Timely Real Estate News……………………………………………… 1 February 2011
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Good News is where you find it! Come to my open houses….and you’ll see
To be quite honest about it, there are good open houses and there are not so great open houses. Houses that are priced too high seem to have a “Don’t Come Here” sign written all over it….whereas, houses that are priced right and in good neighborhoods, the ‘hits’ just keep on coming! I have learned over the years that a typical Bel Air Crest open house has on the average 10 visitors or groups. ….but the last couple of Sunday Open Houses, when the weather was absolutely perfect….I had as many as 20 groups swarming over my open Canyon home. By the end of the day, I was exhausted, but I felt the warm glow of success as a result of a great open house crowd, and what made it more exciting was that approximately 5 minutes before the open, we received an accepted offer. So, my take on today’s market: Yes, it’s a buyer’s market, but sellers are the beneficiaries. Prices remain soft everywhere, and the price is a function of the property’s condition as well as its location (3x) and buyers certainly know that if they are armed with a pre-qualified loan, they are anxious to make deals — at the right price.
Malibu still has its cache….and then some. I have a magnificent listing on Las Flores Beach (a dry beach vs. a ‘wet’ one) in Malibu that is listed for $8.95 million. This is one sexy, sophisticated home, right on the beach — it is seductive, luxurious, and elegant. It’s been described as a “city house” on the beach — has all the “bells & whistles”, and is located on a glorious stretch of beach between Moonshadows and Duke’s. When you walk into the house, you’re overwhelmed with the floor-to-ceiling, wall-to-wall view of the Pacific Ocean — it’s intoxicating, and when potential buyers walk through the front door, its OMG….they’re awestruck at the incredible view and feeling of being in a very special place on this Planet.
The house, though, reflects my client’s elegant and superb tastes in creating stimulating and appealing interiors — but this time, the incredible exterior just melts into a beautiful interior giving the home the sense that it just goes on forever off into the blue horizon. We just need to be patient as it takes a little longer to sell houses in “the boo” today.
What buyers want…..like the house in Malibu, it’s not only contemporary, but it’s a complete, state-of-the-art residence unlike many anywhere. Buyers today want homes that are either “done” — with all the up-to-date whistles and bells that require nothing else to do…..or they want it “as is”, meaning they’ll fix everything themselves and want the price to reflect that. This goes along with the price sensitiveness of the market today. For a house to sell “as is” — that’s exactly what it means: The seller will not pay to repair broken windows or paint a door or fix a sprinkler. “Sellers are not paying for any repairs, period!”
Over the past several years, sellers have been hardening their positions in many cases when they know they’re taking a “hit” on the price — realizing that they have lost a fair amount in equity over the past several years, and frankly, they’re “not taking it anymore.” It’s not they’re bitter…..it’s just the realization that bargain hunters are not going to make sellers grovel for a sale anymore. There are lots of bargain hunters out there who are more than willing to fix it themselves.
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Despite a weakened housing sector, the economy is moving on……
California’s housing market has not rebounded as quickly as some of us would like, but according to
several prominent economists, the housing sector — while depressed — is not going to impede the local economy. According to Edward Leamer, director of the UCLA Anderson Forecast, “we’re going to have a growing economy.” That’s notable, he says because historically housing has led the economy out of recessions. This time, it hasn’t and it won’t. “That’s the price we’re paying for the bubble years.” New-home construction accounted for a mere 2.2% of gross domestic product in last quarter, 2010, compared with 6.1% for all of 2005, before the bubble burst. But other sectors are picking up the slack. One of the most important barometers is consumer spending (70% of GDP), rose a “robust 4.4% annual rate in the last quarter. Exports grew at 8.5%, and spending on equipment and software rose 5.8%, although that was nearly a third of what it was in the 3rd quarter.
Job growth remains the challenge, and housing will continue to suffer from that — as indicated in inland California, where property values have decreased as much as 75% in Stockton.
Stuart Gabriel, PhD, director of Ziman Center of Real Estate, UCLA, indicated that foreclosures are down, and “we are seeing signals that there are modest improvements — but that hasn’t been the trend.” The downturn has been more severe in California’s interior markets while the coastal and Silicon Valley areas have taken “less of a hit.”
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More Fun Facts about Money…………………..
