Latest / Connor with Honor: AI, Real Estate and Real Life / Santa Clarita Real Estate Market Wrap-Up 2024

Transcript

Santa Clarita Real Estate Market Wrap-Up 2024 · Connor with Honor: AI, Real Estate and Real Life

• 0:00
  SPEAKER_00: Good day everybody.
• 0:00
  SPEAKER_00: It is the last day of December 2024.
• 0:03
  SPEAKER_00: I'm Connor with Honor.
• 0:04
  SPEAKER_00: I'm going to get into your Santa Clarita real estate update.
• 0:07
  SPEAKER_00: We're going to cover some of the market insights and market analysis from a briefing document I created from the multiple listing service showing what's happening within the real estate market.
• 0:17
  SPEAKER_00: Today was going to be a Stevenson Ranch specific show, but because we are tapping out, we're finishing out 2024, I thought I would just make the entire thing about all of Santa Clarita Valley Real Estate to kind of give you an idea where we are and then where we're going to be, hopefully, next year.
• 0:35
  SPEAKER_00: So let's talk a little bit about what's happening.
• 0:37
  SPEAKER_00: When I look at the market analysis for my sellers and also buyers, I want to examine four different areas here: seller leverage, area performance, property type trends.
• 0:48
  SPEAKER_00: So that's going to be single-family residences, condominiums and townhomes, and of course segmentation by price.
• 0:55
  SPEAKER_00: Looking at all these different things in the last seven days in Santa Clarina, during the market watch, we have three coming soon listings.
• 1:03
  SPEAKER_00: 19 new listings have entered the market.
• 1:05
  SPEAKER_00: 10 properties have had their prices changed.
• 1:07
  SPEAKER_00: 10 properties have fallen out of escrow coming back onto the market.
• 1:12
  SPEAKER_00: 16 properties have gone active under contract.
• 1:14
  SPEAKER_00: 29 have gone pending.
• 1:16
  SPEAKER_00: 29 have closed.
• 1:18
  SPEAKER_00: Two have expired, two canceled, 12 have been put on hold, and three have been withdrawn.
• 1:22
  SPEAKER_00: What that means in our current market is we are definitely experiencing the end of the year slowdown, but that's going to be picking up here very shortly, as it typically does during the new year.
• 1:34
  SPEAKER_00: So be prepared for that.
• 1:35
  SPEAKER_00: All information gleaned from this is via the MLS, and that is all publicized on Santa ClaritaOpenhouses.com.
• 1:43
  SPEAKER_00: So right now we have 427 active listings, including indicating a robust market, of course, with potential opportunities for buyers and sellers.
• 1:52
  SPEAKER_00: Median list price is across all property types$825,000.
• 1:58
  SPEAKER_00: And there is a large uh closed price per percentage.
• 2:02
  SPEAKER_00: So when we're looking at property prices listed for sale, we look at that listing price versus what the sellers obtain as far as offers, getting into escrow and closing those out.
• 2:14
  SPEAKER_00: We do have a high rate on that, about 91.7%.
• 2:18
  SPEAKER_00: And that is all across Santa Clarita Valley.
• 2:20
  SPEAKER_00: Cities like Valencia and Stevenson are actually going to even be closer to 100% with regard to that value, at least they have been lately.
• 2:28
  SPEAKER_00: Looking at the different areas as well, high market value and strong seller leverage, because of our inventory not having a lot of inventory on the market for sale with a higher buyer drive, the sellers are still able to outperform past prices.
• 2:46
  SPEAKER_00: So we see that happening even at this time of year.
• 2:49
  SPEAKER_00: And if you do see those price reductions that we talked about, those price reductions indicate it's not a market that's actually starting to lack or starting to sell less inventory.
• 3:01
  SPEAKER_00: It just happens to be the sellers are a little overzealous with their pricing.
• 3:05
  SPEAKER_00: And when they do reduce them, they are actually still higher than the past sold properties, even in the hotter market.
• 3:12
  SPEAKER_00: And we're watching as those property prices adjust, at least in a downward trend this time of year.
• 3:18
  SPEAKER_00: We should see that increase next year.
• 3:20
  SPEAKER_00: Now, right now, looking at a seller's market, the high percentage of properties that are closing at or above asking price is going to be 98.5%.
• 3:29
  SPEAKER_00: That's for single family residences.
• 3:31
