Jeff George Real Estate

02/03/2022

Assisted another great family to get a new home in Hesperia for $550,000.

01/04/2022

Learning new Contract changes...
Going to be a long day...

12/30/2021

12/30/2021

Existing Home Sales Rise for Third Consecutive Month

Existing Home Sales, which measure closings on existing homes, were up 1.9% from October to November to an annual pace of 6.46 million units.

However, the low inventory of homes around the country remains a challenge for many buyers, as there were only 1.1 million homes for sale at the end of November. This is down nearly 10% from October and 13.3% year over year. Inventory is nearing the record low levels of just above 1 million that were seen earlier this year. The continued strong demand for homes and near record low
inventory remains supportive of home prices.

The median home price was reported at $353,900, which is up almost 14% year over year. Remember
that the median home price is not the same as appreciation. It simply means half the homes sold were above that price and half were below it.

First-time homebuyers accounted for 26% of sales, which is down from 29% in October. This decline is concerning and it’s important to monitor if this is related to seasonal factors or part of a bigger
theme. First-time homebuyers, after all, are the engine of the housing market.

Cash buyers remained stable at 24%, while investors purchased 15% of homes, which is down from 17%. Foreclosures and short sales accounted for less than 1% of all transactions.

12/29/2021

39 Degrees...
Damn...
We need summer to hurry and arrive...

12/16/2021

My #1 Grandson is a real Gentleman

12/14/2021

https://www.pe.com/2021/07/22/12-trends-behind-riverside-countys-85000-home-price-jump-or-10-an-hour/

The countywide $510,000 median was up 20% over 12 months. This breaks the record $503,000 set in May.

12/14/2021

The Latest on Home and Rental Prices

CoreLogic released their Home Price Index report for October, showing that home prices rose by 1.3% from September and 18% year over year. This annual gain is unchanged from the previous report. Detached homes appreciated at an even higher pace of 19.5% year over year.

The unchanged 18% annual figure for October follows suit with recent appreciation data released by both CaseShiller and the Federal Housing Finance Agency, which seem to reflect that we’ve reached the maximum year over year gains. Note this does not mean that home prices are going to decline. It simply means we may see slower month over month gains and that home prices may rise at a more modest pace.

Within the report, the hottest markets were Phoenix (+31%), Las Vegas (+24%), and San Diego (+22%).

CoreLogic forecasts that home prices will appreciate 0.2% in November and 2.5% in the year going forward. Yet, they remain conservative in their forecasting and continue to miss on the low side. For example, CoreLogic had forecasted prices for October would rise by 0.1% from September and they actually increased by 1.3%.

Even though CoreLogic only forecasts a 2.5% gain in home prices over the next year, they are certainly the outlier compared to other forecasts. Goldman Sachs expects 16% gains, Zillow anticipates 14%, and Fannie Mae sees prices rising by roughly 7.5%. Mid to high single digit appreciation is definitely attainable and is still
very meaningful for wealth creation. For example, a $400,000 home that appreciated by 8% would result in $32,000 in appreciation gain in just one year.

CoreLogic also conducted a consumer survey, which showed that over half of respondents across every age cohort said that owning a home has always been a goal of theirs. This further supports the outlook that consumer desire for homeownership remains.

Apartment List also released their National Rent Report which showed that rents increased 0.1% in November. While this is the lowest month-over-month growth rate of the year, rents have increased almost 18% year to date. To put this in perspective, rent growth from January to November averaged just 2.6% in the pre-pandemic years from 2017-2019. Although low inventory around the country has made buying a home challenging for
many people, renting is not a better option.