Introducing 739 20th Street, Santa Monica
When we think of wealth, we often picture opulent mansions, luxury cars and an extravagant lifestyle. But what does it really mean to be "wealthy"?
In a nationwide survey of over 1,000 objectively “wealthy” Americans — defined as those making at least $175,000 a year, roughly the amount required to crack the top 10% of US tax filers — 25% told Bloomberg they were either “very poor”, “poor” or “getting by but things are tight”. 50% described themselves as just “comfortable.”
- The median household income in the US is around $82,000.
- Just about 34.4% of US households make over $100k per year.
- Only 12% of American Households make $200k per year.
- The median home price in the US is $416,000, which requires an income of about $106,000 or more (depending on the down payment you can afford).
So, What Actually is Rich?
By US standards, "rich" pretty much describes the vast majority of the people we work with/for at Compass. On global standards our clients are really rich. Yup, even though compared to the "mega rich" it does not feel that way. Why is that?
The difference between someone earning $250,000 and $50,000 is $200k. However, the difference between someone earning $250k and those in the top 0.1% who earn around $1.5 million per year is a staggering $1.25 million. Those with a net worth of $10 million are tens of billions apart from Jeff Bezos while a mere few million apart from the average citizen — that can distort anyone's perspective, even those whom most would consider very wealthy.
All of us are bombarded daily with things that only those in the top 0.1% can truly afford (and even they don't feel nearly as rich as you'd think!). So naturally we have lost perspective — Sad! I think health is surely the only wealth that truly matters, but I digress.
With all this in mind, to my readers who are dreaming of entering the "luxury market", I have news for you: you may already be there! Everything in life is relative.
When we take a step back and really consider the big picture, there's a stark contrast:
- 46% of the world's population - around 3.68 billion people - do not have access to basic sanitation.
- 46% of Americans don't have a dishwasher, about 152 million people.
- About 46% of the world's population have a net worth below $10,000.
- Around 25 million Americans have zero savings.
On world standards, most of us are ULTRA-luxe consumers and wealthy. The purchasing power of a million dollars varies greatly from the affluent beach cities of Los Angeles to the more modest coastal towns of Alabama or South Texas. When you stop to consider the “big picture”, it gives renewed perspective of just how privileged the vast majority of our neighbors, friends, and we, really are. Maybe another reason for gratitude?
Despite the increasing wealth disparity and inflation that may make us feel less affluent, it's important to remember that facts and feelings do not always align.
Here is the Dirt on All the Recent 90402 Luxe Real Estate
There are 25 active listings right now ranging from $3,390,000 (255 14th Street) to $33M!
The Most Recent Listings Are
- 739 20th Street – Listed for $5,995,000 by Pence Hathorn Silver. This is a good sized (nearly 5,800 sqft) contemporary home on a big Gillette Regent Square lot. Because the garage is in front, under the house, the lot really feels large and the backyard is great! This house is exceptional for entertaining.
- 2121 La Mesa Drive – Listed for $33,000,000. This a really cool Contemporary Architectural designed by Peter Choate with killer views of the Riviera Country Club. The house is almost 9,300 sqft and sits on more than half an acre of PRIME La Mesa real estate. Last sold for $16,100,000 in 2016.
- 628 Euclid Street – Listed for $3,995,000. This came on the market at the beginning of the year for a few months at $4,300,000. It is a little 2 bedroom, 1 bath bungalow- just over 1,100 sqft with come decent updating. The garage has been converted to an art studio. Though it is smaller, I wouldn’t be surprised if some of the Buyers who lost out on our 326 9th Street are considering this home. Last sold in 2021 for $2,535,000 (prior to the updating).
There Are Nine Properties Under Contract
- 527 9th Street – Listed for $5,800,000
- 248 19th Street – Listed for $4,300,000
- 210 22nd Street – Listed for $3,995,000
- 353 12th Street – Listed for $4,095,000
- 450 15th Street – Listed for $3,299,000
- 328 21st Place – Listed for $3,700,000
- 520 15th Street – Listed for $5,995,000
- 1122 San Vicente Blvd – Listed for 4,299,000
- 629 Alta Avenue – Listed for $4,595,000
- 1616 San Vicente Blvd – Listed for $7,995,000
Since My Last Update There Have Been Nine Closings
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326 9th Street – Sold by Pence Hathorn Silver for $4,356,500. Originally listed for $3,995,000.
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348 12th Street – Sold for $6,474,000. Originally listed for $6,750,000.
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214 15th Street – Sold for $5,355,000. Originally listed for $4,999,999.
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455 21st Place – Sold for $7,845,000. Originally listed for $7,995,000.
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235 19th Street – Sold for $10,510,000. Originally listed for $10,250,000.
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350 21st Street – Sold for $6,860,000. Originally listed for $6,950,000.
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150 Esparta Way – Sold for $9,946,000. Originally listed for $11,950,000.
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208 Alta Avenue – Sold for $4,999,999. Originally listed for $5,650,000.
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353 12th Street – Sold for $4,010,000. Originally listed for $4,095,000.
