Today, more and more international multi-millionaires are moving to the United States to set up residence. They are looking for beautiful move-in condition, clean, elegant, and architecturally updated homes.
The preferred areas of choice include Hollywood Hills' "The Bird Streets," west of Laurel Canyon; Beverly Hills, the flats between Santa Monica and Sunset; and Bel Aire, gated Beverly Crest and Holmby Hills.
Why choose Los Angeles? Once again, L.A. is rapidly becoming a vibrant area that attracts young, ambitious people from all over the world. What has changed? Basic economics. The exchange rate now favors internationals, and property values are low compared to many other countries. I have a client from the U.K. who just placed on offer a 4 bedroom, 4500 square foot new construction Architectural, with a spectacular view in the heart of the Strip, for $ 4,750,000. In London something with the level of finish this house offers would be in the $ 15,000,000 range. You could easily say the same about Tokyo, Hong Kong, Milan or Paris. Then again, you could say the same about New York, Boston or Seattle. Like it or not, L.A. homes are at bargain rates, this is as good as it gets for buyers. Sellers, on the other hand, have to accept that in order to sell. The economy, whether you are a democrat or republican, is moving. And we will start to see it pick up speed by summer 2011. Happy times are here again. Before the skeptics start tearing my statement apart, let me clarify ... this is compared to the last few years when we were at -50 deflation.
We will start to see improvement in houses sold, not necessarily appreciation, but at least more units sold. We are bound to have an increase over prior year of at least +10% - +15%, and we are currently passing “0”. Once we start to gain momentum, we will not stop until the next bubble pops in 2025-2028. California is the largest economy in the United States and 8th in the world, and so it takes a little longer to build momentum.
In addition, if you are in the entertainment business, L.A. has 6 major studios to choose from. Paramount, 20TH Century, Fox, Sony, Warner Brother and Universal Picture.
Compared to many other cities in the world, we are also one of the safest in regards to kidnapping and ransom. For many multimillions in South America, the Former Soviet Union, etc., this is something that can happen. You don’t hear about kidnapping for ransom in L.A.; multimillionaires just seem to blend into the day to day.
This is the right time to buy!