Trump tariffs, interest rates and the world economy are all hot topic conversations right now. Will the stock market come back? Will interest rates drop? Will the housing market crash? These are all important questions, but as always the question remains; what are your goals and how can you accomplish them?
Three months ago and five months ago massive fires raged and affected countless home owners. Many people asked how this would affect the market? Will it cause people to move away? The simple answer is no. Many people are still buying and selling here in Southern California. The stats show this is true, because people want to stay here. There are, however, some important details to consider. If you are a buyer, it is challenging to see high interest rates, high home prices and a competitive market. Some homes are getting multiple offers in a short period of time which makes it harder to identify, offer and get into escrow on a property. If you are a seller, it can be challenging if your home isn’t exactly what buyers are looking for. Buyers are very picky right now because of the rates, high prices etc. and if your home doesn’t match, they aren’t wiling to pay top dollar.
Insurance is still a question mark for many people concerning the fires, but two different big insurance carrier representatives have told me very clearly recently that they are simply, still insuring people. The insurance market will continue and people will have insurance for their homes.
Also, see below for TWO important factors to consider in your next real estate move.
ONE: This below market summary is Camarillo focused, however, it is indicative of all markets in Ventura County right now. If you have a specific city you would like more information on, let me know. Take special note of the Absorption Rate. This chart shows how long the current inventory of properties would last at the current rate of sales. This chart shows it is rising because of more homes being listed on the market.
TWO: Here are the current mortgage rates over the last few months. This is obviously another major issue with people right now. Tough if you compare to the past, but if you can accept that rates will stay approximately how they are now then you can accept paying for them.
Investors
If you have cash you are positioning yourself even better than before to get a good deal. Can it pencil? Ask me and we can talk through it together. As I mentioned, there can many challenges with getting homes to appraise right now. If you buy all cash there is typically no appraisal which is very attractive to sellers. There is RISK but over a long enough time frame you WILL make money. Let me know if you want to chat about your options and how to find that good deal.
Buyers
Its all about your budget. Don’t be afraid to purchase something if you are confident in your budget. Timing is important to consider in a larger perspective…if you are afraid that the market will drop in the short term then your stress level will probably be very high and be incredibly hard for you to actually purchase. But if you have a longer term perspective of growing your equity and your value in your home over a period of time of 5+ years, then our area of Ventura County is unbeatable.
Sellers
Consider doing as many small upgrades and fixes that you can. Many buyers are wanting turnkey properties because prices are so high. Choosing what upgrades and fixes to do with your home is an important decision so you can increase your value without breaking your budget. By doing a few small things it can make a big difference. Curb appeal is real. Paint and general clean up of the home can also put an important finished look for your home. A seller must understand the psychology of a buyer…if a buyer is going to pay a lot of their hard earned money into your home shouldn’t it look worth it? Talk with me to help you decide what is right for you.
If you liked these stats please reach out and let me know about it! If you have any questions about the Real Estate market or the process of buying or selling a home please contact me. Contact me today if you are ready to buy or sell a home.
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Cheers!