Sizzling summer real estate is here.
Thank you for your calls and referrals. Locally, we continue strong. Rates remain low, with home prices increasing and rents rising.
An amazing combination, good for both buyers and sellers.
With our rising home prices, sellers are more motivated and buyers are willing and able to offer more, even more than most cash buyers. It is also good to see the high percentage of our buyers, putting 20% or more down. Things should remain “hot” for the summer.
If you know people who rent, now is a good time for them to consider buying. Particularly if a first-time buyers with less than 20 % down payment. Your introductions are always appreciated.
Before we begin our monthly the Good, Bad and Ugly, a few updates:
- Owner occupancy: At pre-1980 averages, nation-wide.
- Local rental prices continue upward. Why? 72,000 new jobs in the midst of a major housing shortage – short by 30,000 units.
- The fluctuating prices at the gas pump keeps us guessing, yet summer travels says, good news.
- Interest rates continue fluctuating. Some say higher because of Greece, some say lower because of economic weakness, while others say higher, because lower is not working :-) In short, take advantage of the low rates we have, while you can.
The GOOD: Our economy is on solid footing. 20% more young adults with college education than 25 years ago. Companies hold strong balance sheets with ample cash to invest and to hire. IT and bio-medicine continue rocking with amazing new innovations.
The BAD: No ‘popular will’ at the local and state level to prioritize infrastructure requirement or housing needs. Both can be solved. Yet when will we bite the bullet and begin the fix what taxpayers have a right to expect. For sure, we cannot continue to put the burden on new development projects, IF we want to solve our housing needs.
The UGLY: I meet and discuss with many people seeking real estate loans. The UGLY or perhaps this month “the SAD”, is the few yet prepared to meet the needs of being a successful buyer or homeowner. There are three challenges in particular: 1) How to buy – and be prepared to buy – in a hot market, recognizing financial limitations and future needs, 2) Putting focus on the immediate, while having the discipline in preparing for long-term needs, and 3) Having perseverance and patience, accepting “No” as not being personal, trusting there is another “perfect house”.
Final thought: Part of why I love my job is helping our clients achieve their dreams. At the same time, helping them learn how to turn this wonderful dream into a strong and prosperous future.
Read our success emails by checking our updated website. Here you can find our past successes and these letters under the section “Letters from the Heart.” We have helped many people successfully purchase real estate throughout the Bay area, for twenty plus years. Our client base is disciplined and informed, and the source of our success.
Their referrals are the backbone of our success.
Continue with the calls. We love helping our friends, your friends and co-workers. Don’t let rate fears be the stumbling block in your success story. It can be a bright and hopeful one.