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2023-02-08T11:03:15-07:00
tag:weirproperties.com,2012-09-20:24766
February Market Update
Market Report Newsletter
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The Buyer Demand is Coming Back
<a href="https://www.weirproperties.com/blog/january-market-update/" id="if4ql7" style="box-sizing: border-box; display: block; text-decoration: none; color: #000000;">After an extremely slow end to 2022, buyers are returning to the housing arena, demand is already up sharply, and market times are plunging fast. <br style="box-sizing: border-box;" /></a>
Getting to a movie theater early, sitting in the pews of an empty church with plenty of time until the service begins, and being seated immediately at a popular restaurant before the dinner rush are all examples of moments in time where it seems as if very few are going to show up. Yet, in the blink of an eye, the theater is packed, the church pews have been filled, and there is an hour-long waitlist at that favorite restaurant. That is precisely what is occurring right now in housing. A month ago, open houses were empty, showings were light, and there was little real estate activity as everyone’s collective brains were still in a holiday fog. Seemingly overnight, buyers have returned, demand has surged higher, and market times have plunged.
Regardless of the economic situation, without fail housing revs its enormous economic engine and the market heats up during the Winter Market, from mid-January to mid-March. Last year the inventory of available homes hit a record low and by mid-January, there were only 1,080 homes on the market. By mid-March, the start of the Spring Market, the inventory had grown to 1,556, a small addition of 476 homes, yet a 44% rise from January. Demand, a snapshot of the number of new escrows over the prior month, rocketed higher and increased from 1,426 pending sales at the start of the Winter Market to 2,284 in March, up 60%, or an additional 860. The Expected Market Time, the time between coming on the market and opening escrow, decreased from an insanely hot 23 days in January to an even hotter 20 days by spring.
Yet, it is hard to compare the Winter Market of 2023 to last year’s unbelievably hot, unprecedented housing market where there was nearly nothing available, 25, 50, or more offers were the norm, homes were selling instantly, buyers were paying tens of thousands of dollars above the asking price, and home values were climbing at an unhealthy pace. Even though the market followed the normal Winter Market pattern, the 3-year average before COVID (2017 to 2019) is a much better comparison. The 3-year average inventory grew from 4,739 to 5,286 homes, up 12%, or 547 additional homes. Demand shot up from 1,710 to 2,517 pending sales, up a substantial 47%, or 808 additional pending sales. The 3-year average Expected Market Time dropped from 86 to 63 days, shedding 23 days over the course of the Winter Market.
In looking at the number of sellers entering the market before the pandemic in Orange County, the 3-year average for December is seasonally the month with the fewest number of new sellers. In January, the number of homes coming on the market more than doubled from December’s low. More homes come on the market each month until it peaks in May. Today there are only 2,536 available homes in the county, the second lowest mid-January level since tracking began 19 years ago. Even with lower demand levels due to the higher interest rate environment, the inventory will only slowly grow during winter. Countering less demand is the fact that homeowners are “Hunkering Down,” meaning many homeowners would like to move for a variety of reasons, but they choose to stay because their underlying fixed-mortgage rate is substantially lower than today’s 6.2% rate. In December there were 32% fewer new sellers compared to the 3-year pre-pandemic average.
A WARNING TO SELLERS: Home values are NOT climbing right now. Overpricing a home in this market will result in a lack of success and waste valuable market time. Until rates fall considerably from here to at least the mid-5s, home values will not rise.
A WARNING TO BUYERS: Lowball offers to purchase and looking for a “deal” will be an exercise in futility. Due to the high mortgage rate environment, the market has lined up in favor of buyers up to this point. That advantage is diminishing with the significant drop in market times. Sellers are not desperate and are not panicking to sell, unable to afford their monthly mortgage payments. Instead, carefully arriving at an offer to purchase based on a home’s Fair Market Value is a winning formula for isolating a home.
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Demand
Demand rocketed higher by 38% in the past couple of weeks
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Demand, a snapshot of the number of new escrows over the prior month, increased from 939 to 1,300 in the past couple of weeks, adding 361 pending sales, up 38%. It was the largest rise in demand since February 2021. The relentlessly rising mortgage rates market of 2022 is now in the rearview mirror. Since December, rates have danced between 6% to 6.5%, creating more stability and inviting many sidelined buyers to resume their search for a home. With the trend of slowly falling inflation, it appears that the days of 7% plus rates are a memory at this point. Expect demand to continue to rise through the month of February rapidly. If mortgage rates fall below 6% with duration, that will instigate more demand.
Last year, demand was at 1,683, 29% more than today, or an extra 383. The 3-year average before COVID (2017 to 2019) was 2,083 pending sales, 60% more than today, or an additional 783.
With demand surging higher and the supply falling, the Expected Market Time (the number of days to sell all Orange County listings at the current buying pace) plunged from 81 to 56 days in the past couple of weeks, its lowest level since June. Last year the Expected Market Time was 23 days, substantially faster than today, and home values were screaming higher. The 3-year average before COVID was 70 days, a slower pace than today.
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<a href="https://www.weirproperties.com/blog/january-market-update/" id="i01rie" style="box-sizing: border-box; display: block; text-decoration: none; color: #b8793e;">Luxury End</a>
The luxury market has improved considerably over the past couple of weeks.
In the past couple of weeks, the luxury inventory of homes priced above $2 million increased from 581 to 592 homes, up 11 homes, up 2%. Luxury demand increased by 21 pending sales, up 20%, and now sits at 124. With supply only increasing slightly compared to surging demand, the Expected Market Time for luxury homes priced above $2 million decreased from 169 to 143 days, its strongest level since the start of November. The luxury market is not quite as slow as before COVID, but it is not as fast as in the past couple of years either. Expect the luxury market to continue improving over the next month.
Year over year, luxury demand is down by 93 pending sales or 43%, and the active luxury listing inventory is up by 210 homes or 55%. Last year’s Expected Market Time was 53 days, which is extremely hot for luxury.
For homes priced between $2 million and $4 million, the Expected Market Time in the past two weeks decreased from 116 to 98 days. For homes priced between $4 million and $6 million, the Expected Market Time decreased from 245 to 225 days. For homes priced above $6 million, the Expected Market Time decreased from 882 to 523 days. At 523 days, a seller would be looking at placing their home into escrow around July 2024.
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2023-02-08T10:22:22-07:00
2023-02-08T11:03:15-07:00
Carter Weir
tag:weirproperties.com,2012-09-20:24734
February Market Report
2023-02-07T16:09:39-07:00
2023-02-07T16:10:01-07:00
Carter Weir
tag:weirproperties.com,2012-09-20:24374
January 2023 Market Update
Market Report Newsletter
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<a href="https://www.weirproperties.com/blog/december-market-update/" id="iy3l9i" style="box-sizing: border-box; display: block; text-decoration: none; color: #d19b80;">The Winter Market</a>
<a href="https://www.weirproperties.com/blog/january-market-update/" id="i53ljn" style="box-sizing: border-box; display: block; text-decoration: none; color: #000000;">The Winter Market is characterized by slowly rising supply, surging demand, and a fall in market times.<br style="box-sizing: border-box;" /></a>
Climbing into a car during the dead of winter can be brutal. The seats are cold. The steering wheel is cold. Most importantly, the air temperature feels as if it is below ZERO, even in sunny Southern California. Initially, after turning on the heat, frigid air blows through the vents. After driving down the street, the air quickly warms, ending the harsh reality of winter’s chill. Similarly, after hitting its slowest time of the year during the Holiday Market, housing quickly heats up and transitions to the Winter Market where demand surges higher, the inventory slowly grows, and market times drop.
Regardless of the economic situation, without fail housing revs its enormous economic engine and the market heats up during the Winter Market, from mid-January to mid-March. Last year the inventory of available homes hit a record low and by mid-January, there were only 1,080 homes on the market. By mid-March, the start of the Spring Market, the inventory had grown to 1,556, a small addition of 476 homes, yet a 44% rise from January. Demand, a snapshot of the number of new escrows over the prior month, rocketed higher and increased from 1,426 pending sales at the start of the Winter Market to 2,284 in March, up 60%, or an additional 860. The Expected Market Time, the time between coming on the market and opening escrow, decreased from an insanely hot 23 days in January to an even hotter 20 days by spring.
Yet, it is hard to compare the Winter Market of 2023 to last year’s unbelievably hot, unprecedented housing market where there was nearly nothing available, 25, 50, or more offers were the norm, homes were selling instantly, buyers were paying tens of thousands of dollars above the asking price, and home values were climbing at an unhealthy pace. Even though the market followed the normal Winter Market pattern, the 3-year average before COVID (2017 to 2019) is a much better comparison. The 3-year average inventory grew from 4,739 to 5,286 homes, up 12%, or 547 additional homes. Demand shot up from 1,710 to 2,517 pending sales, up a substantial 47%, or 808 additional pending sales. The 3-year average Expected Market Time dropped from 86 to 63 days, shedding 23 days over the course of the Winter Market.
In looking at the number of sellers entering the market before the pandemic in Orange County, the 3-year average for December is seasonally the month with the fewest number of new sellers. In January, the number of homes coming on the market more than doubled from December’s low. More homes come on the market each month until it peaks in May. Today there are only 2,536 available homes in the county, the second lowest mid-January level since tracking began 19 years ago. Even with lower demand levels due to the higher interest rate environment, the inventory will only slowly grow during winter. Countering less demand is the fact that homeowners are “Hunkering Down,” meaning many homeowners would like to move for a variety of reasons, but they choose to stay because their underlying fixed-mortgage rate is substantially lower than today’s 6.2% rate. In December there were 32% fewer new sellers compared to the 3-year pre-pandemic average.
Demand will increase substantially from now through mid-March. Today’s 939 demand reading may be similar to Great Recession levels, but it will nonetheless explode higher from here. There will be more activity. More buyers will pull the trigger and purchase, especially if rates continue to slowly fall. The lower rates fall, the more demand will climb. Many buyers who stopped their search for a home during the holidays will be ready to resume their search again.
With the inventory slowly rising and demand surging higher, the Expected Market Time, the time between coming on the market and opening escrow, will fall and housing will feel a lot hotter. Right around the Super Bowl is when the conditions are often the best for sellers. There is limited inventory, which is only slowly growing, along with rapidly increasing demand and falling market times. These conditions are turning up the heat for Orange County housing.
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<a href="https://www.weirproperties.com/blog/january-market-update/" id="idd54r" style="box-sizing: border-box; display: block; text-decoration: none; color: #000;">Demand increased by 4% in the past couple of weeks.</a>
Demand, a snapshot of the number of new escrows over the prior month, increased from 900 to 939 in the past couple of weeks, adding 39 pending sales, up 4%. Demand is very low, reminiscent of Great Recession levels; yet, this time around low demand is matched with a very limited supply. During the Great Recession, there was a glut of homes available. Buyers are currently in the driver’s seat today only because mortgage rates are so high. Mortgage rates are projected to slowly fall along with falling inflation. When rates drop to the mid-5s, demand will rise enough to stop the current decline in home values. The further rates fall, the faster the housing market will become. From here expect demand to rapidly rise from its current very low base. It will continue to rise at a slightly slower pace from the start of the Spring Market in mid-March until it peaks sometime between April and May.
Last year, demand was at 1,426, 52% more than today, or an extra 487. The 3-year average before COVID (2017 to 2019) was at 1,634 pending sales, 74% more than today, or an extra 695.
With demand climbing higher and the supply not changing much at all, the Expected Market Time (the number of days to sell all Orange County listings at the current buying pace) decreased from 84 to 81 days in the past couple of weeks. Last year the Expected Market Time was at 23 days, substantially faster than today and home values were screaming higher. The 3-year average before COVID was 88 days, a slightly slower pace compared to today.
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<a href="https://www.weirproperties.com/blog/january-market-update/" id="i5zkft" style="box-sizing: border-box; display: block; text-decoration: none; color: #b8793e;">Luxury End</a>
The luxury market has improved over the past couple of weeks.
In the past couple of weeks, the luxury inventory of homes priced above $2 million increased from 579 to 581 homes, up 2 homes, nearly unchanged. Luxury demand, however, increased by 12 pending sales, up 13%, and now sits at 103. With supply unchanged and demand climbing, the overall Expected Market Time for luxury homes priced above $2 million decreased from 191 to 169 days. The luxury market is not quite as slow as it was before COVID, but it is not as fast as in the past couple of years either. Expect the luxury market to slowly improve over the next month.
Year over year, luxury demand is down by 87 pending sales or 46%, and the active luxury listing inventory is up by 245 homes or 73%. The Expected Market Time last year was 53 days, extremely hot for luxury.
For homes priced between $2 million and $4 million, the Expected Market Time in the past two weeks decreased from 144 to 116 days. For homes priced between $4 million and $6 million, the Expected Market Time increased from 238 to 245 days. For homes priced above $6 million, the Expected Market Time increased from 518 to 882 days. At 882 days, a seller would be looking at placing their home into escrow around June 2025.
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Carter Weir
Sales Agent
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01455381
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949.566.1136
mobile:
949.795.2222
email:
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©2022 Berkshire Hathaway HomeServices California Properties (BHHSCP) is a member of the franchise system of BHH Affiliates LLC. Properties may or may not be listed by the office/agent presenting this information. Based on information obtained from the MLS as of (include the date data was obtained). Display of MLS data is deemed reliable but is not guaranteed accurate by the MLS. BHH Affiliates LLC and BHHSCP do not guarantee accuracy of all data including measurements, conditions, and features of property. Buyer is advised to independently verify the accuracy of that information.
2023-01-25T12:25:01-07:00
2023-01-25T14:22:38-07:00
Carter Weir
tag:weirproperties.com,2012-09-20:24324
How to Price a Home Accordingly in todays market
Blog Title: Pricing Your Home in the Current Real Estate Market <br />Blog Introduction: Pricing your home is a monumental task that should not be taken lightly. It is essential to have a good understanding of the current real estate market in order to price your home for sale successfully. Here are some tips for pricing your home in today’s real estate market.
Blog Body: <br />Research the Local Market <br />The first step in pricing your home is researching the current local real estate market. You can do this by looking at comparable homes on the market, searching through recent sales data, or talking with a local real estate agent. Knowing what similar homes are selling for will help you better understand where to price yours for maximum success. You also want to take into account any upgrades or renovations you’ve made since purchasing the property and how they could impact the asking price.
Determine Your Asking Price <br />Once you’ve done your research, it’s time to determine your asking price. This process takes into account all of the factors you researched along with any unique features of your house that might attract potential buyers. Look at prices from other homes that have sold recently as well as those currently listed, and try to meet somewhere in between—neither too low nor too high so that you don’t scare away potential buyers but don’t leave money on the table either. If possible, get an appraisal from a professional appraiser so that you can accurately assess its value in today’s market and make sure you are pricing it appropriately. <br /> Be Flexible With Negotiations <br />It is important to remember when pricing your home that there may be room for negotiation once potential buyers begin making offers. Be prepared to negotiate if necessary but also know when it is best to walk away from a deal if it doesn't meet your expectations or needs financially. Remember that there will always be another buyer out there who can appreciate what your house has to offer and will pay a fair price for it!
Conclusion: <br />Pricing your home correctly is essential when trying to sell it quickly and efficiently in today's real estate market. Doing thorough research beforehand will ensure that you have an accurate understanding of what similar houses are selling for and can come up with an appropriate asking price accordingly. Don't forget to leave yourself some wiggle room when setting an asking price as negotiations may be necessary later on down the line! By keeping these tips in mind, homeowners can confidently navigate their way through pricing their home correctly and successfully sell their property on their own terms!
2023-01-23T11:09:28-07:00
2023-01-23T11:10:16-07:00
Carter Weir
tag:weirproperties.com,2012-09-20:24132
January Market Update
Market Report Newsletter
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<a href="https://www.weirproperties.com/blog/december-market-update/" id="i7u0lq" style="box-sizing: border-box; display: block; text-decoration: none; color: #d19b80;">2023 Start</a>
With very little demand and a subdued inventory, real estate activity will be suppressed as the year gets underway.
Bears do not wake up from hibernation energetic and raring to go. Instead, they are groggy and dazed for two to three weeks and it takes a while for their metabolism to kick in again. That is how housing normally starts after the holidays have finally passed. It takes a few weeks in January for buyers and potential sellers to shake off the holiday fog after enjoying the festive season that is chalk full of so many wonderful distractions. This is when the housing market slowly awakens and starts to thaw. It is coming out of hibernation and will be quite sluggish to start the New Year.
<br style="box-sizing: border-box;" />The issue is that housing has not had a normal, slow start to the year since 2020. In both 2021 and 2022, the market was insanely hot from day one, plagued with very few homes available and insatiable demand due to an extremely low mortgage rate environment. Buyers were tripping over each other to purchase every single home that came on the market, multiple offers were the norm, homes sold way above their asking prices, and the housing market felt like an out of control train where it was very challenging for buyers to secure a home.
In looking at the details, the about face in housing is due to sky high mortgage rates coupled with a tremendous run-up in home values. In both 2021 and 2022, mortgage rates experienced back-to-back record low starts to the year at 2.65% and 3.22%. Today’s 6.14% is the highest start to a year since January 2008. As a result, demand, a snapshot of the last 30 days of pending sales activity, is at its lowest level to begin a year since tracking began in 2004 at 900 pending sales. It is slightly lower than demand level in 2008<br style="box-sizing: border-box;" /><br style="box-sizing: border-box;" />
oday, the inventory might be at the second lowest level to start a year, even beating 2021, but when it is combined with record low demand, the Expected Market Time is no longer at insane levels. Instead, it is like 2016 through 2018 and 2020 with a market time of 84 days. At 84 days the market is not instant. It may not be as slow as 2014, 2015, and 2019, but the few buyers that do remain in the system are not tripping over each other to purchase. They are taking their time, unwilling to stretch above the asking price, and carefully arriving at a price that they are willing to pay for a home based upon its condition, location, upgrades, amenities, and age.
The Orange County housing market will thaw and improve from here. More homeowners will opt to sell, and the active inventory will rise. Buyer demand will increase as well with the holidays in the rearview mirror, it always does regardless of the pace of the market. Further fueling an increase in demand is that mortgage rates have dropped from over 7.25% in October and November to just above 6% today. Expect home values to continue to fall until mortgage rates drop to 5.5% or below. The direction of the housing market is predicated on the direction of mortgage rates and home affordability. As rates drop, affordability will eventually improve enough to instigate more demand. Mortgage rates will slowly fall as inflation gradually comes back down to earth. This is a process that does not occur instantly and just as it took a while to rise to its current level, it will take a while to substantively drop.
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Demand plunged by 13% in the past couple of weeks.
Demand, a snapshot of the number of new escrows over the prior month, decreased from 1,038 to 900 in the past couple of weeks, shedding 138 pending sales, down 13%. It is the lowest demand reading since tracking began in 2004, and is very reminiscent of 2008 levels during the Great Recession. This low demand reading is due to the combination of sky-high mortgage rates and very few homes available on the market. As more homes come on the market, expect demand levels to climb. It will dramatically improve over the course of the next two months and will continue to climb until peaking somewhere between the end of March to mid-May. Yet, demand will remain muted as long as rates remain above 6%. As rates fall below 6%, demand will improve. The lower rates reach, the more demand will recover.
