Murrieta & Temecula Valley Real Estate and Community News

Oct. 22, 2020

Sell Your Home....

For TOP DOLLAR!

 

 


Hey guys. Hey, my name is Justin Short with RE/MAX One, and today we are going to talk about how you can sell your home for top dollar and only move once. So let's go ahead and get into the video.

Hey guys. Hey, my name is Justin Short, and I'm a Realtor and team leader here at the Short Real Estate Team at RE/MAX One here in Murrieta, California. And I wanted to take some time and create this video for you guys and just talk to you about how you can sell your home for the highest amount of money and move into your dream home and only move one time. I know we've made a lot of videos about it, I'm sure you guys have seen it other places as well, but right now, it is a very, very, very heavy seller's market. There's not enough homes for sale. The homes that are out there tend to be selling quickly for more money. Pricing is going up, and they're getting multiple offers, so it's a competitive situation, which is great if you need to sell your property.

The downside is if you need to buy a property at the same time, it's very competitive, there's multiple offers you're dealing with, pricing's going up, and it's hard to get that right home that you're looking for. So one of the biggest challenges that people are having is they have a nice home, they've outgrown it, or maybe they're using an office space at home that they weren't before. So they're missing a bedroom now, or a life changes, or they want to upgrade to something with a pool, or whatever the reason is, but they just don't know where they're going to go next. So maybe they've been looking at homes, they've seen a couple that they like, that they think would work well, but they also know that those homes are all selling within a week. So it's a very competitive situation. It's a tough balance to have. And so the question is, well, what do you do?

So that's something that I talk with my clients a lot, quite a bit, and I'll tell you what we've had success with. So right now, because it is such a strong seller's market, we are definitely able to do all the proper marketing on your home to sell for the most amount of money. So we'll have the stager come in, we'll have the professional videos done, we'll have the professional photos done, we'll have the drone photos, we'll do all the nice brochures. We'll put it out there, and we can do coming soon advertising and all these different campaigns that we can do to get a lot of activity and get the multiple offers and sell your home for the highest price point. So that's all great, but at the same time, because it is a heavy seller's market, we can dictate very heavily, not only just the pricing that we need, but we can also dictate our terms.

And the most important term there that I'm talking about is our terms of possession. So basically, most of the time, when someone goes to buy a home, usually it's a 30 day escrow period. That's very standard. I have lenders that we can shorten that, we can do a three-week escrow, that type of thing, but 30 days is very, very standard. And then typically, at the end of 30 days, seller is going to hand the keys to the buyer. Seller is going to move all their stuff out on the day of closing of escrow. And then the buyer will take over possession. So that's pretty standard. I think people are pretty familiar with that process. What's tough is when the seller hands over the keys, they got to know where they're going. If it's intermittent housing and they got to go rent an apartment, or they're going to stay in an Airbnb for a couple of weeks, whatever it is, they got to know what they're doing.

But one of the things we're having the most success with right now is because it is a strong, heavy seller's market, we are able to negotiate a really, really great price. Get the house bid up, have it be a competitive situation, but also, at the same time, dictate our closing. So we can do that in two ways. One, we can dictate the closing day. So we can do potentially a shorter escrow if we need that or a longer escrow. So we can do like a 21-day escrow, or a 45 day, or a 60-day escrow. So we can be picky there. We're in the power position that time. We can negotiate a little bit heavier, so that's one option. Another option is, on top of the escrow, we can also negotiate a rent-back.

So we can negotiate for us to close escrow, everyone agrees, everyone shakes hands. We have an agreement, money transfers hands, seller has the money, and then they can use that money for the next place, but they are allowed to keep possession of the home for another X period of time. So another 30 days, another two weeks, another 45 days, we've had. So that gives a lot of flexibility, and that's really our best way to be able to sell the home. We have all the money. You have the proceeds. Now we can take those proceeds, put them down on the next home. Keep that going and make sure there's no downtime, no transition between properties. So it gives us plenty of time to sell that home, find the next home, get our offer accepted, complete the escrow process, and be moved in before that original rent-back is done.

So that's really the best thing for us to do right now. It's something we can be very aggressive on. We're on the seller's side and dictate those terms. Or if you have five or six offers, you can pick, maybe it's not the highest price point, but the one that has the most flexibility is going to be probably your best bet. So you get to be in that position and pick the right solution for you. So that's just one way that we have found a lot of success with to help our clients make a smooth transition. Take away their biggest issue, their biggest fear, their biggest concern, which is being homeless. Not knowing where they're going to go, and be able to make a smooth transition to that dream home.

If you have any other questions or anything else you'd like to talk about, you can feel free and reach out any time. You'll see all of my information, and thanks for checking out the video.

Posted in Selling Your Home
Oct. 15, 2020

Condos, Yay or Nay?

Good idea or will you just be wasting your money?

 

 


Hey guys. Hey, this is Justin Short with Remax One. And today, we are going to talk about condos and see if you should be buying a condo, if it's a good idea, or if you're just going to be wasting your money. So let's go ahead and get into it.

