Your House As Seen By:
Yourself...
Your Buyer...
Your Lender...
Your Appraiser...
Your Appraiser...
Your Tax Assessor...
Let me know what you think!
MB
Monday, December 3, 2007
Real Estate Humor....
I received this email today and thought it does a pretty good job of summing things up in todays complex real estate environment here in California. Enjoy!!!
Your House As Seen By:
Yourself...
Your House As Seen By:
Yourself...
Wednesday, November 21, 2007
Video Killed the Virtual Tour
Just like video killed the radio star back in the eighties, video is beginning to kill the virtual tour in real estate. As bandwidth pipelines continue to get fatter and fatter, web content continues to get more robust. Low res real estate pictures of old were replaced with higher resolution pics and "360 degree" virtual tours (the tours that are famous for distorting the architecture of a room). Walls become curved. "Stitched" pictures have warped seams where they are "stitched" or joined with another photo.
Why not just shoot video?
Up 'til recently, it was quite costly to have a video produced and the quality was not too great. Recent websites devoted to video like utube.com have made even low res video "cool" if it well done. It is also producing many younger people that are very talented with a video camera and know how to work with many of the programs that allow them to edit their footage.
Which would you prefer...A nicely produced video showcasing your home or the typical virtual tour? We would love to hear from you. Feel free to post your thoughts here.
Why not just shoot video?
Up 'til recently, it was quite costly to have a video produced and the quality was not too great. Recent websites devoted to video like utube.com have made even low res video "cool" if it well done. It is also producing many younger people that are very talented with a video camera and know how to work with many of the programs that allow them to edit their footage.
Which would you prefer...A nicely produced video showcasing your home or the typical virtual tour? We would love to hear from you. Feel free to post your thoughts here.
Sunday, November 18, 2007
Don't believe everything you read!
"We simply attempt to be fearful when others are greedy and to be greedy only when others are fearful." Warren Buffett
People are always asking me how the market is doing on the peninsula. I always have some statistical data to tell them about and I always tell them not to believe what the read in the media. If you believed everything you read, then we would all be thinking that real estate business is way down on the Monterey Peninsula. Oh, wait a minute....Most people do believe that real estate is way down.
When I tell people the total sales in dollars for Q3 of 2007 was substantially higher than Q3 of 2006, they are surprised. In fact most people have a hard time believing it. The fact is there was roughly $326,000,000 in real estate sales reported in q3 of this year for the Monterey Peninsula, Carmel Valley and parts of the 68 corridor versus only roughly $307,000,000 in Q3 of 2006! Unit sales were down slightly, but only by 17 units.
The high end is selling and is selling at a great pace. The lower end (good luck finding any of that stuff on the Monterey Peninsula!) is what has been impacted the most. Areas like South Monterey County, North Monterey County, Salinas, Seaside and Marina have been impacted mostly by the sub-prime loan issues. There are buyers out there that just can't qualify anymore.
Back to the Warren Buffett quote above...People who have the money tend to buy when others are fearful or uncertain. California real estate will continue to be a great investment although the media would lead you to believe otherwise. Coastal California real estate will always be in demand. Cities like Monterey, Carmel, Pebble Beach and Pacific Grove don't have substantial amounts of land available to build. Nor do they have water available for new homes (except Pebble Beach) which makes them an even better investment. So it is no surprise that people with the money are investing in our greatest local resource (Real Estate) at a time when there are less people competing with them to buy.
I will leave you with a couple of other quotes, this time from the media who has predicted doom and gloom before...
“The goal of owning a home seems to be getting beyond the reach of more and more Americans. The typical new house today costs about $28,000.” - Business Week - 1969
“The median price of a home today is approaching $50,000 . . . housing experts predict price rises in the future won’t be that great.” – National Business - 1977
“The golden-age of risk free run-ups in home prices is gone.” – Money Magazine – 1985
“A home is where the bad investment is.” San Francisco Examiner - 1996
People are always asking me how the market is doing on the peninsula. I always have some statistical data to tell them about and I always tell them not to believe what the read in the media. If you believed everything you read, then we would all be thinking that real estate business is way down on the Monterey Peninsula. Oh, wait a minute....Most people do believe that real estate is way down.
