Irvine Real Estate News

 

Feb. 5, 2018

What's Been Happening in Woodbridge Irvine?

In just two weeks, Orange County housing demand has increased 22% while supply has only increased 2%.

When the supply of homes is low and the demand to buy homes is high, the expected market time falls. That is exactly what is occurring right now. This week escrow closed on my 119 Greenmoor listing which sold with multiple offers, after only 6 days on the market. And it sold for 10% higher than the list price!

 

A week after it went into escrow, I listed another Greenmoor home, (in the Laurels neighborhood), and it too sold after just a few days, with multiple offers, and is currently in escrow.

 

I expect the high demand to continue, mainly because historically more buyers come out after the SuperBowl.

 

There are 15 Woodbridge homes currently listed for sale, up from 14 at the beginning of January. One of them is 10 Woodflower, my gorgeous 4-bedroom Landing II listing with a magnificent salt-water pool. It is listed at $1,600,000. See some photos and more info at this link.

 

There are 309 properties for sale elsewhere in Irvine. See all Woodbridge homes for sale.

 

For info on any of these, shoot me an email, or call me at 949-232-5634.

 

21 Woodbridge homes sold in January 2017, at prices from $492,000 for a 2-bedroom, 1.5 bath attached condo at 18 Rosemary in the Villager neighborhood, to $1,230,000 for 2 Lakeknoll, a 3-bedroom, 2.5 bath detached condo with a great lake view, in the Crossing neighborhood.

 

21 Woodbridge homes are in escrow, (Pending or Backup Offers status), at an average list price of $804,209.

Posted in News
Dec. 29, 2017

My Happy New Year Video :)

Wishing all my real estate clients, family and friends, a very happy and prosperous New Year, and all the best for 2018. Enjoy!

 Right now, 276 properties are listed for sale in Irvine, with prices ranging from $265,000 all the way up to $20,900,000.

 Every Irvine real estate listing can be seen here.

Posted in News
Nov. 2, 2017

The Buyers are Out Now. THAT'S Why Sell NOW Instead of Later.

Each year, most homeowners wait until the spring to sell their houses because they believe that they can get a better deal during the normal spring buyer’s market. However, recently released data suggests that a seller’s best deal may be available right now. The concept of ‘supply & demand’ reveals that the best price for an item will be realized when the supply of that item is low and the demand for that item is high. 

Let’s see how this applies to the current Woodbridge residential real estate market.

23 Woodbridge homes sold in October 2017, at prices from $445,000 for a 2-bedroom, 1.25 bath attached condo at 85 Greenfield in the Alders neighborhood, to $1,150,000 for 21 Fairdawn, a 4-bedroom, 2.5 bath detached SFR in the Landing I neighborhood.

SUPPLY

It is no secret that the supply of homes for sale has been far below the number needed for over a year. A normal market requires six months of housing inventory to meet the demand. The latest report from the National Association of Realtors (NAR) revealed that there is currently only a 4.2-month supply nation-wide. It's much less in Woodbridge.

There are 23 Woodbridge homes currently listed for sale, down from 27 at the beginning of October. There are 375 properties for sale elsewhere in Irvine.  See all Woodbridge homes for sale.

Supply is currently very low!!

DEMAND

A report that was just released tells us that demand is very strong. The most recent Foot Traffic Report (which sheds light on the number of buyers out looking at homes) disclosed that there are more buyers right now than at any other time in the last twelve months. This includes more buyers looking at homes right now than at any time during last year’s spring market.

25 Woodbridge homes are in escrow, (Pending or Backup Offers status), at an average list price of $713,740.

Demand is currently very high!! 

In a nutshell, while waiting until the spring to list your house for sale made sense in the past, NOW IS DIFFERENT. The best deal is probably available right now.

Posted in News
July 10, 2017

Be Thankful You Don’t Have to Pay Mom and Dad’s Interest Rate

Interest rates have hovered around 4% for the majority of 2017, which has given many buyers relief from rising home prices and has helped with affordability. Experts predict that rates will increase by the end of 2017 and will be about three-quarters of a percentage point higher, at 4.5%, by the end of 2018.