Hey guys. Hey, this is Justin Short. And again, I'm a realtor here at Remax One here in Murietta, California. So we wanted to create this video and talk about condos. So condos are something that I get asked a lot of questions about if it's a good idea if it's a bad idea. So we'll kind of talk about some of the pros and cons here. So in general, if you don't know what a condo is, so it's basically an attached living space that it has shared walls. So kind of similar to an apartment. Some do have their own private backyards or a patio if you're on the top level. Some of them have garages, some of them do not. Some of them have attached garages, some of them do not. So there's all types of different ones depending on the community and the year it was built.

But in general, this is something that we see super popular in first time home buyers, or maybe a downsizer. So maybe someone who's had the big home doesn't want to take care of all that anymore and just kind of wants a little space and maybe travel more and that type of thing. So we'll go over some pros and cons. So in general, yes, for most people, I think condos can be a really good thing. So the pros are it's going to be a lower price point. So that's what draws most people's interest is let's say if the average home is 450,000, a condo may be closer to 300,000. Some are low. Some are mid 200,000s up to low 300s. So a significantly lower price point. So that's obviously a plus.

So with the lower price point comes a lower down payment. So say if you're going to have to put 20% down, which you could do a lower down payment. But let's say you're putting 20% down on 450,000, well that's a lot more than putting 20% down on 300,000. So it's a lower down payment, easier for people to get in, and a little easier when you're starting off. A lot of people don't have that big chunk of cash saved up. Typically where they get their money for their larger down payment is they sell a property and they're taking their equity from one home to another. So not a lot of people have all that 20% saved up, especially as you get those higher price points. So that's another plus. So lower price point, lower down payment. Also, there's lower maintenance too.

So that's another thing that people like. And for me, when I went to go buy my first home, I was single and I had a girlfriend at the time. I didn't have any kids, so I didn't really want the space. I didn't want a backyard. I didn't want to go out and mow it. It really did nothing for me. So I really had preferred a condo at that time. Or maybe you're getting older or a different stage of life. You've had the big house, and you want to downsize. Or you're going to travel more, and you want something that you can easily leave for a month at a time. A condo can make a lot of sense for someone like that too because you can more easily come and go.

You don't have to take care of the lawn. You don't have a lot of that maintenance that you have with a single-family home. Also, most condos are less maintenance on the exterior as well. So usually the HOA will take care of the exterior maintenance on the walls, the stucco paint, and also the roof as well. So re-roofing the home, taking care of tiles, things like that. So less maintenance overall. So that's definitely a pro as well. Of course, there's going to be some cons with a condo. So the cons for most people is you do have an HOA. So, usually, it's higher than what an HOA is going to be on a home. So in our area, so kind of the Murietta, Temecula Valley, we see HOAs anywhere from probably 190 per month up to 250, 260, 270 per month.

So a couple hundred dollars a month in HOA. So that is obviously a monthly affordability factor. So something to pay attention to. And then also with that, when you have an HOA, you have some certain rules and regulations that are in place. So you may have limitations on how many animals you can have. You may have noise constraints. You may have some different considerations with HOA or things you can do to your property or things you can't. So those are things to keep in mind. And then your third con is really going to be appreciation. So although condos will appreciate, they will go up in value, definitely, yes, they just tend to not appreciate as fast as a single-family residence, as fast as a home. So it's a little bit smaller market.

Condo is always going to be less expensive than what a single-family home is going to be. So they don't tend to appreciate quite as quickly. So I do think it's a great place for a first time home buyer. I think it's a great place for a downsizer. Yes, I think they could be great options. If you're a young family and you're looking for that forever home and something you want to stay in for 25 years, a condo may not be the best thing. At some point, you may want a yard as the kids get older and things like that. So those are all considerations. But typically, it's a great way to get into a home with a lower down payment, build some equity over time and be able to maybe upgrade down the line. So, hopefully that helps. If you have any questions, again feel free to reach out. You'll see all my information. And appreciate you taking the time to watch the video. And we'll talk to you soon. Thanks.

Posted in Buying a Home
Oct. 9, 2020

Housing Market Update

Coming out of September and heading into October

 

 

 

Hey, guys. Hey, this is Justin Short with RE/MAX One, and I am here with your October 2020 real estate housing market update. So, let's go ahead and get into it.

 

Hey, guys. Hey, this is Justin Short. Again, I am a realtor here at RE/MAX One here in Murrieta, California. I'm, again, putting together this monthly market update to keep you guys posted on what's going on in the real estate market here locally, so you can keep updated on what's going on, what's trending, where things are headed, and what to expect in the future. So, we'll go ahead and get into some of the numbers.

 

In general, again, it's been the theme the last few months, but it is definitely a very, very, very heavy sellers market right now. So, just not enough inventory, pricing continues to go up. Homes are still selling very quickly. And we'll get into some of what's happening. So first thing to pay attention to is, we're going over price point, so average price point. So it's the average price point for city of Temecula, city of Murrieta, city of Menifee.

