Latest / Connor with Honor: AI, Real Estate and Real Life / Cash Offers on Santa Clarita real estate are they the bee's knees 2/27/2022

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Cash Offers on Santa Clarita real estate are they the bee's knees 2/27/2022 · Connor with Honor: AI, Real Estate and Real Life

• 0:00
  SPEAKER_00: Good day everybody.
• 0:00
  SPEAKER_00: Connor McIver.
• 0:02
  SPEAKER_00: Connor with honor.
• 0:03
  SPEAKER_00: This is going to be your Santa Clarita real estate update.
• 0:05
  SPEAKER_00: Now we don't just focus on Santa Clarita, but we do when it comes to giving information and talking about the real estate market, but we also take into account the other markets here in Southern California.
• 0:18
  SPEAKER_00: Everything's connected in a way.
• 0:20
  SPEAKER_00: So realistically, you might uh you might see somebody talking about a particular market and then think, well, that doesn't have anything to do with anything else.
• 0:27
  SPEAKER_00: But it actually does.
• 0:29
  SPEAKER_00: If you look at the overall picture of real estate, you can see that inventory's been completely low in most of the big sectors here in the United States.
• 0:38
  SPEAKER_00: And that's uh Santa Clara Valley is not impervious to that, also.
• 0:43
  SPEAKER_00: I'm just gonna log in here real quick.
• 0:47
  SPEAKER_00: And once I get in, I'm gonna show you the daily inventory.
• 0:50
  SPEAKER_00: So today's Sunday, February 27th, 2022.
• 0:53
  SPEAKER_00: This is, of course, your real estate update.
• 0:55
  SPEAKER_00: You can find me, of course, conorwithhonor.com.
• 0:58
  SPEAKER_00: That's gonna reroute you to my YouTube channel.
• 1:00
  SPEAKER_00: Whenever you're ready to find real estate or to have a real estate search put together, something I'm gonna throw out there.
• 1:08
  SPEAKER_00: There's lots of real estate websites out there.
• 1:10
  SPEAKER_00: You're gonna Zillow, Trulia, uh, Redfin, all these other ones, realtor.com and so on.
• 1:15
  SPEAKER_00: There's gonna be a majority of the listings posted on those websites.
• 1:19
  SPEAKER_00: Whenever I put together a search for my clients, it's inevitable that there's stuff in my search that isn't included on the other sites.
• 1:26
  SPEAKER_00: And the other thing is I scrub a lot of the listings, so I don't leave it up to the system to generate listings and just shoot it out to my clients for the most part.
• 1:35
  SPEAKER_00: I will look at it and I'll ask them the question.
• 1:37
  SPEAKER_00: I mean, you want to see the raw search results, or do you want me to put my hands on it and look from your point of view what you're actually looking for?
• 1:47
  SPEAKER_00: One of the things that I would throw out there is a lot of times when you're looking on these different systems, you're only seeing the general results.
• 1:56
  SPEAKER_00: They haven't been changed or modified or put together in any way so that you actually just see what you're looking for.
• 2:05
  SPEAKER_00: So here's how that daily inventory is going to come about.
• 2:08
  SPEAKER_00: Right now, 164 active listings.
• 2:10
  SPEAKER_00: That's better than a couple weeks ago.
• 2:12
  SPEAKER_00: We were in the 120s.
• 2:13
  SPEAKER_00: 164 total of those listings, 19 are coming soon.
• 2:18
  SPEAKER_00: Uh, this is a 21-day uh preview of things that are gonna be coming onto the market.
• 2:23
  SPEAKER_00: A lot of the Santa Crita Valley has embraced this as far as the agents go.
• 2:28
  SPEAKER_00: Even the outside agents have also embraced this tactic.
• 2:31
  SPEAKER_00: They are trying to build interest with regard to these listings.
• 2:35
  SPEAKER_00: So if you have been looking for a while and you are on a specific search through the multiple listing service, you're gonna see these pop up.
• 2:42
  SPEAKER_00: Also, some of the syndication websites are able to put these together so you can see those as well.
• 2:46
  SPEAKER_00: I'll throw this out as well.
• 2:48
  SPEAKER_00: I'm throwing a lot out today.
• 2:50
  SPEAKER_00: One of the things I'll tell you, do not, I repeat, do not give up any of your personal private information on any of these websites.