During the Civil War, the Bureau of Engraving and Printing was first called upon to print paper notes in denominations of 3 cents, 5 cents, 10 cents, 25 cents and 50 cents. The reason for this is that people hoarded coins for their intrinsic metal value, which created a drastic shortage. These first bills, called greenbacks, were used to pay Civil War soldiers.
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Two good reasons to celebrate this month! Chinese New Years and Valentine’s Day!
We can never get too much of a good thing, especially after a somewhat chaotic (and for some, a miserable) 2010.
Chinese New Year….No, New Years is not over. Chinese New Year’s begins Thursday, February 3….and it lasts for two weeks, ending February 22. According to the Chinese Zodiac, the Year of 2011 is the Year of the Golden Rabbit, which begins on February 3, 2011 and ends on January 22, 2012. The Rabbit is the fourth sign of the Chinese Zodiac, which consists of 12 animal signs. The Rabbit is a lucky sign. Did you know that rabbits are private individuals and a bit introverted. People born in the Year of the Rabbit are reasonably friendly individuals who enjoy the company of a group of good friends. They are good teachers, counselors and communicators, but also need their own space. According to Chinese tradition, the Rabbit brings a year in which you can catch your breath and calm your nerves. It is a time for negotiation. Don’t try to force issues, because if you do you will ultimately fail. To gain the greatest benefits from this time, focus on home, family, security, diplomacy, and your relationships with women and children. Make it a goal to create a safe, peaceful lifestyle, so you will be able to calmly deal with any problem that may arise. It also brings some interesting customs to observe; Sweep for success – clean your house from top to bottom, Dress for the occasion – buy and wear something new – preferably Red for Good Luck, Add luck to your menu – some symbolic foods – sweet sticky rice cakes, dumplings, and a whole fish. All of these foods have different symbols.
??????? gong-xi-fa-cai or as we pronounce it gong hay fa choy
Valentine’s Day…this year Valentine’s Day falls on Monday, February 14 –. Did you know that in a
survey taken just last year, 67% of females felt that their Valentine’s Day celebration “failed their
expectations…” Guys note that one! And further, did you know that women much prefer colored roses to
the standard red roses so often selected by the male? Of course you didn’t. This is totally contra to all the surveys that I have read with red roses signifying love, and all of the other colors having different means, so like everything we see today, another mixed message. Well, I hope you enjoy both holidays — we can never get enough of a good thing!
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Construction on 405 continues….beware of notices
Because this is a “design build” project, it changes on a regular basis, but we all need to remember that it is a work in progress and will be with us for a while. ….so please be aware of the notices sent to in their twitter page regarding street and on/off ramp closures during this construction period in Sepulveda Pass www.metro.net/405 Stress less is the motto!
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Cotton facts…….. Cotton swabs, balls and rounds are made from gin trash. Gin trash is the low-grade by-products (short fibers, leaves and stems) stripped from the cotton boll. By-products like these are often given to cattle to eat but conventional cotton is so contaminated with pesticides that it is illegal to feed it to cows in some states such as California. Instead it is used to make pillows, mattresses, cotton swabs, cotton balls, etc.
The difference between the ecological impact of organically grown and conventionally grown cotton is huge. Conventionally grown cotton is one of the most chemical intensive crops on the planet. It occupies only 3% of the world’s farmland, but uses 25% of the world chemical pesticides! In the US, conventionally grown cotton uses 1% of agricultural farmland and 10% of agricultural chemicals. The USDA found that eighty four million pounds of pesticides were sprayed on cotton, making it second behind corn. (Remember that when choosing between corn fed and grass fed beef).
The EPA considers seven of the top 15 pesticides used on cotton to be “likely” or “known” carcinogens.
Besides pesticides conventional farmers also use synthetic, petroleum-derived fertilizers, soil additives and defoliants which affect soil, water and air. In the US, no genetically engineered materials are permitted to certified organic products. You might want to consider using organic cotton, the use of which grew 152% during the 2007-2008 year.
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So what listings do I have coming up? A few.. I have two listings coming up in Mountaingate, one in Bel Air Crest, one on Lower Casiano, and another in the Clark Gable Estates area of Encino (a lovely house with its own tennis court and two bedroom guest house)! If you have any interesting in seeing any of these properties or know someone who might.. Please let me know.. Also I am looking for leases in Bel Air Crest…
Take care and enjoy the two holidays (Chinese New Year’s, Valentine’s Day)!
