Latest / Connor with Honor: AI, Real Estate and Real Life / Over 500 we go this week for the current Santa Clarita real estate inventory for sale and some things for home sellers and home buyers to watch out for

Transcript

Over 500 we go this week for the current Santa Clarita real estate inventory for sale and some things for home sellers and home buyers to watch out for · Connor with Honor: AI, Real Estate and Real Life

• 0:00
  SPEAKER_00: Here we are, August 6, 2024.
• 0:03
  SPEAKER_00: Good morning, everybody.
• 0:04
  SPEAKER_00: 496 current active listings on the residential market in Santa Clarita Valley.
• 0:10
  SPEAKER_00: What that means to you as a home seller, it's something that you should be watching because you're starting to get more and more competition depending on the neighborhood.
• 0:19
  SPEAKER_00: And of course, you're watching that real estate inventory and you realize that it still isn't taking very long for real estate listings to sell.
• 0:26
  SPEAKER_00: So that same time frame that we've been watching over the last several months, and you as a savvy real estate seller here in Santa Clara are watching, you're seeing that it's still taking anywhere from 10 to 15 days, in some cases less, in some cases a little more, depending on home pricing, to sell real estate, to actually put properties into escrow.
• 0:46
  SPEAKER_00: You might also know that somewhere between 20 and 30% of the transactions typically fall out of escrow, not actually finishing the process.
• 0:55
  SPEAKER_00: You might also know that these are things that you can have some control over, but a majority of them really come down to the buyer and their decision-making process.
• 1:04
  SPEAKER_00: As long as you're handling the transaction in a business-oriented way, not letting emotions become part of your process, then usually the process will continue.
• 1:15
  SPEAKER_00: Lots of process.
• 1:16
  SPEAKER_00: The transaction will continue all the way to close.
• 1:19
  SPEAKER_00: But if it doesn't, sometimes buyers, well, they change their mind.
• 1:24
  SPEAKER_00: You real estate buyers out there, what you need to understand in this market, the way that we're getting more and more inventory, is at this time it's not helping you.
• 1:32
  SPEAKER_00: If they do lower interest rates here in September, because we have horrible economic numbers that have come back.
• 1:39
  SPEAKER_00: I mean, not end-of-the-world economic numbers, but some definite changes as far as the employment realm, where they thought more people were employed than they currently have seen, then that is starting to create a little bit more of a strain on the economy.
• 1:53
  SPEAKER_00: Thereby the banks potentially in September could actually have that rate lowered by the Fed, and then that could trickle down to people purchasing real estate.
• 2:04
  SPEAKER_00: As a real estate buyer, if interest rates do come down, your competition rate's going to go up tenfold in most local markets.
• 2:12
  SPEAKER_00: We're going to find out that home buyers at that time will be willing to give away contingencies, waive time frames, and offer more money than the properties are listed for sale.
• 2:23
  SPEAKER_00: It's going to depend on, of course, where those buyers are able to go higher than that list price.
• 2:30
  SPEAKER_00: In addition, it's going to depend if that property is going to appraise for the value that the buyer is so insistent on purchasing the house for.
• 2:42
  SPEAKER_00: That particular amount might be above and beyond the appraisal value.
• 2:47
  SPEAKER_00: If that's the case for a real estate buyer, stand by because you won't be able to finance that property.
• 2:53
  SPEAKER_00: And depending on the loan, it's going to depend on whether you can inject extra money into the transaction to make it actually work.
• 3:00
  SPEAKER_00: You real estate sellers out there knowing this, it might be cool to get an offer on your property at$100,000 more than you listed it for, and even more importantly, that much higher than fair market value.
• 3:14
  SPEAKER_00: But if the property doesn't appraise, and if you didn't have in that buyer's contract via your agent or however you're responding to the buyer, if you didn't put in that counter offer that the buyer to basically inject cash into the transaction, even if the property doesn't come back at appraised value, and then offering showing of funds to be able to allow for that mechanism to take place, then you're probably doing yourself a huge disservice and probably getting too excited over something that you didn't have an adequate explanation of by your chosen real estate professional.
• 3:51
  SPEAKER_00: This is how our market is trending this week.
• 3:54
  SPEAKER_00: I will be back tomorrow with another show.
• 3:57
  SPEAKER_00: We will continue to watch real estate inventory build.
• 4:00
  SPEAKER_00: We'll probably up, as I said in a show yesterday, probably north of 500 units for sale in all of the Santa Crita Valley cities within this week.
• 4:10
  SPEAKER_00: So I will keep you posted, and of course, we'll probably have a majority of listings added to Thursday.
• 4:15
  SPEAKER_00: You can see everything at www.santaclarita openhouses.com.
• 4:21
  SPEAKER_00: I'm Connor McIver.
• 4:23
  SPEAKER_00: Have a fantastic day over and out.
• 4:34
  SPEAKER_00: Oh thank you.