Last year, demand was at 1,295, 44% more than today, or an extra 395. The 3-year average prior to COVID (2017 to 2019) was at 1,349 pending sales, 50% more than today, or an extra 449.
With demand falling faster than supply, the Expected Market Time (the number of days to sell all Orange County listings at the current buying pace) increased from 76 to 84 days in the past couple of weeks. Last year the Expected Market Time was at 25 days, substantially faster than today and home values were screaming higher. The 3-year average prior to COVID was 104 days, a slightly slower pace compared to today.
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<a href="https://www.weirproperties.com/blog/november-22-market-update/" id="i830c1" style="box-sizing: border-box; display: block; text-decoration: none; color: #b8793e;">Luxury End</a>
The luxury market is a lot cooler to start 2023 compared to last year<br style="box-sizing: border-box;" /><br style="box-sizing: border-box;" />
In the past couple of weeks, the luxury inventory of homes priced above $2 million increased from 554 to 579 homes, up 25 homes, or 5%. Luxury demand decreased by 22 pending sales, down 19%, and now sits at 91, its lowest reading since May 2020, the initial lockdowns of COVID. With supply rising and demand falling, the overall Expected Market Time for luxury homes priced above $2 million increased from 147 to 191 days. Luxury is returning to pre-pandemic levels. In 2020, just prior to the pandemic, luxury started the year with an Expected Market Time of 269 days, a bit slower than today. Yet, today’s luxury market is making its way towards those levels. Upper end homes typically do not sell instantly; instead, market times of over 6-months are quite common. The higher the price, the longer it takes to sell a home.
Year over year, luxury demand is down by 72 pending sales or 22%, and the active luxury listing inventory is up by 227 homes or 64%. The Expected Market Time last year was 91 days, extremely hot for luxury.
For homes priced between $2 million and $4 million, the Expected Market Time in the past two weeks increased from 100 to 144 days. For homes priced between $4 million and $8 million, the Expected Market Time increased from 483 to 518 days. For homes priced above $8 million, the Expected Market Time decreased from 258 to 227 days. At 227 days, a seller would be looking at placing their home into escrow around August 2023.
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2023-01-11T14:57:52-07:00
2023-01-11T15:03:14-07:00
Carter Weir
tag:weirproperties.com,2012-09-20:23523
December Market Update
Market Report Newsletter
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<a href="https://www.weirproperties.com/blog/november-22-market-update/" id="id3g6k" style="box-sizing: border-box; display: block; text-decoration: none; color: #d19b80;">Not the Great Recession</a>
With a very limited inventory of available homes coupled with over a decade of tight lending standards, housing values will not nosedive like they did during the Great Recession.
An astonishing 41% of Americans think that the housing market is going to crash in the next 12 months, according to a survey conducted by LendingTree. Even more revealing is that 74% of those who believe there will be a crash think it will be as bad or worse than the “2008 housing market collapse.” With so many convinced that a crash is inevitable, does that mean that housing will once again collapse?
Everyone across the nation recalls watching the housing market take a brutal pounding during the Great Recession. So many homeowners were burned as values toppled and their equity vanished seemingly overnight. It either happened to everybody personally or they knew somebody who felt the severe impact of the downturn. It is understandable that whenever there is an economic slump, the general public immediately recalls the Great Recession and expects the housing market to tumble once again.
Everyone expected a housing crash in 2018 when rates rose from 4% to 5%, but it did not materialize. It did not crash after the initial lockdowns of COVID, yet so many were convinced otherwise. Once again, with mortgage rates rocketing higher, home values already on the decline, and a recession on the horizon, many Americans believe that the housing market is on the edge of a precipice and home values are about to plummet. Even though so many feel a housing crash is eminent, and that it could be worse than the Great Recession, according to all the economic data, current trends, lending standards, and the health and strength of homeowners across the United States, there is no crash in sight, not now, not in the next 6-months, and not in the foreseeable future.
The number one reason why a crash will not occur is that there simply are not enough available homes to purchase. Today’s inventory is at 3,182 homes. While there were 57% fewer homes last year, 1,363, the 3-year average prior to COVID (2017 to 2019) is 4,988 homes, 57% more than today. The inventory has been stuck at anemic levels since the beginning of the pandemic. In comparing today’s supply to the two years leading up to the Great Recession, 2006 and 2007, the difference is stunning. The inventory peak in 2006 was 16,006 homes, and it was 17,898 in 2007. The 2021 peak was 2,537 and in 2022 it was 4,069. In sharp contrast to today’s inventory crisis with a lack of available homes, there was an inventory glut that led up to the Great Recession.
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Demand sank by 7% in the past couple of weeks.
Demand, a snapshot of the number of new escrows over the prior month, decreased from 1,212 to 1,133 in the past couple of weeks, shedding 79 pending sales, or down 7%. It was the lowest level since April 2020 during the initial lockdowns of the pandemic. According to Mortgage News Daily, mortgage rates continued to ease on indications from the Federal Reserve that the climb in the Federal Funds Rate will most likely slow and have been hovering around 6.35% since the start of this month. Mortgage rates are expected to improve once inflation is trending down. That can come as soon as this week, with the release of the Consumer Price Index tomorrow. For the rest of the year, with fewer choices and plenty of holiday distractions, expect demand to plunge until ringing in 2023. From there, demand will slowly improve and gain speed upon transitioning to the Winter Market, mid-January through mid-March.
Last year, demand was at 1,944, 72% more than today, or an extra 811. The 3-year average prior to COVID (2017 to 2019) was at 1,774 pending sales, 57% more than today, or an extra 641.
With demand falling faster than supply, the Expected Market Time (the number of days to sell all Orange County listings at the current buying pace) increased from 81 to 84 days in the past couple of weeks. Last year the Expected Market Time was at 21 days, substantially faster than today and home values were screaming higher. The 3-year average prior to COVID was 87 days, similar to today.
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<a href="https://www.weirproperties.com/blog/november-22-market-update/" id="ixru6q" style="box-sizing: border-box; display: block; text-decoration: none; color: #b8793e;">Luxury End</a>
<a href="https://www.weirproperties.com/blog/november-22-market-update/" id="i8m18m" style="box-sizing: border-box; display: block; text-decoration: none; color: #000000;">The luxury housing market cooled considerably in the past couple of weeks. </a>
In the past couple of weeks, the luxury inventory of homes priced above $2 million decreased from 730 to 698 homes, down 32 homes, or 4%. Luxury demand decreased by 1 pending sale, down 1%, and now sits at 109, its lowest reading since May 2020, the initial lockdowns of COVID. With supply dropping faster than the drop in demand, the overall Expected Market Time for luxury homes priced above $2 million decreased from 199 to 192 days. Luxury is returning to pre-pandemic levels. Upper end homes typically do not sell instantly; instead, market times of over 6-months is quite common. The higher the price, the longer it takes to sell a home.
Year over year, luxury demand is down by 72 pending sales or 40%, and the active luxury listing inventory is up by 301 homes or 76%. The Expected Market Time last year was 66 days, nearly instantaneous for luxury.
For homes priced between $2 million and $4 million, the Expected Market Time in the past two weeks decreased from 144 to 138 days. For homes priced between $4 million and $8 million, the Expected Market Time decreased from 527 to 503 days. For homes priced above $8 million, the Expected Market Time decreased from 420 to 386 days. At 386 days, a seller would be looking at placing their home into escrow around January 2024.
<a href="https://www.weirproperties.com/weirproperties.com" id="ierm4l" style="box-sizing: border-box; display: inline-block; width: 100px;"><img src="https://dnhf8bus4lv8r.cloudfront.net/system/designstudio.bhhscalifornia.com/users/70143/uploads/pictures/66480/original/Carter-Weir-Realtor.jpeg?1661899534" id="icl2zk" style="box-sizing: border-box; display: inline-block; width: 100px; outline: 0;" width="100" /></a>
<a href="https://www.weirproperties.com/weirproperties.com" id="iid9gj" style="box-sizing: border-box; display: inline-block; width: 108.4921875px; height: 79px; float: right;"><img src="https://dnhf8bus4lv8r.cloudfront.net/system/designer_assets/images/4602/original/BHHS-logo-6.png?1579852277" id="izi4kg" style="box-sizing: border-box; display: inline-block; width: 108.4921875px; outline: 0; height: 79px;" width="108.4921875" height="79" /></a>
Carter Weir
Sales Agent
| lic #:
01455381
office:
949.566.1136
mobile:
949.795.2222
email:
<a href="mailto:name@domain.com" id="iobtks" style="box-sizing: border-box; text-decoration: none; color: #000000;">Carter@carterweir.com</a>
website:
<a href="https://www.weirproperties.com/weirproperties.com" id="iw81nv" style="box-sizing: border-box; text-decoration: none; color: #000000;">weirproperties.com</a>
<a href="https://instagram.com/carterweir" id="ixoq3k-2" style="box-sizing: border-box; margin: 0 10px; padding: 5px; display: inline-block; border-radius: 50%; width: 30px; height: 30px; color: #ffffff; background-repeat: no-repeat; background-position: center center; cursor: pointer; background-image: url('https://storage.maxadesigns.com/images/social/instagram.png'); background-color: #000000;"></a><a href="https://facebook.com/carterweir" id="iqyeak-2" style="box-sizing: border-box; margin: 0 10px; padding: 5px; display: inline-block; border-radius: 50%; width: 30px; height: 30px; color: #ffffff; background-repeat: no-repeat; background-position: center center; cursor: pointer; background-image: url('https://storage.maxadesigns.com/images/social/facebook.png'); background-color: #000000;"></a><a href="https://twitter.com/Carter_weir" id="iyruwz-2" style="box-sizing: border-box; margin: 0 10px; padding: 5px; display: inline-block; border-radius: 50%; width: 30px; height: 30px; color: #ffffff; background-repeat: no-repeat; background-position: center center; cursor: pointer; background-image: url('https://storage.maxadesigns.com/images/social/twitter.png'); background-color: #000000;"></a><a href="https://www.youtube.com/user/cartersweir/videos" id="i1ch1x-2" style="box-sizing: border-box; margin: 0 10px; padding: 5px; display: inline-block; border-radius: 50%; width: 30px; height: 30px; color: #000000; background-repeat: no-repeat; background-position: center center; cursor: pointer; background-image: url('https://storage.maxadesigns.com/images/social/youtube.png'); background-color: #000000;"></a>
3301 East Coast Hwy, Corona Del Mar 92625
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©2022 Berkshire Hathaway HomeServices California Properties (BHHSCP) is a member of the franchise system of BHH Affiliates LLC. Properties may or may not be listed by the office/agent presenting this information. Based on information obtained from the MLS as of (include the date data was obtained). Display of MLS data is deemed reliable but is not guaranteed accurate by the MLS. BHH Affiliates LLC and BHHSCP do not guarantee accuracy of all data including measurements, conditions, and features of property. Buyer is advised to independently verify the accuracy of that information.
2022-12-13T16:02:44-07:00
2022-12-15T11:43:59-07:00
Carter Weir
tag:weirproperties.com,2012-09-20:23272
November 22 Market Update
Market Report Newsletter
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<a href="https://www.weirproperties.com/blog/november-market-report/" id="ier9zp" style="box-sizing: border-box; margin-left: auto; margin-right: auto; display: block; width: 152.11328125px; height: 146px;"><img alt="logo.png" id="iyqtr" src="https://dnhf8bus4lv8r.cloudfront.net/system/designstudio.bhhscalifornia.com/users/70143/uploads/pictures/66830/original/luxweir.png?1662486626" style="box-sizing: border-box; display: block; outline: 0; height: 146px; width: 152.11328125px;" width="152.11328125" height="146" /></a>
<a href="https://www.weirproperties.com/www.weirproperties.com" id="irmjih" style="box-sizing: border-box; display: block; width: 100%;"><img alt="Blue_Tropical_Summer_Sale_Announcement_Facebook_Shops_Ad_(4).png" id="intleg" src="https://dnhf8bus4lv8r.cloudfront.net/system/designstudio.bhhscalifornia.com/users/70143/uploads/pictures/68543/original/Market_Update-_CW.png?1664903696" style="box-sizing: border-box; display: block; width: 100%; outline: 0;" /></a><a href="https://www.weirproperties.com/blog/november-market-report/" id="ilstub" style="box-sizing: border-box; display: block; width: 100%; margin: 0px;"><img alt="Copy_of_Blue_and_Yellow_Modern_Artisan_Parties_and_Celebrations_X-Frame_Banner.png" id="ii886r" src="https://dnhf8bus4lv8r.cloudfront.net/system/designstudio.bhhscalifornia.com/users/70143/uploads/pictures/71974/original/Copy_of_Blue_and_Yellow_Modern_Artisan_Parties_and_Celebrations_X-Frame_Banner_%285%29.png" style="box-sizing: border-box; display: block; width: 100%; outline: 0; border-width: 0px; border-style: none; border-color: #000; border-top-left-radius: 1px; border-top-right-radius: 1px; border-bottom-right-radius: 1px; border-bottom-left-radius: 1px; padding: 15px;" /></a>
Holiday Market
During the Holiday Market both the inventory and demand will plunge until ringing in a New Year.
Southern California does not get pummeled by snow during the holidays like the rest of the country. There are no blizzards, school days are not cancelled due to snow, freezing temperatures are rare, and roads are drivable year-round not taking into account construction cones and the grind of holiday traffic. Regardless of the weather, housing slows with all the distractions of the yuletide season. The holidays are here and with it come holiday parties, plenty of shopping, family gatherings, eggnog, spirits, and nonstop festive music. With COVID being much less of a distraction and a deterrent to enjoying the essence of the season, sellers and buyers are going to be even more inclined to place their real estate needs on pause.
The Holiday Market is when the inventory plunges, demand plunges, and the Expected Market Time increases slightly. Regardless of the economic situation, without fail the cyclical slowdown prevails. Last year the number of available homes was already at historically low levels all year. After peaking in July, a record low peak, it was hard to imagine the inventory could plunge at the end of the year. Yet, from mid-November to the start of the New Year, it sank by 39%. Demand, a snapshot of the number of new escrows over the prior month, dropped by 44%, and the Expected Market Time, the time between coming on the market and opening escrow, increased by a meager two days. Similarly, the 3-year average inventory holiday drop prior to COVID (2017 to 2019), when housing was a bit more normal, was a 20% decline. Demand dove by 44% and the Expected Market Time increased by an additional 19 days.
<a href="https://www.weirproperties.com/www.weirproperties.com" id="i1myyw" style="box-sizing: border-box; display: block; width: 100%;"><img alt="Copy_of_Blue_and_Yellow_Modern_Artisan_Parties_and_Celebrations_X-Frame_Banner_(6).png" id="iuc2x4" src="https://dnhf8bus4lv8r.cloudfront.net/system/designstudio.bhhscalifornia.com/users/70143/uploads/pictures/71979/original/Copy_of_Blue_and_Yellow_Modern_Artisan_Parties_and_Celebrations_X-Frame_Banner_%286%29.png" style="box-sizing: border-box; display: block; width: 100%; outline: 0;" /></a>
The inventory seasonally drops because not many homeowners come on the market at the end of the year. The fewest number of sellers enter the fray in December, 64% less than May, the peak month with the greatest number of new sellers. The second fewest come on in November, 46% less than May’s peak. In addition, many sellers who have not found success, mainly due to price, opt to throw in the towel and pull their homes off the market. The combination of those two forces, fewer new FOR-SALE signs and unsuccessful sellers, cause the inventory to plummet until the start of the New Year.
Demand, recent escrow activity, drops substantially as well. Many buyers who have been actively looking for a home wait on the sidelines for the right home to come along. Yet, with fewer new choices as the end of the year draws closer and many sellers throwing in the towel, there is a real lack of fresh inventory, no replenishment of available homes. Moreover, there are buyers who are simply ready to pause the home search process and divert their attention to enjoying all the trimmings of the holidays. For many, it simply is not the time to hunker down and tiresomely search for a home.
This year will not be an exception and the holiday pause has already arrived. In just the past two weeks alone the inventory has dropped by 8%, shedding 295 homes, the second largest drop of the year. There are only 3,286 available homes today, the second lowest end of November level behind last year. Demand increased, adding 10 pending sales, but it too is about to drop as fewer choices remain. The Expected Market Time dropped from 89 to 81 days, a bit better for the sellers who have opted to linger on the market during the holidays. It is still a far cry from the crazy market during the first four months of 2022 when the Expected Market Time reached a low of 19 days in March.
The holidays are here for the Orange County housing market. The housing needs of many will be placed on pause to enjoy all that this season brings. As a result, expect inventory and demand to plunge and market times to grow a little bit longer as housing moves through its slowest season of the year.<br style="box-sizing: border-box;" /><br style="box-sizing: border-box;" />
Demand increased by 1% in the past couple of weeks.
Demand, a snapshot of the number of new escrows over the prior month, increased from 1,202 to 1,212 in the past couple of weeks, adding 10 pending sales, or up 1%. It was the first rise since mid-August. According to Mortgage News Daily, after remaining well above 7% for over a month, mortgage rates have dropped and have been hanging around 6.65% for nearly three weeks, providing a bit of relief to buyers looking to purchase. This has sustained demand at its current muted levels and prevented it from dropping further. Ultimately, with the number of choices dropping with fewer homes coming on the market for the rest of the year, expect demand to follow its normal seasonal drop until shaking of the holiday lull after the first couple of weeks of the New Year. From there, expect demand to rise.
Last year, demand was at 2,221, 83% more than today, or an extra 1,009. The 3-year average prior to COVID (2017 to 2019) was at 1,969 pending sales, 62% more than today, or an extra 757.<a href="https://www.weirproperties.com/www.weirproperties.com" id="ipj03y" style="box-sizing: border-box; display: block; text-decoration: none; color: #000;">With supply falling and demand rising, the Expected Market Time (the number of days to sell all Orange County listings at the current buying pace) decreased from 89 to 81 days in the past couple of weeks, its lowest level since mid-October. Last year the Expected Market Time was at 20 days, substantially faster than today and home values were screaming higher. The 3-year average prior to COVID was 85 days, similar to today.</a>
<a href="https://www.weirproperties.com/www.weirproperties.com" id="i3qmti" style="box-sizing: border-box; display: block; width: 100%;"><img alt="Copy_of_Blue_and_Yellow_Modern_Artisan_Parties_and_Celebrations_X-Frame_Banner_(7).png" id="igg6xf" src="https://dnhf8bus4lv8r.cloudfront.net/system/designstudio.bhhscalifornia.com/users/70143/uploads/pictures/71980/original/Copy_of_Blue_and_Yellow_Modern_Artisan_Parties_and_Celebrations_X-Frame_Banner_%287%29.png" style="box-sizing: border-box; display: block; width: 100%; outline: 0;" /></a>
Luxury End
<a href="https://www.weirproperties.com/www.weirproperties.com" id="iyjoei" style="box-sizing: border-box; display: block; text-decoration: none; color: #a81803;">The luxury housing market cooled considerably in the past couple of weeks. </a>
In the past couple of weeks, the luxury inventory of homes priced above $2 million decreased from 775 to 730 homes, down 45 homes, or 6%. Luxury demand decreased by 25 pending sales, down 19%, and now sits at 110, its lowest reading since May 2020, the initial lockdowns of COVID. With demand dropping significantly faster than the drop in supply, the overall Expected Market Time for luxury homes priced above $2 million increased from 172 to 199 days, its highest reading since June 2020. For perspective, it was 45 days in February, extremely hot compared to the sluggishness of luxury today.
