Real Estate Taco

05/20/2024

Architecture gives each property its own character and the design changes the environment in which you experience, inside and out. Do you have a favorite?

12/06/2023

Just because the financial markets go through a recession and the economy is riddled with inflation does not mean that there will be a decline or crash in the real estate market, history proves this. We were blessed with below normal interest rates at 2 to 3% and now back closer to an average interest rate over the past 50 years is something that will be an education process to our clients. Lastly, you are married to the property, not the interest rate. Wishing you a POWERFUL and PRODUCTIVE day.

02/02/2022

Early on in my career I was meeting a buyer at a home that was somewhat up in the hills, I am there early waiting outside the house and I hear a noise and then see a Peacock, it is slowly walking towards me. It stops and watches me, then puts it head down a bit and begins to walk aggressively towards me, I begin to walk down the street away from that house and the bird is tracking me, I walk back across the street and get in my car as to not irritate the bird, next thing I know there are four of them and they begin jumping up on top of my new BMW scratching and making all this noise. Luckily a neighbor ses this and comes out laughing and shews them away, they told me that they are the nieghborhood watch and anyone they dont recognize they do this to. lic #01128892

02/02/2022

What a lot of buyers don't realize is the emotions involved in buying a home, especially their first home. As a professional we don't want to show you a home that is not in your price range, either too high or too low. The reason for this is that if we show you something lets say 100k over your budget you will mentally compare all other homes back to that one and this becomes very frustrating. Too low and you wished you would have spent that extra money to get more of a home that your really wanted, it truly is in your best interest to get pre aproved ... for more information call us today! 805-473-0300

What is a Real Estate Taco? It's a time and place we meet to talk about Real Estate and eat some Tac

02/02/2022

A party wall is a wall that has been built on the property boundary as a common support to structures on both sides which are under different ownerships. lic #01128892

01/31/2022

How's the market

We are still low in inventory, interest rates are slowly going up and inflation continues to rise. If this continues this will adversely affect the market. What many people dont understand is that in a mortgage loan and how your buying power works. If you are financing $1M and the interest rates go up by 1% that takes away 10% of your buying power. So for the same monthly payment at 1% higher you can only finance $900k. Less buying power will over time have an effect on the market because there will be less people able to afford that property at that price.

How is this market different from the last market? Simple, the lending is under much more control and over 50% of the homes in America have 50% or more equity whereas in 2006-2008 only 24% of the homes in America ahd 50% or more equity and many had Negative Amortization loans, second and third mortgages.

What are some of the media outlets saying about foreclosures and forbearance? Due to the pandemic there were some Cities that their leadership in fact told the citizens not to make their payments and some did not. So here we are almost two years later and many of the moratoriums are being lifted and some are predicting that there will be masses of foreclosures. The numbers show significantly less than what is being stated or they are reporting on specific concentrated areas to project something that is not an overall fact.

The real numbers state that a small fraction of the population is still behind or are working out the mortgage issue. An even better situation is that most of these homes have tremendous equity so they can still sell and walk away with a substantial amount of equity.

09/09/2021

What are prices supposed to do for the balance of 2021 and throughout 2022?

One of the major story lines over the last year is how well the residential real estate market performed. One key metric in the spotlight is home price appreciation. According to the latest indices, home prices are skyrocketing this year.

Here are the latest percentages showing the year-over-year increase in home price appreciation:

The House Price Index (HPI) from the Federal Housing Finance Agency (FHFA): 18.8%
The S. National Home Price Index from S&P Case-Shiller: 18.6%
The Home Price Insights Report from CoreLogic: 18%
The dramatic increases are seen at every price point and in all regions of the country.

Increases Are Across Every Price Point
According to the latest Home Price Index from CoreLogic, each price range is seeing at least a 19% increase year-over-year:
Home Price Appreciation Is Skyrocketing in 2021. What About 2022?

Increases Are Across Every Region in the Country
Every region in the country is experiencing at least a 14.9% increase in home price appreciation, according to the Federal Housing Finance Agency (FHFA):
Home Price Appreciation Is Skyrocketing in 2021. What About 2022?

Increases Are Across Each of the Top 20 Metros in the Country
According to the U.S. National Home Price Index from S&P Case-Shiller, every major metro is seeing at least a 13.3% growth in prices (see graph in pictures) Home Price Appreciation Is Skyrocketing in 2021. What About 2022?

What About Price Appreciation in 2022?
Prices are the result of the balance between supply and demand. The demand for single-family homes has been strong over the last 18 months. The supply of houses available for sale was near historic lows. However, there’s some good news on the supply side. Realtor(dot)com reports:

“432,000 new listings hit the national housing market in August, an increase of 18,000 over last year.”

There will, however, still be a shortage of supply compared to demand in 2022. CoreLogic reveals:

“Given the widespread demand and considering the number of standalone homes built during the past decade, the single-family market is estimated to be undersupplied by 4.35 million units by 2022.”

Yet, most forecasts call for home price appreciation to moderate in 2022. The Home Price Expectation Survey, a survey of over 100 economists, investment strategists, and housing market analysts, calls for a 5.12% appreciation level next year. Here are the 2022 home appreciation forecasts from the four other major entities:

The National Association of Realtors (NAR): 4.4%
The Mortgage Bankers Association (MBA): 8.4%
Fannie Mae: 5.1%
Freddie Mac: 5.3%
Price appreciation is expected to slow in 2022 when compared to the record highs of 2021. However, it is still expected to be greater than the annual average of 4.1% over the last 25 years.

Bottom Line
If you owned a home over the past year, you’ve seen your household wealth grow substantially, and you’ll see another nice boost in 2022. If you’re thinking of buying, consider buying now as prices are forecast to continue increasing through at least next year.

For more information contact Kevin Jones, Realty Professionals 805-473-0300

Kevin Jones, Broker Lic #01128892
Realty Professionals, Lic #01892221

01/25/2018

February 20th at 6pm you are invited to join us for Taco Tuesday at the Pismo Coast Association of Realtors for an enlightening informational get together discussing topics about buying, selling, financing and refinancing all types of real estate. We will have influential leaders and professionals from real estate, escrow, loans and title speaking giving you the knowledge you need in this changing real estate market. Go to www.realestatetaco.com to RSVP. License # 01128892