When I tell people the total sales in dollars for Q3 of 2007 was substantially higher than Q3 of 2006, they are surprised. In fact most people have a hard time believing it. The fact is there was roughly $326,000,000 in real estate sales reported in q3 of this year for the Monterey Peninsula, Carmel Valley and parts of the 68 corridor versus only roughly $307,000,000 in Q3 of 2006! Unit sales were down slightly, but only by 17 units.
The high end is selling and is selling at a great pace. The lower end (good luck finding any of that stuff on the Monterey Peninsula!) is what has been impacted the most. Areas like South Monterey County, North Monterey County, Salinas, Seaside and Marina have been impacted mostly by the sub-prime loan issues. There are buyers out there that just can't qualify anymore.
Back to the Warren Buffett quote above...People who have the money tend to buy when others are fearful or uncertain. California real estate will continue to be a great investment although the media would lead you to believe otherwise. Coastal California real estate will always be in demand. Cities like Monterey, Carmel, Pebble Beach and Pacific Grove don't have substantial amounts of land available to build. Nor do they have water available for new homes (except Pebble Beach) which makes them an even better investment. So it is no surprise that people with the money are investing in our greatest local resource (Real Estate) at a time when there are less people competing with them to buy.
I will leave you with a couple of other quotes, this time from the media who has predicted doom and gloom before...
“The goal of owning a home seems to be getting beyond the reach of more and more Americans. The typical new house today costs about $28,000.” - Business Week - 1969
“The median price of a home today is approaching $50,000 . . . housing experts predict price rises in the future won’t be that great.” – National Business - 1977
“The golden-age of risk free run-ups in home prices is gone.” – Money Magazine – 1985
“A home is where the bad investment is.” San Francisco Examiner - 1996
Wednesday, October 17, 2007
It's a Buyers Market. So When Are You Going to Buy?
Real Estate News and Advice
By M. Anthony Carr
October 16, 2007
A buyer's market is technically defined as: "A market condition characterized by an abundance of goods available for sale."
The in-depth definition from the same source is: "When a buyer's market exists in commodities, the buyer is able to be selective in purchasing contracts, as there are many individuals wishing to sell. Furthermore, these buyers will generally be able to purchase contracts at lower prices than those that were previously prevalent."
The simple version is: when no one else wants a product of value -- buy it, because the price will be lower whereby you'll be able to maximize your investment for future gain. In essence -- buy low, sell high.
When it comes to purchasing real estate, it's not as easy as investing in your 401K or savings account. Those are simple. You can select as little as $1 to invest each month or as high as the law will allow -- thousands per year.
Most people really don't worry about how the stock market ebbs and flows as they are using the practice of dollar cost averaging to invest: "Dollar cost averaging is the practice of investing or saving money at specific times, regardless of market conditions or your personal financial outlook," according to a beginners guide to investing from About.com. The idea is that if you keep investing over the market levels (low and high) you will, through the law of averages, make money in the long haul.
The challenge with that type practice in real estate is that you can't slip into real estate investing. We don't buy our housing investments month after month with prices up and down. Instead, we slap down the down payment when it's time to buy. And wherever the market is, is where we start.
The best strategy for real estate and the best way to make money in real estate is to buy low, when the conditions are in the favor of the buyer to buy. Your start-up purchase is where you "begin" your investment growth -- and that's why I submit to my buyer friends the above headline question, again: "It's a buyers market. So when are you going to buy?"
Today in many markets you can by a house for 5 to 10 percent below asking price. For a $300,000 purchase, that's between $15,000 and $30,000 off your mortgage. On a 30-year fixed rate mortgage at 6 percent, that reduction in mortgage amount would save about $180 per month (more than $2,000 per year).