Year over year, luxury demand is down by 111 pending sales or 50%, and the active luxury listing inventory is up by 308 homes or 73%. The Expected Market Time last year was 57 days, nearly instantaneous for luxury.
For homes priced between $2 million and $4 million, the Expected Market Time in the past two weeks increased from 137 to 144 days. For homes priced between $4 million and $8 million, the Expected Market Time increased from 365 to 527 days. For homes priced above $8 million, the Expected Market Time increased from 220 to 420 days. At 420 days, a seller would be looking at placing their home into escrow around January 2024.
<a href="https://www.weirproperties.com/weirproperties.com" id="ijc3tf" style="box-sizing: border-box; display: inline-block; width: 100px;"><img src="https://dnhf8bus4lv8r.cloudfront.net/system/designstudio.bhhscalifornia.com/users/70143/uploads/pictures/66480/original/Carter-Weir-Realtor.jpeg?1661899534" id="icl2zk" style="box-sizing: border-box; display: inline-block; width: 100px; outline: 0;" width="100" /></a>
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Carter Weir
Sales Agent
| lic #:
01455381
office:
949.566.1136
mobile:
949.795.2222
email:
<a href="mailto:name@domain.com" id="iobtks" style="box-sizing: border-box; text-decoration: none; color: #000000;">Carter@carterweir.com</a>
website:
<a href="https://www.weirproperties.com/weirproperties.com" id="iw81nv" style="box-sizing: border-box; text-decoration: none; color: #000000;">weirproperties.com</a>
<a href="https://instagram.com/carterweir" id="ixoq3k-2" style="box-sizing: border-box; margin: 0 10px; padding: 5px; display: inline-block; border-radius: 50%; width: 30px; height: 30px; color: #ffffff; background-repeat: no-repeat; background-position: center center; cursor: pointer; background-image: url('https://storage.maxadesigns.com/images/social/instagram.png'); background-color: #000000;"></a><a href="https://facebook.com/carterweir" id="iqyeak-2" style="box-sizing: border-box; margin: 0 10px; padding: 5px; display: inline-block; border-radius: 50%; width: 30px; height: 30px; color: #ffffff; background-repeat: no-repeat; background-position: center center; cursor: pointer; background-image: url('https://storage.maxadesigns.com/images/social/facebook.png'); background-color: #000000;"></a><a href="https://twitter.com/Carter_weir" id="iyruwz-2" style="box-sizing: border-box; margin: 0 10px; padding: 5px; display: inline-block; border-radius: 50%; width: 30px; height: 30px; color: #ffffff; background-repeat: no-repeat; background-position: center center; cursor: pointer; background-image: url('https://storage.maxadesigns.com/images/social/twitter.png'); background-color: #000000;"></a><a href="https://www.youtube.com/user/cartersweir/videos" id="i1ch1x-2" style="box-sizing: border-box; margin: 0 10px; padding: 5px; display: inline-block; border-radius: 50%; width: 30px; height: 30px; color: #000000; background-repeat: no-repeat; background-position: center center; cursor: pointer; background-image: url('https://storage.maxadesigns.com/images/social/youtube.png'); background-color: #000000;"></a>
3301 East Coast Hwy, Corona Del Mar 92625
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©2022 Berkshire Hathaway HomeServices California Properties (BHHSCP) is a member of the franchise system of BHH Affiliates LLC. Properties may or may not be listed by the office/agent presenting this information. Based on information obtained from the MLS as of (include the date data was obtained). Display of MLS data is deemed reliable but is not guaranteed accurate by the MLS. BHH Affiliates LLC and BHHSCP do not guarantee accuracy of all data including measurements, conditions, and features of property. Buyer is advised to independently verify the accuracy of that information.
2022-11-30T15:27:56-07:00
2022-11-30T15:55:15-07:00
Carter Weir
tag:weirproperties.com,2012-09-20:22772
November Market Report
Market Report Newsletter
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<a href="https://www.weirproperties.com/blog/october-market-update/?caa=true" id="ijkd9p" style="box-sizing: border-box; margin-left: auto; margin-right: auto; display: block; width: 152.11328125px; height: 146px;"><img alt="logo.png" id="iyqtr" src="https://dnhf8bus4lv8r.cloudfront.net/system/designstudio.bhhscalifornia.com/users/70143/uploads/pictures/66830/original/luxweir.png?1662486626" style="box-sizing: border-box; display: block; outline: 0; height: 146px; width: 152.11328125px;" width="152.11328125" height="146" /></a>
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<img alt="Nov_housing_1.png" id="inetth" src="https://dnhf8bus4lv8r.cloudfront.net/system/designstudio.bhhscalifornia.com/users/70143/uploads/pictures/70394/original/Nov_housing_1.png" style="box-sizing: border-box; display: block; width: 100%; outline: 0;" />
<a href="https://www.weirproperties.com/blog/october-market-update/?caa=true" id="i87l5g" style="box-sizing: border-box; display: block; width: 97%; height: 303.5783125px;"><img alt="OC_Demand_.png" id="iena92" src="https://dnhf8bus4lv8r.cloudfront.net/system/designstudio.bhhscalifornia.com/users/70143/uploads/pictures/68646/original/OC_Demand_.png" style="box-sizing: border-box; display: block; width: 97%; outline: 0; height: 303.5783125px;" height="303.5783125" /></a>
<img alt="Text4-Oct-BBL-22.png" id="irxayi" src="https://dnhf8bus4lv8r.cloudfront.net/system/designstudio.bhhscalifornia.com/users/70143/uploads/pictures/70392/original/FAAF80FA-1381-4AAB-8D00-4D639F07E3C7_1_201_a.jpeg" style="box-sizing: border-box; display: block; width: 100%; outline: 0;" />
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Carter Weir
Sales Agent
| lic #:
01455381
office:
949.566.1136
mobile:
949.795.2222
email:
<a href="mailto:name@domain.com" id="iobtks" style="box-sizing: border-box; text-decoration: none; color: #000000;">Carter@carterweir.com</a>
website:
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3301 East Coast Hwy, Corona Del Mar 92625
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©2022 Berkshire Hathaway HomeServices California Properties (BHHSCP) is a member of the franchise system of BHH Affiliates LLC. Properties may or may not be listed by the office/agent presenting this information. Based on information obtained from the MLS as of (include the date data was obtained). Display of MLS data is deemed reliable but is not guaranteed accurate by the MLS. BHH Affiliates LLC and BHHSCP do not guarantee accuracy of all data including measurements, conditions, and features of property. Buyer is advised to independently verify the accuracy of that information.
2022-11-01T13:29:02-07:00
2022-11-01T13:33:54-07:00
Carter Weir
tag:weirproperties.com,2012-09-20:22527
October 18th Market Update
Market Report Newsletter
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Carter Weir
Sales Agent
| lic #:
01455381
office:
949.566.1136
mobile:
949.795.2222
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3301 East Coast Hwy, Corona Del Mar 92625
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©2022 Berkshire Hathaway HomeServices California Properties (BHHSCP) is a member of the franchise system of BHH Affiliates LLC. Properties may or may not be listed by the office/agent presenting this information. Based on information obtained from the MLS as of (include the date data was obtained). Display of MLS data is deemed reliable but is not guaranteed accurate by the MLS. BHH Affiliates LLC and BHHSCP do not guarantee accuracy of all data including measurements, conditions, and features of property. Buyer is advised to independently verify the accuracy of that information.
2022-10-18T16:26:39-07:00
2022-10-18T16:52:16-07:00
Carter Weir
tag:weirproperties.com,2012-09-20:22026
September End Market Update
Orange County Housing Report:
Hunkering Down
Significantly higher mortgage rates are preventing a massive number of homeowners from selling their homes, and the trend has only grown more problematic recently.
In August there were 30% fewer FOR-SALE signs than the average prior to COVID, more than 1,000 missing sellers.
On March 19, 2020, the Governor of California issued a “stay at home” order. Offices, small businesses, shop owners, and schools all closed their doors and headed home. Only essential workers, such as health care, emergency services, and food services, were able to leave their houses and head to work. Once congested freeways were empty. Outings were limited to a once per week trip to the local grocery store. As a result of the pandemic and the need to hunker down, in Orange County there were 49% fewer new FOR-SALES in April 2020 compared to the 3-year average prior to COVID (2017 to 2019), an astonishing 1,974 missing signs.
Eventually more homeowners placed their homes on the market. In fact, there were more homeowners who came on the market from July to December 2020 than the 3-year average. Seven of the twelve months were positive. Overall, in 2020, there were 6% fewer homeowners who came on the market for the year, 1,795 less.
Even after learning to continue to live life and go back to work amidst a pandemic, there still were more homeowners who hunkered down and refused to move. In 2021, there were 6% fewer FOR-SALE signs than the 3-year average, 2,311 less. Eleven out of the twelve months were negative compared to the average.
A lack of sellers due to the pandemic is understandable for 2020 and 2021. With vaccines and boosters, 90% of Americans today see COVID as a manageable problem (Axios-Ipsos, September 2022). Yet, far fewer homeowners are placing their homes on the market in 2022. This trend has persisted and became more severe over the past couple of months. Through August, there are 5,473 missing sellers in Orange County compared to the 3-year average prior to COVID, 19% less.
<img src="https://assets.site-static.com/userfiles/308/image/September_End/Screen_Shot_2022-09-20_at_12.55.20_PM.png" width="500" height="272" style="display: block; margin-left: auto; margin-right: auto;" />
In July, there were 2,931 new sellers compared to the 3,707 average, 776 fewer, or 21% less. Then in August there were only 2,484 new sellers compared to the 3,573 average, 1,054 fewer, or 30% less. The number of homes coming on the market has been muted all year long. Only the first few months of the pandemic fared worse.
What is precluding so many homeowners from selling their homes this year? The only major changing underlying factor is the swift rise in mortgage rates. According to Mortgage News Daily, mortgage rates rocketed higher, from 3.25% at the start of this year to over 4% by the end of February. They climbed to 4.75% at the end of March, over 5% in April, and reached 5.5% at the start of May. With a high inflation reading in mid-June, rates soared to 6.25%. They bounced between 5% and 6% in July and August. In September, with another high inflation reading and the Federal Reserve exclaiming that they were going to do everything in their power to slow the economy and curb inflation, mortgage rates shot up to 6.42% today, its highest level since November 2008.
<img src="https://assets.site-static.com/userfiles/308/image/September_End/Screen_Shot_2022-09-20_at_12.57.23_PM.png" width="500" height="270" style="display: block; margin-left: auto; margin-right: auto;" />
So many homeowners are not moving because they simply do not want to sell, as they are locked into an incredibly low fixed mortgage rate. According to Black Knight, 72% of all homeowners with a mortgage have a 30-year fixed mortgage rate at 4% or lower, 55% have a rate at 3.5% or lower, and 34% have a rate at 3% or lower. Comparing the monthly payment at today’s 6.42% rate to homeowners with substantially less locked in monthly payments is very revealing. An $800,000 mortgage today at 6.42% would be a principal and interest payment of $5,015 per month, compared to $3,819 at 4%, or $3,592 at 3.5%, or $3,373 at 3%.
If a homeowner sells and opts to purchase a replacement property, they are going to be paying a much higher rate and, most likely, much higher property taxes. Thus, they are staying put. There are homeowners who would like to move for a variety of reasons but are hunkering down because they are enjoying a low fixed monthly payment. There are owners who would like to downsize, have a private pool and spa, prefer a larger yard, or need more bedrooms because of a growing family, but are holding off, for now. Quite simply, they love their loan. They love their low payment.
The trend of fewer sellers coming to market has prevented the active inventory from growing and reaching pre-pandemic levels. The inventory had grown from a record low of 954 homes to start the year to 4,069 homes until reaching a peak at the start of August, a 327% rise, but still far from inventory levels prior to COVID. The 3-year average prior to COVID was 6,520 homes, 79% higher, or an additional 2,882 compared to today’s 3,638 level. If the typical number of homeowners would have come on the market this year, more sellers would have accumulated on the market and the increased competition would have led to a larger erosion of home values. It is yet another twist in this wild post-pandemic housing market.
“Hunkering down," an unexpected trend that emerged this year and appears to be here to stay until there is forced selling down the road or mortgage rates fall back down to earth.
Active Listings
The current active inventory dropped by 2% in the past couple of weeks.
The active listing inventory decreased by 88 homes, down 2%, and now sits at 3,638, continuing its drop since peaking at the start of August. After 30-year mortgage rates dropped to 5% last month, they have climbed from 6% to 6.42% so far in September. These higher rates are further deteriorating home affordability, resulting in another drop in demand. Less demand has kept the inventory from dropping further, even with fewer homeowners opting to sell. From here, expect the inventory to continue to slowly drop as fewer homeowners come to market during the Autumn Market. The inventory will plunge to finish the year between Thanksgiving and New Year’s Day.
Last year, the inventory was at 2,289, 37% lower, or 1,349 fewer. The 3-year average prior to COVID (2017 to 2019) is 6,520, an extra 2,882 homes, or 79% more. There were a lot more choices back then.
<img src="https://assets.site-static.com/userfiles/308/image/September_End/3Screen_Shot_2022-09-20_at_12.59.54_PM.png" width="500" height="378" style="display: block; margin-left: auto; margin-right: auto;" />
Demand
Demand decreased by 4% in the past couple of weeks.
Demand, a snapshot of the number of new escrows over the prior month, decreased from 1,831 to 1,756 in the past couple of weeks, shedding 75 pending sales, or down 4%. It was the largest drop since the start of July. The high mortgage rate environment has dramatically impacted demand, dropping to levels not seen since the Great Recession. There are always buyers in every market, referred to as inherent demand, but expect demand levels to remain severely subdued. Mortgage rates are projected to remain above 6% for the remainder of the year. Demand will slowly drop from now until Thanksgiving. It will then plunge during the Holiday Market until ringing in a New Year.
Last year, demand was at 2,623, 49% more than today, or an extra 867. The 3-year average prior to COVID (2017 to 2019) was at 2,363 pending sales, 35% more than today, or an extra 607.
With demand dropping faster than supply, the Expected Market Time (the number of days to sell all Orange County listings at the current buying pace) increased from 61 to 62 days in the past couple of weeks, the lowest level since the end of June. At 62 days, it remains a Slight Seller’s Market (60 to 90 days) where sellers get to call more of the shots, there are far fewer multiple offers and home values are not appreciating much at all. The market is no longer instant and properly pricing is crucial to find success, carefully considering location, condition, upgrades, and amenities. Last year the Expected Market Time was at 26 days, substantially faster than today. The 3-year average prior to COVID was at 84 days, also a Slight Seller’s Market and slower than today.
<img src="https://assets.site-static.com/userfiles/308/image/September_End/4Screen_Shot_2022-09-20_at_1.01.56_PM.png" width="500" height="379" style="display: block; margin-left: auto; margin-right: auto;" />
Luxury End
The luxury housing market cooled considerably in the past couple of weeks.
In the past couple of weeks, the luxury inventory of homes priced above $2 million increased from 785 to 804 homes, up 19 homes, or 2%. Luxury demand decreased by 32 pending sales, down 16%, and now sits at 168, its lowest level since January. With supply rising and demand dropping, the overall Expected Market Time for luxury homes priced above $2 million increased from 118 to 144 days, its highest reading since January 2021. With the instability of Wall Street and stubbornly high rates, it appears as if the luxury market will continue to slow.
Year over year, luxury demand is down by 76 pending sales or 31%, and the active luxury listing inventory is up by 233 homes or 41%. The Expected Market Time last year was at 70 days and dropping, much stronger than today.
For homes priced between $2 million and $4 million, the Expected Market Time in the past two weeks increased from 91 to 113 days. For homes priced between $4 million and $8 million, the Expected Market Time increased from 161 to 220 days. For homes priced above $8 million, the Expected Market Time decreased from 407 to 325 days. At 325 days, a seller would be looking at placing their home into escrow around August 2023.
<img src="https://assets.site-static.com/userfiles/308/image/September_End/5Screen_Shot_2022-09-20_at_1.03.31_PM.png" width="500" height="176" style="display: block; margin-left: auto; margin-right: auto;" />
Orange County Housing Summary
The active listing inventory in the past couple of weeks decreased by 304 homes, down 2%, and now sits at 3,638, its lowest level since June. In August, there were 30% fewer homes that came on the market compared to the 3-year average prior to COVID (2017 to 2019), 1,054 less. Last year, there were 2,289 homes on the market, 1,349 fewer homes, or 37% less. The 3-year average prior to COVID (2017 to 2019) was 6,520, or 79% more.
Demand, the number of pending sales over the prior month, decreased by 75 pending sales in the past two weeks, down 4%, and now totals 1,756. It is still the lowest reading for mid- September since 2007. Last year, there were 2,623 pending sales, 49% more than today. The 3-year average prior to COVID (2017 to 2019) was 2,363, or 35% more.
With demand dropping faster than the supply of homes, the Expected Market Time, the number of days to sell all Orange County listings at the current buying pace, increased from 61 to 62 days in the past couple of weeks, a Slight Seller’s Market (between 60 and 90 days). It was at 26 days last year, much stronger than today.
For homes priced below $750,000, the market is a Hot Seller’s Market (less than 60 days) with an Expected Market Time of 43 days. This range represents 20% of the active inventory and 29% of demand.
For homes priced between $750,000 and $1 million, the Expected Market Time is 51 days, a Hot Seller’s Market. This range represents 24% of the active inventory and 29% of demand.
For homes priced between $1 million to $1.25 million, the Expected Market Time is 54 days, a Hot Seller’s Market. This range represents 12% of the active inventory and 13% of demand.
For homes priced between $1.25 million to $1.5 million, the Expected Market Time is 62 days, a Slight Seller’s Market. This range represents 11% of the active inventory and 11% of demand.
For homes priced between $1.5 million to $2 million, the Expected Market Time is 85 days, a Slight Seller’s Market. This range represents 12% of the active inventory and 9% of demand.
For homes priced between $2 million and $4 million, the Expected Market Time in the past two weeks increased from 91 to 113 days. For homes priced between $4 million and $8 million, the Expected Market Time increased from 161 to 220 days. For homes priced above $8 million, the Expected Market Time decreased from 407 to 325 days.