 

Okay. So a year ago, the average price point in Temecula was $526,000. This last month, so that would be September 2020, the average price point jumped all the way up to $628,000. So jumped about a hundred thousand dollars in average price point. Which is huge, so you can see obviously pricing is going up, houses are appreciating. I mean a hundred grand, they did not appreciate a hundred grand, so it's probably a little skewed, there may be some bigger properties in there. Maybe, something on more acreage or more pool homes or those types of things, but you still see the trend. I mean, homes are definitely have appreciated, for sure.

 

City of Murrieta. So, last year we were 456,000, and then now we've jumped all up to 532. So the average price went all the way up to 532,000 here in Murrieta. Then Menifee, last year was 362 and now we're up to 417. I mean, that's a $55,000 swing in Menifee. So, I mean, it's a big jump, 80 grand in Murrieta, average price point, and then Temecula showed about 100. So, there are some more pool homes that probably have sold recently, and some bigger properties, but you can see it's been a huge jump, for sure.

 

So what kind of pushes that is the inventory, right? That's what we're talking about, not enough available homes for sale. So, right now, so the active listings, a year ago in Temecula, we had 507 active listings, right now and Temecula, only 257. So, that's literally less than 50% of inventory of available homes. City of Murrieta, last year was 642 available homes. Again, about half, 328 homes are available right now that are active on the market. A year ago, Menifee was 498, so about 500 homes. Now down to 213 homes available. I mean, obviously those huge swings and that's kind of showing why, things are appreciating, there's just not enough available homes and that's what's pushing the price point.

 

And then the average days on market. So how long the average home is taking to sell. A year ago, 2019, basically all the cities were about the same, about 25 to 26 days, which is still pretty quick. It was less than a month with the home that's selling, until right now, they're down to less than a week. So between five and six days on average. So, that's super, super quick. I mean, you put your home up for sale, within a week you've accepted an offer, you're an escrow, probably multiple offers and probably the sold for above this price. So a super aggressive market. We just want to make sure we're giving you guys all the right info. If you have any questions or be curious to know kind of how your home value has changed over the last year or what you could potentially sell your home for, definitely feel free to reach out, would love to help. [inaudible 00:03:52] the info helps with nothing else. And we can go from there. All right, thanks again, guys. And hopefully talk to you soon. Thanks.

Oct. 1, 2020

Top 5!!

What Zillow doesn't tell you about home value

 

 

 


Hey, guys. Hey, this is Justin Short, and today we're going to talk about the top five things that Zillow does not know about Murrieta home values.

Hey, guys. Hey, this is Justin Short, and I'm realtor and team leader here at the Short Real Estate team here at RE/MAX One in Murrieta, California. So, we wanted to take a little bit of time, and create this video, and talk a little bit about Zillow. So first, Zillow is a very useful website, especially for you as a consumer. it gives you access to a lot of information. You can take a look at all the different homes that are for sale. You'll see for sale by owner homes. You'll see rentals. It's a really good place for information. And then obviously a lot of people pay attention to the Zestimates and what's going on the home values. Basically what I do... I tell my clients it's a great tool. It's a great thing to track, to be able to keep an eye on our homes trending up, our homes trending down, what exactly is happening.

They're definitely not exact numbers, though. I'll get into some of the reasons why. Reason number one is Zillow as a website, or any of these other big portal websites, they can't determine how much your property taxes help determine your home value. So what that means is here locally, we have different tax rates for different neighborhoods, different special assessments, different Mello-Roos, all that type of stuff. So obviously, it's a more desirable home if you have two homes that are exactly the same, and one of them your tax bill is $400 less per month, that's a more desirable home. So that makes the value go up a little bit. So they can't be able to access that information, or maybe they have access to information, but they can't properly determine what the differences are and why one neighborhood is better than the other because it is neighborhood-specific. It's street-specific, and that's definitely a big player in the home values. So that's why it's never going to be an accurate number there.

Reason number two is they can't determine on how these schools zones affect value. So let's say in Murrieta, or even some of the surrounding cities, there are many different schools. There are many different high schools, middle schools, the school lines are totally different. Also there are parts of town that show Murrieta's city mailing address, but they're not actually part of the city, and they are in a different school district. So for example, there's some areas in North Murrieta off the 215 close to the Mapleton area that is Murrieta mailing address, but they're Menifee school district. So a lot of people move here because of the school ratings and how desirable that is, but going over to Menifee school district, well, it's just not rated quite as high.

I mean, that's just how it is. So because of that, the homes that are Murrieta postal in that area do not sell for as much as the same home would that is located in a Murrieta of school district. And they're not able to take a map and put it over town and look at what house is zoned for what district. That's something a big website like that just can't possibly know. So, reason number three is how the neighborhood affects the home value. So obviously driving around town, if you have a neighbor that has an HOA, it's typically going to be a little bit more well kept as opposed to a neighborhood without. Not always, but a lot of the times. Especially if there's no HOA, it can be a mixed bag. You may go on one street that is super, super nice, super well taken care of, a lot of pride of ownership... Obviously that's good for home values.

