Back in the day, Mike Anthony and I bought a duplex in the College Area. The lady in the back house had been there for 20+ years, and was a serious smoker. We don’t think she ever opened a window – the nicotine on the walls was thick enough that we could scrape it off with a knife.
After we scrubbed it down, my brother Dave and his friend came over to paint with a rented spray rig – and it took three coats to cover it.
He and I had a dispute over him spilling some paint on the hardwood floors, and ended up in a fist fight in the backyard!
The last photo is of my all-time favorite, the triple-black 1979 Cadillac Seville.
Buying decisions that caused closings in early 2015 were stimulated by mortgage rates in the mid-to-high threes. Now that rates are back over 4%, and NSDCC inventory is about 18% higher than it was at the end of April, we should see the appreciation rate flatten out for the rest of the year.
Here are the San Diego monthly changes for 2015:
“Home prices continue to rise across the country, but the pace is not accelerating,” David M. Blitzer, managing director and chairman of the Index Committee at S&P Dow Jones Indices, said in a statement.
Summer is officially here, and just like the heat waves sweeping through much of the country, the real estate market shows no sign of cooling off any time soon, according to a preliminary analysis of June data for realtor.com®.
“Our early read of real estate trends in June suggests good news ahead for the U.S. residential real estate market, especially in the hottest markets with healthy growth in supply,” said our chief economist, Jonathan Smoke, who conducted the analysis.
Based on data for the first three weeks of June, the median list price increased to $233,000, up 7% year over year and 2% over May. Median days on market is still at 66 days, down 7% year over year and flat month over month. Helping create more opportunities for buyers, the listings inventory is now growing faster, at 4% over May but still down over last year.
More and more Americans are spending time searching for the perfect home, our data show. On realtor.com, traffic and searches continue to set new highs in June, Smoke said. Unique users for the month are now on pace for at least 40% growth year over year, he found, while visits and searches are expected to be up more than 50% and 30%, respectively.
Staging delivers a great first impression – it’s probably worth it for that. But staging is just a component of the overall package needed to sell a house – especially for top dollar.
Examples from the weekend:
1. An agent called me on Saturday morning to tell me her client was gushing over the home on Via Mariposa, and they were going to make an offer. But nothing happened, so I pinged her on Sunday morning. She got back to me on Sunday night, and said her client re-considered, and decided not to make an offer. In her case, the staging wasn’t enough.
2. A lady asked me at open house, “I wonder what this house looks like without the staging?” Some buyers want to see beyond the staging.
3. Kayla said, “I’m not a big fan of the blue/teal color combination”. The staging will have a different impact on different people.
4. An example where staging really paid off was with the out-of-town buyers. There were multiple out-of-towners viewing homes via FaceTime, Skype, and video – the staging has to have a positive impact when you are looking at a small screen from afar. The eventual winner at Via Mariposa was one of them – a family member saw it in person, and online photos and video did the rest.
I am comfortable with buyers making informed decisions based on video/FaceTime actions. People trust the smartphones for everything else in life, might as well use it to buy a house!
Staging got the ball rolling, and got buyers engaged. But the rest of the house had to look sharp, and the price had to be attractive too. There were about 20 showings of that house over the first four days on the market, and we had three written offers. For seventeen buyers, the staging wasn’t enough.
After offers are submitted, the end result doesn’t just happen by itself. I’ll take the credit for giving every buyer a fair opportunity to step up and pay top dollar for the home, and guide it over list price. It’s the talking to people that makes the sale!
Shiller discussing who should buy a house – those who have stable employment!
Robert Shiller, an economist at Yale, won a Nobel Prize in 2013 for his analysis of asset prices, and his name is half of the much-watched Case-Shiller Index of housing prices. It turns out, he’s not too enthusiastic about home ownership, either as a lifestyle choice or an investment. Buying a house is “like a consumption choice, it’s not really an investment,” he tells Money magazine’s Susie Poppick in the video below.
No shortage of demand for the brand new high-enders. Here they’ve sold 100+ houses and lots already, averaging $2,000,000 or so for the houses.
If you are on the lengthy list of waiting buyers (who had to pre-qual to $2M), is time running out? Do you opt for one of the two 1-story plans with 25-ft backyards available, or hold out for a future phase and risk getting nothing?
I heard an interesting comment the other day on broker caravan.
The listing agent said, “Maybe we’re all undervalued?”, as he sat on his $6,000,000 listing with nobody else in attendance.
If you judge it by the weather, he could have a point. If we have the best weather in the U.S.A., then we should have the highest-priced real estate.
It probably means that rich folks from around the world who are retiring will be giving strong consideration to the San Diego area. Retirees are going to be drawn to where the grandkids live first, and if the ‘kids are in the general Southern California vicinity, then San Diego might be considered for retirement.
Either that is happening, and/or our employment base is stronger than ever.
