There are a few different ways to answer this question. Looking at the average sales price or the median sales price are a couple of the most popular ways to do so.
One way that I thought would be interesting is to look at direct comparison of some Big Bear properties that have sold the past few years. I pulled data on some properties that sold within the past few years and have subsequently resold, and then compared the sales price data.
It is interesting to see how the home prices have fared in Big Bear the past couple years.
| Property Address | Previous Sales Price | Previous Sales Date | Recent Sales Price | Recent Sale Date | % Difference | Bank Owned |
|---|---|---|---|---|---|---|
| 895 Knight, Big Bear Lake, CA | $639,000 | 9/28/2006 | $524,000 | 2/11/2008 | -18% | Yes |
| 208 Turlock, Big Bear City, CA | $356,000 | 10/25/2005 | $330,000 | 3/7/2008 | -7% | No |
| 218 Crater Lake, Big Bear Lake, CA | $587,000 | 10/13/2005 | $525,000 | 12/17/2007 | -11% | No |
| 282 Crystal Lake, Big Bear Lake, CA | $425,000 | 12/1/2003 | $605,000 | 10/18/2007 | +42% | No |
| 42842 Eagles Flight, Big Bear Lake, CA | $1,160,000 | 6/23/2005 | $689,000 | 2/29/2008 | -41% | Yes |
| 262 Cedar, Sugarloaf, CA | $336,000 | 8/26/2006 | $297,000 | 8/1/2007 | -12% | No |
| 250 Imperial, Sugarloaf, CA | $275,900 | 3/9/2007 | $300,000 | 10/11/2007 | +9% | No |
| 750 Sunset, Sugarloaf, CA | $320,000 | 7/27/2006 | $310,000 | 8/17/2007 | -3% | No |
| 900 Angeles, Big Bear City, CA | $279,000 | 7/19/2006 | $170,500 | 2/18/2008 | -39% | Yes |
| 1094 Dumas, Big Bear City, CA | $240,000 | 4/21/2006 | $155,000 | 1/25/2008 | -35% | Yes |
These prices assume that nothing else was put into the properties. 208 Turlock, for example, had another $35,000 put into the property by the owner for upgrades during the past 2 years. Therefore, the real loss in equity is closer to -16% as they had approx. $391,000 into to the property.
Obviously, home prices in Big Bear have come down the past few years. I believe the numbers above go to show that the homes prices peaked right around the end of 2005 and beginning of 2006. Most of the homes that were purchased around this time frame, and that have since been resold, have realized the biggest equity losses.
Homes that were purchased in years prior to 2005 still have some equity, but we’ll see if that continues or if they start see some equity losses in the next year. If home prices continue to fall, that could be the case.
Another important point to note is that the biggest price drops & best values for home buyers in Big Bear are in the bank owned properties. There was an average of 33% drop in the sales prices as compared to the previous sales prices of the 4 properties above.
If you are a home buyer looking for a good deal in the Big Bear area, then you may want to focus on these. Check out bank owned & REO properties in Big Bear for more details and information.
[…] you area looking at a bank owned or REO option, then these numbers might be a little under what the real numbers […]