Dear Fellow Bel Air Crest Residents,

Happy Fourth of July….we are passing 2022’s half-way mark and we have seen so much happening since January 1. The world continues to spin on its axis, but it has also changed a great deal in the past few months. Every day brings something new and with it a challenge or two, but we will get through it and the real estate market will stay strong as well.

There is some good news…. especially about demand for loans which were on the rebound last week since interest rates have retreated from 2022’s high last week with smaller loan requests, hinting that home price appreciation may be cooling. According to a weekly survey of lenders by the Mortgage Bankers Association. purchase mortgage applications were up a seasonally adjusted 8% when compared to the week before. Mortgage rates have been on the
rise this year, after the Federal Reserve gradually withdrew the support it provided to the economy during the pandemic and began tightening monetary policy to fight inflation. So this may be a stabilizing factor in mortgage lending according to the Mortgage Bankers. I know for me, I will be refinancing my loan as it adjusts in November and I want to take advantage of the rates now, w. h is 4,75% for a confirming (under $989,000) 15-year fixed rate loan.

One of the positive outcomes of rising home prices that we have seen in the past few years, is that Americans have more equity in their homes than ever before. Total U.S. home equity increased almost 20% in the first quarter to $27.8 trillion, a record high, according to the Federal Reserve. The increase is another consequence of a red-hot housing market. Double-digit price gains have driven some would-be homeowners out of the market. At the same
time, rising home values are boosting the finances of the Americans who already own them.
Fortunately, we are seeing strong sales on the Westside even as interest rates rise — which do not seem to have the same impact as in other parts of the country. Bottom-line: Our business is strong on the Westside, and I expect it to remain so.

How has our fabulous community of Bel Air Crest fared this past quarter? Like the rest of the world, we too have had a few changes take place. As you saw in the recent letter our landscaping contractor of over 20 years gave us very short notice about the resignation of our contract with them. After a lot of due diligence on the part of our wonderful management team and the boards of all three HOA’s we were able to secure the services of Gothic Landscaping and to keep the majority of our past crew. Unfortunately, the change did affect an increase in the dues
for all three HOA’s. What has happened from a real estate perspective for the past quarter?

How has our fabulous community done this past quarter as compared to the second quarter of 2021? From a real estate perspective, the community as a whole has been somewhat somnolent, particularly in the Canyon home portion of the community. Currently there are no Canyon homes available for sale, which was the same for this time
period last year, and there is one (1) Custom home for sale as compared to three (3) last year. There are no homes in escrow currently, with one (1) Custom home in escrow last year, and as for closed escrows, we had one (1) Canyon
home and one (1) Custom home close escrow this past quarter, vs. one (1) Canyon home and three (3) Custom homes close escrow in the 2 nd quarter of 2021. Because of the shortage of inventory, particularly in the Canyon homes, the sale prices this year have been quite strong. I cannot say the same for the Custom homes as they are still healthy, but slightly soft. As always, price continues to be the HUGE determining factor into how quickly and for how much a home sells for.

Please feel free to contact me for ALL of your real estate need.

Cordially,

Carole SSchiffer

 

 

Bel Air Crest 1st Quarterly Updates 1 April 2022

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 ceschiffer@gmail.com 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.
Cordially
Carole Schiffer

Bel Air Crest 4th Quarterly Updates 1 January 2022

Dear Bel Air Crest Neighbor

Welcome 2022 & Happy New Year!

Welcome and hail and farewell to 2021. It has been an interesting year to say the least. We are looking forward to another interesting year, particularly as we are about to enter our third year of this pandemic. Yet, through all of this, real estate continues to amaze us on the Westside.

During this past year we have seen median prices in the five communities, Beverly Hills, Beverly Hills Post Office, Bel Air, Brentwood, Westwood I report on continue to surge upward. Sales volumes are setting records every month, and mortgage rates continue to be the lowest in decades, and buyers are taking advantage of that. However, competition remans fierce for quality homes fairly priced — there just are not enough of them to satisfy demand. Inventory continues to stay low, to low actually ,and while interest rates are going to climb a little, they are still quite a bit lower then we had seen in the past.