You can go a couple streets over and again, no HOA, but you don't have that same pride of ownership, or maybe there's a lot of rental properties, or whatever it is, and home buyers just aren't quite as good. It's not quite as desirable. It's going to sell for less. and that's hard to know unless your boot's on the ground, able to drive the streets, and pay attention to that. So again, that's just something that a big website like Zillow is not able to determine.

Reason number four is going to be knowing the current updates and upgrades that are in the home. So if you bought your home in 2015, and you redid the kitchen in 2016, well, of course a big online website isn't going to be able to know that. So when you're looking at these estimates, they don't necessarily know what updates you've done, what type of nice flooring you put in, what marble countertops or quartz countertops, or all these upgrades that you did to the property, as opposed to maybe you haven't done anything. Maybe you haven't touched anything since 1989, and the AC hasn't worked in five years. Obviously that means your home value is going to be lower than what you're seeing. So now that's something, again, they're not able to determine.

And then reason number five... This really applies to larger properties, so something on a half acre, an acre, or more is how much is usable. So, when you're looking for property like that, you're looking for space. Usually for a lot of people, it's very desirable to have the usability, whether they're going to do horses, or crops, or different animals, or motorcycles, or bikes, or whatever they're going to do with it. They want that property for a reason. And so you may have one five acre piece of property compared to another that's five acres, but one is totally flat and usable, and this one is just a hilltop and you're basing on the side of a mountain. So the property value is typically going to be higher to the one that is flat and usable, assuming they're in a similar location, because you can do more with it. You can have the animals, you can have the horses, you can build the workshops, all that good stuff, where here, you just have the privacy.

So again, it's impossible for a big website like that to be able to determine that we've had some valuations off anywhere between 2, $300,000 on some of the big custom properties here in Wine Country and Deleuze. Hopefully that makes sense. And we just wanted to take some time and create this video... Explain why you can see some differences, and why you're not always to see a 100% accurate number with a lot of those big portal sites like Zillow. So, if you found the video helpful, and you want more videos like this, and you think this is something that interests you, please feel free and subscribe. It really helps me out. I'd be grateful to be able to keep the videos coming and we'll keep them coming once a week, keep you updated. What's going on here locally on the market, and hopefully some real estate tips. So feel free, again, my name is Justin Short with RE/MAX, and hopefully talk to you soon. Thanks.

Posted in Community News
Sept. 25, 2020

No Money Down

How to use the market to your advantage 

 

 


Hey guys, hey, this is Justin Short. And today we are going to talk about how you can buy a home with no money down.

Hey guys, hey this is Justin Short, and I am a realtor and team leader here with the Short Real Estate Team here at Re/Max One in Marietta, California. So today wanted to talk about what I think is a real important subject. I mean, to me, the hardest thing about buying a home is being able to save up the money to put for the down payment. So I know that was my hardest thing for me when I bought my first home. And I know for a lot of my clients, that's the hardest thing. If you have a home and you're selling it and you have a bunch of equity, obviously that's your down payment for the next one. But to get that first one, it can be difficult. So I want to talk about some different ways you can do that with little to no money out of pocket.

So the first one is the CalHFA loan. So Cal H-F-A loan. And so that's going to require a credit score at least 660 FICO, so that or higher. And then they will be able to gift up to $10,000 towards your down payment. Now, if you are in the education system, or a firefighter, they're actually able to gift all of your down payment for you. So, but everyone else, they're going to cap at $10,000. And then they are also able to gift a one and a half percent towards your closing costs. So it's one and a half percent of the sales price.

So for example, let's say if that is a... You're buying a $400,000 home, let's say, so that means they would be able to gift up to $6,000 towards your closing costs. So you still have to come up with a little bit out of pocket there to cover some of the different, or we could always ask the seller to help cover some of that as well. But that's really probably the most popular program out there.

It gives you 10 grand towards a down payment. We just helped a couple of clients close on these loans over the last couple of months. And it's a great way to be able to into a home and be able to do that with no money out of pocket, or very little out of pocket. So the second option that we want to talk about, it's called the G-S-FA Platinum program. So there are some limitations here, most importantly, it's income-related. So they allow for a maximum income of a little over $59,000. So if you're making more than that, you would have to go with one of the other programs, but if you're $59,000 or under as a household, then it could be really good option. So it is income restricted. You have a minimum FICO score of 620, so of 620 or higher, and then they will lend you all the money for your down payment.

So a hundred percent of the down payment. So there's some catches, because of where an income limitation is. So basically that the amount of the purchase price you're able to qualify for, you really couldn't do like a $400,000 home, so are some catches there, but we'd love to... We can spell it, all of the details for if you have specific questions or, just let us know what we can do to help.

