Articles tagged with: Real-Estate

Orange County Housing Report: V-Shaped Recovery

Orange County Housing Report: V-Shaped Recovery

COVID-19 has impacted the economy across the board.

The economic data prior to the Coronavirus was pumping on all cylinders. Consumer confidence, consumption, unemployment, housing, stocks, leading economic indicators, everything was pointing to a phenomenal 2020. After the virus broke, every chart was impacted severely. Housing was no exception.

Experts have been debating what the economic recovery will look like. Initially some experts were calling for a quick rebound, a “V-Shaped” bounce. That is when the economy rises nearly as fast as it falls.

Yet, with more time to reflect on all the data, most experts now agree that it will be a “U-Shaped” recovery, one that after hitting a bottom will slowly but surely turn upward.

The best analogy is a dimmer switch. As the dial is slowly turned, the economy will continue to accelerate until one day it is pumping on all cylinders again.

Housing is proving that it is an exception and is currently experiencing that “V-Shaped” recovery with demand soaring 38% in the past two weeks. How can that be?

The sleeping giant has awakened. Even though life as everybody knows it has ben turned upside-down and California has only moved to “Phase 2,” record-low interest rates are instigating demand. Donning masks and gloves, buyers are viewing homes again and making offers.

Prior to the “stay at home” order in mid-March, housing was a sizzling hot Seller’s Market with extraordinarily little inventory and unbelievable demand.

It was the hottest start to a Spring Market since 2013, a Spring to remember for Orange County housing. Low mortgage rates, average 3.75%, was stoking the fire of demand. When the virus hit, demand plunged, and the market slowed.

Now that it has been a couple of months, flattening the Coronavirus curve has been successful so far. Slowly but surely more of the economy is coming back online. As a result, eager buyers who had been sitting on the fence waiting to purchase are jumping back in and ready to take advantage of record low mortgage rates at 3.25%.

In the past couple of weeks, demand (the last 30-days of pending sales) jumping from 1,172 pending sales to 1,622, a 38% rise. It was last at this level in mid-January.

Typically, during this time of year demand has already peaked and it does not change much at all. Not this year. Demand is in recovery mode and the sharp increase indicates that it is “V-Shaped.”

iBuyers Explained

In this video we discuss iBuyers. What is an iBuyer? What does an iBuyer do? What are the advantages and possible disadvantages of an iBuyer?

Will the Realtor Redux method prevail? The outcome

Will the Realtor Redux method prevail? The outcome

We’re back at our Fullerton condo, now with unobstructed majestic mountain and golf course views. The unit is bright and modern, coated in fresh interior paint with carpets cleaned.

This condo had languished on the market, as not one but TWO other agents lacked the right touch to move this property. Initially a lack of home staging held homebuyers back from seeing its potential.

When that didn’t work, the second agent staged with the homeowner’s existing furnishings and furniture, which made it difficult for homebuyers to see the space as a modern, move-in ready condo.

But was is it really a matter or proper staging and marketing that was scarring away potential buyers, or was it the higher-than-average $600 monthly HOA payment and the looming condo assessment?

This time we truly put the Realtor Redux method to the test, so did it prevail?

We are THRILLED to say we sold the condo within three weeks of it going on the market to a lovely buyer who was ready to downsize. We worked with the buyer's agent... on behalf of our seller to negotiate a price all parties could agree upon – without any credits or concessions for the assessment.

Our seller was happy to move on from the condo. The buyer was happy to enjoy the beautiful views and fresh finishes. The Realtor Redux method prevailed.

Will the Realtor Redux method prevail?

Will the Realtor Redux method prevail?

At Bobbett and Associates, we specialize in helping homeowners sell their properties faster and for higher prices by making strategic property improvements prior to listing on the market.

This time we will be putting our Realtor Redux method to the test as we look to improve a Fullerton condo, which two agents before us failed to sell.

We will be working with the daughter of the aging homeowner, who told us the first agent tried to show the home with zero staging, while the second agent staged the home but made no improvements and used the homeowner’s furnishings.

Another hurdle will be overcoming the higher-than-average HOA fee of $600 plus a looming condo assessment, but we believe the right buyer will fall in love once we’ve modernized the unit with a few key improvements.

This condo is well maintained but dated in its finishes and furnishings. It boasts amazing views of the golf course below and the majestic mountains in the distance.

Presently this amazing view is obscured by bulky window coverings and old, bubbled and faded window tint. We will have our window tint specialist get to work on removing the film, plus we will repaint the interior and give the carpets a nice, deep cleaning.

Once the canvas is cleaned up, Martina will get to working her home staging magic, using hand-selected pieces from her personal collection.

Will Realtor Redux touch be enough to quickly attract a buyer, or will this condo languish on the market? Check back soon to find out!

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Company License #01272441

Company License #01272441

DRE #01189723 (Martina Bobbett)
DRE #01272441 (James Bobbett)