The luxury end, all homes above $2 million, accounts for 22% of the inventory and 9% of demand.
Distressed homes, both short sales and foreclosures combined, made up only 0.2% of all listings and 0.1% of demand. There are only 5 foreclosures and 3 short sales available to purchase today in all of Orange County, 8 total distressed home on the active market, unchanged from two weeks ago. Last year there were 13 total distressed homes on the market, similar to today.
There were 2,168 closed residential resales in August, 30% less than August 2021’s 3,119 closed sales. August marked an 11% increase compared to July 2022. The sales to list price ratio was 99.0% for all of Orange County. Foreclosures accounted for 0.1% of all closed sales, and there were no short sales. That means that 99.9% of all sales were good ol’ fashioned sellers with equity.
2022-09-20T12:47:00-07:00
2022-09-20T13:06:07-07:00
Carter Weir
tag:weirproperties.com,2012-09-20:21834
September 22 Market Update
Orange County Housing Report:
A SLIGHT Seller’s Market
September 6, 2022
Even with muted demand due to the higher mortgage rate environment, the muted supply of available homes has allowed the Orange County housing market to continue to line up slightly in favor of sellers.
A “Normal” Market
The insane pace of the housing market has come to an end and the instant marketplace has shifted to a much more normal, typical speed for this time of year.
Everyone seemingly has an opinion when it comes to the housing market. Forget economic models, data, charts, and statistics. Most believe that since values have soared to ridiculous heights and now mortgage rates have skyrocketed to their highest level since 2008, prices must correct. Yet, this kind of logic ignores facts. There is still a huge missing ingredient when it comes to housing, not enough homes. There is an absurd lack of homes available to purchase. Due to a lack of supply, the housing market continues to line up in favor of sellers.
The Expected Market Time (the time between hammering in the FOR-SALE sign to opening escrow) reveals the true speed of the market and is based upon supply and demand, the number of available homes to purchase and the number of buyers in the marketplace writing offers. The inventory is at 3,726 today, not quite as low as last year’s 2,289 homes, the lowest start to September since tracking began 18-years ago, but well off averages prior to COVID. The 3-year average (2017 to 2019) was 6,569, a mind-blowing 76% higher, or 2,843 more than today. And the inventory peaked at the start of August and will now drop for the rest of the year. Demand (last 30-days of pending sales activity) is at 1,831, the lowest level to start September since 2007 and 32% less than last year. There were 851 additional pending sales last year. Current demand is off by 25% compared to the 3-year average prior to COVID of 2,438. Demand has definitely been impacted by much higher rates.
<img src="https://assets.site-static.com/userfiles/308/image/September_22/Screen_Shot_2022-09-07_at_2.44.51_PM.png" width="600" height="451" />
In pairing low supply with low demand, the Orange County housing market lines up slightly in favor of sellers. The Expected Market Time is at 61 days, a Slight Seller’s Market (between 60 and 90 days). It has actually improved since the end of July when it was at 72 days. Yet, it is much slower than the 19-day level reached at the beginning of March.
From August of 2020 to June of this year, the market was an INSANE Hot Seller’s Market with an Expected Market Time below 40 days. At those levels, buyers lined up around the block just to see a home. There were very few open houses because homes sold too quickly. “Multiple Offers” was an understatement; instead, homes were procuring 20, 30, or even more offers to purchase. Appraisal contingencies were dropped. Many buyers opted to waive their inspection rights and would ask for no repairs. Sellers were able to rent back their homes for free while they took their time moving out. Homes sold way over their asking prices and home values were rocketing higher. Basically, sellers were able to run the table, call all the shots.
Those days are gone. A Slight Seller’s Market means that a seller must carefully arrive at the asking price, considering the home’s condition, upgrades, amenities, location, and overall appeal. Homes that are nicely appointed, in excellent condition, have that model home feel, and priced according to their Fair Market Value, will still obtain a lot of attention, pull in multiple offers, and, in many cases, sell above the asking price. For everyone else, the further a home is away from being turnkey, in great condition, or in a great location, the longer the home is going to take to sell. Sellers need to pack their patience. The market is no longer instant. As a result, more and more homes are sitting on the market.
Not surprisingly, 60% of all homes available to purchase today have been on the market for more than a month. Back in June, it was at 36%. Nearly a third, 31%, of the inventory has been on the market for more than two months and are still waiting for the right buyer to bring an acceptable offer to purchase. That is a lot of sitting and waiting considering 36% of the active listing market has come on the within the last 30-days. Of course, everyone expects sellers in the luxury ranges to play the waiting game; however, many sellers in the most affordable price ranges are sitting on the market and waiting as well. Below $750,000, it is 24% of the market that have been on the market for more than two months. Between $750,000 and $1 million, it is 28% of the market. From there, the share of sellers who have been waiting to find success grows, from 30% to 62%.
<img src="https://assets.site-static.com/userfiles/308/image/September_22/Screen_Shot_2022-09-07_at_2.45.07_PM.png" width="600" height="304" />
The market has undeniably evolved from warp speed, out of control, to a much more normal pace. However, nobody is used to normal. It is when buyers and sellers must negotiate a contract prior to opening escrow. Sellers do not call all the shots. There is no more waiving the appraisal or inspections. Sellers do not have the opportunity to rent their homes back from buyers after the closing for FREE. For the most part, homes are not selling over their asking prices. The froth of the past two years is gone. It is a Slight Seller’s Market.
Active Listings
The current active inventory plunged by 8% in the past couple of weeks.
The active listing inventory decreased by 304 homes, down 8%, and now sits at 3,726, its first time below 4,000 homes since May. It was the largest drop since November of last year, right after Thanksgiving. Why is the inventory dropping so rapidly when rates are so high? It is not because a flood of homes is entering escrow. First, there are plenty of missing FOR SALE signs. The trend that developed this year is a sharp decrease in the number of homes coming on the market, more missing signs than both 2020 and 2021. For the month of August, there were 2,484 new FOR-SALE signs in Orange County, 1,054 fewer than the 3-year average prior to COVID (2017 to 2019), 30% less. August was the most missing sellers since April of 2020 during the initial lockdowns due to COVID. So far in 2022, there have been 4,473 missing signs, down 15%. In addition to fewer homeowners opting to sell, the number of sellers who have been on the market and are now throwing in the towel, pulling their homes off the market is up 126% compared to August of last year, 812 compared to 360 in 2021. Homeowners are opting to not sell because most are locked in at lower mortgage rates. An overwhelming 72% of homeowners with a loan have a mortgage rate at or below 4%. They might not be in love with their home, but they certainly are in love with their loan. Since a peak in the inventory was established at the start of August, expect the active inventory to continue to drop for the remainder of the year, picking up steam during the holiday season from Thanksgiving through New Year’s Day.
<img src="https://assets.site-static.com/userfiles/308/image/September_22/Screen_Shot_2022-09-07_at_2.45.17_PM.png" width="600" height="454" />
Last year, the inventory was at 2,289, 39% lower, or 1,437 fewer. The 3-year average prior to COVID (2017 to 2019) is 6,569, an extra 2,843 homes, or 76% more. There were a lot more choices back then.
Demand
Demand increased by 1% in the past couple of weeks.
Demand, a snapshot of the number of new escrows over the prior month, decreased from 1,849 to 1,831 in the past couple of weeks, shedding 18 pending sales, or down 1%. Demand is still at June levels. Since the Federal Reserve met in Jackson Hole, Wyoming for their economic symposium, mortgage rates have been on the rise. Despite expert consensus that a recession is inevitable, the overall economy is still running a bit hotter than initially anticipated, yet another reason that rates have been on the rise recently. Within the past couple of weeks, mortgage rates have grown from 5.72% to 6.25% today. If this rise holds, demand could be further impacted and drop a bit more. Remember, there is ALWAYS demand for housing, more commonly referred to as “inherent demand.” There are always buyers looking to buy regardless of the market. For the rest of the year, expect demand to slowly drop and then plunge during the holidays.
Last year, demand was at 2,682, 46% more than today, or an extra 851. The 3-year average prior to COVID (2017 to 2019) was at 2,438 pending sales, 33% more than today, or an extra 607.
With supply plunging compared to the slight drop in demand, the Expected Market Time (the number of days to sell all Orange County listings at the current buying pace) decreased from 65 to 61 days in the past couple of weeks, the lowest level since the end of June. At 61 days, it remains a Slight Seller’s Market (60 to 90 days) where sellers get to call most of the shots, there are fewer multiple offers and home values are not appreciating as fast as they have been over the past couple of years. The market is no longer instant and properly pricing is crucial to find success. Last year the Expected Market Time was at 26 days, substantially faster than today. The 3-year average prior to COVID was at 82 days, also a Slight Seller’s Market and slower than today.
Luxury End
The luxury housing market did not change much in the past couple of weeks.
In the past couple of weeks, the luxury inventory of homes priced above $2 million decreased from 820 to 785 homes, down 35 homes, or 4%. It appears as if the luxury inventory peaked at the start of August along with the rest of the inventory. Luxury demand decreased by 9 pending sales, down 4%, and now sits at 200. With both supply and demand dropping at the same rate, the overall Expected Market Time for luxury homes priced above $2 million remained unchanged at 118 days, still its best reading since June. With mortgage rates on the rise combined with the volatility on Wall Street, only time will tell how the luxury end continues to evolve from here. For now, it is holding steady.
Year over year, luxury demand is down by 44 pending sales or 18%, and the active luxury listing inventory is up by 214 homes or 37%. The Expected Market Time last year was at 70 days and dropping, much stronger than today.
For homes priced between $2 million and $4 million, the Expected Market Time in the past two weeks decreased from 98 to 91 days. For homes priced between $4 million and $8 million, the Expected Market Time increased from 159 to 161 days. For homes priced above $8 million, the Expected Market Time increased from 225 to 407 days. At 407 days, a seller would be looking at placing their home into escrow around October 2023.
<img src="https://assets.site-static.com/userfiles/308/image/September_22/Screen_Shot_2022-09-07_at_2.45.40_PM.png" width="600" height="233" />
Orange County Housing Summary
The active listing inventory in the past couple of weeks plunged by 304 homes, down 8%, and now sits at 3,726, its lowest level since June. In August, there were 30% fewer homes that came on the market compared to the 3-year average prior to COVID (2017 to 2019), 1,054 less. Last year, there were 2,289 homes on the market, 1,437 fewer homes, or 39% less. The 3-year average prior to COVID (2017 to 2019) was 6,569, or 76% more.
Demand, the number of pending sales over the prior month, decreased by 18 pending sales in the past two weeks, down 1%, and now totals 1,831. It is still the lowest reading for a start to September since 2007. Last year, there were 2,682 pending sales, 46% more than today. The 3-year average prior to COVID (2017 to 2019) was 2,438, or 33% more.
With the supply of homes plunging compared to the slight drop in demand falling, the Expected Market Time, the number of days to sell all Orange County listings at the current buying pace, decreased from 65 to 61 days in the past couple of weeks, a Slight Seller’s Market (between 60 and 90 days). It was at 26 days last year, much stronger than today.
For homes priced below $750,000, the market is a Hot Seller’s Market (less than 60 days) with an Expected Market Time of 43 days. This range represents 20% of the active inventory and 28% of demand.
For homes priced between $750,000 and $1 million, the Expected Market Time is 54 days, a Slight Seller’s Market. This range represents 25% of the active inventory and 28% of demand.
For homes priced between $1 million to $1.25 million, the Expected Market Time is 52 days, a Slight Seller’s Market. This range represents 12% of the active inventory and 14% of demand.
For homes priced between $1.25 million to $1.5 million, the Expected Market Time is 68 days, a Slight Seller’s Market. This range represents 11% of the active inventory and 10% of demand.
For homes priced between $1.5 million to $2 million, the Expected Market Time is 75 days, a Slight Seller’s Market (between 60 and 90 days). This range represents 11% of the active inventory and 10% of demand.
For homes priced between $2 million and $4 million, the Expected Market Time in the past two weeks decreased from 98 to 91 days. For homes priced between $4 million and $8 million, the Expected Market Time increased from 159 to 161 days. For homes priced above $8 million, the Expected Market Time increased from 225 to 407 days.
The luxury end, all homes above $2 million, accounts for 21% of the inventory and 12% of demand.
Distressed homes, both short sales and foreclosures combined, made up only 0.2% of all listings and 0.2% of demand. There are only 6 foreclosures and 2 short sales available to purchase today in all of Orange County, 8 total distressed home on the active market, up 1 from two weeks ago. Last year there were 13 total distressed homes on the market, similar to today.
There were 1,959 closed residential resales in July, 39% less than July 2021’s 3,205 closed sales. July marked a 17% decrease compared to June 2022. The sales to list price ratio was 100.7% for all of Orange County. Foreclosures accounted for 0.05% of all closed sales, and short sales accounted for 0.05%. That means that 99.9% of all sales were good ol’ fashioned sellers with equity.
2022-09-07T14:37:00-07:00
2022-09-07T14:57:09-07:00
Carter Weir
tag:weirproperties.com,2012-09-20:15620
Market Update
Orange County Housing Report:
Buyers Against the Ropes
September 20, 2021
The insane housing market has been frustrating buyers for more
than a year now with unbelievable, relentless competition,
making it exceedingly difficult to secure a home.
Buyers Should Not Give Up
The housing market will remain a Hot Seller’s Market for some time and home values will continue to rise.
“When it rains it pours.” There are times in life when it seems impossible to catch a break. All the cards feel as if they are stacked against you. That is how so many buyers have felt for over a year now. The housing market has been extremely hot since June of last year and has not let up ever since. Buyers are faced with crowds of interest on just about every home that is placed on the market. Multiple offers are the norm. Homes selling for above their list prices is the norm. Homes instantly selling is the norm. It is tough to be a buyer looking to purchase in today’s housing market. It feels as if they are constantly against the ropes in a 12-round heavyweight bout.
For buyers, securing a home is exceptionally frustrating. Many are kicking themselves and wish that they could have purchased a year ago, knowing that homes have appreciated at record levels ever since. Yet, that kind of thinking is futile. Home values have gone up for decades. Rather than dwelling on the past, it is best to look at where housing is at today and where it is headed in the future.
To gauge where housing is today, it is crucial to look at supply, the number of homes available to purchase, demand, the number of pending sales in the prior month, and the speed of the market, market time. The active inventory is at 2,289, the lowest level since tracking for this time of the year. The 3-year average from 2017 to 2019 (intentionally leaving out last year due to the skew from COVID) is 6,520 homes, 185% more than today’s level, an extra 4,231 FOR-SALE signs. It has not helped that there have been 1,720 fewer homes placed on the market compared to the 3-year average, 6% less.
Even with fewer available homes, demand (the last 30-days of pending sales) has been running persistently hot. The 3-year average from 2017 to 2019 is 2,363 pending sales, 10% less, or 260 fewer than today’s 2,682 level. Hot demand combined with a supply crisis has resulted in an Expected Market Time (number of days between coming on the market and opening escrow) at ultra-low, unprecedented levels. It is at 26 days today and has been stuck below the 40-day threshold since January, indicative of an insane market with tons of showings, multiple offers, selling prices above their list prices, and swift appreciation.
The current market dynamics point to a continued supply crisis with fewer homes entering the fray, elevated demand due to unrelenting historically low mortgage rates, and an insane Expected Market Time remaining steadfastly below 40-days. This is a recipe for continued multiple offers, continued throngs of buyers jumping at everything placed on the market, and continued appreciation.
Knowing where the market is today and where it is headed from here is very important. When buyers qualify to purchase and are comfortable with the monthly payment, they can take heart that they are taking advantage of today’s remarkable, historically low mortgage rate environment, and that home appreciation will endure for the foreseeable future. In comparing a home purchased today for $1 million with a 20% down payment, the monthly payment is $3,313 at 2.86%. Home appreciation will slow a bit over the next year, from 20% today to about 10%. If rates stayed the same, the $1 million home would appreciate to $1.1 million in a year, and the payment would be $3,644 per month. That is $331 extra every month, or an annual increase of nearly $4,000, by holding off a home purchase for a year.
Many financial institutions and economic experts are forecasting a rise in rates to about 3.5% in a year from now. With a $1 million home appreciating to $1.1 million and rates rising from 2.86% to 3.5%, the monthly mortgage payment jumps to $3,952 per month. That is $639 extra every month, or an increase of over $7,500 per year for the life of the loan.
It seems that everybody has become quite accustomed to today’s low-rate environment. For context, the 30-year fixed-rate peaked at over 18% back in 1981 and it has been trending down ever since. In 1990, rates were at 10%. In 2000, it was 8%. Just before the Great Recession, mortgage rates had fallen to 6.35%. They dropped down to 3.35% by the end of 2012, fueling the recovery in housing that has endured for more than a decade. The market did slow quite a bit at the end of 2018 when rates nearly reached 5%, but they have been down ever since. With the outbreak of the COVID-19 pandemic, according to Freddie Mac’s Primary Mortgage Market Survey®, 17 record lows were reached, and rates have remained stubbornly below 3% for quite some time. Eventually, as the economy improves, they will rise.
Rates will not linger at these historically low levels forever. It is not a matter of IF they rise; it is more a matter of WHEN. For buyers, it is not wise to gamble on rates. They are extremely low today, and the Orange County housing market is poised to continue to appreciate. While buyers may have felt like their backs have been against the ropes for many rounds, it is wise to get right back into the center ring and isolate a home.
<br />Active Listings
The current active inventory remained unchanged over the past two weeks.
The active listing inventory did not change at all in the past two weeks, remaining at 2,289 homes. That occurred after the largest drop of the year, down 9%, two weeks prior. Autumn’s official start may be this Wednesday, but for housing, it started when the kids went back to school at the end of last month. With fewer families opting to sell now that the kids have gone back to the classroom, expect the inventory to slowly drop from now through the week before Thanksgiving. And, this year, the kids are attending school “in person” versus virtual. Last year’s virtual setup made it a bit easier for
families to make a move. That is not the case this year.
Last year in mid-September, there were 4,213 homes on the market, 1,924 additional homes, or 84% more.
In August, there were 357 fewer new FOR-SALE signs in Orange County, 10% less than the 3-year average from 2017 to 2019. So far this year, there were 6% fewer homes placed on the market, 1,720 missing signs. That may not seem like that many, but, at this point, every single missing FOR-SALE sign just adds to the inventory crisis.
Demand
Demand dropped by 2% in the past couple of weeks.
Demand, a snapshot of the number of new pending sales over the prior month, decreased from 2,682 to 2,623 in the past couple of weeks, shedding 59 pending sales, down 2%. On average, demand drops 3% at this time of the year. Demand readings remain strong due to stubbornly low rates that have bounced between 2.86% to 2.88% for five straight weeks. They have remained below 3% since July 1st. In calculating the potential monthly payment based upon today’s low-rate environment, buyers remain eager to purchase and cash in as soon as possible. Yet, with fewer homes coming on the market, expect demand to drop slightly from now through the week before Thanksgiving.
