Below you will find the data that I was able to pull from the MLS this morning pertaining to the time in which it takes to sell homes and real estate.
It's a bit too early to tell if the coronavirus had a dramatic impact on the housing market, at least for now.
I do know that there was a lot of "inside" information pertaining to buyers wanting to cancel on the homes they were buying.
Also, some of the sellers started to look for a way out of selling in order to stay in place while this pandemic comes to an end.
In the data and numbers within the statistic that I have researched in the Santa Clarita Valley cities, I have no "verifiable" proof where any of those situations were overt.
Basically, as of the real estate data we are seeing now, the market is continuing at a very typical pace.
The significant change is that of inventory in the Santa Clarita Valley cities. As of this morning, there are 355 total active listings for sale, which is up over 30 homes for sale in the past two days.
I recorded the last session of the real estate radio show this Monday and inventory was lower at that time also.
Some of the other dynamics of real estate have to do with the home showings.
Business as usual in Santa Clarita real estate except for...
In Los Angeles, there are no in-person showings of homes.
That has been stopped. In the Santa Clarita Valley, unless something has changed as of this morning that I have not heard about, it is still business as usual.
Here is the "Except" ---> Showings are done a lot more carefully these days.
When we set up a showing that is of an owner-occupied property, the homeowner typically vacates the home entirely. They also have a "decon" ritual before leaving and after they get home.
We instruct our home buyers to be wary of what they touch that surfaces than hold the virus if it's present.
We also only take one person in at a time into the home.
Do you remember those days when agents used to drive people in their vehicles? I have been one that does not for a great many years now, but today it's something that is recommended, especially since the outbreak.
Back in the day agents used the "driving" portion of the viewing of homes as the way to "get closer" with their clients. Before we take people out in my real estate business, we have them in person meetings first, or virtually, in order to show that I am the consummate real estate expert and they chose perfectly with their selection of real estate agents.
Delaying mortgage payments for homeowners
Tricky, earlier this week I reported about Fannie Mae and Freddie Mac - they were going to make it easy, according to the article for those who have their home loans with them to defer for a time being.
Some questions still passed over my thought processes.
- Will there be any "fees" associated with this showing of grace?
- Is there any qualifying documentation necessary?
- How will the repayment be structured, a lump sum at some point in the future?
- Will they want the loan to be extended?
- If they do extend the loan will it be done like loan modification and require money to get set up?
If you are going to set up something with the bank or financial institution that has control of your mortgage, make sure you get all of their "agreed-upon items" in writing.
Also, if you are going to not make your payments because of some sort of deal, you better make sure it's legit.
If you happen to not make a payment and if you don't have everything set up in the best way with your financial institution, you may get reported with a late payment on your credit.
That may be hard to get removed, even if you are in the right.
I trust very few people on this planet - just watch out for yourselves.
Reporting about Santa Clarita real estate
I watch TV news and sometimes I yell at the TV as my dear old dad used to. When I was a kid I thought this action was silly, now I see it as being an adult :)
There are so many different news networks that spin the news one way or another. They report the news depending on their audience and the "dramatic" reporting results in more sharing and additional social proof they are doing a great job.
I try my best not to spin anything about Santa Clarita real estate. I reported that there were people in process of buying homes that were wanting to cancel when the pandemic was first announced.
This came across my desk in the form of an email from other brokerages wanting to know the best ways in which to handle this scenario.
There are a couple of different things to consider before canceling a transaction. First, will it cost you money? If you are a home buyer, you may cancel and get hit with fees and penalties from escrow for "services completed".
What did you sign and where are you in the home buying process? If you received documentation from Escrow in an email and signed the paperwork, sending them back you may have to pay fees that you did not expect if you cancel the escrow.
This is something that now has been around for a few years. Just read everything you sign.
If you are in escrow, you may have removed contingencies and if you cancel now, your deposit will become the property of the seller. Of course, I'm not an attorney and some of these items, even though they appear as black and white, are filled with shades of grey.
Attorneys are good at finding the grey :) - Then we had the reporting of the "seller" drama that gets played out when buyers want to cancel buying their home. Who can blame the sellers? They have been hopefully doing their best to adhere to what the buyers want when it comes to them buying their home. They did not create the pandemic, they just want the buyers to buy their home.
Even though this was a question posed, it was not something so overwhelming that created a rift in the Santa Clarita home market.
Hence the current inventory that remains in escrow and the very few homes that had bom'd, entered the Back On Market status.
BOM - these are homes that were in escrow but had been canceled for some reason. As with the pandemic, some cancellations were due to people getting scared, deciding that during a pandemic was not the time to continue to buy a home. Some of the cancellations were because of the financial institutions loading the money put the brakes on the transaction and stated they were going to pause, where the home seller did not want to wait.
Graphical data for the Santa Clarita DOM's
DOM - Days on Market.
The time in which it takes to sell real estate and housing in the Santa Clarita Valley Cities.
The cities that we most frequent in our real estate business are Acton, Agua Dulce, Castaic, Canyon Country, Newhall, Saugus, Stevenson Ranch, and Valencia.
Each of these cities is considered to be by most as "in the Santa Clarita Valley".
Below are the DOM charts that I pulled this morning to complete my report on what effect COVID19 is having on the Santa Clarita real estate market.
By the appearance of these charts and the current housing activity, it's nominal.
Real estate and homes are still being listed for sale, the home buyer drive is still present, if anything can be seen in the data it's where fewer offers are being written at this time due to the unemployment factors.
I will keep my eyes on the Santa Clarita real estate market and report back to you when I get other information to help you with your real estate decisions.
I'm Connor with HONOR MacIvor and I'm glad to be at your service with regard to real estate and homes.
When you are ready to win your Santa Clarita real estate, make sure you hit me up to have a Zoom Meeting pertaining to our crash course on real estate.
This is where I speak with our clients about all aspects of how to prepare for real estate. As home buyers and as home sellers. What you need to know about Santa Clarita real estate before you jump into anything.
I will be back this weekend with any Santa Clarita real estate news to report.
I will also be visiting the new home centers tomorrow on Saturday morning, I'll report back as to how the COVID19 and coronavirus are affecting the new home sales at the new home centers in the Santa Clarita Valley.
When you want to buy a new Santa Clarita home contact me first.
The time it took to sell homes and residential real estate in the Santa Clarita Valley cities during February of 2020.
Time Frames related to the time it took to sell homes and estates in Santa Clarita During March 2020. (closed month)
Time Frame September 2019 to December 2019 - All Closed residential real estate Santa Clarita Valley.
Homes and Estates closed (sold) during January 2020 through April 3, 2020.