Latest / Connor with Honor: AI, Real Estate and Real Life / Santa Clarita Real Estate Alert: This Week's Market

Transcript

Santa Clarita Real Estate Alert: This Week's Market · Connor with Honor: AI, Real Estate and Real Life

• 0:00
  SPEAKER_00: Everybody, today is April 12th, 2024.
• 0:03
  SPEAKER_00: I am Connor with Honor.
• 0:04
  SPEAKER_00: Today, after we get through the daily Santa Clarita real estate news, I will be jumping into the seven regrets home sellers have before putting their Santa Clarita house on the market for sale.
• 0:18
  SPEAKER_00: So let me get into that in just a moment.
• 0:20
  SPEAKER_00: I just want to talk about the daily grind, what's going on here in Santa Clarita Valley as far as real estate goes, and haven't been much changes, nothing's changed much here in the last several days.
• 0:31
  SPEAKER_00: We're still hovering just about 380 total active listings all across Santa Clarita Valley.
• 0:36
  SPEAKER_00: That's going to include all of the cities Castac, Canyon Country, New Hall Saugas, Stevenson Ranch, and of course Valencia.
• 0:43
  SPEAKER_00: So everything out here.
• 0:44
  SPEAKER_00: You'll see that the coming soon listings, we have seven of those currently listed.
• 0:48
  SPEAKER_00: Today's Friday.
• 0:49
  SPEAKER_00: 78 over the past seven days, 78 real estate listings have come onto the market for sale.
• 0:56
  SPEAKER_00: Of those, most of them get eaten up during the week.
• 0:59
  SPEAKER_00: We aren't holding on to any inventory.
• 1:01
  SPEAKER_00: So once a property gets listed for sale out here, for those people contemplating selling, it doesn't take very long to get that property into escrow, but it also depends on how you set that price.
• 1:12
  SPEAKER_00: That's one of those seven regrets that sellers have.
• 1:15
  SPEAKER_00: We'll get into that in just a moment.
• 1:17
  SPEAKER_00: And then also how the advertising and marketing realm is going to be covered by the agent that you've hired to list that house and get it sold for you.
• 1:26
  SPEAKER_00: So 78 new listings, price change is 54.
• 1:29
  SPEAKER_00: These majority of these are reductions in price for the properties that are listed for sale.
• 1:34
  SPEAKER_00: At a certain point, it could be that the seller says, well, we're not getting a lot of activity on the property, and I know that the market is moving quite a bit faster than that.
• 1:44
  SPEAKER_00: There's nothing strange or unusual about my home to a point that might limit people from wanting to purchase it.
• 1:51
  SPEAKER_00: Basically, it's about as vanilla as they come.
• 1:55
  SPEAKER_00: Why no offers?
• 1:56
  SPEAKER_00: More than likely it is priced too high.
• 1:58
  SPEAKER_00: But again, look at all of the realistic variables.
• 2:02
  SPEAKER_00: If you live on a busy street, if you live close to high frequency power lines, if you're near a wash, if you have a swimming pool, some people don't like the maintenance aspect, and lots of people do.
• 2:14
  SPEAKER_00: So it's really going to depend.
• 2:15
  SPEAKER_00: And also time of year, homes with swimming pools.
• 2:20
  SPEAKER_00: Homes with swimming pools sell a lot better when it's super hot outside.
• 2:24
  SPEAKER_00: Go figure.
• 2:25
  SPEAKER_00: All right, so we talked about that.
• 2:26
  SPEAKER_00: 2054 price adjustments.
• 2:28
  SPEAKER_00: Uh back on market 21, that's still carrying about 25-30% of housing that goes into escrow actually doesn't make it all the way.
• 2:38
  SPEAKER_00: So that still fits within our current real estate cycle.
• 2:41
  SPEAKER_00: Uh 54 properties plus 42, close to 100 properties have actually gone into escrow here in Santa Clara Valley.
• 2:49
  SPEAKER_00: So they're moving through the escrow process, becoming closed.
• 2:52
  SPEAKER_00: And we have in the last seven days 59 properties that have finished and closed escrow with those property owners.
• 2:59
  SPEAKER_00: You'll see sometimes when you're looking online, or if let's say I'm searching for real estate for you and I send you something, let's say it takes you a little while to open it.
• 3:10
  SPEAKER_00: I mean, if it's really you'll get a phone call.
• 3:12
  SPEAKER_00: But I'm just sending you something.
• 3:13
  SPEAKER_00: Let's say I send you, and then all of a sudden I send it to you, you get a prompt to, hey, look at this listing that Connor just sent you.
• 3:21
  SPEAKER_00: But then when you look, it's not there.
