The market has been great lately, with virtually no let up in demand in spite of higher prices and November starting tomorrow. Here is how this October stacks up to the last few years, based on the readings for the closest five weeks:
October New Listings
October New Pendings
We are benefiting from the fine balance of slightly-higher inventory (+9% Y-o-Y) getting gobbled up, without spooking the buyers!
Click on the ‘Read More’ link below for the NSDCC active-inventory data:
I have a new listing this week that we decided to put on range pricing for two reasons; A) we’re not doing all the repairs needed, and B) if you only have one price, buyers will want to deduct for repairs, even if the repairs are already priced in.
Of the 495 NSDCC houses that have sold over the last sixty days, 127 of them (27%) were on range pricing. Here is how they did:
Sold ABOVE the top of the range: 7
Sold at the top of the range: 5
Sold at the bottom of the range: 8
Sold UNDER the bottom of the range: 70
Going with range-pricing is a gamble that I don’t think sellers or listing agents recognize – over the last two months, most NSDCC houses (55%) listed on the range sold for UNDER the bottom price, which had to be a disappointment. It wasn’t just the high-enders either – it was across the board.
It leaves us with a couple of questions:
Is pricing so inaccurate that the bottom of the range is too high?
Do buyers look at the bottom price and go down from there?
I have never seen a buyer jump for joy over range pricing.
Hat tip to Susie for sending this in – smaller is getting more popular!
The city’s first apartment building with mini units is ready for Big Apple tenants.
City officials joined Monadnock Development and the Lower East Side People’s Mutual Housing Association to celebrate the completion of Carmel Place Thursday.
The 55 micro-unit project at 335 E. 27th St. in Kips Bay was launched after a 2013 city competition to look into new ways to find affordable housing for the booming population of one- and two-person households. That category represents about 63% of the city’s renters, records show.
The apartments are between 260 and 360 square feet and have 9-feet-by-8-inch floor-to-ceiling summits. The units also include 8-feet high windows, a Murphy bed, some small storage spaces and an open kitchen.
“Why should New Yorkers have fewer options than people who live in Hong Kong or San Francisco?” said Kirk Goodrich, vice president and director of real estate development for Monadnock. “Interest in the building has been off the chart.”
The building also has a gym, a club room, resident lounge and an outdoor terrace. The rent runs from $600 a month and up, renters and organizers said.
Most Airbnb and other short-term rentals would be banned in San Diego under a proposal released this week by the City Council president.
The proposal would make a simple definition change in the city’s municipal code: Visitors and tourists would be reclassified as transients if they rent a home for less than 30 days.
Under the proposal, a home could not be rented to transients for less than 30 days in most single-family zones of the city. In a multifamily zone, renters would have to stay at least seven days, Council President Sherri Lightner said.
In addition, renters or owners of single-family homes could not rent out a room or space for less than seven days. Areas that allow visitor accommodations would be permitted to have short-term rentals.
If the rule change goes into effect, the municipal code appears to levy a $2,500 fine per violation and a maximum of $250,000 per parcel of land for violations.
“The purpose and intent of the residential zone is for residents,” Lightner said.
The council is expected to take up the measure at a special meeting Tuesday.
A recent trend in home construction points to growing polarization in the market, as more new homes come with three-car garages than ever before.
Twenty-four percent of homes built last year had garages for three or more cars, according to an analysis of Census data by Robert Dietz, chief economist for the National Association of Home Builders. That is up from 16 percent of homes in 2010, and 11 percent in 1992.
But it’s not so much that Americans want larger garages across the board. Instead, Dietz says homebuilders are increasing constructing houses for older, more monied residents, many of whom have teenage drivers and value three-, four-car garage homes.
“We’re seeing a substantial change in the mix of buyers that builders are catering to,” Dietz said. “The key point is that there has been a significant amount of weakness for entry-level, first-time buyers.”
A brief 10-hour Zillow conference kicked off yesterday. In his opening remarks, Spencer was his usual effervescent self, and assured the crowd that the Zillow dominance is bigger and better than ever:
Unique users of Zillow and Trulia were up to 171 million in May.
