Los Angeles metro area average home price up $25,000 from April 2023 to May 2023.
1/3 of home buyers are paying in cash – who are they?
Redfin found that 33.4% of buyers opted for an all-cash deal in April, the highest that mark has been since 2014.
Baby Boomers make up the largest share of those buyers with more than half of people age 58 to 76 paying in all-cash.
“Homeowners have really been the winners in that scenario … they have equity and are able to make a move with paying all cash,” Jessica Lautz, National Association of Realtors deputy chief economist and vice president of research, told Nexstar.
Another trend that stood out in the data – single women are the most likely to pay in all-cash, Lautz found.
28% single women
27% married couples
20% single men
20% unmarried couples
When it comes to the race of all-cash buyers, Lautz found that 23% were white/Caucasian, 15% Black/African-American, 8% Asian/Pacific Islander, and 8% Hispanic/Latino.
Supply shortage keeps LA home prices afloat
Spring 2023 has shaped up as one of the slowest-selling seasons on record for Southern California.
Low housing inventory has kept home prices afloat.
See what affordable housing in LA looks like! Interested?!
This "waterfront" home has 1 bed/1 bath, 462 sq. ft. of living space, and is on a 1,819 sq. ft. lot.
The property is below street level and embedded into the side of a bridge overlooking the Alhambra wash.
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Luxury home sales in LA plummet after "Mansion Tax" start date
Measure ULA — also known as the “mansion tax” — was passed by L.A. voters in November 2022 to establish the city’s first dedicated stream of affordable-housing revenue. The measure adds a 4 percent tax to sales over $5 million and 5.5 percent tax to sales over $10 million.
We just had the slowest-selling April in 35 years
Home sales across Southern California have fallen steeply, with the number of deals down by almost half.
Buyers closed on 13,201 single-family homes and condos in April, down 46 percent in a year, the Orange County Register reported, citing figures from CoreLogic.
It was the third biggest, year-over-year drop since records began in 1988.
The wrench in the machine is high mortgage rates and low housing inventory, with the local housing market seeing its slowest-selling April in 35 years. It was also the 18th-worst sales month total on record.
Sales in Los Angeles were down 39 percent, according to the Register.
The Southern California market has a 2.5-month supply of single-family homes waiting to be sold, 34 percent below the average since 2008.
The 5 hottest real estate markets in the U.S. are...
Sorry Los Angeles... you didn't make the cut!
A midsize town in Georgia about 75 minutes by car from Atlanta is the nation's hottest real estate market, as a tide of renters flee pricey cities in search of homes in more affordable places.
That's the takeaway from a new Bankrate analysis of nearly 200 housing markets around the country. The personal finance website ranked the top most attractive and active housing market and found that Gainesville, Georgia, was No.1. Bankrate based its ranking on factors such as which cities had the strongest job growth, fastest population growth, largest home value appreciation, lowest unemployment rate and highest rate of homes for sale.
Rounding out the top five real estate markets were:
-Knoxville, Tennessee
-Fort Myers, Florida
-Sarasota, Florida
-Charlotte, North Carolina
Have you ever thought of moving to one of these 5 cities?
I need your referral help for the rest of 2022
It would mean the world to me if you referred me to a friend, co-worker, or neighbor that you think is getting ready to sell their property in 2022.
Text me anytime at 818-445-7953. Thanks!
Google search for 'Housing Market Crash' soars
When Newsweek viewed Google Trends data, it found that interest in the term "housing crash" was at its highest point in July compared to any other time on a graph that dated to January of 2004.
Interest was also significantly higher when compared to months in 2007 and 2008.
When the housing market crashed in 2008, it led to an economic crisis that became known as the Great Recession.
Mortgage rates drop below 5% for the first time in 4 months
How long will this last?!?
The 30-year fixed-rate mortgage dipped below 5% for the first time in nearly 4 months averaging 4.99% for the week ending August 4.
Supply constraints and a tight labor market will likely push rates back up, especially since the Fed is determined to bring inflation down even at a cost of a slight economic downturn.
Source: California Association of Realtors
I need your referral help for the rest of 2021
Text me at 818-445-7953. 📱
The race to space could impact real estate
Amazon and Blue Origin founder Jeff Bezos flew to suborbital space and back on Tuesday. His journey follows Virgin Records founder Richard Branson’s space trip last week. But what do these billionaire space joyrides have to do with real estate? A lot, if this trend truly takes off, real estate experts say.
The hub locations for aerospace giants such as Elon Musk’s SpaceX and Bezos’ Blue Origin could drive average median real estate prices as they attract job growth and higher incomes.
“If, say, a large tech company decided to open another headquarters with high-income jobs, then the local area will experience a sizable growth in home prices,” NAR’s Chief Economist Lawrence Yun told Fox Business. “Given that SpaceX and Blue Origin employees have sophisticated high-tech skills with presumably high income, the impacted small community real estate market will clearly benefit.”
To what extent can space rides affect the local real estate prices in these areas? The areas where SpaceX, Blue Origin, Virgin Galactic conduct business have gone up substantially. In Cameron and Santa Barbara counties, home prices have climbed 51% and 108%, respectively, between 2000 and 2020, according to the Federal Housing Finance Agency’s housing price index map. In Sierra County, N.M., and Kern County, Calif., real estate prices have surged 80% and 114%, respectively, between 2000 and 2020. In Brevard County, Fla., prices are up 128% in that time period.
Source: Fox Business
Here’s an easy way to show your friends you care - REFER ME to sell their home!
If your friend is thinking of selling their home, I would appreciate it if you referred me.
Feel free to give them my number: 818-445-7953.
Thanks!
Be the home buyer that is outbidding the others
Are you constantly being outbid when submitting an offer on a home?
Having a lower asking price is a widely used strategy by real estate agents to get multiple offers on their listing.
If you are seeing this a lot in your search area, adjust your budget!
Let's say your budget is $800k and you notice you have been outbid now a couple of times by buyers offering $25K above the asking price.
Adjust your budget down to $775K.
That way you can now be the one to submit an offer above the asking price.
You will now be the one who is outbidding all the other buyers by $25k.
Of course, have your agent do a market analysis on the property to make sure whatever amount you are offering is fair market value for the property.
Your 3% home purchase deposit is due in 3 days
When you buy a home, you have to put down a deposit.
Typically that deposit amount is 3% of the purchase price of the home.
Keep in mind that this 3% amount is not set in stone, but it is customary.
You can put any amount you want, however the seller will not think you are a serious buyer and probably won't accept your offer unless you put at least 3% for your deposit amount.
You have to send your deposit over to the escrow company to hold within 3 days of getting your offer accepted.
