Get Something
The houses with 1-2 premium features really benefit in a frenzy.
Buyers are happy to at least get a couple of big items on their wish list, and are willing to concede/discard others to ensure that they don’t lose……again:
Are you looking for an experienced agent to help you buy or sell a home? Contact Jim the Realtor!
Carlsbad
(760) 434-5000
Carmel Valley
(858) 560-7700
jim@jimklinge.com
Most recent articles
Frenzy – It’s Baaaack
Can you feel it? The frenzy, creeping in on you?
Those watching closely may have noticed how the market has ’picked up’ over the last week or two.
We’ve had more buyers than sellers for a while now, so that alone doesn’t constitute a frenzy. In a low-inventory environment, you should have multiple offers on every quality property.
It’s the velocity.
Here are signs of frenzy-building:
1. It’s been hot. A year ago, the frenzy was just becoming obvious – but at this point, the market has been hot for the 18 months.
Both buyers and sellers are expecting a frenzy now.
| NSDCC Feb. | |||
| 2011 | |||
| 2012 | |||
| 2013 | |||
| 2014 |
All three indicators from last month are pointing to more frenzy.
2. How fast listings go pending. With listing agents riding high on their horse, you typically see them play around for 7-10 days before a new listing gets marked pending. It seems like more listings are going pending faster – and it’s about the same as last year (though this year’s haven’t all closed):
| NSDCC 2/22 to 3/7 | |||
| 2013 | |||
| 2014 |
3. The percentage-paid-over-list-price. It’s been standard to see homes sell for 5% to 10% over list price, but it can get crazier.
This was a fascinating – though extreme – example. A great-looking house with fantastic view, but it is right on La Costa Ave. and located in an area with terrible soil quality:
http://www.sdlookup.com/MLS-140009811-2662_Galicia_Way_Carlsbad_CA_92009
Look how steep the hill is – it looks like it could slide down the hill any day:
From the remarks: This property is for cash buyer, builder, or investor. Home has compaction and soil issues. Only shown to qualified buyers.
The soils problem must be serious, given their initial list price of $500,000. Yet it sold for $685,000 cash, or 37% over list price and closed in ten days.
It must have been worth it to someone, and probably worth close to that for many, but it is the percentage that gets me. With the problems, wouldn’t you try to buy it for 10% or 20% over list?
4. It’s March. The wait-and-see buyers haven’t had any indications of inventory flooding the street – in fact, we’ve had fewer new listings this year than last (between Jan. 1 and March 5th):
| Year | ||
| 2013 | ||
| 2014 |
Buyers are getting antsy – for them, there aren’t any signs of relief.
It is a great time to sell – contact Jim the Realtor to get started today!
(858) 997-3801 cell or jim@jimklinge.com.
In Case of Tsunami
Designs Northwest Architects have recently completed the Tsunami House, located on Camano Island in Washington State.
The Tsunami House is a waterfront home located on a 3,140 square foot site in a high velocity flood (V) zone on the northern end of Camano Island. The building footprint was limited to a 30’ x 30’ pad.
The 887 square foot main living level had to be located 5 feet above grade and the foundations had to be designed on pilings capable of withstanding high velocity tsunami wave action. The lower 748 square foot space had to be designed with walls that were able to break away in the event of a storm surge.
Our design strategy was to locate the main living level nine feet above grade and leave the lower level to be used as a flexible multi use space dubbed the “Flood Room.” Clear glass overhead doors open up to the waterside deck facing north, and translucent overhead doors open to the entry courtyard facing south, allowing privacy from the road.
The depth of the lot is only 50 feet deep and required an above ground sand filter drain field that was 10 feet wide. In order to integrate the sand filter into the limited site, it was encased in 3-ft high architectural concrete walls and covered with a pervious sun deck on top of the drain field. The drain field/sun deck also acts as a visual barrier between the road and the house providing privacy when all the overhead doors are open.
http://www.contemporist.com/2013/12/31/the-tsunami-house-by-designs-northwest-architects/
SD Markets in Tiers
Rich Toscano does a nice job dissecting the San Diego markets, and explaining the differences. An excerpt, plus one of five graphs from the VOSD:
http://voiceofsandiego.org/2014/03/06/cheaper-homes-still-rebounding-fastest/
Cheaper homes have done a lot better in the rebound, but they also suffered far worse during the crash. Here’s what happens when we start the graph at the bubble peak:
Read full article here, and donate if you can!
http://voiceofsandiego.org/2014/03/06/cheaper-homes-still-rebounding-fastest/
San Diego’s Bid For Olympics
Will the Olympics be coming to San Diego?
More on Rich-Man’s Game
From the NAHB:
http://eyeonhousing.org/2014/02/25/why-are-new-homes-getting-so-big-look-at-whos-buying-them/
Preliminary data provided to NAHB by the Census Bureau on the characteristics of homes started in 2013 show the trend toward larger homes continued unabated last year, as did the share of new homes with 4+ bedrooms, 3+ full baths, 2-stories, or 3-car garages.
The average size of new homes started in 2013 was 2,679 square feet, about 150 square feet larger than in 2012 and the fourth consecutive annual increase since bottoming out at 2,362 square feet in 2009.
New homes started in 2013 were also more likely to have additional features: nearly half, 48%, had 4 or more bedrooms; 35% had 3 or more full bathrooms; 22% had a garage for at least 3 cars; and 60% were 2-stories.
The share of new homes started with these features has been increasing consistently for 3 or 4 years, and the most obvious question is “why?” Why are homes getting this BIG?
To get an answer, just take a look at WHO is buying new homes?
The Untouchables
These guys can probably claim to have played every venue in the state, including CSU Fullerton around 1982. From wiki:
The Untouchables are a soul/mod revival band from the Silver Lake, Los Angeles, California area. Described by original lead singer Kevin Long as “mods who played ska music,” The Untouchables are credited with being America’s first ska band.
They formed in 1981 as part of the embryonic L.A. mod revival, after being inspired by the ska revival/punk rock band The Boxboys. Since some couldn’t play instruments, they either hastily learned, or became vocalists.
After a shaky start playing at parties, the integrated septet were eventually booked at the O.N. Klub (known as the On to regulars). The band had guaranteed the club that they would pack the venue, and they did not disappoint. In middle of that year, they released their first (ska-styled) 7″ single, copies of which were snapped up by local mods. Late in 1982, the band began a stint as the house band at the Roxy Theatre.
Their second single, “The General,” became a minor local hit, despite poor distribution. The band performed “The General” in the 1984 comedy The Party Animal, and they appeared as a scooter gang in the movie Repo Man. In early 1984, they were signed to Stiff Records. Concerts with The B-52′s, Black Uhuru, Bow Wow Wow, Red Hot Chili Peppers, Fishbone, No Doubt and X all over California gave the group a disparate following of whites, blacks, mods, punks, surfers and rockabilly fans, with the local performances drawing up to 1,500 people. The band also appeared in the 1984 film Surf II, performing “Dance Beat”, and 1987′s No Man’s Land, performing “What’s Gone Wrong”.
Contact Jim
Are you looking for an experienced agent to help you buy or sell a home? Contact Jim the Realtor!
Carlsbad
(760) 434-5000
Carmel Valley
(858) 560-7700
jim@jimklinge.com
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