And then, so the third option is the G-S-F-A Open Door Program. And that's another great down payment assistance program. They do have a minimum FICO score of 640 FICO points. So it's that or higher, they do not have an income restriction. So that's kind of what's different compared to the last one that we just spoke about.

So that's a plus, you don't have the income restriction, and they will be able to cover all of your down payment. So you will still need to pay for your closing costs, or we could potentially ask the seller to cover those costs for you, but that allows you to get into home without any down payment, no money out of pocket, and be able to get into a home. So those are really probably the three most common programs.


One thing I do want to point out, there are some negatives to a down payment assistance program. So the reason not everybody does them is because if you have the cash saved up, it's more advantageous to not use it. The reason being is usually there's a little bit of a premium on the interest rate. So you're going to pay a little bit of a higher interest rate monthly in order to get the gift program upfront.

So it's still a great way to get into a home. It still makes sense for most people, and it's definitely a better solution than renting. At least you're building equity over time, and being able to get some of the write-offs and all that good stuff. But I do want to make sure at least point out the con. There is a little bit higher rate to take advantage of the program. So if you have any questions, feel free and reach out. Hopefully, you find this video helpful. Please definitely subscribe. If you feel like it's helpful, and you want to pay attention to more real estate stuff like this, you can reach out anytime. And again, my name is Justin Short with Re/Max One, and hopefully, talk to you soon. Thanks.

Sept. 17, 2020

Fall Marketing Plan

Taking advantage of the market.

 

 

 


Hey guys. Hey, this is Justin Short with Remax One. And today I want to go over with you what our fall 2020 marketing plan looks like. So this is coming out of COVID. We want to show you how we're taking advantage of the market and how we were trying to position our listings to be able to sell for the highest price in the shortest amount of time. Let's go ahead and get into it.


Hey guys. Hey, this is Justin Short, and again, I'm a realtor and team leader here with the Short Real Estate Team at Remax One in Marietta, California. So today we wanted to create this video and talk to you a little bit about the things that we're doing differently for our clients to help get our property sold, and while we're having so much success in getting them to sold quickly and for that the highest price possible.


First and foremost is really going to be safety. So right now COVID is still a concern. We do still have regulations that are in place. Everyone is required to wear a mask at all times during a showing. We are also limiting the amount of people that are allowed to be inside a home at any one time. Right now it's limited to one agent and their clients, and two clients at that. Just really a husband and wife or mom and dad or whatever the family relationship is. That's also no children are allowed right now.


There are some safety measures that we're trying to take just to keep everyone safe. Everyone's required to use hand sanitizer before we go into the house and then right after as well. Try and keep everyone safe with everything going on with COVID. Hopefully, that won't last forever. I'm sure it won't, but for right now, we want to make sure that we are being safe and protecting everyone as much as we possibly can.


Also right now, we are trying to take a little bit of time to get our properties properly marketed upfront to be able to get on the market and be able to hit the market with one big bang. First, it's going to take about a week to 10 days or so to get the house ready. First thing, we're going to bring in a professional stager, have them do a consultation with you, so 30 minutes an hour. She's going to give you some advice, pulling things off the wall, decluttering, maybe putting away some of the tchotchkes or whatever those things are to have your home look as open and bright as possible and to make it more appealing for buyers.


And then from there, we are going to have our professional photographer and videographer come by to really showcase the house. It's not me and an iPhone. They're going to show up with their super nice cameras and equipment, take really nice professional photos. They're going to do drone photos. They're going to take a little drone, put it up in the air, kind of show the property lines, show if you have privacy, show any view that you may have, and then we're also going to do professional videos. It's me out front giving a little pitch to the house. Hey, look at our new home, new pool home is coming on the market in a great neighborhood, et cetera, et cetera, and then have a full walk there.


They're going to come through with their camera. It's going to be set to some music and make sure we show everything off on video. It's a really nice piece. It's a great marketing piece. And then also another kind of COVID related item is we are doing 3D tours on all of our listings. We are making sure that everyone from the comfort of their home to help limit the amount of in-person showings, they're able to go in and kind of do like a full walk through, be able to use the keyboard, kind of go up step by step through the house, look around and as a 3D model and tour to kind of see what everything looks like, and that's something we get a lot of engagement with. People really like that at home, helps them keep safe, helps our client, the seller, keeps safe. That means it's less homes they need to get into. Less people need to get into their home. That means less homes the buyer needs to see in person.


Obviously, nothing's going to replace, in my opinion, nothing is going to replace getting in a house and actually touching it and feeling it and looking and seeing what it looks like. But being able to do that online tour in that 3D tour is super important to me. And so those are a few of the things that we're doing right now to help spruce up the marketing on all of our listings and make sure we have the right amount of exposure. It's 132 different things that we're doing right now to help market your homes. There's a lot of things I'm not going to get into the details of every single one, but those are the first few, they're COVID related that I think help keep everyone safe, that we do a great job showcasing the property, make sure it's out there in its best light.