  SPEAKER_00: And you can get here, I did put together that source document, and I'll put that at Santa Clarita Openhouses.com.
• 3:38
  SPEAKER_00: This entire document you'll be able to see it for today's update.
• 3:42
  SPEAKER_00: Single family homes definitely dominate the market, representing the majority of listings and sales.
• 3:46
  SPEAKER_00: Townhouses and condos are also present, but represent a smaller portion of the overall market.
• 3:52
  SPEAKER_00: Santa Clarita residences all the way up until almost$1.1 million.
• 3:59
  SPEAKER_00: Distribution of property types, 30% of the properties for sale out here are condos, townhomes, and then 70% single family residences.
• 4:08
  SPEAKER_00: High activity areas.
• 4:09
  SPEAKER_00: We do have more activity, more sales in Valencia, New Hall, and Canyon Country versus the other cities.
• 4:16
  SPEAKER_00: However, the other cities are not far behind.
• 4:19
  SPEAKER_00: And you can look at what I did put together was the average, a higher average list price for Valencia, higher per square foot than, of course, Aqua Dulce being at the other end of it.
• 4:29
  SPEAKER_00: Very different markets, but both included in the data today for Santa Clarita Valley.
• 4:34
  SPEAKER_00: Now, by price, when we segment the market, we do see that the$200,000, the$300,000 range close a lot.
• 4:42
  SPEAKER_00: They don't have as long as on the market at$35,000, and then we have property prices that are over$900,000.
• 4:50
  SPEAKER_00: They have a longer days on market time frame, which is understandable.
• 4:54
  SPEAKER_00: Market segmentation by price, you can see I put that in this graphic here.
• 4:58
  SPEAKER_00: And again, below half a million dollars, you get a much faster sale.
• 5:02
  SPEAKER_00: Above$500, it does slow down quite a bit.
• 5:05
  SPEAKER_00: That's almost double, in fact,$35 to$62.
• 5:08
  SPEAKER_00: That would have been 70, but still close enough.
• 5:11
  SPEAKER_00: Impact of property status.
• 5:14
  SPEAKER_00: We do see that the market statistics do change when we have the properties change in status.
• 5:20
  SPEAKER_00: We do see expired listings happen from time to time, but it's not that common.
• 5:26
  SPEAKER_00: And also the reason why property properties expire and do not sell sometimes have to do with some kind of functionality of the property, not so much sales price, just not being a popular type, and maybe they can't get to an agreement with regard to people that have written offers on those properties.
• 5:45
  SPEAKER_00: One of the things you also want to consider is looking at the specificity of the data source.
• 5:51
  SPEAKER_00: What is it that the syndication site or the real estate website is talking about pertaining to listing price, and also those time frames as far as how long these properties have been put on the market and marketed.
• 6:04
  SPEAKER_00: Now, of course, further research is going to indicate you need to start to look at other information out there, what types of loans are being accepted on a majority of these properties.
• 6:16
  SPEAKER_00: Also, one of the biggest considerations we've been watching lately has to do with the homeowners association and also Melaruz tax.
• 6:24
  SPEAKER_00: Both of those are in place for a lot of real estate listings in Santa Clarita.
• 6:28
  SPEAKER_00: And if you're coming in from outside of Santa Clarita Valley, seeing that a property that's a single family residence is a residence carries a homeowners association might be weird depending on where you're coming from in the U.S., especially maybe in the Midwest.
• 6:43
  SPEAKER_00: Those those HOAs are in place for specific reasons, definitely for you to check out.
• 6:50
  SPEAKER_00: The other question to ask with regard to a homeowners association is how much can those dues increase?
• 6:56
  SPEAKER_00: How often have they increased?
• 6:57
  SPEAKER_00: And is there anything you need to know before purchasing in those areas?
• 7:01
  SPEAKER_00: Make sure your agent covers the extra taxes as far as Melaruse, the base property tax, and also gets a list of utility charges from those sellers just to make sure that you're not biting off more than you can chew.
• 7:14
  SPEAKER_00: I'm Connor with honor.
• 7:16
  SPEAKER_00: Thanks for watching today's update.
• 7:17
  SPEAKER_00: Be well, and we will see you on the next one.
• 7:19
  SPEAKER_00: Thank you.