Not that it's an all-time real estate record - but it is something worth talking about because it has been years since our local housing inventory has exceeded 600 units for sale.
Good day, everyone, I'm Connor MacIvor, you host of the longest running real estate specific radio show for the Santa Clarita Valley. I'm not here with ads from other vendors or touting affiliate memberships to have them monetized by your click-throughs.
No, I'm here as your humble real estate agent, consultant, and personal realtor representative.
When you are ready for my assistance, or if you know anyone, please send them my way. I will be here for you and them 100% when it comes to real estate representation!
This week in real estate within the Santa Clarita Valley cities, as of Monday at 0548am, we have exceeded the past few years with the numbers of active real estate listings.
By 'in process' I'm referring to the homes that are currently in escrow. I will show you how that compares with the current active real estate inventory in Santa Clarita Valley which is not in escrow - so hence "active".
As of 0557hrs on July 9, 2018 - my research revealed that we have currently 481 real estate listings within the Santa Clarita Valley Cities - Castaic, Canyon Country, Newhall, Saugus, Valencia and Stevenson Ranch.
Of those real estate listings in escrow I have the further breakdown being:
- 342 of the homes currently in escrow within the Santa Clarita Valley are Single Family Residences
- of those Single family residences, 20 are attached, versus detached (stand alone - not sharing any walls)
- 86 of the residences within escrow are classified as a condominium
- 50 of the transactions are involving townhomes within the SCV. Townhomes are classified as such due to multiple stories, not one level as condos.
- 3 are "other" types of residences. Just in case you were adding up the numbers looking for the 481. Others are classified as manufactured, Stock Cooperative, loft, commercial, duplex, triplex, quadruplex, etc.
These numbers go a long way to indicate that buyers are buying homes and sellers are starting to enter the market at a higher pace. However, the market is still exceedingly tight, well within the seller's market zone.
One of the concerns that seem to be holding back potential residential real estate sellers is the issue of not being able to find a home to buy. Most of the current sellers, who would be staying local, have issues with the available inventory. I have several real estate listings that are in a "holding pattern" due to the sellers not seeing anything they'd like. Or, if they do, it gets "scooped" up within a short time frame.
The other factor that sellers are looking at would be their current interest rate for their Santa Clarita home versus what they will be paying on the next one. Most homeowners in the SCV cities refinanced close to the bottom of the market are have their interest rate on the mortgage somewhere in the 3's.
That is very low and those numbers will probably not present themselves to us again in our lifetimes.
Is renting and buying an option?
One thing that we tell our potential real estate sellers to have us help them with would be a "rental" and buy scenario. If our real estate clients are capable, it may make better sense for our clients to rent out the home which was their primary residence. As you can see "honesty over commission" that is why our real estate clients say we are the BEST in Santa Clarita real estate!
The interest rate may be so low that it could sustain itself and even better, cash flow every month.
Depending on the background of the homeowner and the types of loans they can qualify for and for what amounts, will depend on if the rental of the primary residence scenario will work.
Protective measure 1 - reserves
Also, the amount of "reserves" on hand is also something worth exploring with your real estate professional, as we do with our clients. You will need enough on hand to allow for a full eviction. This includes attorney fee's and continuing up with the mortgage, taxes, insurance, management (HOA), and maintenance fees.
This is not meant to scare but to be real. Even the best tenant can have issues keeping up with the rent. Life Happens. On the other hand, this is more the exception than the rule. Most tenants pay on time and live up to their obligation. As Edna in the Incredibles says, "luck favors the prepared."
In some cases, like with our VA clients, this scenario makes sense. With our clients that have access to over 20% down payments, this also makes sense. It's all about the numbers and what you are comfortable with. Some of our clients don't want to be landlords. I get that and it's not for everyone.
Hire me when ready!
I'm Connor MacIvor, I want to be your Realtor. I have a radio show that is located at HousingRadio.com - I bought that domain name and have it forwarding to SCVnest.com to our radio player page. We will have our update today - our Market Monday's Santa Clarita real estate broadcast.
As far as real estate insight and questions being answered. Check this out - I have the largest and most detailed Santa Clarita real estate blog that is located at SCVblog.com that too is a URL that is forwarded to our SCVnest blog. There you will find a ton of useful information concerning the home buying and selling process within the Santa Clarita - Valencia CA and other areas within Southern California.
If you are not afraid of seeing me on video, our Santa Clarita real estate YouTube channel is packed with Intel. Some of the real estate radio shows I convert to YouTube videos and post those up for our clients' pleasure. Sometimes, that format is easier to get to from the multitude of mobile devices our clients are using. They can click and listen to the past real estate radio shows on youtube.
I speak as if I was still a cop. Protecting and serving my clients' real estate needs. Isn't that what this is about when you hire a realtor? Finding someone that will watch out for your money as if it was theirs? Assuming they are good with theirs :)
Be well and please reach out to me when you are ready for my services. Tell a friend.