Last year, demand was at 3,256, 24% more than today due to a delay in the Spring Market because of COVID.
With no change in the inventory and a slight drop in demand, the Expected Market Time (the number of days to sell all Orange County listings at the current buying pace) remained unchanged at 26 days, an extremely insane, Hot Seller’s Market (less than 60 days) where there are a ton of showings, sellers get to call the shots during the negotiating process, multiple offers are the norm, and home values are rising rapidly. Last year the Expected Market Time was at 39 days. The 3-year average from 2017 through 2019 was at 84 days, much slower than today, but still a Slight Seller’s Market.
Luxury End
The luxury market continued to improve in the past couple of weeks.
In the past two weeks the luxury inventory of homes priced above $1.5 million decreased by 11 homes, down 2%, and now sits at 722, its lowest level since tracking. In the past month, the inventory has dropped by 72 homes. Luxury demand increased by 12 pending sales, up 3%, and now sits at 454, its strongest level since June. With a drop in the supply and rising demand, the overall Expected Market Time for luxury homes priced above $1.5 million decreased from 50 to 48 days, a very Hot Seller’s Market for luxury. The last time luxury was this hot was back in May.
Expect the luxury market to slightly cool as housing transitions further into the Autumn Market. The recent drop in Wall Street is common for this month, known as the “September Effect,” and it will have little impact on luxury housing. If it were to endure for longer than September, it could eat into demand a bit as many luxury buyers are heavily invested, and downturns on Wall Street can impact housing. The slump is not likely to continue beyond September. Time will tell.
Year over year, luxury demand is up by 79 pending sales or 21%, and the active luxury listing inventory is down by 563 homes or 44%. The Expected Market Time last year was at 103 days, extremely hot for luxury, but more than double where it is right now, indicating just how hot the luxury market is today.
For homes priced between $1.5 million and $2 million, the Expected Market increased from 25 to 28 days. For homes priced between $2 million and $4 million, the Expected Market Time decreased from 52 to 43 days. For homes priced above $4 million, the Expected Market Time decreased from 124 to 122 days. At 122 days, a seller would be looking at placing their home into escrow around January 2022.
Orange County Housing Summary
The active listing inventory did not change at all in the past two weeks, remaining at 2,289 homes. In August, there were 10% fewer homes that came on the market compared to the 3-year average between 2017 to 2019 (2020 was skewed due to COVID-19), 357 less. Last year, there were 4,213 homes on the market, 1,924 additional homes, or 84% more.
Demand, the number of pending sales over the prior month, decreased by 59 pending sales in the past two weeks, down 2%, and now totals 2,623. Last year, there were 3,256 pending sales, 24% more than today due to a delay in the Spring Market because of COVID.
With no change in the supply and a slight drop in demand, the Expected Market Time, the number of days to sell all Orange County listings at the current buying pace, remained unchanged at 26 days in the past couple of weeks, an extremely Hot Seller’s Market (less than 60 days). It was at 39 days last year slightly slower than today.
For homes priced below $750,000, the market is a Hot Seller’s Market (less than 60 days) with an Expected Market Time of 22 days. This range represents 30% of the active inventory and 35% of demand.
For homes priced between $750,000 and $1 million, the Expected Market Time is 19 days, a Hot Seller’s Market. This range represents 20% of the active inventory and 28% of demand.
For homes priced between $1 million to $1.25 million, the Expected Market Time is 22 days, a Hot Seller’s Market. This range represents 10% of the active inventory and 12% of demand.
For homes priced between $1.25 million to $1.5 million, the Expected Market Time is 29 days, a Hot Seller’s Market. This range represents 9% of the active inventory and 8% of demand.
For homes priced between $1.5 million and $2 million, the Expected Market increased from 25 to 28 days. For homes priced between $2 million and $4 million, the Expected Market Time decreased from 52 to 43 days. For homes priced above $4 million, the Expected Market Time decreased from 124 to 122 days.
The luxury end, all homes above $1.5 million, accounts for 31% of the inventory and 17% of demand.
Distressed homes, both short sales and foreclosures combined, made up only 0.4% of all listings and 0.3% of demand. There are only 7 foreclosures and 2 short sales available to purchase today in all of Orange County, 9 total distressed homes on the active market, down 4 from two weeks ago. Last year there were 13 total distressed homes on the market, similar to today.
There were 3,119 closed residential resales in August, 1% less than August 2020’s 3,153 closed sales. August marked a 3% drop compared to July 2021. The sales to list price ratio was 101.3% for all of Orange County. Foreclosures accounted for just 0.2% of all closed sales, and short sales accounted for 0.1%. That means that 99.7% of all sales were good ol’ fashioned sellers with equity.
Have a great week.
Sincerely, <br />Steven Thomas<br />Quantitative Economics and Decision Sciences
Cell 949.874.8221
Copyright 2021- Steven Thomas, Reports On Housing - All Rights Reserved. This report may not be reproduced in whole or part without express written permission by author.
2021-09-22T11:42:00-07:00
2021-09-22T11:45:52-07:00
Carter Weir
tag:weirproperties.com,2012-09-20:3811
Is another Southern California housing crash needed to create ‘affordable’ housing?
By <a href="https://www.ocregister.com/author/jon-lansner/" title="Posts by Jonathan Lansner" class=" author-name" rel="author">JONATHAN LANSNER</a> | <a href="mailto:jlansner@scng.com">jlansner@scng.com</a> | Orange County Register
PUBLISHED: May 27, 2019 at 7:49 am | UPDATED: May 27, 2019 at 9:38 pm
Are Southern California homes more unaffordable these days? Well, it depends on which yardstick you’re using. If you look at home pricing and incomes since the Great Recession ended, affordability has gotten much worse.
Of course, if we dream of returning to that era, don’t forget that bargain hunters of those days were bold. Buyers had to be willing to act when the economy and real estate markets were shaky. Not to mention, lenders post-recession were reluctant to do business with anyone who didn’t have solid employment and pristine credit history.
It’s no secret that Southern California housing has been expensive for, well, decades. But take a modestly longer-term view, factoring in this era’s historically low mortgage rates, and a typical house payment hasn’t moved much faster than local incomes.
And there’s more competition in the house-hunting field: The region has added 1.18 million new jobs since 2011.
The Associated Press and data tracker CoreLogic have produced <a href="https://www.ocregister.com/2019/05/27/losing-sight-of-the-american-dream-southern-california-home-prices-rising-4-times-faster-than-wages/">new indexes of local housing values and income levels</a>, two key ingredients to measure housing’s affordability. I took that data and tossed into my trusty spreadsheet some mortgage rate trends to see the challenges local house hunters have faced in recent years.
I chose to look at recent conditions vs. those of five, 10 and 15 years ago, loosely marking the beginning of the last boom; the market’s bottom; and it’s rebound to new heights.
Please note that mortgages rates have slid this century. According to the Federal Reserve Board, 30-year fixed-rate loans averaged 4.57% in 2018’s third quarter, the last period CoreLogic measured for its new index. Those rates were up slightly from five years ago when a fixed mortgage ran 4.44%. But in 2008, as the market’s bubble was bursting, rates averaged 6.25%. And in 2003, as the last cycle’s upswing was brewing, the typical mortgage rate was 7.01%.
So, how did that swing play out locally, using the CoreLogic data and my mortgage info?
In the last five years, incomes in Los Angeles and Orange counties rose 16%, nowhere near the 37% gain in typical house payments, according to a mix of CoreLogic’s price index and mortgage movements. In the Inland Empire, 13% bumps in pay were well short of a 41% surge in a buyer’s mortgage payment. Clearly, a house hunter who didn’t act near the bottom is now feeling added financial burdens.
But toss in a historic housing crash that roughly halved home prices and those mortgage rate cuts and the longer-term affordability math changes.
Let’s go back 10 years to the market’s previous price pinnacle. L.A.-O.C. incomes were up 25% in that decade-long period. In the same timeframe, house payments rose by just 21%. In the Inland Empire, a 19% rise in pay compared nicely with a payment increase of 17%.
And since the early days of the last bubble — 2003 — L.A.-O.C. incomes have risen by 50%. That compares to a 56% gain for house payments. Inland Empire workers got 41% better pay, on average, vs. a house payment jump of 29%.
Sign up for <a href="http://bit.ly/STRETCHHOME">The Home Stretch newsletter</a>. Get weekly housing news on affordability, renting, buying, selling and more. <a href="http://bit.ly/STRETCHHOME">Subscribe here</a>.
Perspective is essential as the entire state ponders how to best lower the high cost of living here. Please recall a key ingredient in post-recession affordability that has since vanished: Stupid mortgages.
In the last boom, just about anybody who wanted a mortgage could get one. So while affordability was statistically low, buying was kind of easy.
But lenders — and, yes, borrowers — were acting irresponsibly by creating debts that were unlikely to be repaid. The ensuing wave of foreclosures and other distressed sales created affordability in the form of trashed housing values. Add in the declining mortgage rates from the broad economic meltdown and you had, momentarily, relative bargains. These discounts helped many house hunters afford what usually seems like oppressive local housing price tags.
That brings up an ugly truth for Californians as they debate whether the state can build its way out of its pricey housing. Will it take another housing debacle to create affordable housing?
2019-05-30T12:03:00-07:00
2019-05-30T12:09:43-07:00
Carter Weir
tag:weirproperties.com,2012-09-20:3661
Bubble Watch: Orange County home sales at post-recession low
By <a href="https://www.ocregister.com/author/jon-lansner/" title="Posts by Jonathan Lansner" class=" author-name" rel="author">JONATHAN LANSNER</a> | <a href="mailto:jlansner@scng.com">jlansner@scng.com</a> | Orange County Register
PUBLISHED: May 6, 2019 at 12:37 pm | UPDATED: May 10, 2019 at 4:52 pm
Buzz: It’s the slowest start to a year for Orange County’s housing market since the Great Recession.
Source: CoreLogic
Trend reported: CoreLogic shows 6,211 Orange County residences sold in the first quarter, 20.4% below the start of 2018. Sales rose in only 13 of 83 Orange County ZIP codes compared with the year-ago period. The first quarter saw the fewest home sales since 2009’s first three months. It was also the third-slowest first quarter for sales in CoreLogic’s database dating back to 1988.
Yes, only other two years — mid-crash 2008 and 2009 — have been worse in at least 32 years.
So it should come as no surprise that Orange County’s median sales price for all residences was down 2.1% in a year to $710,000. Prices rose in only 36 of 83 Orange County ZIP codes.
Dissection
No slice of the market escaped buyers’ reluctance …
Single-family home resales: 3,784 sold — down 17.2% from a year ago. The median was $760,000, down 1.9% from a year ago.
Resales of condos: 1,721 sold — down 18.4% from a year ago. Median was $485,000, down 3%
Builder sales: 706 new homes sold — down 37.3% from a year ago. Median was $1.02 million, up 15.8%. Builders’ share of sales: 11.4% vs. 18.1% a year earlier.
The chill hit the market’s more “affordable” niches …
27 least expensive ZIP codes: Median at $624,000 and below — 1,728 homes sold vs. 2,046 a year ago. That’s a 16% drop.
Relative bargains: Seven ZIPs with median prices of $500,000 compared with seven a year earlier. Sales in the sub-half-million ZIPs totaled 367 vs. 362 a year earlier — up 1% in a year.
And the upper crust, too!
27 priciest ZIPs: Median of $779,000 and higher — 2,048 homes sold vs. 2,586 a year ago. That’s off 21%.
Seven-figure ZIPs: 10 Orange County ZIP codes had medians above $1 million. Sales totaled 629 homes, down 22% in a year. There were 11 seven-figure ZIPs a year ago.
16 beach-close ZIPs: 1,233 homes sold — down 26%.
How bubbly?
On a scale of zero bubbles (no bubble here) to five bubbles (five-alarm warning) … 3.5 BUBBLES! This wintry slowdown looks worrisome despite other signs of a solid economy.
Think about this: It’s the slowest late winter for homebuying since the last bubble burst. And it comes on the heels of decent job creation and lenders that are still lending, albeit at somewhat higher rates. We hear things have warmed up this spring … but until significant improvement is made, be wary!
Was the chilly winter for housing just a “blip” of a warning signal?
2019-05-13T10:13:00-07:00
2019-05-13T10:19:29-07:00
Carter Weir
tag:weirproperties.com,2012-09-20:3645
Newport Beach, Laguna Beach, Costa Mesa home sales tumble 27% to start 2019
By <a href="https://www.ocregister.com/author/jon-lansner/" title="Posts by Jonathan Lansner" class=" author-name" rel="author">JONATHAN LANSNER</a> | <a href="mailto:jlansner@scng.com">jlansner@scng.com</a> | Orange County Register
PUBLISHED: May 7, 2019 at 6:35 am | UPDATED: May 7, 2019 at 6:35 am
Homebuying in Newport Beach, Laguna Beach and Costa Mesa fell 27.2% percent in what was Orange County homebuying’s slowest start to a year since 2009.
Not only did CoreLogic stats show the lowest countywide sales count for any first three months of a year since the Great Recession, it was the third-slowest-selling first quarter in the real estate tracker’s database that dates to 1988. At the community level, sales rose in only one-sixth of Orange County’s 83 ZIP codes. With the slump, prices fell countywide, too.
CoreLogic found these 16 trends in the nine ZIP codes covered by the northern edition of the Orange County Register’s The Current weekly …
1. Purchases: Home sales in the first quarter totaled 504 vs. 692 a year earlier, a decline of 27.2% in a year.
2. Who’s up: Prices increased in six of the nine ZIPs as sales rose in just one ZIP.
3. Countywide: $710,000 median selling price, down 2.1% in a year. Orange County sales totaled 6,211 residences, existing and new, vs. 7,804 a year earlier, a decline of 20.4% in a year. Prices rose in 36 out of 83 Orange County ZIPs and sales were up in 13 out of 83 ZIPs.
Here is how prices and sales moved in Newport Beach, Laguna Beach and Costa Mesa …
4. Laguna Beach 92651: $2,088,000 median, up 26.5% in a year. Price rank in Orange County: No. 5 highest of 83. Sales of 75 vs. 98 a year earlier, a decline of 23.5% in a year.
5. Costa Mesa 92626: $831,000 median, up 5.2% in a year. Price rank? No. 21 of 83. Sales of 80 vs. 106 a year earlier, a decline of 24.5% in a year.
6. Costa Mesa 92627: $837,500 median, down 1.1% in a year. Price rank? No. 20 of 83. Sales of 109 vs. 156 a year earlier, a decline of 30.1% in a year.
7. Corona del Mar 92625: $2,775,000 median, up 11.0% in a year. Price rank? No. 3 of 83. Sales of 36 vs. 65 a year earlier, a decline of 44.6% in a year.
8. Newport Beach 92660: $1,528,000 median, down 17.1% in a year. Price rank? No. 7 of 83. Sales of 94 vs. 100 a year earlier, a decline of 6.0% in a year.
9. Newport Beach 92661: $3,400,000 median, up 70.0% in a year. Price rank? No. 1 of 83. Sales of 15 vs. 21 a year earlier, a decline of 28.6% in a year.
10. Newport Beach 92662: $3,400,000 median, down 18.1% in a year. Price rank? No. 1 of 83. Sales of 7 vs. 4 a year earlier, a gain of 75.0% in a year.
11. Newport Beach 92663: $1,550,000 median, up 54.2% in a year. Price rank? No. 6 of 83. Sales of 58 vs. 77 a year earlier, a decline of 24.7% in a year.
12. Newport Coast 92657: $2,705,000 median, up 8.2% in a year. Price rank? No. 4 of 83. Sales of 30 vs. 65 a year earlier, a decline of 53.8% in a year.
13. Single-family-home resales: 3,784 Orange County sales vs. 4,570 a year earlier, a decline of 17.2% in the period. Median: $760,000 — a dip of 1.9% in the period.
14. Condo resales: 1,721 sales vs. 2,108 a year earlier, a decline of 18.4% in 12 months. Median: $485,000 — a dip of 3.0% in 12 months.
15. New homes: Builders sold 706 residences vs. 1,126 a year earlier, a decline of 37.3% in 12 months. Median: $1,017,500 — a rise of 15.8% in a year.
16. Coastal towns: In Orange County’s 16 beach-close ZIPs, 1,233 homes sold — that down 26% in the year.
2019-05-07T10:45:00-07:00
2019-05-07T10:50:30-07:00
Carter Weir
tag:weirproperties.com,2012-09-20:3333
WHAT TAX REFORM MEANS FOR THE REAL ESTATE INDUSTRY
The following information from the American Land Title Association outlines key
provisions of the Tax Cuts and Jobs Act Affecting Real Estate and ALTA Members.
Source: http://blog.alta.org/2017/12/what-tax-reform-means-for-alta-members.html
TAX RATE REDUCTIONS
Maintains seven individual income tax brackets, but lowers most rates: 10%, 12%, 22%, 24%, 32%, 35%, and 37%.
The final bill retains the current-law maximum rates on net capital gains (generally, 15% maximum rate but 20% for those in the highest tax bracket; 25%rate on “recapture” of depreciation from real prop-erty).
Lowers the corporate tax rate to 21% (from 35%).
MORTGAGE INTEREST DEDUCTION
The final bill reduces the limit on deductible mort-gage debt to $750,000 for new loans taken out af-ter Dec. 14, 2017. Current loans of up to $1 million are grandfathered and are not subject to the new$750,000 cap. Neither limit is indexed for inflation.
Homeowners may refinance mortgage debts existingon Dec. 14, 2017, up to $1 million and still deductthe interest, so long as the new loan does not ex- ceed the amount of the mortgage being refinanced.
The final bill repeals the deduction for interestpaid on home equity debt through Dec. 31, 2025. Interest is still deductible on home equity loans (or second mortgages) if the proceeds are used to substantially improve the residence.<br />Interest remains deductible on second homes, but subject to the $1 million/$750,000 limits.
DEDUCTION FOR STATE AND LOCAL TAXES
The legislation allows individuals to deduct an ag-gregate of $10,000 of state and local government taxes (SALT) for property, sales or income tax. Previ-ous bills limited the SALT deduction to only propertytaxes. This $10,000 limit applies for both single and married filers and is not indexed for inflation.
The final bill also specifically precludes the deduc- tion of 2018 state and local income taxes prepaid in2017.
STANDARD DEDUCTION
Nearly doubles the standard deduction from $6,350 ($12,700) under current law to $12,000 ($24,000) for individuals (married couples).
Customer Service cs@caltitle.com | 844.544.2752<br />Los Angeles 100 N. First Street, Suite 404 | Burbank | 818.382.9889<br />Orange County 28202 Cabot Road, Suite 625 | Laguna Niguel | 949.582.8709San Diego 2365 Northside Drive, Suite 250 | San Diego | 619.516.5227
ALTERNATIVE MINIMUM TAX
Retains the Alternative Minimum Tax (AMT), butincreases the amount of income exempt for individ-uals. Repeals the corporate AMT.
