Dear Bel Air Crest Neighbor:
March came in like a pussy cat with little rain fall, and we are limping forward, hoping April “showers” really do arrive We do need the rain as drought has again gripped our state, with water reserves dwindling to dangerous levels. Rationing is most likely on the way.
As the war in Ukraine continues to overwhelm the world, on the home front, we are continuing to see rising inflation, gas prices, and now interest rates. The Federal Reserve recently increased interest rates, and we are now seeing mortgage rates nearing 5% level, which causes concern especially with first-time buyers. However, the share of millennial home buyers has significantly increased over the past year, with 43% of buyers in the age range (21 to 41 years), which is up from 37%. But overall, existing home sales feel in February 7.2%, continuing a pattern of ups/downs over the past few months.
According to the National Association of Realtors, housing affordability continues to be the major challenge. But in our market, the lack of inventory is really challenging buyers as home owners are reluctant to move during these high inflation times, compounded by the unknowns brought about the war in Ukraine.
With us now entering the 2nd quarter, I continued a strong sales year that I experienced in 2021, and yes, inventory also remains a challenge for all buyers. We are continuing to see multiple offers on all price points. I recently assisted one of my mentees with writing his first buyer offer on a condominium in Playa del Rey which was listed in the lower sevens, and ended up with 9 offers, probably selling over $800,000!
From a real estate perspective, how are we doing this past quarter vs. the first quarter of 2021? For the first time in months, we have a Canyon home on the market. There is also one(1) Custom home on the market, though it is temporarily on hold (not being shown at the moment). Last year there were three (3) Custom homes on the market, no Canyon homes, two homes in escrow, one of each, vs. none this past quarter. As for closed escrows, we had two Custom homes close escrow vs. four (4) last year with three (3) Canyon and one Custom. This low number of transactions speak volumes of the low inventory we are dealing with across the board. I am getting calls & emails daily with people and or/agents looking for property in our fabulous community. If you are at all considering selling, please do contact me… Carole Schiffer 310 442-1384 or firstname.lastname@example.org Prices are still strong and interest rates are still good.
I also just signed up for a Solar Power Wall for my house for when we lose our power. I am in the process of obtaining the permits and specs so it can be submitted to the Canyon ACC committee for installation sometime in late May or June If you are interested in either solar panels and/or this power wall , please let me know as we are getting a price break for BAC residents who choose to do this now.