Wednesday, September 18, 2019 / by Nicole Solari
Statewide Rent Control Passed by California Legislature
As many people in the industry are aware, the California legislature passed AB 1482 last week, commonly known as the statewide “rent cap bill.” The bill is expected to be signed into law by Gov. Newson in October. While parts could still change before then, we now have a good enough idea to know what to expect. Basically, the law will make it harder to evict a tenant after she has resided in the property for 12 months and it will cap rent increases between 5% and 10%.However, not all residential properties will be subject to the law.
The bill currently excludes most single-family, duplex and new construction residencies.
At present, the following residential circumstances are exempt from the bill: A) Real property that has been issued a certificate of occupancy within the previous 15 years. So, most homes built after 2004 w ...
Monday, September 9, 2019 / by Nicole Solari
Everybody Calm Down! This Is NOT 2008
Last week realtor.com released the results of a survey that produced three major revelations:
53% of home purchasers (first-time and repeat buyers) currently in the market believe a recession will occur this year or next.
57% believe the next recession will be as bad or worse than 2008.
55% said they would cancel plans to move if a recession occurred.
Since we are currently experiencing the longest-ever economic expansion in American history, there is reason to believe a recession could occur in the not-too-distant future. And, it does make sense that buyers and sellers remember the horrors of 2008 when they hear the word “recession.”
Ali Wolf, Director of Economic Research at the real estate consulting firm Meyers Research, addressed this point in a recent interview:
“With people having PTSD from the last time, they’re still afraid of buying at the wrong t ...
Friday, August 23, 2019 / by Nicole Solari
The pumpkin spice latte is launching soon, so you may be tempted to spend your extra cash on a daily caffeine fix, but that small expense can add up to a big number – fast!
Saving for a down payment takes a little discipline, so limiting your extra purchases (like a latte a day from your favorite coffee shop) will help you get there faster.
Depending on where you live, putting away just a small amount each day will get you to the average down payment you may need for homeownership faster than you think.
Tuesday, August 20, 2019 / by Nicole Solari
Appreciation Is Strong: It Might Be Time To Sell
There’s no doubt that today’s housing market is changing, and everything we see right now indicates it is time to sell. Here’s a look at why selling now is likely to drive the greatest return on your largest investment.
Home values have been appreciating for several years now, growing at a strong, steady, and impressive pace. In fact, the average annual appreciation rate since 2012 has nearly doubled the average rate from the more normal market of the 1990s (think: pre-bubble).Appreciation, however, is projected to shift back toward normal, meaning home prices will likely keep climbing over the next few years, but they are not projected to continue to increase at such a high rate.
Here’s What That Means for Homeowners:
As noted in the latest Home Price Expectation Survey (HPES) powered by Pulsenomics, experts forecast an average annual appreciation rate closer to 3.2% ove ...
Tuesday, August 13, 2019 / by Nicole Solari
Millionaire To Millennials: The Costly Mistake Of Not Buying Now
On his personal website, self-made millionaire David Bach makes a striking statement:
“Not prioritizing homeownership is the single biggest mistake millennials are making.”
He further stated, “Buying a home is an escalator to wealth.”
“Young adults in particular aren’t hopping on this escalator, and it’s a costly mistake…If millennials don’t buy a home, their chances of actually having any wealth in this country are little to none.”
He then elaborates on the game of homeownership:
“Start by crunching the numbers…actually do the math…This way, you’re really clear on your goals and you won’t just say to yourself, ‘I’ll never afford this!’
A good rule of thumb is to make sure your total monthly housing payment doesn’t consume more than 30 per ...