Summer!! Where is your next trip to? Odds are its here in California. With many different places to visit within only a few hours drive, you can’t beat living here. From the mountains to the beaches-the “sunshine tax” is real!
At this time the real estate market has two consistent factors: interest rates and inventory. Interest rates are still scaring some buyers away from purchasing, however, low inventory of homes available causes a scarcity market for the buyers who are interested in buying. I believe we are still currently in a balanced market because of these large factors.
Another important item to be aware of is the national court decision on realtor commissions. I believe once people understand what this means, business will go on as usual. A very quick explanation is the following: sellers can no longer advertise they will be giving a commission to a buyers agent. They can however, advertise they will be giving credit to the buyer. At first buyers get excited, but the facts are no buyers agent will work for free, and a buyer doesn’t want to buy a house AND pay a commission. Therefore when the time comes for you to buy or sell, realize that a realtor works very hard and provides incredible value to you. From inside market knowledge, to personal advice about the home to crucial contract advising the buyers and sellers agent should be compensated. Here is a resource if you are interested in finding out more https://www.nar.realtor/the-facts/nar-settlement-faqs
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 spike in absorption rate and sold to list ratio. Absorption rate could become concerning if it trends higher and also not a great sign if the sold to list ratio drops below 100%- both because buyers won’t see the homes available to sell as a good value.
TWO: Here are the current mortgage rates over the last few months.
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
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. There is a reason people pay the “sunshine tax”!
Sellers
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. Mulch. Yes, mulch. New mulch is quite cheap but it makes the areas around bushes and planters look much more appealing to first time viewers of your home. 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!