I’m Nathan Derry, your trusted Realtor for the West Adams area, 90016. As we move through 2024, I’d like to provide an overview of the latest real estate market trends in this vibrant neighborhood. August 2024 brought some interesting developments, and it's essential to understand these trends whether you're buying, selling, or just keeping an eye on the market.

Absorption Rate: 32%

One of the most important indicators of market health is the absorption rate, which shows the pace at which homes are selling. In West Adams, the absorption rate for August 2024 stood at 32%. This indicates a balanced market, with 32% of available listings being sold within the month. It’s a good sign that buyers are actively engaged, but sellers still need to price their homes competitively to stand out.

Key Market Statistics

Let’s break down the numbers that shaped the West Adams market in August:

• Active Listings: There were 34 active listings throughout the month, giving buyers a variety of options to choose from.

• Homes Sold: A total of 11 homes were sold in August, showcasing steady demand in this historic and evolving neighborhood.

• Average Sales Price: The average sales price in West Adams was $1,155,000, reflecting the continued rise in home values in this in-demand area.

• Days on Market (DOM): The average number of days on market was just 9 days, demonstrating that well-priced homes are selling quickly.

New NAR Law Regarding Commission: How It Might Change the Landscape

One of the most significant shifts in the real estate industry this year is the new law from the National Association of Realtors (NAR) regarding commission transparency and structure. Here’s a breakdown of what’s changing and what it could mean for buyers, sellers, and Realtors alike:

1. Commission Transparency: The new rule mandates that commissions must be clearly disclosed to both buyers and sellers early in the transaction process. Buyers, in particular, will have more insight into how their agent is being compensated.

2. Buyer Responsibility for Agent Commission: In some cases, the responsibility for paying the buyer’s agent commission may shift from the seller to the buyer. This change could impact how negotiations are conducted and how buyers budget for their home purchases.

3. Impact on Real Estate Dynamics:

   • For Buyers: Buyers may become more selective when choosing an agent, as they will now be more aware of the costs involved. They may also seek to negotiate commission rates, adding a new layer of complexity to transactions.
   • For Sellers: Sellers may need to adjust their strategies if the responsibility for paying the buyer’s agent shifts to the buyer. This could lead to changes in listing prices or closing terms to accommodate the new expectations.
   • For Realtors: Realtors will need to adapt to this evolving landscape by offering clear, upfront communication about commission structures. Expertise in navigating these conversations will become increasingly valuable.

Overall, while this new law promotes transparency and fairness, it also introduces some uncertainties into the real estate process. Working with a licensed, knowledgeable Realtor who understands how these changes will affect your specific situation is now more important than ever.

Why Work with a Licensed Realtor?

As a licensed Realtor, I stay informed about these market changes and the evolving rules and regulations. Here’s how I can help guide you through today’s real estate environment:

• Market Expertise: With the fast-moving nature of the West Adams market, having access to real-time data and insights can make a big difference in how quickly and effectively you buy or sell your home.

• Navigating New Laws: I stay on top of new laws, like the recent NAR commission rule, and can provide clear guidance on how it affects your transaction.

• Efficient Sales Process: With the current average of just 9 days on the market, it’s critical to act fast and make informed decisions. I’ll ensure you’re prepared and ready to succeed in this competitive market.

In conclusion, the August 2024 real estate market in West Adams, 90016, remains strong, with homes selling quickly and at solid prices. The new NAR commission law could reshape how transactions are handled moving forward, and I’m here to help you navigate these changes effectively. If you’re thinking about buying or selling, now is a great time to reach out and start planning your next move with confidence.

All the best,

Nathan Derry, Realtor

📍JohnHart Real Estate

📞(424) 303-0440

📧 nathan@jhagents.com

👨🏽‍💻 itsnathanderry.com

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