LIKE-KIND EXCHANGES
The final bill retains the current Section 1031 Like Kind Ex-change rules for real property. It repeals theuse of Section 1031 for personal property, such asart work, auto fleets, heavy equipment, etc.
CARRIED INTEREST
The final bill includes the House and Senate lan- guage re-quiring a three-year holding period to quali- fy for current-law (capital gains) treatment.
PASS-THROUGH RELIEF
The legislation creates a new tax deduction of 20 percent for pass-through businesses. For taxpayerswith incomes above certain thresholds, the 20 per-cent deduction is limited to the greater of: (a) 50%of the W-2 wages paid by the business, or (b) 25% of the W-2 wages paid by the business, plus 2.5% ofthe unadjusted basis, immediately after acquisition, of depreciable property (which includes structures, but not land). REIT dividends and distributions from publicly traded partnerships are not be subject to the wage restriction. Estates and trusts are eligiblefor the pass-through benefit. Income from certain specified services businesses is ineligible (e.g., health, law, financial services, etc.).
Example. A business purchases an office building for$10 million ($7 million attributable to the structure, $3 million attributable to the land). The building generates annual rental income of $500,000. Themaximum allowable pass-through deduction wouldbe $100,000 (20% of $500K). Even if the busi-ness paid no wages, the business would qualify for the full deduction because 2.5% of $7 million is$175,000. For a taxpayer subject to the maximum 37% tax rate, the rental income would be taxed atan effective rate of 29.6%.
AFFORDABLE CARE ACT
Eliminates individual mandate penalty associat-ed with the Affordable Care Act (ACA) beginning in 2019.
2019-02-06T17:00:00-07:00
2019-02-06T17:07:38-07:00
Carter Weir
tag:weirproperties.com,2012-09-20:3154
1 in 4 Homes In America Are “Equity Rich”
<img src="https://assets.site-static.com/userfiles/308/image/one-in-four-homes-cover.jpg" width="700" height="366" />
When the housing bubble burst, many Americans found themselves underwater or, in other words, with a home worth significantly less than what they owed on their mortgages.
But according to recent data, more and more Americans are finding themselves in the opposite situation—with a home worth far more than what they owe on their mortgage.
According to the most recent <a href="https://www.attomdata.com/news/market-trends/home-equity-underwater-report-q2-2018/">Equity Report</a> from ATTOM Data Solutions, which curates a well-known nationwide property database, as of Q2 2018, nearly 14 million properties in the US are now what’s known as “equity rich”—meaning the balance of loans on the property is worth 50% or less than the current estimated market value. That’s approximately one in four homes in the US that currently holds a mortgage!
But what, exactly, is the advantage of being “equity rich”? Homeowners that are equity rich can sell their homes and walk away with a significant chunk of cash in their pockets—cash they can then use to make a down payment on a new property.
The Takeaway
If you’ve been thinking about selling your home and upgrading to a larger and/or pricier property, check the balance on your mortgage against the current market value. If you’re one of the equity rich, you can use that equity to get into the home of your dreams.
2018-12-17T22:38:00-07:00
2018-12-17T22:59:19-07:00
Chet Spreen
tag:weirproperties.com,2012-09-20:2804
US Housing Prices over the Past Decade
To Read More Click <a href="https://www.fatherly.com/news/map-change-housing-prices-united-states/" target="_blank">Here</a>
<img src="https://assets.site-static.com/userfiles/308/image/52bcdd7808b647b88b1459a55b7b1c5f_8b9bd94eeac9474c8adea866e9211493_1_post.gif" width="500" height="367" style="vertical-align: middle;" />
2018-12-06T17:26:00-07:00
2018-12-06T17:47:47-07:00
Chet Spreen
tag:weirproperties.com,2012-09-20:2755
7 Reasons to Buy or Sell a Home in Newport Beach in the Fall
Silver medal. Runner-up. Fall. These are all considered to be the second choice, but there are so many benefits to buying or selling a home in fall that we can’t help but push back on any thoughts that the season should be dismissed as subpar. After all, vanilla is the top-selling brand of ice cream, but does that make it better than other frozen treats? We think not! Consider these seven reasons to buy or sell this fall.
<img src="https://ecp.yusercontent.com/mail?url=https%3A%2F%2Fcdn.bbsv2.net%2FPROD%2Fulib%2Fn3y1ls%2Fimg%2FSell-BuyingSelling-Change1.jpg%3FbbCB%3D1534801291232%3FbbCB%3D1534885552753%3FbbCB%3D1534886040644%3FbbCB%3D1534886273609%3FbbCB%3D1534950939345%3FbbCB%3D1535124901702%3FbbCB%3D1535124928145%3FbbCB%3D1535127639601%3FbbCB%3D1535128001617%3FbbCB%3D1535128122591%3FbbCB%3D1535138970269%3FbbCB%3D1535143476495%3FbbCB%3D1535143578964%3FbbCB%3D1535144154355%3FbbCB%3D1535144285656%3FbbCB%3D1535148401694%3FbbCB%3D1535390925868%3FbbCB%3D1535391097089%3FbbCB%3D1535391152612%3FbbCB%3D1535554284696%3FbbCB%3D1536072437116%3FbbCB%3D1536073937725%3FbbCB%3D1536074133279%3FbbCB%3D1536074383432&t=1543876100&ymreqid=42aad41f-0d32-35a5-1c7c-bc000d011d00&sig=4XirQf5._I7w0RFX_zkQbA--~C" width="578" class="yiv4310873707responsive_image" alt="" border="0" />
Reasons to Sell Your Home in the Fall
<img src="https://ecp.yusercontent.com/mail?url=https%3A%2F%2Fcdn.bbsv2.net%2FPROD%2Fulib%2Fn3y1ls%2Fimg%2FStandoutinlowerinventory..png%3FbbCB%3D1535143204274%3FbbCB%3D1535143476764%3FbbCB%3D1535143579236%3FbbCB%3D1535144154692%3FbbCB%3D1535144285990%3FbbCB%3D1535148402062%3FbbCB%3D1535390926545%3FbbCB%3D1535391097890%3FbbCB%3D1535391153141%3FbbCB%3D1535554285654%3FbbCB%3D1536072437803%3FbbCB%3D1536073938280%3FbbCB%3D1536074133845%3FbbCB%3D1536074384148&t=1543876100&ymreqid=42aad41f-0d32-35a5-1c7c-bc000d011d00&sig=h_BUMN4t0CInx3LbJJ8zug--~C" width="149" class="yiv4310873707responsive_image" alt="" border="0" />
Spring may have higher demand, but it also comes with higher inventory. Your home listing in the fall means less “competition” for you and possibly a better offer. Make sure you have done a great job of addressing curb appeal, staging, and cleaning to help your home really shine.
<img src="https://ecp.yusercontent.com/mail?url=https%3A%2F%2Fcdn.bbsv2.net%2FPROD%2Fulib%2Fn3y1ls%2Fimg%2FMotivatedBuyers.png%3FbbCB%3D1535129869938%3FbbCB%3D1535138970909%3FbbCB%3D1535143476765%3FbbCB%3D1535143579237%3FbbCB%3D1535144154693%3FbbCB%3D1535144285991%3FbbCB%3D1535148402064%3FbbCB%3D1535390926547%3FbbCB%3D1535391097892%3FbbCB%3D1535391153143%3FbbCB%3D1535554285656%3FbbCB%3D1536072437807%3FbbCB%3D1536073938283%3FbbCB%3D1536074133847%3FbbCB%3D1536074384164&t=1543876100&ymreqid=42aad41f-0d32-35a5-1c7c-bc000d011d00&sig=RW4dAYGnwAdv3H4bVuFZHA--~C" width="146" class="yiv4310873707responsive_image" alt="" border="0" />
Buyers who are shopping for a new home in the fall or even in the winter usually have a strong reason to do so. Their motivations could include a recent job transfer, a desire to have their kids in a new school prior to mid-year breaks (or, if it’s early enough in the season, before school starts), or wanting to celebrate the holidays in a new space.
<img src="https://ecp.yusercontent.com/mail?url=https%3A%2F%2Fcdn.bbsv2.net%2FPROD%2Fulib%2Fn3y1ls%2Fimg%2FAttractuniquebuyers.png%3FbbCB%3D1535143213852%3FbbCB%3D1535143476766%3FbbCB%3D1535143579238%3FbbCB%3D1535144154693%3FbbCB%3D1535144285992%3FbbCB%3D1535148402065%3FbbCB%3D1535390926550%3FbbCB%3D1535391097896%3FbbCB%3D1535391153146%3FbbCB%3D1535554285658%3FbbCB%3D1536072437809%3FbbCB%3D1536073938286%3FbbCB%3D1536074133848%3FbbCB%3D1536074384193&t=1543876100&ymreqid=42aad41f-0d32-35a5-1c7c-bc000d011d00&sig=B_VwyTjdCMvAdsfA.MUnaw--~C" width="146" class="yiv4310873707responsive_image" alt="" border="0" />
With more families wanting and needing multi-generational living spaces (think of the sandwich generation with both teens and aging parents sharing a home), the search for a home could be a longer process, pushing the process beyond spring’s peak.
<img src="https://ecp.yusercontent.com/mail?url=https%3A%2F%2Fcdn.bbsv2.net%2FPROD%2Fulib%2Fn3y1ls%2Fimg%2FBuy-BuyingSelling-Change1.jpg%3FbbCB%3D1534801291344%3FbbCB%3D1534885552901%3FbbCB%3D1534886040771%3FbbCB%3D1534886273730%3FbbCB%3D1534950939744%3FbbCB%3D1535124901883%3FbbCB%3D1535124928251%3FbbCB%3D1535127639618%3FbbCB%3D1535128001630%3FbbCB%3D1535128122602%3FbbCB%3D1535138970469%3FbbCB%3D1535143476500%3FbbCB%3D1535143578969%3FbbCB%3D1535144154369%3FbbCB%3D1535144285664%3FbbCB%3D1535148401790%3FbbCB%3D1535390925996%3FbbCB%3D1535391097326%3FbbCB%3D1535391152746%3FbbCB%3D1535554284889%3FbbCB%3D1536072437345%3FbbCB%3D1536073937854%3FbbCB%3D1536074133444%3FbbCB%3D1536074383580&t=1543876100&ymreqid=42aad41f-0d32-35a5-1c7c-bc000d011d00&sig=IIiWMudvhKGoQZMSCyemWA--~C" width="578" class="yiv4310873707responsive_image" alt="" border="0" />
Reasons to Buy Your Home in the Fall
<img src="https://ecp.yusercontent.com/mail?url=https%3A%2F%2Fcdn.bbsv2.net%2FPROD%2Fulib%2Fn3y1ls%2Fimg%2FSeeHomesFirst.png%3FbbCB%3D1535143226940%3FbbCB%3D1535143476767%3FbbCB%3D1535143579240%3FbbCB%3D1535144154694%3FbbCB%3D1535144285993%3FbbCB%3D1535148402066%3FbbCB%3D1535390926553%3FbbCB%3D1535391097899%3FbbCB%3D1535391153148%3FbbCB%3D1535554285661%3FbbCB%3D1536072437811%3FbbCB%3D1536073938288%3FbbCB%3D1536074133851%3FbbCB%3D1536074384196&t=1543876100&ymreqid=42aad41f-0d32-35a5-1c7c-bc000d011d00&sig=Wul9.w0USnyi7l6FUCoQ0w--~C" width="155" class="yiv4310873707responsive_image" alt="" border="0" />
Often times, sellers will be encouraged to pull their home off the market for the winter holidays. This means inventory will drop and then surge again in the spring. Shopping for a home in the fall will allow you to see houses before the flood of showings after the holidays.
<img src="https://ecp.yusercontent.com/mail?url=https%3A%2F%2Fcdn.bbsv2.net%2FPROD%2Fulib%2Fn3y1ls%2Fimg%2FMotivatedSellers.png%3FbbCB%3D1535142217533%3FbbCB%3D1535143476769%3FbbCB%3D1535143579241%3FbbCB%3D1535144154695%3FbbCB%3D1535144285994%3FbbCB%3D1535148402068%3FbbCB%3D1535390926555%3FbbCB%3D1535391097901%3FbbCB%3D1535391153151%3FbbCB%3D1535554285663%3FbbCB%3D1536072437813%3FbbCB%3D1536073938293%3FbbCB%3D1536074133856%3FbbCB%3D1536074384203&t=1543876100&ymreqid=42aad41f-0d32-35a5-1c7c-bc000d011d00&sig=A5H8fU9Ij4QpcD.3.DTeUg--~C" width="146" class="yiv4310873707responsive_image" alt="" border="0" />
Sellers who keep their listings active in the fall usually have a motivating factor behind their decision, which can benefit you. While it isn’t fully a buyer’s market, because they likely have less showings, they may be more open to accepting your offer.
<img src="https://ecp.yusercontent.com/mail?url=https%3A%2F%2Fcdn.bbsv2.net%2FPROD%2Fulib%2Fn3y1ls%2Fimg%2FGetSettled.png%3FbbCB%3D1535148498785%3FbbCB%3D1535390926556%3FbbCB%3D1535391097903%3FbbCB%3D1535391153155%3FbbCB%3D1535554285665%3FbbCB%3D1536072437816%3FbbCB%3D1536073938296%3FbbCB%3D1536074133858%3FbbCB%3D1536074384207&t=1543876100&ymreqid=42aad41f-0d32-35a5-1c7c-bc000d011d00&sig=XEkZ6nJI.2m_7I9i_Y.5Ww--~C" width="102" class="yiv4310873707responsive_image" alt="" border="0" />
Buying a home in the fall has several time-sensitive benefits. Your first mortgage payment won’t likely hit until the new year, and you may celebrate the winter holidays in your new space.
<img src="https://ecp.yusercontent.com/mail?url=https%3A%2F%2Fcdn.bbsv2.net%2FPROD%2Fulib%2Fn3y1ls%2Fimg%2Fsavemoney.png%3FbbCB%3D1535148473862%3FbbCB%3D1535390926559%3FbbCB%3D1535391097904%3FbbCB%3D1535391153158%3FbbCB%3D1535554285668%3FbbCB%3D1536072437820%3FbbCB%3D1536073938298%3FbbCB%3D1536074133860%3FbbCB%3D1536074384211&t=1543876100&ymreqid=42aad41f-0d32-35a5-1c7c-bc000d011d00&sig=oUxvJ_dKbj9g7YiGJoiDug--~C" width="115" class="yiv4310873707responsive_image" alt="" border="0" />
In an analysis of over 30 million home sales spanning 15 years, RealtyTrac(r), found that home buyers who purchased in October paid nearly 3% less than in other months. You can also get into your new home right in time for the end-of-year sales on appliances and electronics - bonus!
<img src="https://ecp.yusercontent.com/mail?url=https%3A%2F%2Fcdn.bbsv2.net%2FPROD%2Fulib%2Fn3y1ls%2Fimg%2Fdivider-BuyingSelling-2.jpg%3FbbCB%3D1534801730738%3FbbCB%3D1534885553096%3FbbCB%3D1534886040914%3FbbCB%3D1534886273900%3FbbCB%3D1534950940364%3FbbCB%3D1535124902067%3FbbCB%3D1535124928416%3FbbCB%3D1535127639638%3FbbCB%3D1535128001648%3FbbCB%3D1535128122610%3FbbCB%3D1535138970675%3FbbCB%3D1535143476508%3FbbCB%3D1535143578976%3FbbCB%3D1535144154384%3FbbCB%3D1535144285675%3FbbCB%3D1535148401889%3FbbCB%3D1535390926126%3FbbCB%3D1535391097565%3FbbCB%3D1535391152877%3FbbCB%3D1535554285142%3FbbCB%3D1536072437518%3FbbCB%3D1536073938007%3FbbCB%3D1536074133586%3FbbCB%3D1536074383731&t=1543876100&ymreqid=42aad41f-0d32-35a5-1c7c-bc000d011d00&sig=2GbipSYavM6lFMtBC4Akdw--~C" width="598" class="yiv4310873707responsive_image" alt="" border="0" />
If summer was for home repairs and vacations and you are now ready to buy or sell, give me a call for a market analysis and information to get moving this fall!
2018-12-03T15:31:00-07:00
2018-12-03T15:42:50-07:00
Chet Spreen
tag:weirproperties.com,2012-09-20:2022
Interesting Article
The sluggishness of 2017 is about to end as consumers see residential real estate as a solid investment once again.
by Neil Dutta
Housing was the epicenter of the last recession. From the peak in 2005 to the end of the contraction in mid-2009, U.S. residential investment declined at an unprecedented rate of about 20 percent a year. In normal business cycles, sectors that overshoot to the downside tend to rebound sharply. Given the significant oversupply of homes and tightening of credit, housing enjoyed no such recovery. Residential investment was essentially flat for almost two years after the recession ended. Since then, a slow recovery has been underway and we suspect the housing market will pick up in the year ahead.
Although residential investment has been expanding since 2011, recent growth has been sluggish, rising just 1.1 percent over the last year, compared with about 7 percent in the two previous years. Some of this weakness can be attributed to a housing market in transition: Owner-occupied real estate is recovering as renter-occupied real estate is declining. Also, multi-family construction is ebbing as single-family building picks up. With inventories tight, home resales appear to have flattened out as new home sales take a greater share. In other words, conditions in the U.S. housing market are normalizing. That’s a good thing.
There are good reasons to expect residential investment to pick up after sluggish growth this year.
Consumer attitudes are strong, supporting housing demand. It helps that general economic conditions have improved. According to the latest University of Michigan Survey, more people say now is a good time to buy a home because of “prosperous times.” This is a notable difference from the bubble period of 2005-06 and suggests a recovery built on firmer ground.
More respondents say now is a good time to buy a home because “prices won’t come down” and because it’s a “good investment.” Price expectations matter. The improvement in household buying attitudes, helps keep user costs low. In a standard user cost of housing model, the expected value of the home offsets maintenance costs such as mortgage interest and property taxes and depreciation. No one wants to finance an asset class they believe will go down in value. Thus, it is welcome that consumers see housing as a solid investment once again.
Even as mortgage rates have picked up, lending standards have been easing fairly consistently in recent years. According to the Federal Reserve’s Senior Loan Officer Survey, a net percent of banks has been easing lending standards on residential mortgage loans for 14 consecutive quarters. Despite the ongoing easing of standards, we’d hardly describe conditions in the mortgage market as loose. After all, almost 60 percent of newly originated mortgages have gone to those with a credit score above 760; during the housing mania of the last decade, this figure ran less than 30 percent. Mortgage credit is still tight. The good news is that, at the margin, credit is expanding.
Finally, there is ample room left in the housing recovery. After all, during the 1980s and 90s -- that is, excluding the bubble period -- residential investment totaled 4.4 percent of gross domestic product. As of the third quarter, this figure stands at just 3.8 percent. The economy has been operating below this benchmark for about seven years. So, even by the most conservative of standards, there is likely upside from housing’s contribution to overall GDP growth in the quarters ahead. We’re just not building enough houses.