Last week’s Freddie Mac Primary Mortgage Market Survey revealed that interest rates for a 30-year fixed rate mortgage have fallen to their lowest mark this year, at 3.88%. This is great news for homebuyers looking to purchase and homeowners looking to refinance.

The rate you secure greatly impacts your monthly mortgage payment and the amount you will ultimately pay for your home.

Let’s take a look at a historical view of interest rates over the last 45 years.

Contact me to discuss your options. Most of my buyer clients take advantage of the free buyer consultation that I offer, together with one of my preferred lenders

Be thankful that you can still get a better interest rate than your older brother or sister did ten years ago, a lower rate than your parents did twenty years ago, and a better rate than your grandparents did forty years ago.

Posted in News
June 19, 2017

How does the Home Buying Process work?

Thinking of buying a home?

I often get asked about what exactly happens between finding your dream home and actually getting the keys. What does a Realtor® do? What does it mean to be pre-approved? What is Escrow? What is Title? 

Here is a useful video about the individuals and institutions involved in the process.

So, how does the Home Buying Process work?

 

I am passionate about making the home buying process as stress-free as possible. I look forward to chatting with you about your real estate needs. Enjoy the video!

Posted in News
March 23, 2017

The Past, Present & Future of Home Prices

CoreLogic released their most current Home Price Index. In the report, they revealed home appreciation in three categories: percentage appreciation over the last year, over the last month and projected over the next twelve months.
Here are state maps for each category:


The Past - home appreciation over the last 12 months



The Present - home appreciation over the last month



The Future - home appreciation projected over the next 12 months



Bottom Line
Homes across the country are appreciating at different rates. If you plan on relocating to another state and are waiting for your home to appreciate more, you need to know that the home you will buy in another state may be appreciating even faster. Call me if you have any questions. I'd love to chat!

Posted in News
March 16, 2017

Home Values: DEFINITELY NOT in Bubble Range!

There are some industry pundits claiming that residential home values have risen too quickly.

Also that current levels are on the verge of another housing bubble. It is easy to see how this thinking has taken form if we look at a graph of home prices for the last 16 years.


The graph definitely looks like a roller coaster ride. And, as prices begin to reach 2006 levels in most parts of the country again, it "seems logical" that the next part of the ride would be downhill. However, this graph includes the anomaly of the price bubble and the correction (the housing crash).


What if the bubble & bust didn't occur?
Let's assume that instead of the rise and fall in home prices that we saw last decade, we just had normal historic appreciation from 2000 to today. According to the 100+ experts that are surveyed for the Home Price Expectation Survey, normal annual appreciation for residential single family homes from 1987 to 1999 was 3.6%.
Starting with the median home price in 2000, we added 3.6% to it each year since then. 

There is no reason for alarm as prices seem to be right in line with where they should be. Let's get together to discuss your real estate needs.

Posted in News
March 9, 2017

Harvard: 5 Reasons Why Owning A Home Makes Sense Financially

Personal reasons to own a home differ for each buyer, but there are many basic similarities.

Eric Belsky is the Managing Director of the Joint Center of Housing Studies (JCHS) at Harvard University. He authored a paper on home ownership titled - The Dream Lives On: The Future of Homeownership in America. In his paper, Belsky reveals five financial reasons why people should consider buying a home.