It's going to take a little bit of time to get that ready. It's about a week to 10 day lead process. Everything has to be developed. It's not like a, hey, we can go up on the market tomorrow with all that material. But what we found is that it is definitely worth the wait for that one week period to make sure your house hits the market at the right time, hits with all the right marketing material and looks as good as it possibly can. There's a reason why a lot of our listings right now are selling in a couple of days, selling multiple offers over list price, and the reason why we're beating the competition.


If you have any additional questions or you'd like more information, or if you want that 132 point list of everything we're going to do, feel free and reach out. You can see all my information there. Again, my name is Justin Short with Remax One and hopefully I will talk to you soon. Thanks.

Sept. 10, 2020

August 2020 Real Estate Housing Market Update

 Compare August 2019 Market versus August 2020 Market.

 

 


Hey guys. Hey this is Justin Short with RE/MAX One and I am here with your September 2020 real estate housing market update. So let's go ahead and we'll talk about what's going on with pricing, what's going on with the market, and where things are trending. So let's go ahead and get into the video.

Hey guys. Hey, this is Justin Short and I'm a realtor and team leader for the Short Real Estate team here at RE/MAX One in Murrieta, California, and so we want to make sure we're doing these videos monthly for you to keep you updated on what's been going on in the housing market, where pricing is going, what's trending, and kind of just how much of a buyer or sellers market it is.

So right now it is definitely continuing to be a sellers market, there's just not enough inventory, so there's not enough homes for sale and there's a lot of demand because the interest rates are so low. So because of that the homes that are out there, they tend to be selling very quickly, and we're seeing pricing go up, up, up on them. So we'll go ahead and get into some of the stats here.

So one of the big things that we track is the average days on market, so that's how long the average home is taking to sell. So we're going to compare August, 2019 versus August, 2020 and kind of show you the contrast. So first City of Temecula, so a year ago the average home was taking 42 days to sell, so about a month and a half, which is still that's actually considered still a seller's market at that point. But right now coming into 2020 that's actually cut in half, so now the average home is selling in about 23 days. So super heavy sellers market means you put your home out for sale and the average one is selling in less than a month, three weeks, a little over three weeks. So it's super, super fast, super heavy sellers market.

City and Murrieta, so a year ago average was 37 days and then now we're down to again right at 23 days, so a little over three weeks. City of Menifee, again same thing, a year ago is about 48 days and then now we're down to the average home selling in the 33 days. So again, kind of shows you the trends, shows you it's a seller's market, shows you just not enough homes for sale.

And that brings us to the month's supply of inventory. So that's something we keep a close eye on, right? So basically what that means is out of all the homes that are available, if no more homes went up on the market, how long would it take for us to sell out of all of them, okay? So a year ago we had 3.1 months of inventory, and that was pretty standard across the board, Temecula, Menifee, Murrieta, pretty much the same. So a year later we're now at 1.6 to 1.2 months of inventory available. So that means if right now, if we didn't put any other homes on the market, they would all be gone in about a month, 1.2 to 1.6 months. So which is that's super, super fast, again, just not enough inventory, that's why we're seeing pricing go up. So that's kind of the next thing.

So the average sales price right now. So the average sales price let's say a year ago, in August, 2019 for the City of Temecula it was $490,000. So now in 2020 that's gone all the way up to $542,000, so that's a $50,000 jump. So if I'm $490 up to $542, so obviously that's a big increase there. City of Murrieta a year ago the average price was $430, now they're up to $475 so again, a $45,000 jump. A year ago Menifee, the average price was $382 and that's up to $425, so almost a $50,000 jump there too. So you can see the inventory and the rates are dictating the pricing going up.

And then the other thing we keep an eye on is just active listing. So City of Temecula a year ago there was 542 homes for sale, now there's only 274, so about half as many homes for sale. Murrieta a year ago there was 660, now there's only 331, so again right at half. And then City of Menifee a year ago 506, now there's only 207 homes for sale, so again less than half.

So as you see, I mean we want to just point out all those stats, you can see the trends, it's a seller's market, home prices are going up, homes are selling quickly, and we don't see that stopping anytime soon, at least until there's more homes for sale.

So if you have any questions on maybe what that means for you or anything that I can do to help feel free to reach out. If you like these videos please feel free and hit the subscribe button, I definitely would appreciate that, and that way you can keep updated because we're going to keep doing a monthly and hopefully it helps you keep an eye on things. So thanks again, and again my name is Justin Short with RE/MAX Realty.

Sept. 3, 2020

3 Mistakes when buying a home

What should you be paying attention to

 

 

 


Hey, guys. Hey, this is Justin Short with ReMax Real Pros and wanted to make a quick little video for you today and talk to you about the three mistakes that you can make when buying your first home. Let's go ahead and get into the video and hopefully help you out.