• 2:56
  SPEAKER_00: If they're asking for that, and if you're not dealing with a local, somebody you can call and say, hey, listen, Connor, uh, I want to change the search, or Connor, I don't want this information, or Connor, this, Connor, that.
• 3:08
  SPEAKER_00: If it's not our relationship that we have going, I wouldn't put down your any person any any of your personal information out there.
• 3:14
  SPEAKER_00: The reason being these sites have been designed to be lead generation in nature.
• 3:18
  SPEAKER_00: So what ends up happening is they're charging agents for admission to their websites, and they put a lot of really fancy stuff out there, lots of fancy stuff.
• 3:27
  SPEAKER_00: So when you see it, you're going to be tempted to give up your personal information.
• 3:30
  SPEAKER_00: Once you do, your name, email address, phone number, whatever information you input into the system, it's going to be basically given for a price to these agents that are members of these various syndication websites.
• 3:44
  SPEAKER_00: So your information just got sold as a lead, uh would get sold.
• 3:49
  SPEAKER_00: It might be one agent, it might be a dozen agents or more.
• 3:52
  SPEAKER_00: They might not stop at giving that information to real estate agents, but use the total package system, which is going to include mortgage brokers, uh, rentals, the local grocery stores so you can be added to their mailing list and so on.
• 4:06
  SPEAKER_00: Be wary.
• 4:07
  SPEAKER_00: They're going to start tagging you on social media, following you on social media, and there's going to be a lot of issues there.
• 4:12
  SPEAKER_00: I wouldn't give up any kind of information.
• 4:14
  SPEAKER_00: If somebody was asking me on a website to tell me, basically saying, hey, who are you?
• 4:19
  SPEAKER_00: In order to use my website, I'd move on.
• 4:22
  SPEAKER_00: You're going to find other sources out there.
• 4:24
  SPEAKER_00: Uh, they might try to say that there's so much value in my website versus others.
• 4:29
  SPEAKER_00: In fact, ladies and gentlemen, everything's publicized out there for everybody else to see.
• 4:34
  SPEAKER_00: So I wouldn't do it.
• 4:35
  SPEAKER_00: That's how you're going to keep safe.
• 4:36
  SPEAKER_00: We did uh see a wonderful property in Circle J Ranch with some clients.
• 4:40
  SPEAKER_00: We're going to be writing an offer on that property as well.
• 4:43
  SPEAKER_00: One of the things that people have a question about is cash offers and if they are actually the bees' knees or the superior way to offer on property.
• 4:52
  SPEAKER_00: And that's going to come back to depending on the agent and the seller.
• 4:57
  SPEAKER_00: Now, when somebody brings to us a cash offer, I explain to my clients, my sellers, that this cash offer doesn't have to include a loan contingency.
• 5:08
  SPEAKER_00: So I'll look on the contract if they did check off this is an all-cash offer, no loan contingency will be enforced.
• 5:14
  SPEAKER_00: That's perfect, so that's better.
• 5:15
  SPEAKER_00: When you have a loan contingency, then there's, well, other things that can happen to kiosh the deal.
• 5:21
  SPEAKER_00: Without a loan contingency, there's still a lot of things that can happen.
• 5:24
  SPEAKER_00: A lot of things that the buyer can decide they don't want to move forward with, or the buyer can come to the seller through their agent and say, we want this, this, and this done, or we want a credit for this, this, and this that was revealed to us through the home inspection, or whatever it may be.
• 5:39
  SPEAKER_00: And at the end of the day, the seller can say no and thereby have the deal cancel, or the seller can say yes and the buyer can still cancel for some other reason.
• 5:47
  SPEAKER_00: So non or cash offers don't really equate to a for sure deal, but there are less boxes that have to be checked with a cash offer like loan contingency and appraisal contingency.
• 5:58
  SPEAKER_00: Now, with a cash offer, the client or the buyer can decide whether or not they want to remove that appraisal contingency.
• 6:05
  SPEAKER_00: If somebody's making a cash offer, they can still pay an appraiser to go out there and appraise the property.
• 6:11
  SPEAKER_00: And that's fine.
• 6:12
  SPEAKER_00: It does happen from time to time, but most of the time it doesn't because the buyers are excited or using a cash offer because they want to circumvent all of that process and make their offer look the strongest to the seller.