In addition, many sellers are willing to help with closing costs just to sell their house. In Fairfax County, Virginia (just outside the Washington, D.C. area) half of the 3 bedroom 2 bath single-family homes sold in the last 30 days included a seller subsidy ranging from $500 to $15,000 (the average seller subsidy was $8,790).
Then there are the prices. While they have been flat over the last couple years, they are starting to increase. This is where you're research on the housing market must turn local. The national numbers mean nothing to you when it comes to investing in real estate. Where are your average prices? Are they flat, deflating or appreciating?
Nevertheless, there are hot pocket markets. In the DC area, there are several zip codes that, when looking at the numbers, are technically in sellers markets. In these areas, homes are selling in under 60 days, prices are up, unit sales have outpaced the level from a year earlier and total sales volume is expanding. The thing is, though, the pressure from surrounding zip code markets keep the prices from escalating as fast as their potential.
Let's review -- you have plenty of housing inventory from which to choose. Sales are slow, so sellers are offering thousands of dollars in incentives to tempt you to buy. Prices are flat. Interest rates are still historically low. Sounds to me like the buyer who has been waiting on the sidelines needs to get off the fence and pull out his checkbook.
Copyright © 2007 Realty Times. All Rights Reserved.
By M. Anthony Carr
October 16, 2007
A buyer's market is technically defined as: "A market condition characterized by an abundance of goods available for sale."
The in-depth definition from the same source is: "When a buyer's market exists in commodities, the buyer is able to be selective in purchasing contracts, as there are many individuals wishing to sell. Furthermore, these buyers will generally be able to purchase contracts at lower prices than those that were previously prevalent."
The simple version is: when no one else wants a product of value -- buy it, because the price will be lower whereby you'll be able to maximize your investment for future gain. In essence -- buy low, sell high.
When it comes to purchasing real estate, it's not as easy as investing in your 401K or savings account. Those are simple. You can select as little as $1 to invest each month or as high as the law will allow -- thousands per year.
Most people really don't worry about how the stock market ebbs and flows as they are using the practice of dollar cost averaging to invest: "Dollar cost averaging is the practice of investing or saving money at specific times, regardless of market conditions or your personal financial outlook," according to a beginners guide to investing from About.com. The idea is that if you keep investing over the market levels (low and high) you will, through the law of averages, make money in the long haul.
The challenge with that type practice in real estate is that you can't slip into real estate investing. We don't buy our housing investments month after month with prices up and down. Instead, we slap down the down payment when it's time to buy. And wherever the market is, is where we start.
The best strategy for real estate and the best way to make money in real estate is to buy low, when the conditions are in the favor of the buyer to buy. Your start-up purchase is where you "begin" your investment growth -- and that's why I submit to my buyer friends the above headline question, again: "It's a buyers market. So when are you going to buy?"
Today in many markets you can by a house for 5 to 10 percent below asking price. For a $300,000 purchase, that's between $15,000 and $30,000 off your mortgage. On a 30-year fixed rate mortgage at 6 percent, that reduction in mortgage amount would save about $180 per month (more than $2,000 per year).
In addition, many sellers are willing to help with closing costs just to sell their house. In Fairfax County, Virginia (just outside the Washington, D.C. area) half of the 3 bedroom 2 bath single-family homes sold in the last 30 days included a seller subsidy ranging from $500 to $15,000 (the average seller subsidy was $8,790).
Then there are the prices. While they have been flat over the last couple years, they are starting to increase. This is where you're research on the housing market must turn local. The national numbers mean nothing to you when it comes to investing in real estate. Where are your average prices? Are they flat, deflating or appreciating?
Nevertheless, there are hot pocket markets. In the DC area, there are several zip codes that, when looking at the numbers, are technically in sellers markets. In these areas, homes are selling in under 60 days, prices are up, unit sales have outpaced the level from a year earlier and total sales volume is expanding. The thing is, though, the pressure from surrounding zip code markets keep the prices from escalating as fast as their potential.
