Santa Clarita Home Sales Activity September 2023

Just keeping you informed. All things Real Estate. Particularly revolving around my home town of Santa Clarita Valley!!

Today it's about home sales. All of SCV, including the outskirts. Those areas are important too.

We currently have:

Coming Soon - 11 / Active - 304 / In Escrow - 293 / Sold in Last 30 Days - 203

Interest rates are high, inventory is low. Home insurance is high too. But, guess what? Homes are still selling amazingly. Ya need to buy now, you do. Ya need to sell now, you do.

My team currently has 3 homes in the MLS. All 3 are under contract. And, all 3 moved into contract in less than a couple weeks. Buyers? We've got one that we are working with right now. But, we do whatever people need. Buy, Sell, you need it, we help.

Where do we think the market is going? It's probably going to do a seasonal slow down over the next few months. But, if mortgage rates trickle down, we will likely see a bit of a surge of buyers. So, as usual, it's us wishing we had a crystal ball to help your decision making easier. Doubtful that we'll see an influx of sellers coming on market unless the same thing happens. Or, we wait til February and see if the onset of Spring brings them out. 

See, a crystal ball would come in so darn handy right now!

If we can help in any way, just give me a jingle.

I'll get you to the best team member we've got to handle whatever your needs are.

Why You Should Definitely Have A Trust

If you own property, have monetary assets, and have a family, you should have a Trust. YES, you should. Do we? Ugh, hate to admit it, but we still haven't put ours in order. Next on the To-Do list!

My mums passed away last year, she was so organized. Everything was in her Trust. Bank accounts, house, everything. She had given my siblings and I copies of the Trust well before she passed. It was from 20+ years prior. But, she kept it current.

When she passed, it was very simple how things were to be divided. My Big Bro was the executer. Due to the Trust, there was not a single dispute as to how things were to be handled. AND, the taxes for us were completely different from what they would have been if not in a Trust.

The Brief Benefits of Having a Trust:

* Protecting and preserving your assets.

* Customizing and controlling how your wealth is distributed.

* Minimizing federal or state taxes.

* Addressing family dynamics; for example, divorce or blended families.

* Helping a parent or other relative manage their financial affairs.

As a 20+ year Realtor, I've had my fair share of selling properties with and without a Trust in place after the owner passes. Take my word for it, a WILL does not suffice. And, without a Trust, there will be Probate involved, and more taxes to the beneficiaries. 

Family, Money, Death..... there are high emotions and, unfortunately, there can be lots of different opinions. Families can fall apart after a death. But, if you have a Trust in place, it will go a lot smoother. And, yes, I'm saying it again, a lot less costly. 

If you care about your family after death, put your home and assets in a Trust....Now.

If A Seller Gets A Better Offer....

What happens then? Well, once all parties have fully executed a complete contract, the Seller can't do anything. If the Seller submits a Seller Counter Offer to the Buyer via their agent, that opens up a different scenario.

And, therefore, if a Seller receives a better offer from a second buyer before buyer # 1 signs the counter offer and is returned to seller?

Yep, the Seller can orally withdraw, via their agent, that counter offer sent to # 1 buyer and accept buyer # 2 offer. Listing agent must call buyers agent to inform, then immediately send to Buyers agent a W.O.O., Withdrawal of Offer. Can it get sticky? Sure. Times noted and meticulous documentation must be kept if Buyer # 1indicates they have already signed the Sellers Counter Offer and sent back to seller via sellers agent. Unfortunately, if it has not been sent by Buyers agent to Listing agent in a timely manner, that can be the caveat, because to have the sellers counter offer be part of the contract, the buyer must execute and it must be received by Seller, or their agent, prior to Seller accepting another offer.

And, I'd be hopeful that you've hired an agent that does things in a timely manner.

Whether working with a Seller, or a Buyer, timeliness is definitely a huge aspect for a clean transaction.

Oh, and here's a picture of our Valencia Coming Soon listing that Jennifer is taking care of!

And, this girl is definitely timely!

That's why she's working so well with Leslie and I.

Feel free to call Jennifer for any questions @ (661) 435-0935

Hasn't Happened Since April 2002

I got my Real Estate license in June of 2002. April of 2002, home loan rates were 7.13%.  Per CNN, as of yesterday afternoon, mortgage rates were 7.09%. Well, damn. Copied & Pasted a section of that same article for you. See below the picture that I pulled from one of my fave lenders. Definitely seems right today. Do you think we'll feel it's right in 2028?

Rates and home prices expected to stay elevated

With inflation still a concern for the Fed, home buyers can expect borrowing costs to stay elevated.

The bottom line for home buyers is that it will continue to be difficult to find affordable homes as rising mortgage rates are tacked onto already elevated home prices.

This year home buyers have seen rates rise a whole percentage point from the lowest point of 2023, 6.09% in February, to this week’s 7.09%. Compared to a year ago, rates are nearly 2 percentage points higher.