Twice as many realtors are at this year’s event, compared to 2015.
The number of Premier Agents has dropped from 110,000 to 80,000.
The Premier Agents are the realtors paying to advertise on Zillow, and those being lauded at this event. He spun the PA decline as Zillow’s desire to only work with the best realtors, but the only qualification to be a Premier Agent is to be willing to pay for their advertising.
He talked about real estate teams and how they are taking over the marketplace. It is more than a subtle change, and it is great for Zillow.
The most successful Zillow realtors are those that have 10-30 people on their teams, and are closing 100-400 sales per year. They spend five-figures per month on Zillow advertising, and dominate their region.
In the beginning, the MLS was created to enable cooperation between realtors, where I sell your listings, and you sell mine. It is an amazing marketplace where competing agents contribute their listings to the overall supply of homes for sale and encourage every agent to bring a buyer – which has always been in the best interest of consumers.
But the team approach is eroding the cooperation between agents. Sure, the teams are happy to share their listings with other realtors; that is, if none of the team’s buyer-agents sell it from incessant ‘coming-soon’ marketing.
This is where a statewide MLS with a voice could make a stand, in the name of doing what’s best for the consumers – share all listings with all agents.
It’s too late though. Zillow and the big Premier Agent teams have too much of a head start, especially in the lower-priced areas of the country where demand is high and scrutiny is low – people just want to buy a house.
Here are some of Spencer’s opening remarks – they are very focused on the mobile experience, and being the biggest provider of American real estate listings to China:
A bitter fight among the three partners has been brewing all year. Two of the three associations of realtors, NSDCAR and PSAR, want to join the efforts of CRMLS and their 80,000+ agents and help create a statewide MLS.
Why join forces with CRMLS?
Their MLS listings have more/better features.
Their consumer-facing website is superior.
Agents can have their listings uploaded to Zillow automatically.
They have the size and power to fight Zillow if needed.
But the third partner, the Greater San Diego Association of Realtors, doesn’t want to join up with CRMLS, and instead wants to create their own consumer-facing portal. Earlier this year they filed a lawsuit against NSDCAR and PSAR in order to gain full access to Sandicor’s listing data.
It’s a mess.
Like with most divorces, the people involved decide to part ways, rather than to keep bickering when there are fundamental differences in place.
What will the dissolution of Sandicor mean for consumers and agents?
There might be some uncertainty about having reliable access to the MLS over the next 6-12 months. For now, the plan is to keep Sandicor up and running while a data-share agreement is implemented with CRMLS, which will give agents access to a second MLS.
As long as SDAR cooperates with that effort, everything should be fine.
However, the SDAR lawsuit is likely to linger. According to their complaint, they have spent hundreds of thousands of dollars building their own consumer-facing website, only to be denied access to MLS data.
The courts are being asked to find a solution.
The biggest problem – which was solved by the creation of Sandicor in 1991 – is to have all of the San Diego County MLS data in one place. If Sandicor is dissolved, and SDAR won’t join CRMLS, then SDAR will be left to create their own MLS. Agents will have to go back to joining two associations, and working two different MLS systems, which isn’t the ideal solution.
What would I do if I were the judge?
I’d dissolve Sandicor, make SDAR join CRMLS, and then give them the data feed to create their own consumer-facing portal.
It might sound too simple, but in the long run, it is what’s needed.
One fear is that the access to the database of sold properties gets interrupted. If that happened, agents would be forced to find their comps at Zillow – wouldn’t that be a fine kettle of fish!
But we would survive. Agents would migrate to the CRMLS – the only alternative solution – and within six months we would have a new database of sold comps. Today there are over 300 active San Diego listings in CRMLS, so it is already happening.
I commend Raylene Brundage and other leaders for taking this dramatic step. It will probably get messier over the next few months, but in the long-term, agents want and need one solid, reliable MLS with a collective voice that is powerful enough to take on the outside disrupters.
Buying and selling homes is a big deal for the consumers. They deserve to have the option of hiring agents who can guide them through the process in the most efficient and cost-effective way possible.
Having a robust statewide MLS with a voice will help agents do just that.
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!