During the past few weeks, the Santa Clarita housing market has been pretty constant. With the additional inventory being absorbed by the heightened home buyer demands that we typically see each year, at least in a healthy housing market.
In a healthy housing market the number of distressed, foreclosures, real estate owned (REO), short sales and bank owned, correspond to being less of 1% of the available housing inventory.
We are well below that 1% number today:
Total real estate listings - So. Cal: 15634
Data from SCVnest.com - the MLS connected real estate website and database.
The Santa Clarita real estate rental and lease breakdown are only 32 active rentals on the current housing market. However, there are other rentals and leases available in the Santa Clarita Valley within some of the property management websites. These are companies that tout they only do property management and do not engage in real estate resale. This can be really good for the landlords and tenants.
The reason is two-fold why a property management company that does not engage in re-sale and buyer representative activities.
- They are not going to trick the seller into thinking that they should sell the property instead of their intention of leasing.
- The property management is not going to try to covert someone that wants to only rent to a home buyer by pressure tactics.
If either one of these scenarios plays out even once, that is one time too many. The home buyers in the world need to be protected as do the people that are looking to rent out their homes and not sell them.
We do no Santa Clarita real estate rental or lease representation. However, I hate to see nice people taken advantage of. Therefore, we do our best to help out in the hopes that people will stay safe when it comes to trying to hire a property management company or agent and also remain safe and secure then they want to be tenants and rent/lease real estate.
OMT before I move along and give more intel about the Santa Clarita real estate and housing market, something to watch out for if you are a tenant or landlord. If you are looking to hire a property management company or someone to handle your lease or represent you as a tenant. Be sure you are looking out for your best interest.
If you are going to utilize a real estate agent or real estate brokerage/company who handles both residential resale and also handles real estate buyers, watch out and ensure they are indeed serving your best interests. You can see the two points to see what could happen even with a standalone one gear property management company. Be safe with yourself!
Currently in the Santa Clarita Valley
As of 1223hrs on Friday, April 26, 2019, we have 492 real estate listings in the combined cities of Acton, Agua Dulce, Castaic, Canyon Country, Newhall, Saugus, Stevenson Ranch, and Valencia.
These listings are either in the pending category, which means that they are in escrow in such a state where the real estate agent or the homeowners thinks they are going to go the distance. They don't want to any other showings or any other back up offers. They are content that the home buyers are going to perform and that all will equate to the home selling as planned.
The other category is active under a contract, which used to be "under contract". Meaning that the homeowners or their agent desire to have the home showed so back up offers are able to be written just in case there are issues. Now, this status does not mean that anyone is expecting issues, it's just that they do come up in about 30% of the real estate listings in the Santa Clarita Valley when they enter the market, then go into escrow, they fall out of escrow due to some issue.
The 30% figure is how the current Santa Clarita real estate market is trending. That number does change throughout the year and seasons. It also depends on the type of housing market are currently in. It's just another variable that I look at when I'm giving market insight into the local Santa Clarita real estate market.
About real estate not making it the full way through closing. Some of the occurrences can be issues with the home that is for sale. However, mostly they, at least in the current housing market, have to do with buyer qualification.
Home buyers are still behind the eight ball when it comes to dealing with good lenders. There is no source showing which ones are really good. Of course, you can look to the review sites. You can look to the "real estate" review sites - who have an entirely "other" purpose and that is to get you to give up your personal information so they can sell it and make money.
You can speak with the local real estate expert and I'm sure they are going to have a referral for you. I'm sure they know the best lenders in which to refer you to and will stand behind their recommendation.
All you have to do is attend their real estate meeting as I hold in my offices when meeting with any new client.
Santa Clarita real estate education
We had a couple in my office recently and they were surprised about a couple of items.
First - they asked what they needed to sign in order to have me represent them. I told them nothing and they looked shocked. They had been sold on a Buyer Broker agreement. There is a place for this document, but representing these home buyers was not one of them.
I explained that I don't operate that way. I expect my clients to be loyal to me and not run away at every shiny thing that crosses their path. People make better decisions than that.
I let my clients know not to sign anything. I tell my clients never to give up any of their personal or private information. Never put their name down or give their name to anyone in real estate. Once we have met and if they like me, they will not give up any of their information when viewing new homes or when viewing open houses. They know this and they realize that by doing so they are cutting off their options to have their own real estate agent (me) by their side during all real estate endeavors.
Buyer Broker agreement would enforce me against these home buyers if they strayed and went with another realtor. It would allow me to sue them and obtain a commission. To me, that is not good business, as I explained to them. I told them that I trust you. At that moment, I observed a sign of relief in both of their faces.
The second thing that was told to me about their experiences is that I took the time to meet with them to discuss real estate and develop a game plan. They thought it was great but very unusual. I have to agree it's unusual. However, to ask questions about if it's the time to buy or sell are really important face to face if possible.
When you ask a real estate agent, face to face, if now is the time to buy, just wait for their reaction. A GREAT Santa Clarita realtor will explain the market and answer the question. The con-person won't. That is why hiring a real estate agent on Zillow or Trulia is not the best way to protect your real estate needs.
Such was our meeting, they asked those questions and many others pertaining to the loan aspects, real estate market, Santa Clarita real estate, foreclosures, bank owned, REO's and other distressed properties. They asked about closing time frames and how they are going to know if they are paying too much for a home or if I run those data points before they put pen to paper.
All Santa Clarita home buyers need to meet with a few agents face to face. Interviews need to take place and all parties need to spend that time getting to know each other in order to be most informed and to make the BEST real estate decisions.
Your feelings about the agent whom you met with are really important. They should be somewhat like you. They should be patient. They should be willing to wait as long as it takes for you to be ready to make your real estate move. They should also be very transparent when it comes to if you should be buying or selling at the present time.
A good timeframe in which to step up for our face to face meeting is when you first consider buying real estate or first think about selling yours. That way we will have enough runway to prepare you in the best possible way.
I'm Connor MacIvor with REMAX Gateway - Santa Clarita - Valencia. Of course, I will be there for you as soon as you are ready, and that applies to those who are close to you whom you refer.
I have been selling real estate since 1998. I have a great syndicated real estate radio show all about Santa Clarita real estate.
Our start in the Real Estate business became a reality after we were taken advantage of by the Santa Clarita real estate agent we hired to help us buy a home in Newhall back in 1996. That agent took us for a ride by not disclosing items he knew about pertaining to the home we were buying. His being honest may have prevented us from buying the home in the first place. This is due to the home having an issue with the main sewer pipe being overrun with tree roots and needing replacement.
Back in those days the real estate agents were much more hidden from public view and scrutiny. Today that has all changed with agents having their sins revealed online and within other websites and online systems.