• 6:26
  SPEAKER_00: Sometimes the seller are going to get they're going to get other offers by people that are financed, and those higher numbers are going to seem to make more sense to them or maybe engage their greed component if they have one.
• 6:39
  SPEAKER_00: No offense.
• 6:40
  SPEAKER_00: But sometimes that does happen.
• 6:42
  SPEAKER_00: So you see an offer for$1.6 million, and the closest cash offers uh$1.590.
• 6:49
  SPEAKER_00: And uh for that$10,000, somebody might choose, well, you know what?
• 6:52
  SPEAKER_00: It's$10,000.
• 6:53
  SPEAKER_00: I mean,$10,000 in our pockets, a big deal, Ethel.
• 6:56
  SPEAKER_00: We should take it.
• 6:57
  SPEAKER_00: So Ethel and Gilbert take that offer only to have it fall out.
• 7:02
  SPEAKER_00: Now it could run the distance as well, but there's less reasons to fall out with cash offers than there are as far as financed offers.
• 7:09
  SPEAKER_00: So something to know.
• 7:11
  SPEAKER_00: At the end of the day, it's going to come up to the seller.
• 7:13
  SPEAKER_00: And if their agent's able to explain it to them, what would be the best offer and why that helps?
• 7:20
  SPEAKER_00: But sometimes that greed factor also involves the agent, and they see, well, my commission is going to be bigger at this sales amount.
• 7:27
  SPEAKER_00: So we're going to go ahead and go with that one.
• 7:29
  SPEAKER_00: Be wary of that, folks.
• 7:31
  SPEAKER_00: Look at the numbers on the table.
• 7:32
  SPEAKER_00: Maybe you can ask the cash offer to step up in counteroffer format and saying you're going to agree to pay$1,600,000 for this particular property or$1,500,000.
• 7:45
  SPEAKER_00: If that happens to be where the closest financed offer is, your agent can definitely do that.
• 7:50
  SPEAKER_00: Even if there's multiple offers, they can respond to a singular offer, all offers, as long as they let everybody know there are multiple offers in play.
• 7:58
  SPEAKER_00: Something to think about.
• 8:00
  SPEAKER_00: Because at the end of the day, it's going to be you, your bottom line.
• 8:03
  SPEAKER_00: And if that property goes the distance and ends up falling out of escrow near the close, which would be with a cash offer, they can also close a lot faster, maybe 10, 15 days, depending on the time frame, they'll be able to get inspections done.
• 8:16
  SPEAKER_00: With financed offers, the best you're going to probably do is going to be 30, maybe a little less, most likely 45.
• 8:23
  SPEAKER_00: It's going to depend on that lender, how busy the lender is and the other people involved in the process and how fast the buyer's turnaround is to get the lender the information that they need to continue that particular loan process of obtaining them a loan and originating said loan on the residence that they're wanting to buy.
• 8:41
  SPEAKER_00: These are things that have to be considered.
• 8:43
  SPEAKER_00: I am Connor with Honor.
• 8:44
  SPEAKER_00: I appreciate you listening to this Santa Clarita real estate update.
• 8:47
  SPEAKER_00: You can find me online, Connorwithonor.com, and everywhere else.
• 8:52
  SPEAKER_00: I appreciate you very much and thank you so much for listening.
• 8:55
  SPEAKER_00: When you're ready to embark on a real estate journey, you're looking to buy or sell a residence here in Santa Clarita or elsewhere in Southern California.
• 9:02
  SPEAKER_00: Reach out to me.
• 9:02
  SPEAKER_00: I'll be able to give you the best advice possible and tell you how I can help you potentially better than others.
• 9:09
  SPEAKER_00: Sunday, February 27th, folks, 2022, about uh 3 p.m.
• 9:14
  SPEAKER_00: in the afternoon.
• 9:15
  SPEAKER_00: I'll be here for you.
• 9:16
  SPEAKER_00: Reach out to me on my cell phone.
• 9:17
  SPEAKER_00: You can find that online, of course, Connor with honor, and I will talk to you soon.
• 9:21
  SPEAKER_00: Thanks for listening in.
• 9:22
  SPEAKER_00: We'll talk to you later, and please, as always, be safe.