H OUSING N EWS R EPORT
April 2016
provided by the Los Angeles Daily News . The domino effect from that discovery eventually led to the relocation of more than 2,500 families, lawsuits against the gas company by the Los Angeles city attorney and California state attorney general, and a state of emergency declared by California governor Jerry Brown. Ripple effects from what Los Angeles Mayor Eric Garcetti called a “disaster” are also spreading to the local housing market. “It’s the most important question that always comes to mind, how’s the gas leak?”, said Mamdouh Elalami, a real estate broker with Seven Star Properties covering Southern California’s San Fernando Valley, including Porter Ranch. “Homes are sitting on themarket much longer than they used to. … Sellers are being forced to go down in price … where Price Cuts in Porter Ranch
buyers feel like it is worth based on this new nuisance of the gas leak.” Elalami provided two examples: renters moving out of two rental properties in Porter Ranch that he manages, and a friend selling his home in the ritzy Renaissance division of Porter Ranch. “He had an offer a year ago for $3.2 million, and he ended up selling for $2.8 million … after the gas leak was discovered,” said Elalami, who estimated sellers in Porter Ranch are having to lower asking prices 8 to 10 percent to get their homes sold. That environment may be giving buyers the upper hand for the time being, according to Jim Sandoval, team leader with Park Regency Realty who had a property listed in Porter Ranch in February.
Mamdouh Elalami Broker Seven Star Properties Simi Valley, California “ Homes are sitting on the market much longer than they used to. … Sellers are being forced to go down in price. ”
“Since putting the home back on the market
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SOURCE: RealtyTrac
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