2022, however, could be different — the Fed promises to raise rates at least three times this year…but that doesn’t necessarily mean mortgage rates are going to escalate out of reach. The last time the Feds raised rates in 2019, mortgage rates actually went down. But affordability remains a challenge for many, and while we are seeing our equity grow, buyers are scampering to get in line for the home of their dreams, only to find many qualified buyers — with cash — in front of them. There are many interesting programs out there, including one from my lender which will enable a non-cash buyer to qualify and present themselves to the seller as an all-cash buyer. Please contact me for more information – carole@caroleschiffer.com.

If one were to make a wish for the New Year, at the top of my list would be that we end this pandemic which has brought so much damage and heartache to our world, our communities, to our families. As winter and the rainy season descends upon us, we can only pray and strive to stay safe, healthy, and hopeful for a great 2022!

From a real estate perspective how are things looking in Bel Air Crest, and how does the market compare to that of 2020? It has been an interesting year for our community. For the past number of months, there have not been any Canyon homes listed for sale except for one, and that sold after having been on the market, taken off, remodeled and sold over asking price in 9 days! There are a few Canyon homes that are being marketed as private sales so we shall see how that goes. As for Custom homes, the market has been a little more active, with two (2) homes listed for sale, and again a few being marketed as private sales. In one case, one of those homes was listed, was taken off the market and is now reported to be in escrow along 2-3 ,more that are in escrow as private sales. Currently there are also no Custom homes listed for sale in the MLS. There were two (2) Custom home that closed escrow this past quarter, one of which had been on the market for quite a while. There is another Custom home that will be part of an auction, this home too has been on and off the market for a while. There are 2 or 3 Custom homes that are in escrow as private sales, all of which had been listed in the MLS and taken off and appear to have been sold privately. The numbers for the 4th quarter of 2020 are quite different. At this time, last year, we had five (5) homes listed for sale, three (3) of which were Canyon, and the remaining two (2) Custom. There were two (2) homes in escrow (one of each – Canyon & Custom), and we had six (6) closed escrows the last quarter of the year, three (3) Canyon and three (3) Custom.

Currently I have some VERY strong buyers who wish to purchase a Romani floor plan (preferably) but would consider a Metropolitan as well. If you are at all thinking of selling your home, please do let me know as they are ready to make a move now; Carole@CaroleSchiffer.com Ceschiffer@gmail.com (310) 442-1384.
I am here for all of your real estate needs, so please do not be a stranger and let me know how I can help you

Happy New Year! Stay healthy and safe!

Fondly,

Carole Schiffer

Bel Air Crest 3rd Quarterly Report 2021

Dear Bel Air Crest Neighbor:

Happy Fall, my favorite time of year….
The long, hot summer is behind us. Or is it? We have drifted into a draught again, and as the leaves turn brown and gold, we look skyward for just a drop of rain. But no luck. Perhaps we should all do a rain dance to see if that will help. It never rains in Southern California…as the song goes. Not true, it just feels that way.

As we enter our 19th month of the global pandemic, we continue to see record sales being posted in our Westside real estate market, especially in the high-end market where we outpaced previous years by as much as 75% increase in homes selling for more than $5 million, year over year. Locally, we are 72% ahead in sales volumes through August compared to 2020. On a national basis, existing home sales fell by 2.0% in August, which has been running counter to rising home prices. You might ask, “What does the future bring?” At this writing we are all looking to and hoping that Congress will be able to find a way to avoid a government shutdown and avoid a financial disaster for the country. That being said, the forecast for the real estate market, especially in “our neck of the woods” will stay strong, we are and will continue to see an increase in prices, just not as much as we have seen recently, and there still will be multiple offers again not as many.

According to Case-Shiller, U.S. home prices rose 19.7% in August for the fourth consecutive month of record price appreciation, but the market could be starting to cool as there are signs the market frenzy might be starting to ease. Price growth is starting to decline in some major markets. A word to the wise — the Fed has indicated that rates will most likely increase in 2022, so it is a good time to look at getting your finances in order if you’re thinking of buying soon. We all must remember that even with the forecast of increasing interest rates, that increase will be somewhat slow in developing and in looking at interest rates historically, even if they go to 4%, they are still low.

