Great new listing in south Mission Viejo, close to everything! Beautifully updated throughout, this property features 3 bedrooms, 2 1/2 baths in over 1900sf of living space. Located on a view lot in the center of the tract, you can enjoy views, privacy and a quiet location. Wonderful curb appeal, updated kitchen and baths, newer carpet and lighting, newer paint in and out, newer roof, water heater and much more! Plus the two-car garage has also been newly finished with custom cabinetry, lighting, epoxy flooring and a work desk. No Mello-Roos, low HOA, close to schools, parks, shopping, freeways, etc.
To get full listing details, go HERE. Or give me a call for a private showing 949.525.5905.
List price $775,000.
Just like the front of the home and the garden is the first thing a buyer sees when they drive up to your home, the living room is usually the first room they see once they come inside. It therefore makes sense that this room should really stand out (in a good way) and make a great first impression on the buyer.
Make sure the buyer can really SEE this room and not see your collectibles, family photos and favorite crazy quilt. Try to minimize the amount of tables, decor, art and bright colors in this room. Rearrange furniture so that the room welcomes you in. Create a conversation area. Don’t hide any great features in the room, like a view, a window seat or architectural details.
When I stage a room, I usually wind up packing away a lot of things and then bring in a few well-chosen coordinating pieces to achieve the look I want that goes with the overall vibe of the home. I take lots of photos to make sure i achieve this. I keep moving things around until I am happy and it feels right and looks right in the photos.
For years, sellers have been in control of the housing market. Multiple offers were generated almost instantaneously after hammering in the FOR SALE sign. Homes flew off the market in the blink of an eye. Frustrated buyers had to cut back their expectations after writing offer after offer with no success. It felt like housing was unstoppable and would continue its relentless climb. That is until the spring of 2018.
This year has been all about the evolution of housing from a brisk paced, hot, Seller’s Market to a much more normal, Balanced Market. The trouble is nobody really remembers a “normal” market. It is where homes must be priced well, or they will sit. There is no room for error. In a hot seller’s market, homeowners get away with stretching their asking prices. With very little inventory and heated demand, buyers were willing to pay extra just to secure their piece of the “American Dream.”
Today, housing is much more balanced, a market that does not favor sellers or buyers. Overprice and sit. Sellers that pad the price to leave room for negotiations will sit. Sellers who ignore their professional REALTOR® and arbitrarily pick a price, will sit. Ignore real estate fundamentals like location, condition, and upgrades, and sellers will be stuck without success.
An unbelievable 37% of all homes on the active listing inventory have been exposed to the market for more than 60-days. That is high considering 39% of the active listing market has come on within the last 30-days. Of course, everyone
expects Sellers in the luxury ranges to play the waiting game; however, many sellers in the most affordable price ranges are sitting on the market and waiting as well. Below $500,000, it is 28% of the market. Between $500,000 and $750,000, it is 24% of the market. About a third of all sellers between $750,000 and $1 million have been on the market for over two months. From there, the share of sellers who have been waiting to find success grows, from 40% to 68%.
For the rest of the year, the percentages will just grow in every price range. That is because housing is now transitioning into the Autumn Market. This season of real estate begins with the kids going back to school. It is no longer the most advantageous time for families to move, so many would be buyers stop their search for the time being. On average, demand drops by 11% from the end of August to the start of October. With less demand, there are fewer sellers who are able to find success. As a result, more sellers find themselves sitting and waiting.
With both the Spring and Summer Markets in the rear-view mirror, many sellers realize that the best time of the year to sell is now in the past. For the remainder of the year, carefully pricing is absolutely crucial. There will be more homeowners this year who will not be able to isolate a buyer willing to purchase and their contracts to sell will expire. In the real estate trenches, they are called “expired listings.” Expect the number of expired listings this year to spike compared to the rest of the housing run.
Sellers have a choice: price their homes according to the Fair Market Value or throw in the towel and pull their homes off of the market. It sounds simple, but many sellers quite simply cannot get out of their own ways, unwilling to listen to the real estate experts and do what it takes to achieve their goals in selling.
