Latest / Connor with Honor: AI, Real Estate and Real Life / Valencia California home prices increased YOY 2023 to closing Sept 2024 what's next

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Valencia California home prices increased YOY 2023 to closing Sept 2024 what's next · Connor with Honor: AI, Real Estate and Real Life

• 0:00
  SPEAKER_00: Let's talk real estate.
• 0:01
  SPEAKER_00: Good day, everybody.
• 0:02
  SPEAKER_00: The 306th day of 2024.
• 0:04
  SPEAKER_00: We have just broken into November, November 1st.
• 0:07
  SPEAKER_00: I'm Connor with Honor.
• 0:08
  SPEAKER_00: We're going to talk about what's happening in the real estate inventory here in Santa Clara Valley and also making, of course, the best decisions when it comes to real estate.
• 0:16
  SPEAKER_00: I did put up a blog post here this morning.
• 0:19
  SPEAKER_00: It's going to have the data that we're going to talk about today and give you an idea of what's happening.
• 0:24
  SPEAKER_00: So comparing last year, September's closing figures of 2023, to this year, we have a 0.7% increase in prices for Valencia, California real estate.
• 0:37
  SPEAKER_00: So whenever I'm looking at the real estate data, I can either include every single city, a combination of all of those, and then average it out via average or median, or I can also extract the data for a singular city, and then I can even go further and put that for a specific type of residential housing.
• 0:59
  SPEAKER_00: So condominium, single family residence, or townhome.
• 1:03
  SPEAKER_00: But what I did in this particular case for today's show is I did put together the data for all residential in Valencia, California.
• 1:10
  SPEAKER_00: When I start to spread it out too broadly here in Santa Cruta Valley, the numbers become a bit skewed because you do have a large variability with regard to price per square foot all across the different types of residences, the types of residential construction.
• 1:26
  SPEAKER_00: So single family residence is going to be different than condominium and townhome, of course, in price point.
• 1:32
  SPEAKER_00: And then you move out to the areas in Santa Crita Valley, the prices in Canyon Country, for example, price per square foot, for the most part are going to be less on average than when you go over to a different area like Stevenson Ranch or Valencia, which are going to maintain an even uh mandate an even higher price per square foot level.
• 1:53
  SPEAKER_00: And Stevenson Ranch, probably one of the most expensive zip codes, the 91381, just because of the extremely limited inventory, as always seems to have been the case for in Stevenson Ranch, California.
• 2:07
  SPEAKER_00: So right now in Santa Cruita Valley, we have 544 total active residential units for sale.
• 2:13
  SPEAKER_00: And with this here, one of the things that I do like to talk about is with this inventory, the important dynamic to understand is going to be how the properties are listed and those days on market time frames.
• 2:25
  SPEAKER_00: And for Valencia, California, I did break that down further down in today's post.
• 2:30
  SPEAKER_00: These are the numbers right now.
• 2:31
  SPEAKER_00: The new listing is 52.
• 2:32
  SPEAKER_00: We had 70 properties that have had their prices changed.
• 2:35
  SPEAKER_00: They are mostly reductions in listing price as we get towards the election, which, ladies and gentlemen, if you're going to get out there, please get out there and vote this next Tuesday.
• 2:45
  SPEAKER_00: It is incredibly important that we start to get more active in the political realm.
• 2:52
  SPEAKER_00: I know people don't like to talk about it.
• 2:54
  SPEAKER_00: I remember growing up.
• 2:55
  SPEAKER_00: Tom would always say we don't talk about religion at the table and we don't talk about politics at the table.
• 3:01
  SPEAKER_00: In essence, though, those are probably the important things we should all be discussing, not in a decisive or divisive nature, but not just explaining where our positions are in certain things and moving through.
• 3:15
  SPEAKER_00: Who knows?
• 3:16
  SPEAKER_00: Maybe by explaining why you believe in a particular candidate, maybe you can open somebody else's eyes, or maybe they'll open your eyes.
• 3:25
  SPEAKER_00: But we need to start pulling away from the typical rhetoric that gets spoken out there about that.
• 3:31
  SPEAKER_00: And I'm going to get off that bandwagon right now.
• 3:34
  SPEAKER_00: So with regard to these, the price changes, those and reductions in listing prices, almost 100% at this point.
• 3:43
  SPEAKER_00: We have 24 properties that have gone into escrow.
• 3:45
  SPEAKER_00: 43 properties switched over to pending, which is a much deeper point of escrow, showing that that property is not going to be advertised anywhere online.
• 3:53
  SPEAKER_00: Sometimes agents jump a gun on this escrow switch, moving it from that particular category of escrow, which is active under contract, to pending a little bit prematurely, not giving those buyers proper vetting.
• 4:08
  SPEAKER_00: And usually before we get into any offering situation, excuse me, before we actually start accepting any offers, we should do full vetting of those buyers just to make sure they actually are who they say they are and maybe of no fault of their own.
• 4:23
  SPEAKER_00: But in some cases, there are lenders out there that are going to just give a very preliminary run over the telephone and actually issue a pre-approval letter, thinking that they know everything about their own credit.
• 4:37
  SPEAKER_00: Lo and behold, later on, when the actual credit is pulled, after the offer has been accepted by the seller, negotiation has already been completed, at least at the forefront of the offering.
• 4:47
  SPEAKER_00: The all of a sudden the buyers can't qualify just because maybe they had some kind of identity theft issue.
• 4:55
  SPEAKER_00: Maybe they have some relative that stole their identity as well.
• 4:58
  SPEAKER_00: I've seen that many times, where you have brothers that maybe don't like each other, one of them has great credit, one of them, well, I have those kind of relatives too.
• 5:08
  SPEAKER_00: One of them's not doing great, and of course, they don't have an issue with stealing from the other brothers, so they're getting credit cards and so on.