Hey, guys. Hey, this is Justin Short with ReMax Real Pros, and I'm a realtor and the team leader here at the Short Real Estate team. Wanted to create this video, again, to talk about the three mistakes that you can make as a first time home buyer. Right now, there's a lot of first time home buyers that are coming into the market, a lot of millennials that are finally able to buy their first home, young families, that type of stuff. When you're out buying your home, interest rates are low, you're going to be excited. Obviously, if you can buy your first home, you can start building equity. You're not wasting your rent. You're paying down your mortgage over time. Obviously there's a lot of advantages to that, but there's three things that I think are super important to make sure you're paying attention to.

Number one is going to be not paying attention to your extra costs and fees that are tied to the property. They're not necessarily hidden fees and hidden costs, but they are absolutely monthly costs that you're going to experience on a monthly basis. That's going to be things like your property taxes, things like your HOA fees, those are going to be ongoing. When you're looking at a home, let's say you're looking at a $400,000 home, and if you didn't realize that is a high tax neighborhood, that home may cost you an extra $250, $300 a month. That's an ongoing bill. It's not going to go anywhere. It's going to be there for the next 15, 20 years. That's something you have to take into account. Also, an HOA payment. It could be 40 bucks, that'd be a low HOA. Some of them are 190, 200 bucks for some of the different condos out here. Those are big fees. Those are things to keep in mind that talking to a lot of buyers, if you've never bought a home, you don't know that, so not something you're paying attention to. That's really the number one tip that we have.

Mistake number two that we see people make is not evaluating the neighborhood. A lot of times, you're looking at your first home and you're excited, you see maybe the pictures online looks really nice, you got to remember with real estate is you cannot change the location for the property. That doesn't necessarily just mean the geographic location, but also the area around it, like the neighborhood. You want to do your due diligence on that neighborhood. You want to drive around the streets. You want to think about location, how close it is to the places you go, to the malls, to the shopping centers, to schools, to freeways if you commute out. Those are all important things to pay attention to.

And also something we always recommend to our buyers is if you find a home and you want to purchase it, very, very easy thing to do. Friday night, Saturday night, come on by in the evening, five, six, seven o'clock at night, to park across the street, turn your car off, roll the windows down and just sit. Just sit there and see what happens. If there's crazy parties going on everywhere, that's something you got to know. If it's dead quiet and you're looking for more of that family neighborhood, that's something that you want to know, that there's kids out playing in the street and you have young kids. That's a good thing. That's something you want to know, but those are things that you won't know until you live there. That's a great little hack where you're able to do some of that research upfront and get that experience yourself and it doesn't cost you an hour of your time.

And then the third mistake that we see buyers make is not paying attention to the interest rate and not getting a great interest rate. The loan has a lot of effect on your buying ability and your ability to afford the home. You always want to shop your lender. You want to compare two or three different lenders against each other. You want to shop rates, see who's most competitive, who's giving you the best package, and also make sure it's someone that can perform and it's a good lender, has a good reputation, and is going to be able to close the loan. You want to make sure that they're doing their due diligence upfront, that they're doing a full preapproval for you upfront because if you are going to be shopping, if you can get a rate let's say a half point better with another lender, that could save you 150, 200 bucks a month and that's super significant.

All right, guys. Hopefully those three mistakes are something that you're going to be able to avoid. Hopefully learning about those, it helps you out. Hopefully those are good tips for you. If you have any other questions or anything that we can do to help, you can feel free and reach out any time. You got all our information there. Again, my name is Justin Short here with ReMax Real Pros and we'll talk to you soon. Thanks.

Posted in Buying a Home
Aug. 27, 2020

Children's Miracal Network

How RE/MAX Agents give back

 

 

 


Hey, guys. Hey, this is Justin Short with RE/MAX Real Pros, and we wanted to create a video today to talk to you about the Children's Miracle Network. I want to talk to you about what it is, who they support, and then why we and all of our clients support them. So let's go ahead and get to the video.

Hey guys. Hey, this is Justin Short with RE/MAX Real Pros. I am a realtor, and I'm the team leader here at the Short Real Estate team, and I wanted to take some time to really explain to you what the Children's Miracle Network is and why we support it.

So the Children's Miracle Network is a network that supports different hospitals and children's hospitals here in the area. Actually, they're nationwide, and RE/MAX ... So I work for RE/MAX Real Pros, so RE/MAX has formed a partnership with the Children's Miracle Network, and over the years they've donated over $125 million to them. So those are donations that go to support local hospitals, local children's hospitals here like CHOC. So Children's Hospital of Orange County. Like Rady's, which is down in San Diego, and they opened up the new branch here in Marietta. So those go to help the infrastructure, donations to help the kids, different foods and toys, and all that good stuff.

So it's a really, really great cause and something that I'm proud that we participate in. So the way we participate, every time we sell a home, we make a donation on behalf of our clients to the Children's Miracle Network, and those are proceeds that come right out of our fees, our commissions, right? Right at closing, that goes out to them. We are designated as a Miracle Agent, so both myself and Michelle here on my team, we are Miracle Agents, and so is our office. Our office is considered a Miracle Office.