A popular retort to this positive outlook is that supply conditions in the housing market are constrained. There aren’t enough workers to build these homes, or so the thinking goes. Proponents of this view have a point. For example, the jobless rate in the construction industry has never been as low. Although worker shortage in the construction industry might be a problem, we think productivity is a much bigger one. Historically, we saw about four construction workers for every home start. Today, this number stands close to six. With wage growth in the construction industry finally beginning to pick up, perhaps construction workers are on the verge of repaying the favor with stronger productivity.
2017-12-06T10:59:00-07:00
2017-12-06T11:03:17-07:00
Carter Weir
tag:weirproperties.com,2012-09-20:1886
Home Prices
Article in Money Magazine-<a href="http://money.cnn.com/2017/06/23/real_estate/mortgage-rates-home-prices/index.html"> click here</a>
2017-06-23T13:25:00-07:00
2018-12-03T15:20:07-07:00
Carter Weir
tag:weirproperties.com,2012-09-20:1686
Rio Olympics
2016-08-01T14:47:00-07:00
2016-08-01T14:47:50-07:00
Carter Weir
tag:weirproperties.com,2012-09-20:777
Name Change!!
Berkshire Hathaway to shake up real estate franchise landscape
By Lew Sichelman
September 20, 2013, 8:15 p.m.
A new real estate franchise under the fabled <a class="taxInlineTagLink" id="ORCRP001814" title="Berkshire Hathaway Inc." href="http://www.latimes.com/topic/economy-business-finance/berkshire-hathaway-inc.-ORCRP001814.topic">Berkshire Hathaway</a> brand marks its official launch this month.
The name Berkshire Hathaway adds some mustard to an otherwise bland real estate landscape. After all, the conglomerate is one of the world's most admired companies, according to Forbes, with Warren Buffet — widely considered the most successful investor of the 20th century — at its head.
But it may surprise you to know that the National Assn. of Realtors counts 32 national and regional franchise brands in operation across the land. And that does not include the handful of start-ups that seem to pop up every year and then fade away.
Another surprise, perhaps, is that only slightly more than half the nation's realty agents work under a franchise banner. The rest — 41%, according to NAR's latest membership profile — choose to remain independent.
At the same time, 84% of all real estate firms are independent, NAR reports. The rest are franchises or subsidiaries of national or regional firms. The reason: Most realty firms are one- or two-office shops with only a handful of agents, whereas the franchises are larger offices with more agents.
There are good reasons to join a franchise, for both the brokers whose names are on the door as well as the agents who hang their shingles on the wall.
Banners such as Century 21, Re/Max and others give a business instant recognition. Branding is a way to define who you are, according to the experts, and allows real estate brokers to say, "We are different from the rest of the pack."
That's why many newly minted brokers who are just starting their companies decide to affiliate with a franchise. Even though it may cost thousands of dollars to join, working under the Coldwell Banker or Realty Executives label gives them an immediate identification that they would otherwise have to spend years building.
A brand like ERA or Keller Williams also gives brokers a certain edge in recruiting. New agents and industry veterans alike often decide to work under a national trademark to receive the training, leads and other benefits the nationals have to offer. And in real estate, unlike, say, McDonald's and numerous other franchises, brokers are free to run their businesses as they like (within certain parameters).
But even independent brokers have a brand, and their agents do too. They communicate their lineage, trust, expertise and other qualifications through their signs, business cards and marketing materials.
At the same time, the company an agent works for doesn't seem to hold much sway with clients. According to NAR's latest profile of buyers and sellers, just 3% picked an agent because he or she was associated with a particular shop or franchise.
More important factors include honesty (24%), reputation (21%), friend or family member (15%), knowledge of the neighborhood (12%) and a caring personality (9%). Of the other less material reasons, including timely responses and accessibility, only the agent's professional designation was less important than the agent's company.
So what does Berkshire Hathaway HomeServices bring to the already crowded realty landscape?
The name has "a huge reputation," says Earl Lee, the industry veteran who heads HSF Affiliates, the Irvine company that operates the Berkshire Hathaway HomeServices, Prudential and Real Living networks. "It promises integrity, trust and competence."
As Lee sees it, "consumers today are looking for someone they can trust. They want to know they are working with an organization that stands behind its agents. And the strength of Berkshire Hathaway's reputation of integrity and financial stability is behind everything we do."
The company doesn't expect to be the largest, but it does expect to be the best, says Lee, attracting the most qualified companies and agents. Certainly, it will hit the ground running.
Already more than two dozen brokerages affiliated with the Prudential Real Estate brand have agreed to transition to Berkshire Hathaway, including the three that will "go live" this month: Prudential California Realty, Prudential Connecticut Realty and Prudential Florida Realty.
Other brokerages — including Fox & Roach Realtors, a chain based in Philadelphia with some 4,000 agents that the Berkshire Hathaway HomeServices brand purchased in August — will make the official switch in the coming weeks. "It's happening, and it's happening fast," said HSF spokesman Kevin Ostler.
Here are some other facts and figures about real estate franchises from NAR:
•The oldest is Real Estate One, which began franchising in 1971. The company, based in Southfield, Mich., has 74 offices under its wing with 1,622 agents.
•The newest is United Real Estate of Kansas City, Mo., which launched this year and has seven offices and 1,025 agents.
•Keller Williams is the largest in terms of agents, with some 83,000 sales associates in 662 offices. Coldwell Banker is a close second with 82,000 agents, though it has more offices, with nearly 2,300.
•Century 21 is the largest in terms of offices, with 2,500.
•Re/Max agents sell the most houses, according to marketing research specialists at the MMR Strategy Group, followed by Coldwell Banker, Keller Williams, Century 21 and Prudential Real Estate.
NAR doesn't keep count anymore, but in 2009 it listed NRT, the parent of Coldwell Banker, ERA and Southeby's International, the leader in "sides" with nearly 275,000. A listing is considered one side; a sale, another. Home Services of America had nearly 124,000 sides in 2009, followed by Long and Foster Real Estate with almost 70,000.
<a href="mailto:lsichelman@aol.com">lsichelman@aol.com</a>
Distributed by Universal Uclick for United Feature Syndicate.
2013-09-23T11:25:00-07:00
2013-09-23T11:28:46-07:00
Carter Weir
tag:weirproperties.com,2012-09-20:763
Neighbors Vow to protect 60 year agreement
From Corona Del Mar Today
Editor’s note: The lot merger agenda item will not be heard until after 6:30 p.m.
Robin and Joan Campbell have lived in their Ocean Lane home for more than 30 years, with its wall of windows that overlooks Lookout Point and the Pacific Ocean. But another couple with plans to merge two homes and build a taller, bigger residence could leave the Campbells with a view of nothing.
“It’s absolutely the worst thing that’s happened to us, other than losing a dog,” Joan Campbell said. “I can’t think about anything else. It’s destroying my life. I want to be able to see the water.”
The Campbell’s home, along with another house owned by John and Alberta Silva, are part of a 1951 agreement with three homeowners in the 2800 block of Ocean Boulevard. The agreement stated that the three Ocean Boulevard homes would never build above one story, and the two homes in back on Ocean Lane would share an easement that allowed for garage access.
But a couple, John and Julia Guida, has bought two of the Ocean Boulevard properties and plan to build a single home on both lots, with a basement and a roof deck. Neighbors say the home will be the maximum height allowed by the city — more than 20 feet — and will obliterate views.
“This isn’t right,” said Cliff Jones, who lives in a nearby home and who also will lose views. “Everyone is very upset in the whole neighborhood.”
Attempts to interview the Guidas were not successful, and Corona del Mar Today will update this story when they have had a chance to respond to questions. But in an email, Julie Guida offered the following statement:
“Regarding our new home in Corona Del Mar, we are excited about our relocation to the Newport Beach area. We chose the Village in CDM to build our home because of its natural beauty and openness to a variety of architectural styles. We have engaged a team of professionals who have worked diligently to design and build a home that respects the area, adheres to all ordinances and will enhance our property as well as others in the area. With change comes uneasiness and we have heard there is some misinformation about our project among our future neighbors. We regret this may be the case and hope they will get to know us before passing judgment.”
Neighbors attended a Zoning Administration hearing in September, where the city approved the merger of the two lots. The neighbors have appealed, so the issue will now go before the Planning Commission on Thursday. Neighbors also said they will attend Thursday’s meeting of the Corona del Mar Residents Association to see if that group can help. But city officials say they can’t enforce private property agreements, even those that protect views, so it isn’t clear what recourse neighbors have to try to limit construction.
John Silva said he plans to fight.
“If they merge the lots, the covenant is broken,” he said. “At that time, we get legal opinions.”
“He says he wants to be a good neighbor, which makes us all throw up,” Jones said. He also said the new home would block public views from the alley off Goldenrod Avenue, a popular path to the beach from those walking from the Goldenrod Footbridge.
Robin and Joan Campbell bought their home in the mid-1970s, said their daughter, Lucy Campbell. Robin Campbell had been visiting Corona del Mar since the 1930s, when he would ride his three-speed bicycle from San Marino to the beach because he loved the ocean views.
“It’s a funny little house,” she said of her parent’s Ocean Lane home. “It’s all about the view. This whole issue is a catastrophe. This house and the view is it to them. I don’t know what’s going to happen, but I worry about them. It’s just not right.”
The Planning Commission could overturn the zoning administrator’s approval of a lot merger at the Thursday meeting. That meeting will be held at 4:30 p.m. in Council Chambers at City Hall at 3300 Newport Blvd. The public may attend and make comments; click <a href='http://www.city.newport-beach.ca.us/PLN/PLANNING_COMMISSION/10-20-2011/4.0_Appeal%20of%20Lot%20Merger_PA2011-141.pdf'>here</a> to read the staff report. The Ocean Boulevard item may not be heard until after 6 p.m. because of the full agenda that includes plans for the Newport Beach Country Club and a liquor license upgrade for Pizzeria Mozza.
2011-10-24T10:16:00-07:00
2011-10-24T11:09:20-07:00
Carter Weir
tag:weirproperties.com,2012-09-20:762
Is your home making you sick
Is your home making you ill?
Easy steps to clean up indoor air pollution.
By Melinda Wenner Moyer, Redbook
<img itxtbad='1' itxtnodeid='82' height='157' width='157' src='http://blu.stb.s-msn.com/i/BF/48B3D116A8C4F11381C75532AB29C5.jpg' align='left' hspace='0' border='0' style='border: #000000 0px solid;' />
Most of us assume that when we walk into our homes, we slam the door on exhaust, secondhand smoke, and other air-pollution ugliness. In your own house, everything is safe and clean. Oh, if only.
According to the U.S. Environmental Protection Agency (EPA), levels of about a dozen common chemical pollutants are two to five times higher inside homes than outside of them. Part of the problem is that houses are so much better insulated than they used to be: That's a good thing when it comes to conserving energy, but being more airtight also means that 'whatever you emit indoors — whether it's your burnt microwave popcorn, cigarette smoke, or cleaning-product fumes — is going to persist in the indoor environment for longer,' says Lynn Hildemann, an environmental engineer and researcher at Stanford University.
In light of this, scientists are beginning to suspect that it may be these indoor nasties — not just outdoor smog — that are responsible for rising rates of asthma and other respiratory diseases. Indoor pollution can also cause headaches, flu-like symptoms, and, in serious cases, neurological problems.
We know this sounds scary, but don't panic: You can minimize your family's exposure with a few simple steps. None involve buying expensive products (the hulking air purifiers you see in SkyMall catalogs, etc.); in fact, some of the best fixes are the most basic.
DON'T LET THE BAD STUFF IN
Part of keeping the air in your house cleaner is simply not letting certain things into it in the first place. Easy ways to do that:
Kick off your shoes in the front hall. The bottoms of our shoes are covered in a fine layer of chemicals, dirt, bacteria, and mold. That stuff settles onto floors and into carpeting, and regular household activity can stir it up, causing you and your family to breathe it in, Hildemann says. Try stationing a shoe basket or rack in the entryway to keep things more organized.
Wait a few days before picking up your dry cleaning. Freshly dry-cleaned clothes can emit chemicals that have been linked to cancer and neurological problems, according to the EPA — and it's important to make sure the solvents are completely dry before bringing them into your home. You could also switch to a dry cleaner that uses 'wet' or CO2 cleaning, neither of which emit the same kind of dangerous fumes, according to the EPA.
Go fragrance-free. The EPA warns that some air fresheners can release compounds that cause headaches and eye, nose, and throat irritation. Lemon and pine scents concern experts most, Hildemann says: The chemicals that produce those smells react with ozone in the air to form formaldehyde and ultrafine particles that can collect in the lungs. For a safer room freshener, dip cotton balls in a sweet-smelling extract like vanilla and stash them around the house.
VENTILATE!
Not surprisingly, indoor pollution becomes more of an issue during the winter, when we keep our windows closed for months on end, light cozy (but smoky!) fires, and braise our favorite cold-weather meals in the oven. Not only does cooking produce fumes, but gas stoves release trace amounts of carbon monoxide and nitrogen oxide into the air. That doesn't mean that roasting one turkey is going to hurt you — just like other chemicals, the exposure is cumulative. To reduce yours:
Turn on your stove's exhaust fan. This will ensure that smoke and other chemicals released during cooking don't stick around, Hildemann says.
If you have an attached garage, open the garage door before starting your car — and keep it open for a few minutes after pulling in when you return home. Otherwise, the carbon monoxide from your exhaust pipe can get into the main house; over time, that may increase your family's risk for asthma and even neurological problems. Overexposure to carbon monoxide happens more than people might think, according to the EPA.
Make sure your fireplace flue is working properly, to keep lung-irritating particles in wood smoke out of your indoor air. The EPA recommends having a fireplace pro inspect and clean your furnace, fireplace, or chimney every year.
2011-07-22T08:46:00-07:00
2011-10-19T10:58:19-07:00
Carter Weir
tag:weirproperties.com,2012-09-20:761
Sancerre Newport Coast
Sancerre Newport Coast
By Carter Weir
Introduction to the Enclave: Surrounded by some of the most prestigious communities of Southern California, and within the stunning residential resort of Newport Coast, Newport Ridge creates an unprecedented opportunity to achieve a lifestyle of distinction. The 371-acre Newport Ridge community includes a rare selection of outstanding homes and a generous 38 acres of parks and open space.
Sancerre is a community within the master development of Newport Ridge. Residents pay two separate association dues: one to Sancerre and the other per quarter to the master association of Newport Ridge. Sancerre was built as the least expensive detached homes in Newport Ridge. Although they are not attached, they are considered condos because of the land ownership rights. There are no walls that touch.
Sancerre at Newport Ridge is a gated community of 144 single family homes in the master community of Newport Ridge in Newport Coast. This exclusive community offers a private recreation plaza with a pool, spa and barbecue areas. Surrounded by affluent neighborhoods, sweeping views of the canyons and coast, preserved open space, nature trails, beaches, golf courses, distinguished public and private schools, and world-class shopping and dining, Sancerre is an exceptional community to call home.
Bordered By: Sancerre is bordered by The Summit (condos on the south), open park space on the east, Saint Michelle on the north, and The Pointe on the west
Views: The end unit homes on the east have the privilege of seeing the canyon and parks. There is also a walkway that people use to get from community to community.
History of the Area: Conceived and developed as an exclusive residential enclave, Sancerre shares in the spectrum of advantages offered by Newport Coast. Sancerre, like many of the other communities in Newport Ridge, was built in 1996-1997 by California Pacific Homes.
Homes: Sancerre was built by California Pacific Homes in 1996-97 when the rest of Newport Ridge was being developed. Sancerre was developed as a single family detached condo. The inspiration for the architecture of Newport Ridge comes from the French villages of Provence, Brittany and Normandy and from the French eclectic tradition in the U.S. This type of architecture dates from the period between World War I and II.
How the Community Has Evolved: Sancerre is currently in the process of changing the color scheme within the community from Mediterranean colors that the homes were initially painted in the 1990s to deeper tones, more consistent with the French theme. The purpose of this is to maintain the community and keep it evolving with the bigger custom multi-million dollar homes that are a stone’s throw away. Most of the early buyers were young professionals buying a starter home for themselves. Over the years. these professionals had families and the community has evolved into a very nice family neighborhood. Parents have the comfort of letting their kids run free without the worry of them escaping the gated entrance.
Community Features/Amenities/Special Events: Within the gates of Sancerre, residents have access to a private recreation plaza with a pool, spa and barbecue area. Sancerre also participates in an annual Spring Clean Up to help maintain the community as a clean kid-friendly neighborhood. The master association of Newport Ridge has two baseball fields, two tennis courts, two basketball courts, a sand volleyball court, two playgrounds, and open space for barbecuing. There is also a community center within walking distance for Newport Beach residents that has an indoor basketball court, yoga and conference rooms. Newport Ridge has several events a year including Movie Night in the Park and Camping in the Park – mostly kid-friendly activities.
Why You Also Love Living Here: One of the main reasons I love living in Sancerre is because my family lives around me. Being on the top of the hill gives me easy access to my parents down in Laguna, and my brothers in Newport and Irvine Terrace. I also have the ability to shoot down to my office to meet clients in Corona del Mar, while taking in breathtaking views of Catalina on a clear day. Sancerre is also close to one of the best shopping centers around. Just inside the Pavilions there is a Jamba Juice, Starbucks, Sushi Bar, Wine tasting with a cellar, and my favorite – a peanut butter bar. I find myself relaxing at the pool reading a book with 50-foot tall pine trees around me and I feel like I am in heaven. I was born down the hill from Newport Coast in the community of Harbor View Homes where my parents lived for 20+ years. I grew up riding my bike, hiking and playing on the dirt that I now call my home. Although at first I despised the Irvine Company for taking away my playground above Spyglass, I have since appreciated the job that they did in maintaining the open space and the natural beauty of the area. My goal was always to own a piece of land in Newport Beach. I was able to do that several years ago when I bought my home in Sancerre. Over the years I joined the community association to bring my thoughts and values based on living in Newport my entire life. I have sold several homes in this community to friends, because I truly feel it is an incredible opportunity to live where we live.
Current Market Activity:
Right now there are no homes listed for sale in Sancerre. There are 3 homes currently in escrow that were listed from $700,000 to $950,000. Homes in this community tend to sell quickly due to the fact that they are the least expensive detached homes (condos) in Newport Beach. This is why Sancerre wasn’t hit as hard as most during the recession. Investors also see the potential in not only the appreciation of the neighborhood, but also in the rents. Rentals range from the Plan 1 (1,350 sq.ft.) at $3,200 to a plan 4 (2,000 sq.ft.) at $4,300. Average price per square foot is $475.
Information provided by Carter Weir. Reach him at Prudential California Realty by calling 949.795.2222 or by email at <a target='_blank' href='mailto:carter@weirproperties.com'>mailto://carter@weirproperties.com</a>.
