APRIL 2022 ORANGE COUNTY REAL ESTATE NEWS

Horton Team Real Estate Newsletter

April 2022 The spring real estate market is showing slowly increasing inventory. The market may be experiencing a shift. Contact us to start your sell or buy process. We welcome the opportunity to be your guide!   Below find an article relevant to buying right now. Contact us for more tips and expertise. All the best, Amanda, Pamela & Jace    4 questions to ask yourself in a tight real estate market Getting an offer accepted on a personal or investment home is challenging across much of the country. Here are four questions to ask yourself when buying in a tight real estate market: 1. Are my finances lined up? Availability is close to historic lows, and offers higher than asking price are common. Amid the surge of buyers, you’ll have to move quickly — and that means having your finances ready to go. Consider the following: Budget. Be realistic about how much you can afford — and stick with that plan. Credit score. Higher credit scores could help lower your interest rate. Down payment. A larger down payment will reduce your monthly mortgage payment and potentially make your offer more attractive to the seller. Mortgage pre-approval. This tells sellers you’re serious about buying and have the wherewithal. 2. Is this the right purchase for me? Finding a property with every detail you want may be more difficult, but you can still find one you feel excited about. Ahead of time, define your priorities and compromises to focus and streamline your efforts.   3. Am I comfortable with the ongoing expenses? Beyond the actual sale price and closing costs, you’ll need to factor in recurring costs: Property taxes Insurance Maintenance Updates or remodels Association fees (if applicable) Unexpected expenses could always arise, such as replacing a furnace or uncovering a plumbing or electrical issue. Consider maintaining an emergency cash reserve for at least three to six months of living expenses to help in these types of situations. Your financial advisor can also recommend a specific amount appropriate for your situation. 4. Can I make a competitive offer? “Housing-market fundamentals remain very much in the favor of current owners, to the detriment of prospective owners,” says Ameriprise Financial Chief Economist Russell Price. “This imbalance is likely to remain in place for quite some time — possibly years.” Prepare to bid competitively to make your offer stand out. But remain pragmatic and know your limits — both financially and risk-wise. Here are strategies buyers have been leveraging in some areas of the country: Offers above asking price All-cash offers Waiving the home inspection Accommodations for the seller’s closing date or move-out timeline Sellers in certain areas might prioritize all-cash offers. If appropriate for your situation, a margin loan or pledge loan could provide you with the necessary liquidity. Get ready to make your move Securing a new property can be even more rewarding when you feel confident about your choice. Contact Amanda, Pamela or Jace! Let us guide you through your purchase from start to finish. CURRENT LISTINGS Laguna Beach JUST LISTED 1071 Baja St Laguna Beach 3 bedroom front-row-view Arch Beach Heights home Listed for $2,695,000 1071Baja.com JUST SOLD Orange County 4501 Wayne Rd Corona Del Mar 4 bedroom remodeled Cameo Highlands corner lot home Sold for $4,800,000 Represented Buyers Secured this home for our buyers despite multiple offers! JUST SOLD 9 Baya Rancho Santa Margarita 2 bedroom La Ventana condo backing to greenbelt Sold for $620,000 Represented Sellers - Multiple Offers Over Asking! 9Baya.com JUST SOLD 13 CASTILLA Rancho Santa Margarita 4 bedroom end unit condo in the desirable Tesoro Trails community Sold for $875,000 Represented Buyers We secured this home for our clients despite multiple offers! MARKET STATISTICS Laguna Beach - April 2022 Active - 60 (up 15% vs March) Pending - 38 (down 14% vs March) Sold in March - 47 (up 47% vs February) Under $1,000,000 - 0 $1,000,000 - $2,000,000 - 8 $2,000,000 - $3,000,000 - 17 $3,000,000 - $5,000,000 - 12 $5,000,000 - $10,000,000 - 9 $10,000,000 - $20,000,000 - 1 Follow Us On Instagram  _amandahorton_ Like Us On Facebook!  HortonsInLaguna http://www.facebook.com/hortonsinlaguna   Learn More THE HORTON TEAM www.HortonsinLaguna.com

AMANDA HORTON C 949.422.6122 EMAIL AMANDA DRE#01357096   PAMELA HORTON C 949.633.6667 EMAIL PAMELA DRE#01013024 JACE HORTON C 714.833.1730 EMAIL JACE DRE#02050612

MARCH 2022 ORANGE COUNTY REAL ESTATE NEWS

 