• 5:16
  SPEAKER_00: And of course, they don't know anything about that, especially if it's new, but that's going to really cut into their ability to finance, depending on what kind of debt has been pulled together.
• 5:25
  SPEAKER_00: Now we do have the high-end homes as well for Valencia, and here on my uh blog and my website, you definitely see all of what's happening here in the different communities in Santa Clarita Valley and what is actually for sale.
• 5:39
  SPEAKER_00: So you can pull this up too and see what the current data is in Valencia, 228 actual active listings in Valencia, California.
• 5:48
  SPEAKER_00: So feel free to go check that out.
• 5:50
  SPEAKER_00: But back to the blog post, let's move into a couple different tips.
• 5:53
  SPEAKER_00: Now, for buyers to be able to be competitive in this market, make sure you're pre-approved.
• 5:58
  SPEAKER_00: Buyers are still moving.
• 6:00
  SPEAKER_00: What's going to end up happening for sellers and buyers is next year as we get into the first part of the year 2025.
• 6:07
  SPEAKER_00: And then, of course, as we move into the springtime, real estate is going to start moving a lot faster.
• 6:14
  SPEAKER_00: But there's also going to be higher competition amongst sellers as well because more listings, as they typically do, more than likely are going to come onto the market next year.
• 6:23
  SPEAKER_00: So if you are selling now, now is a great place to be.
• 6:27
  SPEAKER_00: There are buyers that are out there very serious in purchasing real estate.
• 6:31
  SPEAKER_00: Make sure you are pre-qualified when going in.
• 6:34
  SPEAKER_00: And on the seller end of it, look at your particular listing and then see where your position currently with list price, and depending on how long you've been on the market, have that discussion with your agent about what kind of price of this particular market, and then have them give you that information.
• 6:52
  SPEAKER_00: And then, of course, you can make good decisions.
• 6:54
  SPEAKER_00: Some sellers are thinking, well, maybe I'll hold off until next year.
• 6:59
  SPEAKER_00: That market is going to more than likely stay very much the same in price, but what's going to end up happening is there are going to be there's going to be more competition.
• 7:09
  SPEAKER_00: Again, something to consider definitely before jumping in.
• 7:12
  SPEAKER_00: Talk to your expert.
• 7:13
  SPEAKER_00: I did put up some information regarding the homes out there that are listed for sale and sold that have had private pools.
• 7:21
  SPEAKER_00: A lot of the residential real estate out here in Santa Clarita, they do have community pools and association pools.
• 7:28
  SPEAKER_00: But these are private pools.
• 7:30
  SPEAKER_00: So about 10% of what's happening here in the for sale market has an actual private pool.
• 7:36
  SPEAKER_00: That's in Valencia, California.
• 7:38
  SPEAKER_00: And I did also approximately 15% of the total properties underwent price reductions during their time on the market in Valencia, California.
• 7:48
  SPEAKER_00: And that's a 30-day snapshot.
• 7:49
  SPEAKER_00: Property age modern construction, you can see that extended days on market time frames as well.
• 7:55
  SPEAKER_00: Longer a property's on the market without any kind of a price change, and albeit up or down, typically it is down depending on the market.
• 8:04
  SPEAKER_00: But both work for this particular mechanism, and that's when the real estate syndication sites are going to pick up that listing and get and move it closer to the top of the search where people are looking.
• 8:15
  SPEAKER_00: That being the case, price reductions and price increases aren't bad for the advertising and marketing of a property.
• 8:22
  SPEAKER_00: But first and foremost, they're going to be finding these properties as soon as they speak with an agent, typically having those properties sent to them, because in the coming soon realm, that's incredibly important.
• 8:33
  SPEAKER_00: In fact, I'll show you that as well.
• 8:35
  SPEAKER_00: I did put up coming soon properties so we can look at that as how that works.
• 8:42
  SPEAKER_00: So in the coming soon property, if you go to Santa Creative Openhouses.com forward slash coming soon, you'll be able to get the coming soon listings as soon as they enter the market for sale.
• 8:54
  SPEAKER_00: And these are not available online because they're not actually active.
• 8:59
  SPEAKER_00: They're what's known as a pre-marketed listing.
• 9:02
  SPEAKER_00: But to get those, all you have to do is go to Santa Crita Openhouses.com forward slash coming soon, and you will see the way to get those by emailing me.
• 9:12
  SPEAKER_00: All I need to know is the city or cities you're interested in seeing these properties.
• 9:16
  SPEAKER_00: And if let's say you said, hey Connor, I want to see all of Santa Cruita Valley.
• 9:21
  SPEAKER_00: It's not going to be an overwhelming amount of listings, probably somewhere in the neighborhood of five to ten coming soon listings per week.
• 9:30
  SPEAKER_00: So it's not going to really blow you out of the water.
• 9:32
  SPEAKER_00: And this way, if you're looking, maybe thinking about buying a primary residence, maybe you see something that fits more with an investment strategy.
• 9:40
  SPEAKER_00: That's also a great conversation to have with your agent.
• 9:43
  SPEAKER_00: But I do appreciate everybody watching.
• 9:44
  SPEAKER_00: Please check out Santa ClaritaOpenhouses.com.
• 9:47
  SPEAKER_00: I do leave it unlocked.
• 9:48
  SPEAKER_00: You can read the blog articles here.
• 9:50
  SPEAKER_00: I do daily shows, and I will talk to you soon.
• 9:53
  SPEAKER_00: Thanks for watching.
• 9:54
  SPEAKER_00: We'll talk to you soon, Santa Clarita.
• 9:56
  SPEAKER_00: I'm Connor with honor.
• 9:57
  SPEAKER_00: Over and out.