Here are the five reasons, each followed by an excerpt from the study:
1) Housing is typically the one leveraged investment available.
"Few households are interested in borrowing money to buy stocks and bonds and few lenders are willing to lend them the money. As a result, home ownership allows households to amplify any appreciation on the value of their homes by a leverage factor. Even a hefty 20 percent down payment results in a leverage factor of five so that every percentage point rise in the value of the home is a 5 percent return on their equity. With many buyers putting 10 percent or less down, their leverage factor is 10 or more."
2) You're paying for housing whether you own or rent.
"Homeowners pay debt service to pay down their own principal while households that rent pay down the principal of a landlord."
3) Owning is usually a form of "forced savings."
"Since many people have trouble saving and have to make a housing payment one way or the other, owning a home can overcome people's tendency to defer savings to another day."
4) There are substantial tax benefits to owning.
"Homeowners are able to deduct mortgage interest and property taxes from income...On top of all this, capital gains up to $250,000 are excluded from income for single filers and up to $500,000 for married couples if they sell their homes for a gain."
5) Owning is a hedge against inflation.
"Housing costs and rents have tended over most time periods to go up at or higher than the rate of inflation, making owning an attractive proposition."

So home ownership makes sense for many Americans for an assortment of social and family reasons. It also makes sense financially. If you are considering a purchase a home in Irvine this year, Contact Me and let's get together to evaluate your ability to do so.

Posted in News
March 2, 2017

What's Happening in the Real Estate Market?

This is a pretty common question that a potential home buyer or seller may be asking themselves. Leading economists in real estate converged in New Orleans to present their answer to this question at the 50th Annual Real Estate Journalism Conference for the National Association of Real Estate Editors.

Here are the top takeaways from the week of presentations:
Many of the conversations at the conference came back to the impact that Millennials and first-time home buyers will have on the market in the future. Jonathan Smoke, Chief Economist for realtor.com had this to say:
"At any given time in our history, demographics would explain 60-80% of what's happening [in the market], and we are in a period of time where Millennials make up a largest demographic group according to the Census, at 84 million."

According to the National Association of Realtors (NAR), the median first-time home buyer age is 30 and many millennials are entering a prime age to drive the housing market into the future.


Lawrence Yun, Chief Economist for NAR shared that myths and affordability may be holding back potential buyers:
"84% of current renters have the desire to own. While 36% believe they cannot afford a home and 60% of renters believe it would be 'difficult' to qualify for a mortgage."


Ellie Mae's Vice President, Jonas Moe encouraged buyers to know their options before assuming that they do not qualify for a mortgage:

"Many potential home buyers are 'disqualifying' themselves. You don't need a 750 FICO Score and a 20% down payment to buy."

The National Multifamily Housing Council (NMHC) revealed that Millennials and Baby Boomers are often competing for the same housing inventory, causing a challenge as these two groups are the largest generations by population.

Both groups are looking for affordable, convenient homes close to city centers and 'what's happening'.

The experts agree that home ownership is still desirable across all demographic groups, with Millennials and Baby Boomers having a great impact on available supply. If your dreams include owning your own home, Contact Us and let's get together to evaluate your ability to buy now!  

Posted in News
Feb. 23, 2017

2 Tips For Getting The Most Money When Selling Your Irvine House

Every Irvine homeowner wants to make sure they get the best price when selling their home.

But how do you guarantee that you receive maximum value for your house? Here are two keys to ensuring you get the highest price possible.


1. Price it a LITTLE LOW
This may seem counter-intuitive. However, let's look at this concept for a moment. Many homeowners think that pricing their home a little OVER market value will leave them room for negotiation. In actuality, this just dramatically lessens the demand for your house (see chart below).


Instead of the seller trying to 'win' the negotiation with one buyer, they should price it so that demand for the home is maximized. In that way, the seller will not be fighting with a buyer over the price, but instead will have multiple buyers fighting with each other over the house.


Realtor. com, gives this advice:
"Aim to price your property at or just slightly below the going rate. Today's buyers are highly informed, so if they sense they're getting a deal, they're likely to bid up a property that's slightly under priced, especially in areas with low inventory."


2. Use a Real Estate Professional
This too may seem counter intuitive. The seller may think they would net more money if they didn't have to pay a real estate commission. With this being said, studies have shown that homes typically sell for more money when handled by a real estate professional.

So price your house at or slightly below the current market value and hire a local Irvine professional.That will guarantee you maximize the price you get for your house.

Posted in News