Horton Team Real Estate Newsletter

March 2022 Welcome to the Spring season and another spring real estate market. Please reach out to us with any real estate needs or questions.  Amanda, Pamela & Jace    Real Estate Voted the Best Investment Eight Years in a Row   Source: Keeping Current Matters In an annual Gallup poll, Americans chose real estate as the best long-term investment. And it’s not the first time it’s topped the list, either. Real estate has been on a winning streak for the past eight years, consistently gaining traction as the best long term investment (see graph below):   If you’re thinking about purchasing a home this year, this poll should reassure you. Even when inflation is rising like it is today, Americans agree an investment like real estate truly shines. Why Is Real Estate a Great Investment During Times of High Inflation? With inflation reaching its highest level in 40 years, it’s more important than ever to understand the financial benefits of homeownership. Rising inflation means prices are increasing across the board. That includes goods, services, housing costs, and more. But when you purchase your home, you lock in your monthly housing payments, effectively shielding yourself from increasing housing payments. James Royal, Senior Wealth Management Reporter at Bankrate, explains it like this: “A fixed-rate mortgage allows you to maintain the biggest portion of housing expenses at the same payment. Sure, property taxes will rise and other expenses may creep up, but your monthly housing payment remains the same.”  If you’re a renter, you don’t have that same benefit, and you aren’t protected from increases in your housing costs, especially rising rents. History Shows During Inflationary Periods, Home Prices Rise as Well As a homeowner, your house is an asset that typically increases in value over time, even during inflation. That‘s because, as prices rise, the value of your home does, too. And that makes buying a home a great hedge during periods of high inflation. Natalie Campisi, Advisor Staff for Forbes, notes: “Tangible assets like real estate get more valuable over time, which makes buying a home a good way to spend your money during inflationary times.” Bottom Line Housing truly is a strong investment, especially when inflation is high. When you lock in a mortgage payment, you’re shielded from housing cost increases, and you own an asset that typically gains value with time. If you want to better understand how buying a home could be a great investment for you, connect with the Horton Team today!   IN ESCROW Corona Del Mar IN ESCROW 4501 Wayne Rd Corona Del Mar 4 bedroom remodeled Cameo Highlands corner lot home Listed for $4,795,000 Representing Buyers Secured this home for our buyers despite multiple offers! IN ESCROW Rancho Santa Margarita JUST LISTED & IN ESCROW 9 Baya Rancho Santa Margarita 2 bedroom La Ventana condo backing to greenbelt $549,000 Representing Sellers - Multiple Offers Over Asking! 9Baya.com IN ESCROW 13 CASTILLA Rancho Santa Margarita 4 bedroom end unit condo in the desirable Tesoro Trails community Listed for $839,000 Representing Buyers We secured this home for our clients despite multiple offers! JUST SOLD Laguna Beach 865 Balboa Avenue Laguna Beach 4 bedroom architectural home set in a private oasis with ocean views Sold for $3,175,000 Represented Seller - Multiple Offers! 865Balboa.com JUST SOLD - LISTED & IN ESCROW IN 5 DAYS  996 Noria St Laguna Beach 3 bedroom corner lot home on a quiet street with ocean views Sold for $2,099,900  Represented Seller - Multiple Offers Over Asking! 996Noria.com Sold Off-Market 3002 Dorn Ct Laguna Beach 4 bedroom single-level corner lot home on cul-de-sac Sold for $1,675,000 Represented Seller MARKET STATISTICS Laguna Beach - March 2022 Active - 52 (down 18% vs Feb) Pending - 44 (down 8% vs Feb) Sold in February - 32 (up 23% vs Jan) Under $1,000,000 - 2 $1,000,000 - $2,000,000 - 5 $2,000,000 - $3,000,000 - 10 $3,000,000 - $5,000,000 - 8 $5,000,000 - $10,000,000 - 5 $10,000,000 - $20,000,000 - 1 $29,888,000 - 1 Follow Us On Instagram  _amandahorton_ Like Us On Facebook!  HortonsInLaguna http://www.facebook.com/hortonsinlaguna   Learn More THE HORTON TEAM www.HortonsinLaguna.com

AMANDA HORTON C 949.422.6122 EMAIL AMANDA DRE#01357096   PAMELA HORTON C 949.633.6667 EMAIL PAMELA DRE#01013024 JACE HORTON C 714.833.1730 EMAIL JACE DRE#02050612

FEBRUARY 2022 ORANGE COUNTY REAL ESTATE NEWSLETTER

 

