. The areas are too nice, the current owners have been there for decades on average, and anyone who id forced to sell will find their agent "knows someone" who will buy it before the listing actually gets printed. This is one of the few times that knowing a local agent personally my actually pay off.



In other words, you have great taste in neighborhoods but you aren't alone ;)</blockquote>




<a href="http://www.redfin.com/CA/Newport-Beach/1727-Port-Barmouth-Pl-92660/home/4717383">http://www.redfin.com/CA/Newport-Beach/1727-Port-Barmouth-Pl-92660/home/4717383</a>



Nice short sale on Port Barmouth. I'm sure it will get bid up though. Wonder what this ends up closing at.</blockquote>




How long does it typically take before we can see where this ended up closing?</blockquote>


Why is this the ideal Newport community? I know you didn't write that but I don't get it. The ideal newport community to me would be something close to the water with a walkable neighborhood next to shops, etc. think cdm, balboa, etc. To me this neighborhood might as well be irvine or mission viejo.
 
[quote author="Minimorty" date=1252127110][quote author="ABC123" date=1252126722]Having the <a href="http://www.forbes.com/2009/08/26/most-expensive-zip-codes-lifestyle-real-estate-zip_full-list.html">11th most expensive zip code</a> with a median home price of $3,080,806, there is no way housing prices can be sustained with a median household income of $64,293. Home prices should drop to $350,000 tops.</blockquote>




$350,000, huh? No chance, but I like the attitude.



We are looking pretty much exclusively in NB. We would love to see a 20%-40% decline from here. Still hoping the downward pressure in prices from neighboring cities will have an effect on Newport.



I agree that there cant be enough people making enough money to keep prices inflated like they are. The next year or two will be interesting.</blockquote>


Orange County has a Median Income of just over $81,000, NB is closer to $107,000, and that's on paper. I'm quoting numbers from www.muninetguide.com which is usually pretty accurate. We'll never see prices at $350,000 for NB LOL LOL LOL



They will come down though, mainly b/c the upper end market still has a pretty solid correction this coming year (2010).
 
[quote author="SoCalRealtor" date=1257349021]Orange County has a Median Income of just over $81,000, NB is closer to $107,000, and that's on paper. I'm quoting numbers from www.muninetguide.com which is usually pretty accurate. We'll never see prices at $350,000 for NB LOL LOL LOL



They will come down though, mainly b/c the upper end market still has a pretty solid correction this coming year (2010).</blockquote>


Love it! Tie for post of the week. A Realtor that gets it. That is rare in this dead cat bounce. Just wait until 1962 Port Trinity comes back on the market.
 
[quote author="not a realtor" date=1257323857][quote author="Minimorty" date=1257321579][quote author="Minimorty" date=1255649020][quote author="Nude" date=1252131778]I think the East Bluff and West Cliff neighborhoods are prime examples of areas that will be buoyed by locally owned REITs. The areas are too nice, the current owners have been there for decades on average, and anyone who id forced to sell will find their agent "knows someone" who will buy it before the listing actually gets printed. This is one of the few times that knowing a local agent personally my actually pay off.



In other words, you have great taste in neighborhoods but you aren't alone ;)</blockquote>




<a href="http://www.redfin.com/CA/Newport-Beach/1727-Port-Barmouth-Pl-92660/home/4717383">http://www.redfin.com/CA/Newport-Beach/1727-Port-Barmouth-Pl-92660/home/4717383</a>



Nice short sale on Port Barmouth. I'm sure it will get bid up though. Wonder what this ends up closing at.</blockquote>




How long does it typically take before we can see where this ended up closing?</blockquote>


Why is this the ideal Newport community? I know you didn't write that but I don't get it. The ideal newport community to me would be something close to the water with a walkable neighborhood next to shops, etc. think cdm, balboa, etc. To me this neighborhood might as well be irvine or mission viejo.</blockquote>


Thank you for correctly pointing out that I never claimed it to be <em>the</em> ideal community. That being said, it is a very attractive community to my family. While we enjoy knowing that the water is close enough to visit anytime we want, we have no desire to live on or really close to the water. Also, I have never understood the whole "walkable to shops" thing. Why is this attractive? We have no interest in walking to little boutique shops. I like this community because of its proximity to my employment, tennis club, friends, family, etc. Also, it is within 3 minutes to the 73 freeway (convenient). The homes are good sized, have decent lots for Newport, and are in a nice area overall. You really do not get how this could be an attractive community to a young family?
 
[quote author="Minimorty" date=1257373039][quote author="not a realtor" date=1257323857][quote author="Minimorty" date=1257321579][quote author="Minimorty" date=1255649020][quote author="Nude" date=1252131778]I think the East Bluff and West Cliff neighborhoods are prime examples of areas that will be buoyed by locally owned REITs. The areas are too nice, the current owners have been there for decades on average, and anyone who id forced to sell will find their agent "knows someone" who will buy it before the listing actually gets printed. This is one of the few times that knowing a local agent personally my actually pay off.



In other words, you have great taste in neighborhoods but you aren't alone ;)</blockquote>




<a href="http://www.redfin.com/CA/Newport-Beach/1727-Port-Barmouth-Pl-92660/home/4717383">http://www.redfin.com/CA/Newport-Beach/1727-Port-Barmouth-Pl-92660/home/4717383</a>



Nice short sale on Port Barmouth. I'm sure it will get bid up though. Wonder what this ends up closing at.</blockquote>




How long does it typically take before we can see where this ended up closing?</blockquote>


Why is this the ideal Newport community? I know you didn't write that but I don't get it. The ideal newport community to me would be something close to the water with a walkable neighborhood next to shops, etc. think cdm, balboa, etc. To me this neighborhood might as well be irvine or mission viejo.</blockquote>








Thank you for correctly pointing out that I never claimed it to be <em>the</em> ideal community. That being said, it is a very attractive community to my family. While we enjoy knowing that the water is close enough to visit anytime we want, we have no desire to live on or really close to the water. Also, I have never understood the whole "walkable to shops" thing. Why is this attractive? We have no interest in walking to little boutique shops. I like this community because of its proximity to my employment, tennis club, friends, family, etc. Also, it is within 3 minutes to the 73 freeway (convenient). The homes are good sized, have decent lots for Newport, and are in a nice area overall. You really do not get how this could be an attractive community to a young family?</blockquote>


I didn't say it wasn't ideal for a young family. If you want a yard, etc and all the suburbia stuff, it's great. I just think it's overpaying for the newport name when you don't really get the newport lifestyle (at least to me) which is living by the water in a walkable town. Regarding the walkable part, lots of people like being able to park their car Friday and not get into it until Monday because the eateries, shops, etc are a stroll away. And it's fun to walk around in these areas. There is a sense of community because of the centralized public space. Plus driving to the water is a much different experience than walking to it. Anyway, I think it's a nice area just not any different than the cheaper areas that offer the same thing save the newport address.
 
You must log in or register to reply here.
Back
Top