Despite Foul Economy, Los Angeles High-End Real Estate Retains Value and Surpasses Returns of S & P 500
|Beverly Hills Homes (Green) Tripled in Value in 15 Years|
In a gilded era, it may come as no surprise that homes in the best Los Angeles neighborhoods have retained their value better than other property types -- and even the stock market.
The median price in Beverly Hills ($2,850,000 year-to-date in 2011) is down considerably from the $3,500,000 high set in 2008, but still stands above 2005 levels.
Similarly, the 2011 median price in the Pacific Palisades ($1,650,000) is a big step down from the $2,225,000 set in 2008, but nevertheless is on par with 2004 levels.
Some property types have suffered a far worse fate. West Hollywood condos are now back to 2000 levels.
Some investments have also fared much worse. Consider that the S & P 500 is no higher than it was in 1998!
Real estate in prime Los Angeles neighborhoods is proving to be more "blue chip" than blue chips.