Buyers need to be aware that while it is no longer a hot seller’s market, it is not a buyer’s market either. Looking for a “deal” is a waste of time. They too need to look at offering to purchase at a home’s Fair Market Value. Anything less, and they will not be successful in securing their piece of the “American Dream.”
Can’t or don’t want to do a complete home remodel but want an updated look? I almost always suggest these quick, inexpensive fixes that make a big impact, add lots of value and can look great!
In the Bath: Change out the faucet for something sleek and modern and then add matching drawer and cabinet pulls. While you are at it, install a new towel bar and toilet paper holder. Have a little extra cash? A new water-saving toilet adds value and SAVES money! Switching out a dated light fixture adds instant style and beauty. I get lots of comments from buyers saying they hate those older light fixtures.
In the Kitchen: If you have dated or worn cabinets, painting them will bring them up to date as will new drawer and cabinet pulls. And just like in the bathroom, new faucets and lighting go a very long way to saying, “I am new and in good condition!” And if you have a little extra cash, new appliances are well worth the investment. It will look like you did a whole remodel!
Paint: I love a fresh coat of paint and so will you and so will buyers if you are thinking of selling! Paint can freshen up a tired room, lighten a dark corner and add a cohesive look throughout if you stick to one modern neutral color.
Remove and Replace: Any old or outdated details from a bygone era that don’t work for you anymore? Old chair railing or wall paper or mirrored walls are not popular or very attractive. Consider removing them. Have an old wet bar? Maybe re-purpose it by removing old glass shelving and mirrors and simplifying the space into a snack bar or coffee bar.
A new home with more appeal and use value does not have to cost a fortune or take a lot of time and effort. Enjoy!
It is a tight market in Orange County right now, especially in the under $750,000 price range. This beauty may be just the right property for you!
Property is located at 6 Paseo Fucsia, Rancho Santa Margarita, CA, and is listed at $649,900. It features an open, light-filled floor plan of almost 1500sf, 2 bedrooms PLUS an optional third bedroom, currently used as loft/office with built-ins, two full baths plus downstairs guest bath and a direct access two-car garage. Formal living and dining, spacious eat-in kitchen with full-size laundry closet, master bed and bath upstairs with dressing area, walk-in closet, all clean and well-maintained.
One of the best features of the home is the private patio with fountain right off the eat-in kitchen that can also be enjoyed from the living room. with fireplace. Property is well-located within walking distance to schools, shops and entertainment with easy access to toll road. It is so easy to live here!
Call me for more details and a private showing 949.525.5905.
The active listing inventory continued to climb in the past two weeks, adding an additional 189 homes, up 4%, and now totals 4,609. The active inventory is increasing at its fastest pace since 2014. It will continue to climb as the market moves deeper into the Spring Market, and will climb through the summer, peaking sometime between July and August.
After starting the year with 674 fewer homes compared to the start of 2017, 12% fewer, the year over year difference has drastically diminished. Today, there are only 107 fewer homes compared to last year, a 2% difference.
Demand, the number of new pending sales over the prior month, increased by 121 pending sales over the past couple of weeks and now totals 2,538, a 5% rise. The last time demand was above the 2,500 pending sale level was back in September 2017. The Spring Market is in full bloom and demand will continue to rise, peaking sometime between April and May.
Last year at this time, demand was at 2,664 pending sales, 126 more than today, or 5%. The number of pending sales has dropped this year because of a serious lack of inventory of homes priced below $750,000. This price range is significant as it represented 62% of all closed sales in 2017. So far this year, there has been 12% fewer homes that have come on the market below $750,000. The lack of homes in the most affordable price ranges has seriously undermined potential demand.
The expected market time, the amount of time it would take for a home that comes onto the market today to be placed into escrow down the road, decreased slightly from 55 to 54 days in the past two weeks, a hot, seller’s market. Last year at this time, the expected market time was at 53 days, very similar to today.