Two days ago, we saw that the NSDCC sales this year between January 1st and June 15th were 7% higher than last year.
NSDCC is the coastal area between La Jolla and Carlsbad that has a population of around 300,000 people. Carlsbad makes up about a third of the population and sales in the area, and realtors and buyers alike consider it a quality lower-priced alternative to the affluent Encinitas-La Jolla stretch.
Here is the breakdown of those January 1st-June 15th sales:
Category by Area
Carlsbad # of New Listings
Carlsbad # of Closed Sales
Carlsbad Median SP
La Jolla-Enc # of New Listings
La Jolla-Enc # of Closed Sales
La Jolla-Enc Median SP
The number of sales in Carlsbad corresponded with a similar increase in listings. But look at the higher end market – the year-over-year sales were 8% higher, in spite of 2% fewer listings! The median price increased nicely too.
This is an affluent area, and real estate is booming – could it be undervalued?
Bravo’s reality show “Million Dollar Listing San Francisco” debuts July 8, but I already have an idea for a spinoff — “Million Dollar Over Listing.” It would feature homes in the Bay Area that sold for at least $1 million more than the list price.
There were at least 10 such sales in San Francisco over the past year, 14 in Santa Clara County and five in San Mateo County, according to Multiple Listing Service data. They ranged from teardowns to mansions.
A home at 178 Sea Cliff Ave. in San Francisco, for example, sold in April for $11 million, which was $4.7 million or 75 percent over the $6,298,000 list price.
Patrick Carlisle, chief market analyst with Paragon Real Estate Group, chalks it up to the “general insanity of the overheated market,” which stems mainly from demand outstripping a long period of below-average inventory. In addition, “many agents have adopted a strategy of egregious underpricing,” he said.
In San Francisco especially, underpricing is so prevalent that most buyers search for homes well below their target price, knowing the sale price will be much higher.
“If you price (a home) where it should be, it will sit,” said Realtor Alan Canas.
Canas represented the sellers of a home at 44 Everson St. in San Francisco’s Glen Park neighborhood. The four-bedroom, four-bathroom home was somewhat dated but had magnificent views, which were hard to value.
Canas priced it at $1.8 million in October, expecting it would sell for $2.3 million to $2.4 million.
“The offers we received, it was shocking,” he said. He made counter offers to the two highest — $2.65 million and $2.725 million — asking them to come up to $2.8 million. “One jumped, the other jumped too late,” he said.
What if he had listed it closer to his expected price? “If we had priced it at $2.2 million, I honestly don’t think it would have seen the play (it got) at $1.8 million,” Canas said. “It’s psychological, almost a game.”
The top two offers were both all cash, which is good because if the buyer had needed a loan, “I don’t think it would ever appraise at $2.8 million,” he said.
Jim the Realtor is legit - I interviewed three brokers; he said list price should be $100,000 higher than the other two brokers; listed it with him and had all cash (no financing) offer in two days, five day contingency period, closing in two weeks - and it closed at his recommended list price. I could not recommend anyone more than I recommend Jim the Realtor.
When we moved to San Diego in 2005 we rented a big house on Mt. Soledad (La Jolla) with 180 degree ocean views for the same payment as a mortgage on a dump in Chula Vista. Clearly something was wrong. Yet, the media was full of the usual happy-talk nonsense, so I was glad to find Jim's blog. I've followed his honest assessments and data since.
We decided to sell and move to AZ at Thanksgiving. Dec. 1st we met with Jim to sell our home. We closed today (29 days later). Jim orchestrated a feeding frenzy -- we had 25 showings in 2-1/2 days, multiple offers, and sold for well over asking price. I'd say he earned his commission! We have owned and sold homes in 5 different States always using experienced, productive, full-time realtors. Jim outshines them all.
You don't decide to sell and close 29 days later over Christmas (with COVID lockdown) without some miracles. Donna was amazing at performing lots of those miracles and ensuring that everything was done right and on time. They are a terrific team with a very responsive and professional network.
Where do we begin..2020 has been a year for everyone. When COVID hit and shut down both my husband and my businesses, we were left with a mortgage and very little income coming in. We were stressed, scared and felt stuck. We made the hard decision to sell our home and move out of state. We contacted the Klinges' and spent a good hour going over what we hoped we could accomplish. Jim and Donna came over with comps in hand and suggestions on improvements to get our house ready for the market. It was overwhelming to think about, but Donna was there and one step ahead in every scenario. Basically we just approved what they suggested and Donna handled literally everything. We placed our house on the market and within the first day we had multiple offers well above asking price! We couldn't believe it. We were overjoyed! Jim countered the offers to weed through them, and everyone came back with way more. It was amazing, and we are ?? sure it was because of the staging and repairs the Klinges suggested we do.