2011-07-19T10:27:00-07:00
2011-07-19T10:32:57-07:00
Carter Weir
tag:weirproperties.com,2012-09-20:760
Rents going up
Analyst: Rents to rise 4.5% for years
June 20, 2011|By Property of The OC Register
The folks at John Burns Real Estate Consulting in Irvine have some bad news for renters: The landlord has pricing power!
'We believe the apartment business is set to explode, with steadily rising rents and occupancy that will justify new construction.'
JBREC forecast shows rents growing 4.5% annual on average through 2015. The report notes that 'Wall Street and pension fund consensus, at least for apartments in good locations in coastal cities, seems to be that 25%-plus rent growth over the next three years can easily occur.'
Why are landlords in a good spot? Growing household formation and homeownership skittshness. Your landlords best new customer will be, 'young adults, who have either moved back in with their parents or taken on roommates.' Also, weak job. 'The uncertain environment is enough to convince consumers that renting is safer than taking on a mortgage.'
2011-06-21T08:57:00-07:00
2011-06-21T08:58:53-07:00
Carter Weir
tag:weirproperties.com,2012-09-20:759
There's a New Bayfront on the Market
Gross to sell his empty land
Pimco founder Bill Gross bought a $23 million house on Newport Beach's Harbor Island in 2009, and tore it down (via <a jquery15108960597579273573='162' itxtnodeid='6' itxtharvested='0' href='http://www.cnbc.com/id/43354714'>CNBC</a>).
Now, Gross is <a rel='nofollow' href='http://www.businessinsider.com/bill-gross-newport-house-photos-2011-6' class='itxtrst itxtrsta itxthook' id='itxthook0' style='border-bottom: darkgreen 0.07em solid; padding-bottom: 1px; background-color: transparent; color: darkgreen; font-size: 100%; font-weight: normal; text-decoration: underline;'>selling</a> the empty lot for $26.5 million. The lot has 112 feet of Newport Harborfront property and was formerly owned by philathropist Elizabeth Colyear Vincent.
Before he tore it down, the gorgeous Georgian estate had 11,000 square feet, nine bedrooms, and 12 bathrooms.
Read more: <a href='http://www.businessinsider.com/bill-gross-newport-house-photos-2011-6##ixzz1PMIHU2S0' style='color: #003399;'>http://www.businessinsider.com/bill-gross-newport-house-photos-2011-6##ixzz1PMIHU2S0</a>
2011-06-15T08:23:00-07:00
2011-06-15T08:26:37-07:00
Carter Weir
tag:weirproperties.com,2012-09-20:758
Time to Buy
Why It's Time To Buy
The Clouds Haven't Quite Parted, But the Long-Term Case for Home Ownership Is Looking Stronger
By <a href='http://online.wsj.com/search/term.html?KEYWORDS=RUTH+SIMON&bylinesearch=true'>RUTH SIMON</a> and <a href='http://online.wsj.com/search/term.html?KEYWORDS=JESSICA+SILVER-GREENBERG&bylinesearch=true'>JESSICA SILVER-GREENBERG</a>
Back in June 2006, when the housing market peaked, the prospect of a five-year national housing bust seemed unimaginable to most people. And yet here we are, with the latest Standard & Poor's Case-Shiller index showing that prices hit new bear-market lows, falling back to 2002 levels nationally and to 1990s levels in some battered regions.
Despite all the gloom, however, there are growing indications that it is a good time to buy. Mortgage rates, which fell to 4.55% for the week ending June 2, according to Freddie Mac, are near 50-year lows. Homes have become more affordable than they have been in years: According to Moody's Analytics, the ratio of home prices to income is now 20.9% lower than the 15-year average through 2010, and 12.5% lower than the 1989-2004 average. A historic glut of homes, meanwhile, has created a buyer's market: There were about 15 million vacant homes in the U.S. last year, according to John Burns Real Estate ConsultingInc.—some 3.1 million more than normal.
Such conditions might not last long. Moody's Analytics predicts that the number of distressed sales will begin to fall in 2013, and that prices will begin to edge upward then. Home building is at a virtual standstill, so the supply overhang isn't likely to get much worse. Meanwhile, demographic indicators such as 'household formation'—the number of new households each year—are on the rise, and promise to take a bite out of the glut in coming years.
The upshot: 'While we might not see rapid growth in the next couple of years, there are a tremendous number of positive signs that could lead to a rebound,' says Anthony Sanders, a real-estate finance professor at George Mason University.
The short-term outlook isn't encouraging. Job growth remains weak, foreclosure sales are making up more of the market, and economists are predicting that home prices will fall more in the coming months.
But the long-term benefits of homeownership remain very much intact. For now, at least, you can deduct the mortgage interest on your taxes—a big perk for people in higher tax brackets. You get to paint your walls any color you wish, without having to clear it with a landlord. And assuming you can buy a home for about the same price as you can rent one, buying will give you the ability one day to live rent-free. Come retirement time, a paid-off mortgage means your monthly expenses are significantly reduced, and you have a chunk of equity to play with.
So what might the next five years look like? Once the foreclosure mess begins to clear up, say housing economists, the traditional drivers of the housing market—demographics, affordability, loan availability, employment and psychology—should take over.
Here is a glimmer of what the future may hold: While overall home prices fell by 7.5% in April over the same period a year earlier, according to CoreLogic, a Santa Ana, Calif., provider of real-estate data and analytics, if you exclude distressed sales, prices were off just 0.5%. So if you are in a market that isn't battered by foreclosures, you may be close to a bottom already.
'The regular marketplace is hanging tough,' says CoreLogic chief economist Mark Fleming.
Here is a look at five key factors that will govern local markets over the next several years:
Demographics
Household formation fell during the economic downturn as a weak economy led some people to stay in school, double up with roommates or move in with family members. According to Moody's Analytics, the number of new households renting or owning a home dropped to 578,000 in 2008 from nearly 2 million in 2005, just before the peak of the housing boom.
But household formation increased to nearly 950,000 last year, says Moody's, and should average 1.2 million over the next decade.
That, combined with increased obsolescence and higher demand for second homes, should begin sopping up excess inventory in much of the country over the next two years, Moody's says.
'Whatever the excess supply of housing is, it is shrinking pretty fast,' says Thomas Lawler, an independent housing economist.
Some of the uptick in household formation is likely to come from the leading edge of the echo baby boomers, who have been waiting for the economy to recover before striking out on their own, says William Frey, a demographer with the Brookings Institution. That is likely to fuel an increase in demand for both rental apartments and starter homes.
The portion of people moving across the country has fallen to the lowest level since World War II, he adds. That is a sign that many people have put their lives on hold because of the weak economy.
'When things do pick up, there will be this pent-up demand for everything involved with starting a household,' Mr. Frey says.
Of course, when prices in healthier regions begin to rise, many would-be sellers who have sat on the sidelines could begin putting homes on the market, muting the price gains at first, says Susan Wachter, a professor of real estate and finance at the University of Pennsylvania's Wharton School. Even so, she expects home prices to stabilize and begin to strengthen over the next two or three years.
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There also are some powerful demographic cross-currents worth considering. The first baby boomers turned 65 in January, an age when demand for new homes falls and many begin to think about downsizing. 'The baby-boom generation pushed prices up as they got older,' says Dowell Myers, a professor of urban planning and demography at the University of Southern California. But in the coming years, 'boomers will start flooding the market on the supply side' with larger homes, while fueling new demand for smaller properties with more services and amenities.
Affordability
Rising home prices made renting cheaper than buying in many parts of the country. But that dynamic has begun to change: Housing affordability, as measured by the ratio of median home prices to median household incomes, has fallen below pre-housing bubble levels in just over two-thirds of the country, according to an analysis of more than 380 metro areas by Moody's Analytics.
Renting is still cheaper than buying in most markets, but rising rents and falling house prices mean that, in some areas, this won't be the case for long. Buying a home is already cheaper than renting in Chicago, Cleveland, Detroit and Orlando, Fla., according to Moody's Analytics. In other markets, including Dallas, Las Vegas and Sacramento, Cailf., the equation is likely to soon turn in favor of homeownership if current trends persist, the firm says.
In Ann Arbor, Mich., where home prices fell 11.2% between 2007 and 2010, according to Fiserv Case-Shiller, housing affordability has risen well above historical levels, according to Moody's Analytics.
That is good news for home buyers such as Steven Upton, a 42-year-old photographer, who in June will close on four-bedroom brick house on 10 acres in an upscale community in Ann Arbor. Mr. Upton paid $400,000 for the home, which previously listed for $600,000. 'It's a tremendous deal,' he says.
Before buying a house, it is wise to compare rental prices for similar properties. To be ultraconservative, wait until the monthly outlays, including taxes and insurance, are equal. You also could factor in the tax savings of owning, which would make buying more attractive even if the gross monthly outlay is slightly higher.
Employment
The strength of the housing market depends largely on the economy. Rising incomes and increased employment tend to give more would-be buyers confidence and buying power. For now, job growth remains sluggish: On Friday the Labor Department reported that just 54,000 jobs were created in May, far below expectations.
But signs of how a stronger job market could fuel housing demand are evident in the Dallas metro area, which added 83,100 new jobs in the 12 months ending in April—the largest gain in the nation, according to the Bureau of Labor Statistics. Dallas never had a big housing boom or bust and has benefited from trade with Mexico, a strong telecommunications sector and a central location.
<a>View Full Image</a>
<a><img height='188' width='262' src='https://si.wsj.net/public/resources/images/BF-AB053_HOUSIN_D_20110603230307.jpg' alt='HOUSING_CHART2' hspace='0' border='0' /></a>
The opportunities for a job with more responsibility drew Duane and Linda Elmer to Dallas from Des Moines, Iowa, where Mr. Elmer was a banker for nine years. The couple has agreed to pay $415,000 for a four-bedroom, four-bath house with a Jacuzzi and pool. Their Des Moines home, purchased nine years ago for $410,000, is on the market for $390,000. 'We are willing to take the loss for the opportunity to live in a more diverse community and to take a job with greater breadth of responsibilities,' Mr. Elmer says.
Borrowers like the Elmers who are relocating for job opportunities are a big driver of home sales in nearby Plano, Texas, says Harry Ridge, a real-estate agent. He says such sales accounted for 20% of his business last year.
A similar influx of job seekers is fueling housing demand in the Washington area, where 25,700 new jobs were added in the 12 months since April 2010. Washington was the only one of the 20 cities tracked by Standard & Poor's and Case-Shiller that saw home prices rise both on a month-to-month and year-over-year basis.
Credit
Mortgage financing remains plentiful for borrowers with good credit scores and solid employment histories. But for borrowers who don't fit traditional lending standards, getting a loan can still be nearly impossible. In the first quarter, about 10% of banks tightened standards for nontraditional loans, according to the Federal Reserve. Meanwhile, higher down-payment standards are locking some would-be buyers out of the market. Just 35% of renters have the minimum 3.5% down payment needed for an FHA loan on the median-priced home in their market, according to a recent survey by Zelman Associates.
Credit is likely to remain tight for at least the next six months, says Clifford Rossi, a former <a href='http://online.wsj.com/public/quotes/main.html?type=djn&symbol=C' class='companyRollover link11unvisited'>Citigroup</a> Inc. consumer-lending executive who teaches at the University of Maryland.
But conditions should improve over time, he says: 'There's no question that it will gradually get easier.'
That will be welcome news to borrowers like Greg Silver. The 50-year-old real-estate developer would like to buy a second home, but hasn't been able to secure a jumbo mortgage because his income consists of capital gains from sales of the properties he develops. Mr. Silver closed three sales in the past 12 months, netting him a total of more than $25 million, but didn't record any capital gains in 2008 and 2009. Sure, he could use some of that cash to buy a home outright, but he would prefer to mortgage it, get the tax deduction and keep his cash free for business purposes.
'It's a little devastating,' says Mr. Silver, who is living in Greenwich, Conn.
Psychology
The long-term case for buying over renting remains in force. Yet nowadays, 'People are simply scared,' says Aaron Galvin, chief executive of Luxury Living Chicago, which finds rental apartments for wealthy clients.
Mr. Galvin says he has seen a 30% increase in business in the last year, driven by would-be home buyers who can afford to purchase a property but are choosing not to do so.
The portion of Americans who believe homeownership is a safe investment dropped to 66% in the first quarter from 83% in 2006, according to Fannie Mae, the government-controlled mortgage company.
But it isn't clear whether the fear will result in a prolonged change in attitudes, as during the Great Depression, or have little long-term impact, as was the case for the housing bust that shook California and the Northeast in the late 1980s and early 1990s. Eighty-seven percent of people surveyed by Fannie Mae said they preferred owning to renting, though access to schools, control over one's environment and other quality-of-life issues now are seen as the key benefits of homeownership, with building wealth and other financial factors viewed as less important. In addition, 67% of renters surveyed by Zelman Associates said they planned to buy a home in the next five years.
Jeffrey Connor may be a bellwether for the future of the housing market. The 40-year-old finance director at a corporate law firm says he thought briefly about buying a house when he moved to Chicago from Washington in October. But he opted instead to rent a luxury two-story apartment in downtown Chicago for $3,559 a month. Mr. Connor says it will take substantial job growth and a sharp drop in foreclosures to convince him to buy.
'The market is clearly soft,' he says, 'especially when we consider it good news that the unemployment rate is hovering around 9% instead of 10%.' Mr. Connor says he isn't worried about missing out on today's low interest rates and will consider buying once unemployment falls to 6%.
Other buyers are showing less willingness to wait for the absolute perfect time to buy. Doug Yearly, chief executive of luxury builder <a href='http://online.wsj.com/public/quotes/main.html?type=djn&symbol=TOL' class='companyRollover link11unvisited'>Toll Brothers</a> Inc., told investors in May that 'some of our clients, after waiting so long, are starting to move off the fence and into the market, motivated by attractive pricing, low interest rates and, most important, the desire to take the next step in their lives. The family with elementary-school kids and a puppy when the housing debacle began five years ago now has middle-school kids and the dog weighs 80 pounds.'
2011-06-04T12:02:00-07:00
2011-06-04T12:08:23-07:00
Carter Weir
tag:weirproperties.com,2012-09-20:756
Irvine Terrace 'What's in a Name'
A boat's in a name, at Irvine Terrace
Courtesy of John Blaich Daily Pilot
When the subdivision Irvine Terrace was created at Corona Del Mar, the developers decided to name the new streets after famous yachts based at Newport Harbor.
We have prepared the following list of street names with the names and and descriptions of the yachts and their owners. Thus, the present residents of Irvine Terrace can learn whether they are living on a 'Sailboat' or a 'Power Boat' street.
Street Owner
Altura Drive - 48-foot Schooner North Baker
Angelita Drive - 50-foot Sloop John Earle Wells
Bayadere Terrace - 51-foot Yawl James. H. Nicholsen
Bonnie Doone Terrace - 66-foot Schooner Dr. Irving E. Laby
Chubasco Drive - 67-foot Yawl Don Haskel
Dolphin Terrace - 81-foot Cruiser Arthur Letts, Jr.
Evita Drive - 43-foot Ketch L. Courter
Galatea Terrace - 68-foot Yawl Jascha Heifetz
K-Thanga Drive - 92-foot Cruiser Donald K. Washburn
Kewamee Drive - 63-foot Steel Ketch William W. Valentine
Malabar Drive - 41-foot Schooner A.G. Maddock
Marapata Drive - 98-foot Schooner Col. Max Wyman
Patolita Drive - 81-foot Cutter Charles D. Winan
Ramona Drive - 109-foot Steel Schooner Margaret Fleming
Sabrina Terrace - 58-foot Yawl William R. Cabeen
Santana Drive - 55-foot Yawl Humphrey Bogart
Santanella Terrace - (not available)
Sea Drift Drive - 84-foot Steel Schooner Lyman H. Farwell
Serenade Terrace - 62-foot Cutter Jascha Heifetz
Tahuna Terrace - 48-foot Ketch H.J. Bryan
Zahma Drive - 94-foot Ketch A.H. Andrews
GALATEA
This traditional yawl was based in Newport Harbor from 1935 to 1938. She was owned by the famous violinist Jascha Heifetz, who moored the yacht fore and aft off his leased home near the Harbor entrance at 212 E. Balboa Blvd. Galatea was also kept in the mooring area off the Newport Harbor Yacht Club. Heifetz was a member of the Newport Harbor Yacht Club and the Catalina Island Yacht Club at Avalon.
Galatea was designed by A. Nyrgen and built in Stockholm, Sweden in 1899. Her dimensions are 68 feet overall, 44 feet length on the waterline, 12 feet, 5 inches in beam with a draft of 9 feet. She was steered with a long, beautifully-carved tiller. There was also extensive wood carving on the teak bulkheads below. Heifetz enjoyed the rhythm and quiet of sailing. He frequently sailed to Avalon, Catalina. There was a very large insurance policy on his fingers that did not allow him to pull on lines of make them fast. However, he frequently and enthusiastically helped with the rigging in a limited way.
In 1955, when Irvine Terrace in Corona Del Mar was subdivided, one of the streets was named after Heifetz's yacht. In 1998, an oil painting of Galatea was presented to the Newport Harbor Nautical Museum and is shown periodically. The oil painting was created by muralist Richard W. DeRosset of San Diego. He is a very versatile marine artist and has done many commissions for private collectors, museums, and commercial clients. DeRosset has done three revious paintings of famous yachts for the Newport Harbor Nautical Museum.
EDITOR'S NOTE: John Blaich is a Corona del Mar resident who, about once a month, will write histories of interesting boats that graced Newport Harbor.
2011-06-01T13:13:00-07:00
2011-06-01T13:59:45-07:00
Ben Peskoe
tag:weirproperties.com,2012-09-20:711
Tips to Save Energy and Add Value
When it comes to energy efficiency, look for smart features and expertise to help you save energy and money and add value to your home.
1. Begin with a Right-Sized Home.
If the home you buy is simply too large for you or your family’s needs or plans, you stand a good chance of wasting energy through excessive heating and cooling costs. If it’s too small, you’ll feel cramped and uncomfortable. It’s a big investment, so seek balance and buy it “right” from the outset.
2. Purchase Energy Star Appliances Such as Your TV, Dishwasher, Washer and Dryer, and Microwave.
And especially the refrigerator, as it alone contributes about 10 percent of the energy use in a home. Also, unplug electronics not in use or turn off power strips to avoid phantom charges.
3. Install Efficient Lighting Such as Compact Flourescent (CLF) or LED Bulbs in Every Fixture.
Lighting accounts for about 6 percent of an energy bill each year.
4. Get an Energy Audit and Have Tests Performed to Identify Ways of Improving Your Efficiency.
You can always upgrade your heating, ventilation, and air conditioning (HVAC) system as well as your thermal envelope, which includes insulation, windows, and doors and the seals or weather stripping around them. Visit <a href="http://www.energy.gov/energytips.htm">energy.gov/</a><a href="http://www.energy.gov/energytips.htm">energytips</a> for more tips.
2011-04-27T22:26:00-07:00
2016-06-02T10:31:54-07:00
Carter Weir