• 3:23
  SPEAKER_00: This is probably the case of a listing going to the hold status, not showing up because there's some kind of event, a pain event that's happened on behalf of the seller to the seller.
• 3:36
  SPEAKER_00: They have to take the property and just put it basically on hold.
• 3:39
  SPEAKER_00: No more activity, nothing should be happening on that property.
• 3:42
  SPEAKER_00: If you see something disappear, that's probably what it is.
• 3:46
  SPEAKER_00: All right, so let's get into the question that I into this morning doing some research as far as if you're thinking about selling your home, I'm going to explore the top regrets sellers face and how you can avoid them.
• 4:01
  SPEAKER_00: So let me dive into the top seven uh things that a seller can do to keep safe.
• 4:07
  SPEAKER_00: Number one, regret not preparing the home for sale, decluttering, depersonalizing, cleaning, cleaning, cleaning.
• 4:15
  SPEAKER_00: And if you have to store your stuff, because you got a lot of it off-site somewhere to really open the house up, great.
• 4:23
  SPEAKER_00: If you have to go get a bed to stage a bedroom that you might have been using for years as an office to return that bedroom back to its original intended purpose, gotta do it.
• 4:34
  SPEAKER_00: So you got to make that happen.
• 4:36
  SPEAKER_00: These are people not preparing.
• 4:38
  SPEAKER_00: And then when people come through, the feedback really reflects that if the agent's doing their due diligence, calling everybody else that came and looked at that residence and asking them honestly, hey, Jack, Jill, whatever, tell me what you really think, they'll get some brutally honest answers.
• 4:55
  SPEAKER_00: And then that agent, they need to have the intestinal fortitude and the understanding with their client that you will allow them to bring back that criticism.
• 5:03
  SPEAKER_00: Now, could some of the criticism be BS and just maybe somebody jealous that somebody else has a listing?
• 5:10
  SPEAKER_00: Of course, you got the human element.
• 5:12
  SPEAKER_00: But if they're saying, you know, the people work this and this, whatever this is, is a real thing that exists, well, maybe it should be looked at, especially if multiple people are talking about this.
• 5:24
  SPEAKER_00: All right, so number two, overpricing the home.
• 5:27
  SPEAKER_00: Yes, talked about this yesterday.
• 5:28
  SPEAKER_00: Almost every broadcast that overpricing is dangerous, and there comes that point where once you get above it, just north of it, you're not going to get much in the way of showings and zero in the way of offers.
• 5:41
  SPEAKER_00: And most of the feedback in that circumstance, when they call, is there any negotiation room?
• 5:46
  SPEAKER_00: Because my client thinks your seller might be overpriced.
• 5:49
  SPEAKER_00: And as a real estate agent, I think your seller may be overpriced as well.
• 5:53
  SPEAKER_00: Hopefully that conversation would take place so that feedback could be brought back.
• 5:58
  SPEAKER_00: But a lot of times agents are embarrassed to offer that kind of feedback.
• 6:02
  SPEAKER_00: Go figure.
• 6:03
  SPEAKER_00: All right, so overpricing the home.
• 6:04
  SPEAKER_00: So watch out for that.
• 6:05
  SPEAKER_00: You want to be at market, maybe a little below, but you also need, if you're going to go below market, you have to understand that there's a little bit of a risk involved.
• 6:14
  SPEAKER_00: You have to run those numbers and see where those other listings were sold in close proximity.
• 6:19
  SPEAKER_00: And if your neighborhood carries a trend of people going higher than the current value is indicated online, then hey, I'll be it.
• 6:29
  SPEAKER_00: Let's go.
• 6:29
  SPEAKER_00: All right, so that's number two, overpricing.
• 6:31
  SPEAKER_00: Number three, not understanding the market.
• 6:33
  SPEAKER_00: And of course, that comes in with pricing, but the way that houses are selling in your neighborhood in Saugus is going to be completely different than houses are selling up in Castac off of Hillsborough.
• 6:46
  SPEAKER_00: There's a lot of difference in the markets.
• 6:49
  SPEAKER_00: They're very diverse and dynamic.
• 6:51
  SPEAKER_00: All right, so um, that was there.
• 6:53
  SPEAKER_00: Choosing the wrong agent, of course.
• 6:55
  SPEAKER_00: Right, don't choose the wrong agent.
• 6:57
  SPEAKER_00: Self-explanatory.
• 6:58
  SPEAKER_00: Number five, ignoring major repairs.
• 7:01
  SPEAKER_00: When you get ready to sell your house, best form is to have someone, your trust advisor, who you're going to hire, if you're going to hire me, come by.
• 7:10
  SPEAKER_00: I look, and what I explain to those people wanting to use me to sell the house is we want to try to have the least amount of questions being asked by the home buyer.
• 7:23
  SPEAKER_00: And what I mean is if I wonder what this stain's about, we need to figure out what this stain's about.