Due to unforeseen dishonesty from the buyers lender, we hit a big hurdle when trying to close. We had already moved out of state and were shocked when three days before closing the lender dropped a bombshell on the buyers and us. However, Jim and Donna handled it like veterans, not afraid to play hard ball and represent their clients. After a few phone calls with us, and several between Donna and the lender, they had a plan B-Z to make sure we were taken care of. In the end we closed with even more money than we ever thought possible and with very little work from us. The Klinges handled this entire "2020" worthy event with the utmost professionalism and did everything in their power to not only make this as smooth as possible for us, but we also walked away with more money from the sale of the house than we ever hoped for. After working with Jim and Donna, you don't ever use anyone else. They are hands down the best team to represent you in any scenario.
Working with Klinge Realty Group was a great experience! They are very responsive, professional and knowledgable about the real estate market! I would definitely recommend Klinge Realty Group.
Jim and Donna Klinge made the sale of our condo extraordinarily easy. They know the market and gave us sound advice backed by details and very considerable experience, reflected both in the initial pricing and subsequent negotiations. They work together as a team and are always available to talk. We had a few challenges with our property and they were able to coordinate the resolution to everything, including items that I would not think would ordinarily be their responsibility to handle. They made the whole process effortless on our part. They are folks with high integrity and we cannot recommend them highly enough.
Review for Member: Donna Klinge
I cannot believe there are no reviews of Donna yet, ugh!! She is the secret sauce of the Jim Klinge/Donna Klinge combo! I will touch on Jim here, but Donna is why I'm so totally loyal to these two (no offense to Jim :)).
I consider myself a rather savvy buyer/seller. I've bought/sold 7 times in about 15 years. On the buy side, Jim is the PERFECT combo of: completely digitally savvy (he will pull data all day long until you feel comfortable with your chosen house, area, school district, anticipated appreciation rate...anything!), he's super well respected and known in the area by other agents, an amazingly cool but strategic negotiator, is totally devoid of desperation for a sale/commission, and more.
Then once you get into contract phase, Donna literally handles every last and final detail in a concierge-like manner -- totally shielding you from the daily back and forth, noodling and annoyances of the buyer's requests. She solves it ALL; it's miraculous what that woman accomplishes over and above what is even expected in a buy/sell transaction.
On the sell side, Jim and Donna do the same, but even moreso. Donna in particular truly takes everything off your plate: she'll manage getting the house painted, the carpets replaced, she'll go on site (as she Jim both did for me when selling our rental properties) to work with the renters and make sure the house is ready to show -- freeing me to have to take time off of work to do so. They work with A+ integrity, too, so you know you are serving all parties fairly and lawfully throughout.
A home purchase/sale is the most considered you'll ever make. HIRE A SAVVY AGENT, not a friend!, and get what you need out of the transaction. Jim and Donna are our agents for life.
Jim and Donna Klinge are by far the most professional, personable and responsive realtors I have ever worked with. They provide VIP concierge level service in every area of the process of selling your home. My home was marketed so successfully that we received an offer the day after our first and only open house. Thanks to Jim's pricing and negotiating, our house is now the highest sold in our community. Jim's vast experience means he has worked with several realtors and knows the market all over north county. Donna is AMAZING in processing everything in the transaction. She scheduled trades people to work on the house in preparation for the sale as well as the repairs needed before closing. She communicated clearly every step of the way about what would be happening. She took the weight off my shoulders for the whole process. I will always use Jim and Donna for my future real estate needs and I whole heartedly recommend them to anyone buying or selling a home.
Jim and the team at Klinge Reality are without a doubt the best in the business! Not only was Jim helpful and extremely knowledgeable, he was patient and determined to help me find my first home. Jim and his team have been in the business for many years, and it shows. Jim is a wealth of knowledge and was my biggest proponent despite the temperature of the competitive market. I ended up getting the perfect property in my dream neighborhood all thanks to Jim. From the day my offer was accepted, Donna was a real lifesaver. She was extremely helpful, responsive, and knowledgeable when it came to every minute detail, and held my hand through the process. As a first time home buyer I had no idea what the process would entail, but Donna curtailed every concern I came across and made the escrow process feel seamless. Jim and Donna provided me the best home buying experience, and I am very grateful for all they did for me. It was truly a pleasure to work with Jim and Donna and I am already looking forward to the next time we work together!
Review for Member: Richard Morgan
Richard is an amazing realtor! He has high integrity and genuinely cares about his clients and their needs. Richard paid close attention to what I was seeking in a home and was very patient in our search to find it. I would highly recommend Richard and will use him for future transactions. Truly a different kind of realtor experience!
Could not be happier with my experience with Jim and his team. He helped me sell a very unique and challenging property. Throughout the entire process he was always available, honest, transparent, trustworthy, and always put my interests as a seller first. A (rare) true professional! During close of escrow Jim went above and beyond to complete the deal. It would not have been possible without his experience, fantastic team, and pure dedication. Highly recommended!
Thanks Jim and Donna Klinge!