Today’s mortgage rate is 196 basis points higher than a year ago when rates were 5.13%, which means that for the buyer of a median-priced home, the monthly mortgage payment is 17% higher.

More than 90% of homeowners with mortgages currently have a rate of 6% or lower, according to a recent Redfin study, meaning they are staying in their current home, not selling and trading up, which would come with higher borrowing costs. This is making the number of already built homes available to buy extraordinarily low — keeping prices elevated for those looking to buy.

A homeowner who bought a median-priced home with a 20% down payment in January 2022 with a 3.1% mortgage rate is paying about $1,300 a month. That same home at today’s rate would mean a $2,300 monthly mortgage payment, excluding taxes and insurance. Well, Damn again.

For current homeowners who decide to sell, high home prices can help ease the blow of higher mortgage rates. “It is not surprising that with equity near all-time high, over one-in-four buyers is paying all cash for their next home.” 

But unlike existing home owners who can leverage home equity – which is near all time high – to reduce the size of mortgage loans, first-time home buyers are facing much more challenging market conditions.

Plus, with asking rents dipping for two consecutive months, according to Realtor.com, potential first-time home buyers may not feel the same urgency to expedite their home purchase as they did when rents were escalating at a double-digit pace.

“This may result in slower sales churn, but it also provides potential home shoppers with an extended timeframe to carefully consider crucial decisions during the home buying journey.” 

Hard Decision To Make, Yes?

Interest Rates & Buyers Thoughts

I can't even recall the number, but it was a high percentage rate that came back in a buyer survey that 'It Was Not A Good Time To Buy A Home'. I wanna say it was about 92%. That seems crazy high as we are still selling homes in Santa Clarita.

Oh, and then there is this that I just read this morning:

Mortgage rates rise again, but look poised to drop in the fall

The 30-year fixed rate climbed to 6.96% for the week ending August 10, the highest rate since November 2022

Buyers have become accustomed to the lack of inventory and the higher rates...presumably.

However, I've said this before, and I'll just keep saying it. Buyers buy, and Sellers sell, when the time is right for them. Regardless of the lack of inventory, the high interest rates, or the color of the moon.

If the time is right for you, to sell or buy, just holler. 

We'll make it as easy as possible for you.

Santa Clarita Valley Home Sales Activity - August 4, 2023

Good Morning! Housing inventory is still extremely low, but it has gone up 20% in the last couple of months in our pretty valley.

As a reminder, I include: Acton, Agua Dulce, Canyon Country, Saugus, Newhall, Valencia, Stevenson Ranch, and Castaic. They aren't all part of the incorporated SCV, but they do get 'shopped' by home buyers looking in SCV.

I ran these numbers late last night. I was actually kind of surprised by the number of Coming Soon at 19. They'd been hovering under 10 for a few months.

The Active (Available in the picture above) are at 296. Mid June they were 228. Beginning of May, they were 241. So, yes, up 20%. But, still remarkably low. 

In escrow is 287. And, Sold (Closed in the picture) in the last 30 days is 224.

I will tell you that my team has 3 new listings. One that just hit yesterday, 2 more in the 'getting ready' stages. We were pretty quiet for a couple of months, then poof, 3 Sellers said they were ready to sell. Not surprisingly, all 3 are leaving SCV. One out of state, one is actually 75% gone already, the 3rd is moving to another city.

Why is inventory so low? It's been low for a few years. For many reasons of course. Right now, I truly believe it's the interest rates. If Sellers want to sell and Buy a replacement property, it's a tough pill to swallow to go from a 3.5% interest rate to an almost 7% rate. The 3 we have are going to be cashing out. Not rebuying with a loan either. So, those make complete sense.

If you have questions, just holler. We're happy to help.

This is the one that just hit the market!

28377 Connie Court, Santa Clarita, CA 91387

Listed at $649,999

Lauren Witz Greber

Realty Executives Homes

(661) 313-5470 - cell

Leslie Babikan

Keller Williams VIP Properties

(661) 312-3669 – cell

Jennifer Herring

HomeSmart Evergreen

(661) 435-0935 - cell

Excited About A Referral From YOU! 😊
DRE License # 01347043/01985201/01967154

"Keep Your WITZ About You When Buying Or Selling Your Home"

"What's Cooking in Real Estate"

“Inspired By Integrity, Driven By Purpose”

 

 

Real Estate Fraud Can Happen

I read something, and already shared it to my Facebook business page, about a fraud happening where Zillow and some guy pretended to be some deceased guy and actually was able to transfer ownership to the fraud dude! So awful. Cost the family thousands to get it rectified and they lost all the possessions that were in the home as well.

I've been meaning to share these JPG's with you about Seller Fraud in Real Estate as well. I've been fortunate that in over 21 years of being a Realtor, I've never actually encountered this myself.

SAVE THIS POST, SO YOU CAN COMPARE NOTES, 

IF SOMETHING LIKE THIS HAPPENS THAT SEEMS JUST A BIT OFF.