Horton Team Real Estate Newsletter

February 2022 We hope this month finds you well. The residential real estate market is experiencing unprecedented low inventory levels. Please reach out to us with any real estate needs or questions.  Amanda, Pamela & Jace    Zillow & others revise 2022 housing forecast numbers   Source: Fortune.com Homebuyers got crushed last year as home prices soared at their highest clip on record. Housing economists saw that price growth—which peaked at a year-over-year rate of 20% last year—as simply unsustainable. Their economic models agreed: Among the seven forecast models reviewed by Fortune heading into 2022, every single one predicted home price growth would slow significantly this year. But over the past few weeks, that consensus is no longer so unified. Now, more industry insiders are throwing out their previous forecasts and replacing them with more bullish short-term outlooks. Indeed, some experts say the 2022 spring housing market might go down as one of the most competitive on record. Look no further than Zillow. Back in December, the home listing site predicted that U.S. home values would climb 11% this year. Economists at Zillow now say that forecast is too conservative. Their latest forecast finds home prices are set to spike 16.4% between December 2021 and December 2022. If it comes to fruition, it would mark another brutal year for home shoppers. Why is Zillow raising its 2022 home price growth forecast? A lot of it boils down to housing inventory. During the pandemic, inventory plunged to a four-decade low as more buyers rushed into the market. That trend was predicted to reverse late last year as forbearance protection programs lapsed and mortgage rates rose. But not only has that not happened, the inventory situation has gotten worse. In January, there were just over 923,000 U.S. homes listed for sale on Zillow. That’s down 40.5% from the pre-pandemic level in January 2020, and down 19.5% from January 2021. Simply put: The housing market is tighter right now than it was last year when bidding wars climbed to an all-time high. That explains why Zillow foresees a rough few months ahead for home shoppers. But there is a big wild card: As the Federal Reserve shifts policy to help tame inflation, it's moves will indirectly result in higher mortgage rates. In fact, the average 30-year fixed mortgage rate in January already spiked to 3.56%—up from 3.11% in December. That marks the biggest one-month jump in mortgage rates in more than nine years. In the short term, more buyers might rush into the housing market in order to lock down rates before they go higher. But in the long term, higher mortgage rates would put downward pressure on price growth. Why? As mortgage rates rise, some buyers get locked out of the market altogether. “Downside risks to our forecast remain,” write the Zillow researchers. “Elevated inflation heightens the risk of near-term monetary policy tightening, which would result in higher mortgage rates and weigh on housing demand…Higher rates are exacerbating buyers’ struggles with affordability, and they might dissuade some existing homeowners from moving, by raising the monthly mortgage cost of even those homes priced similarly to their current homes. By dampening both buyers’ and sellers’ appetite in this market, rising rates could drive down sales volumes this year, with uncertain effects on home prices.” Homebuyers and sellers alike would be wise to take Zillow’s 16.4% price growth prediction—or any other real estate forecast model—with a grain of salt. After all, none of the major real estate forecast models predicted the historic home price boom we’ve seen over the past two years.   JUST LISTED AND IN ESCROW Laguna Beach JUST LISTED 996 Noria St Laguna Beach 3 bedroom corner lot home on a quiet street with ocean views Listed for $1,999,900 Multiple Offers Selling Over Asking 996Noria.com JUST LISTED Rancho Santa Margarita JUST LISTED 9 Baya Rancho Santa Margarita 2 bedroom La Ventana condo backing to greenbelt $549,000 9Baya.com IN ESCROW Laguna Beach 865 Balboa Avenue Laguna Beach 4 bedroom architectural home set in a private oasis with ocean views Listed at $3,295,000 Multiple Offers 865Balboa.com MARKET STATISTICS Laguna Beach - February 2022 Active - 63 Pending - 48 Sold in January - 26 Under $1,000,000 - 0 $1,000,000 - $2,000,000 - 4 $2,000,000 - $3,000,000 - 6 $3,000,000 - $5,000,000 - 11 $5,000,000 - $10,000,000 - 2 $10,000,000 - $20,000,000 - 3 Follow Us On Instagram  _amandahorton_ Like Us On Facebook!  HortonsInLaguna http://www.facebook.com/hortonsinlaguna   Learn More THE HORTON TEAM www.HortonsinLaguna.com

AMANDA HORTON C 949.422.6122 EMAIL AMANDA DRE#01357096   PAMELA HORTON C 949.633.6667 EMAIL PAMELA DRE#01013024 JACE HORTON C 714.833.1730 EMAIL JACE DRE#02050612