• 7:30
  SPEAKER_00: If I'm wondering, why is why is the piping this way, or why are all these wires hanging out here, or what's that hole in the wall for?
• 7:40
  SPEAKER_00: What is, why doesn't this door close all the way?
• 7:43
  SPEAKER_00: Why do I smell mold?
• 7:45
  SPEAKER_00: Why do I so if I'm asking the questions during the walkthrough, we want to fix all of those items.
• 7:53
  SPEAKER_00: Things that it's going to basically those fixes will pay for itself in the way that we're going to have offers written on the property.
• 8:03
  SPEAKER_00: That is case in point, especially now when you have so few listings, you don't have a high level of competition.
• 8:11
  SPEAKER_00: But the properties that are staged as if they are competing with others, they still go at a premium and they still go faster than other properties where sellers didn't take that extra leap and maybe interview the right people that would give them the honest to God's truth.
• 8:29
  SPEAKER_00: Do not listen to advice about updating an entire kitchen in order to get your house to sell.
• 8:34
  SPEAKER_00: There might be certain circumstances where that might apply, but realistically, the other side of this, or similar side, just different area, we're in a seller's market.
• 8:45
  SPEAKER_00: Sellers currently aren't doing much in the way of helping to sell their own residences, but it is important that the house is maintained and presented in such a way where everything is as it was intended.
• 9:01
  SPEAKER_00: If you have an office conversion that you've been using as an office for the last 30 years, then you want to convert that office that was intended to be a bedroom, put it back to a bedroom.
• 9:11
  SPEAKER_00: Go rent a bed, go buy something inexpensive, stage a bed, just put a sign on it, please don't sit, not a real bed, whatever.
• 9:19
  SPEAKER_00: But make that happen.
• 9:20
  SPEAKER_00: Very, very important.
• 9:21
  SPEAKER_00: All right.
• 9:22
  SPEAKER_00: So Nori major repairs, again, very important.
• 9:25
  SPEAKER_00: Number six, poor timing.
• 9:27
  SPEAKER_00: Right now it's definitely a seller's market.
• 9:29
  SPEAKER_00: Is it a good time to buy?
• 9:30
  SPEAKER_00: A lot of people have the argument that no, it's not.
• 9:33
  SPEAKER_00: People need to wait.
• 9:34
  SPEAKER_00: Then the question comes in wait for what?
• 9:37
  SPEAKER_00: More inventory, I don't see that happening.
• 9:40
  SPEAKER_00: More new housing building, probably not.
• 9:44
  SPEAKER_00: Not a good longer-term solution because they just can't keep up with demand.
• 9:49
  SPEAKER_00: The resale market is stagnant because those sellers are locked in at a very low interest rate.
• 9:57
  SPEAKER_00: So for them to sell, even though the pain might be there that they want to, 4% difference in the rate that they're going to be paying on what they're buying versus 4% less on what they already own.
• 10:10
  SPEAKER_00: Next leap, maybe they leverage that, take some equity and go purchase something else.
• 10:16
  SPEAKER_00: But the this is all, these are all big decisions that have a lot of moving parts.
• 10:20
  SPEAKER_00: Really need to be taken lightly.
• 10:22
  SPEAKER_00: But something to consider with regard to timing.
• 10:26
  SPEAKER_00: Again, it seems like in life there's never a good time for anything.
• 10:31
  SPEAKER_00: With real estate, there are better markets than others for both sides.
• 10:36
  SPEAKER_00: But right now, it's just a matter of time of just being patient and seeing what's going to unfold next.
• 10:43
  SPEAKER_00: Interest rates, everybody's been promising they're going to be lower.
• 10:46
  SPEAKER_00: As I've stated in previous broadcasts, because I do this every day, and I have a lot of clients, I give the same advice to all of them.
• 10:54
  SPEAKER_00: I say, just do yourselves a favor, do not overextend yourself in your first purchase.
• 11:01
  SPEAKER_00: And the joke is you have the rest of your life, you'll be overextended plenty.
• 11:05
  SPEAKER_00: The first one, make it as smart and make it as right as possible.
• 11:10
  SPEAKER_00: All right, everybody, thank you so much for watching.
• 11:12
  SPEAKER_00: Number seven, of course, give me a call.
• 11:13
  SPEAKER_00: I'm Connor with Honor.
• 11:14
  SPEAKER_00: I hope everybody enjoyed today's show.
• 11:16
  SPEAKER_00: We will talk to you tomorrow, and I bid you farewell.
• 11:20
  SPEAKER_00: We'll talk to you soon.
• 11:21
  SPEAKER_00: If you need me, reach out.
• 11:22
  SPEAKER_00: I am Connor with Honor over now.