Let's review -- you have plenty of housing inventory from which to choose. Sales are slow, so sellers are offering thousands of dollars in incentives to tempt you to buy. Prices are flat. Interest rates are still historically low. Sounds to me like the buyer who has been waiting on the sidelines needs to get off the fence and pull out his checkbook.
Copyright © 2007 Realty Times. All Rights Reserved.
Thursday, October 11, 2007
Average Price Soars As Home Sales Plunge in September
As expected, the credit crunch had a big impact on sales last month. Sales of single-family, re-sale homes fell 29.9% from the month before, and were off 42.9% year-over-year. We expect sales to be slow this month, then start to recover at the end of the quarter as the credit crunch is alleviated.
The median price for re-sale homes also plunged last month, after setting a record high in August. The median price for homes was down 12.6% month-over-month, good enough for a 1.5% gain year-over-year. Interestingly, the average price for homes set a new record high by climbing 23.4% compared to August, up 45.8% year-over-year. There were seventeen homes sold over $2 million. Of those six were over $5 million and one was over $12 million.
The median price for condos also plunged sharply in September, down 23.5% from August, up 3.1% year-over-year. There is really nothing to read into this number as condo sales are so few that this number will, and does, fluctuate wildly from month-to-month. Condo sales were down 41.2% month-over-month, and off 37.5% compared to last September.
Year-to-date, home sales are off 31%. The sales price to list price ratio for homes dropped 2.3 points to 91.9%. Our Days of Inventory indicator rose 245 days to 921 days.
Although these number reflect the county as a whole, Monterey County is made up of many micro markets. Click here to view a city by city break down for the county.
The real estate market is very hard to generalize. For complete information on a particular neighborhood, ive me a call or send me an email.
The median price for re-sale homes also plunged last month, after setting a record high in August. The median price for homes was down 12.6% month-over-month, good enough for a 1.5% gain year-over-year. Interestingly, the average price for homes set a new record high by climbing 23.4% compared to August, up 45.8% year-over-year. There were seventeen homes sold over $2 million. Of those six were over $5 million and one was over $12 million.
The median price for condos also plunged sharply in September, down 23.5% from August, up 3.1% year-over-year. There is really nothing to read into this number as condo sales are so few that this number will, and does, fluctuate wildly from month-to-month. Condo sales were down 41.2% month-over-month, and off 37.5% compared to last September.
Year-to-date, home sales are off 31%. The sales price to list price ratio for homes dropped 2.3 points to 91.9%. Our Days of Inventory indicator rose 245 days to 921 days.
Although these number reflect the county as a whole, Monterey County is made up of many micro markets. Click here to view a city by city break down for the county.
The real estate market is very hard to generalize. For complete information on a particular neighborhood, ive me a call or send me an email.
Wednesday, September 26, 2007
Unique Marketing
I have spent the last 20 years of my life working in the sales and marketing world and have been fortunate enough to have been surrounded by amazingly creative people. I have had the opportunity too see their creative genius at work. To mold an idea, message or concept into a clear, concise vehicle that delivers the most minute details along with emotions.
I enjoy the challenges of marketing the diverse properties here on the Monterey Peninsula. Above is a picture of a Pebble Beach home that was built in 1932 and restored in 2006. It is a Spanish style home that has very little curb appeal (see the picture below) but has tremendous character and style and a feeling of privacy and intimacy once inside the gate of the courtyard.
Our biggest challenge in marketing this property was to get people inside...Not to just do a drive by. I spent several hours one evening with my Canon 20d SLR camera and a tripod taking a couple hundred different pictures of the front of this home in order to get the one picture that told the story. The picture above is the one we used on all of our marketing materials and posted all over the internet to market this property. It captures the uniqueness of this property and draws you in to the front door. It makes you want to see more of the home. More importantly, it produced 3 buyers and a sale in about half the time it takes to sell a property in today's market!
If you are interested in how our team will market your home, give us a call or send us an email. We would love to work with you to package a unique marketing solution for your property that will realize it's highest potential price in today's challenging market.
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