What has happened in Bel Air Crest this past quarter? Our community has become even more desirable as a place to live this past quarter, particularly with regard to Canyon Homes. They are selling as quickly as they come on the market. We are not seeing the same activity in the Custom Home portion of the community. A big concern for all homeowners is the fire insurance issue, which has been playing out in some of our surrounding communities. Currently there are no Canyon hones on the market. This is the same as the 2nd quarter, yet we had three Canyon home sales this past quarter, with one home selling for $400,000 over asking price, and another that sold in the 2nd quarter and then again in the 3rd quarter again with a gain of $400,00. The 3rd sale was a private sale that actually took place in the 2nd quarter, but the price has been buried. As for the Custom homes, we have the same 3 homes available for sale in the past quarter as the last one. One of the homes that closed escrow in the 2nd quarter was leased by the new owner this past quarter. There was 1 Custom home that closed escrow in this past quarter. As for leases, I had a lovely Canyon home for lease that was leased for $500.00 over asking in 13 days! All of this goes to show that we are lucky to be living in such an amazing community and that the talk about the “death knoll” for the real estate market is not based on fact. Please let me know how I can assist you with any and all of your real estate needs. I am here for you… Call me 310-442-384.

 

Bel Air Crest 2nd Quarterly Report 2021

1 July 2021

Dear Bel Air Crest Neighbor:

First of all, Happy Fourth of July. We have much to be thankful for — California has ‘re-opened’…we’re getting out, shopping, and dining, and seeing our friends again! Yes, while we still face some Covid-19 challenges, we hopefully have gotten through the worst of it and have all done a great job in helping our communities be safer. Hopefully we don’t back slide with the variants that are out there now. Be safe!

On the real estate front — we have seen a dramatic improvement in pending home sales across the country — experts expected a 1% drop, instead there was an 8% increase in transactions for existing homes, the highest level of sales activity for May since 2005. We too, continue to see increased marketing activity in our communities with median sales price still hovering above 5% compared to 2020.

The good news is that the Fed is committed to keeping interest rates low, meaning mortgage rates will remain near record lows as well. This bodes well for those of you thinking of selling or buying. Mortgage rates remain in the low 3% range, which makes financing or getting a re-fi on your home much easier. On the mortgage, financing front in one my recent sales meetings we were discussing the fact that a lot of transactions are falling out of escrow. The primary cause is that buyers are bidding up the purchase price only to find out that they cannot qualify for the property, and if there is a “back up offer” in place, which I always encourage, if possible, many times that buyer will become the prevailing buyer and end up with the property. Please give me a call at 310 442-1384 and I will be more than happy to explain the process.

The record breaking heat we are experiencing all over is a major cause for concern given the drought we are experiencing. So again, I remind you to please be fire safe and clear the brush around your property. In the last week or so, I have received a number of emails from clients telling me they have been sited by the Fire Dept. They are out there inspecting our properties, so please make sure you are in compliance. There is a new mandatory statewide disclosure that goes into effect today, 1 July 2021 where in every property sold in a very high fire risk area will need to comply with the brush clearance guidelines. You might want to check out…http: www.readyforwildfire.org for more information.

What is happening in Bel Air Crest? From a real estate perspective, it has been very quiet. At the moment, there are no Canyon homes on the market and that has been the case for the last few months. We did have a large Custom home sale ($31,000,000) which was a private sale. The house is quite special on a very large lot, is very private behind its own gate and had been greatly upgraded since it had been completed a few years ago. There is currently one Custom home in escrow, one Canyon home closed escrow this past quarter, and three Custom homes closed escrow. One of those homes is currently up for lease. And one of the Custom homes up for sale, was sold the last quarter of last year. Conversely the activity we saw for the second quarter of last year, which was the beginning of the shut down for Covid-19 was typical of the slowness of the market for the entire year. There were 2 closed escrows of Canyon homes in the 2nd quarter of 2020, and 2 Custom homes, as well.

Please reach out to me for any and all real estate assistance and questions you may have. I am here for you.

Carole