In the past two weeks, demand for homes above $1.25 million increased from 343 to 353 pending sales, up 3%. The luxury home inventory increased from 1,704 homes to 1,797, up 5%. From here, expect both demand and the inventory to rise throughout the Spring Market. The current expected market time for all homes priced above $1.25 million increased from 149 to 153 days over the past two-weeks.
For homes priced between $1.25 million and $1.5 million, the expected market time increased from 78 to 88 days. For homes priced between $1.5 million and $2 million, the expected market time decreased from 149 to 142 days. For homes priced between $2 million and $4 million, the expected market time increased from 193 days to 202. In addition, for homes priced above $4 million, the expected market time decreased from 338 to 296 days. At 296 days, a seller would be looking at placing their home into escrow around mid-January 2019.
Purchasing Power: An increase in interest rates by 1% translates to an 11% drop in the home a buyer is able to afford.
The experts and prognosticators may have had their timing off, but they collectively understood that it was not a matter of “if” interest rates would rise, but “when” they would rise. With the massive manipulation of the monetary policy by the Federal Reserve, the United States has been in economic, uncharted waters, making the art of forecasting rates not an exact science.
At this point, the pressure on interest rates to rise is real. But, after more than a decade of extremely affordable rates, everybody has become accustom to these affordable levels. It is time for a brief history lesson:
Yes, 3.5% is a better rate; however, 4.5% is still a very low rate in historical context. Buyers should not wait for another drop. Instead, they should cash in on today’s mortgage rates. These low levels are an absolute gift based upon the economic history book.
Buyers must understand that the longer they wait to purchase, the greater the risk that rates will rise. As they rise, a buyer’s purchasing power erodes considerably the higher then climb. If mortgage rates climbed by 1% from where they are today, buyers looking for a $2,500 monthly payment would see their purchase power drop from $616,750 to $550,375; that’s a $66,375 drop in purchase price. For buyers looking for a $3,500 monthly payment, it drops from $863,500 to $770,500, a drop of $93,000. And, for buyers looking at a $4,500 monthly payment, it drops from $1,110,125 to $990,625, plunging by nearly $120,000.
Keep in mind, 5.5% is still a very low rate. The trouble is there are younger buyers in the marketplace who have never experienced rates above 5%. The housing market is not going to implode. It will not be the end of the world. But, it will eat into affordability and purchasing power. That 1% increase in mortgage rates will result in an 11% drop is what a buyer is able to afford.
With an improving economy, the new tax law, trade reform, and a new infrastructure plan, expect rates to rise. Buyers should not sit on the sideline and wait for them to drop. If they do, they will watch their purchase power crumble.
You want your home to stand out from the other homes that a buyer may see. You want them to fall in love at first sight! You want to give the impression that the home has style, character, warmth or just that it is well-maintained. Paint is an easy and quick way to accomplish this!
Do you have a porch swing or a chair on your front porch? Give it a fresh coat of paint! Add matching throw pillows to make this space even more inviting.
You can opt to paint your front door a solid color OR make it more custom by stenciling or detailing it. Talk about a focal point!
Do you have a porch light stuck in the 1980’s or is simply rusty or faded? There are several wonderful metallic paints you can use to make it new again. Try copper for a warm, updated look. Black or dark brown has a more formal look.
I created a house number plaque for one of my listings by painting a decorative plaque and then mounting house numbers to it. It was very unique! You can do this or a variation with paint, stencils and materials. make sure your creation is readily visible from the street!
Add a punch of color to your facade by painting your shutters and trim a new bold color. You can even choose to stencil or detail the shutters to add charm and whimsy.
You can also paint your garage door, paint some ceramic pots to add color and paint window boxes!
I love OC Real Estate. I have been in the field right here in Orange County, California for over 30 years and have lived in several of the great OC cities. Heck, I was born here! Let my unique insight and knowledge help you with your real estate transaction.
25950 Acero Suite 100
Mission Viejo, CA 92691