So that's something that I'm really proud on. We've done tours down at Children's Hospital of Orange County, and it is super, super powerful stuff. And that is a sobering place to be, for sure. Those are a lot of great people that have some true heart to help take care of the kids, people are going through all types of different situations and medical situations. And it's something that I feel proud to be able to support.

So that is I want to take some time to explain to you guys what the Children's Miracle Network is. I think it's something not enough people know about and not people know that we actually support. So if you have any other questions, you can feel free to reach out to me anytime. But once again, you have my information. Justin Short with RE/MAX Real Pros, and hopefully I'll talk to you soon.

Posted in Community News
Aug. 20, 2020

Market Crash?

Buy now or wait?

 

 


Hey guys, this is Justin Short with Remax Real Pros. And today we're going to find out if the real estate market is going to crash. Hey, this is Justin Short with Remax Real Pros, I am a realtor, and I'm the team leader here at the Short Real Estate Team. We wanted to kind of take some time and really create this video because it's a question I've been getting a ton of lately. So right now, so this is August 2020, right? We are coming out of COVID. Obviously we all had the locked down for a couple of months there. The economy is kind of crawling back into place there, but there's still a lot of restrictions. There's still a lot of people that are on unemployment. A lot of businesses are not going to survive through COVID. It is definitely a questionable time with everything going on an economic scale. So a question I'm getting from a lot of people is, "Hey, should we wait three, four months, let the real estate market crash and then go ahead and buy our home?

So that's something we really wanted to address. And really, the truth is no. So the truth is that right now, I think is a great time to turn around and buy a home and transact. And we have some stats and what we'll kind of talk about why that is, and it's not just an opinion. It's what I feel is something that is backed by stats on what's actually happening in the marketplace. So right now, what we're experiencing and we've done some market update videos, is there's just not enough supply. There's not enough available homes for sale. So because of that, we are seeing a very, very competitive pricing environment. We're seeing a lot of offers, home selling very quickly, short amount of time, pricing is going up. So as we're seeing that we know it's a desirable market right now.

Also, interest rates are very, very, very low, they're at all time lows. I just had a refinance on my house. I'm recommending a lot of my clients turn around and do refinances. And so if you're looking to buy a home right now, your affordability is so strong right now, as opposed to a year ago. The rates have dropped a little over 1% in the last year. So that means on the same price home, let's say you're looking at a $400,000 home from 2019 compared to 2020, the same home in 2020 is going to cost you like $180 less per month. So that's a big savings for people. That's a fixed bill that you're going to have. It's something you can't control or can't change. And I think that is super, super important. So the other thing that we watch are different stats in the marketplace. So we're paying attention to how many people are applying for home loans. So that's like a really good leading indicator upfront, if more people are applying for mortgages, we can have a good idea of how many homes are going to sell over the coming months.

I think that kind of makes sense. And so right now, year over year, we're now in the 10th week. Yeah, it's the 10th week in a row that we've seen an increase in new mortgage applications. So that means more people this year applying for and getting approved for mortgages than there were just a year ago. So that shows you the desirability, that shows you people want to buy, that shows you the market is desirable for people. And obviously, the interest rates are helping. And the other stat that we're continuing to watch right now is the amount of showings. So we're able to track through some of the companies we use, like showing time, we're able to track the amount of showings that are being requested and done per day on all listings throughout California and in our area in Riverside County to kind of keep an update on how much activity these different properties are getting.

So we've seen since May 19th, so since really the state home order was mostly lifted, we've seen a big, big, big jump in the amount of showings. We've actually seen an increase compared to last year, week over week, over week, over week. So that's for the last two and a half months now we're seeing more and more showings and again, that's causing more and more offers, that's causing pricing to go up, up, up, and again, we're back to the inventory problem, where just not enough homes for sale. So you can see there's a lot of demand right now.

Also going forward, so I'm in Murrieta, California. So we work the Murrieta, Temecula, Menifee, Wildomar Lake Elsinore area. Our area here is still very, very affordable as opposed to some of the other surrounding areas. So as opposed to San Diego and Orange County, that's why a lot of people move out this way. You can get more for your money. So, but not only that, but going forward, so you have the affordability, we're seeing a lot more people that are able to work from home. They're not having to commute anymore. So they're able to do the home office. You can do that. You can get a much larger home here in Murrieta, California, for 500 grand than what you're able to get in San Diego, California. Knowing all of that, paying attention to different economists, what they're predicting going forward. They're all predicting pricing to increase over the next couple of years. Yes, at some point pricing is going to dip, but right now the market is so strong. Interest rates are so good. There's so much desirability that we're just continue to see things going forward.

So hopefully this helps you guys keep an eye on what's going on, and knowing that it is definitely a great time to buy a home. Raised rates are good, affordability is good. And if something we can do to help you through the process, of course, we'd definitely love to. So feel free to give us a call or a text message anytime. And we have all my info there. Again, my name's Justin Short with Remax Real Pros and we'll talk to you soon. Thanks.