SETTING A SALES PRICE CAN BE TRICKY

There are many factors to consider when pricing a home.  If a homeowner over values the improvements, or puts more value on a view or location, they can easily overprice the home and thus discourage not only offers, but even showings of the property by agents representing their buyer clients.  If a seller is too anxious to move or doesn't understand the value of a new kitchen or bathroom, two very in demand improvements, they could undersell their property and leave thousands of dollars on the table.  This is why a real estate expert is so important.  Not only are they impartial about value, but they see things the owner cannot.  Of course recent sales must also be accounted for and considered.  But it is very important to understand that comparable sale and why it might have been higher or lower than your subject property so it can be properly explained to an appraiser when the time comes.  The first 30 days a property hits the market is its best time to generate excitement, showings, and previews.  Making sure your property is correctly perceived is more crucial than ever.  Professional photography, including drone coverage when applicable on a larger, more exclusive property, will show off your home to all those internet shoppers mentioned in an earlier paragraph.  We are a global housing market and a house has to dress the part.  

WELCOME TO 1036 UNDERHILL IN PLACENTIA

FURTHER PROOF THIS ISN'T A HOUSING BUBBLE...SHORT INVENTORY HERE TO STAY

Many people, understandably, are worried about a housing bubble.  After seeing the median price climb month over month for 48 straight months (CoreLogic), it's understandable, that to the untrained eye, it could seem that way.  But this column, and the Keeping Current Matters National Blog, have both pointed out that the appreciation is simple economics of supply and demand, coupled with cheap money, i.e., low interest rates.  Consider the following quote from Lawrence Yun, the Chief Economist at the National Association of Realtors, as read in Forbes, "Even though home prices are climbing far above people's income, exceptionally low mortgage rates have permitted people to buy a home without overstretching their budget.  For someone making a 20% down payment, the monthly mortgage payment at today's mortgage rates would take up 15% of a person's gross income.  During the bubble years, it was reaching 25% of income.  The long-term historical average is around 20%.  Therefore, a middle-income household does not need to overstretch their budget much if at all to buy a typical home."   (Bear in mind also, this quote doesn't address the fact of all the "stated income" loans, during the housing crisis, where the monthly payment approached 40% after the "teaser" year).    In fact if you look up the chart, recently published, from the Joint Center for Housing Studies, of Harvard University, you would see that the median payment for the US through 2015 was $858 as compared to the top of the market in 2006, when it hit $1,305.  For those So Cal citizens that would love a payment of that size, (think California prices), remember our median income is much higher.  The bottom line is interest rates have continued to fuel demand for housing.  That demand has caused increases in prices.  However, after torrid years of appreciation in 2013 and 2014, last year slowed to about 6% overall and 2016 is predicted to hover between 5% and 6%.  Housing should stay solid for the remainder of this year.  What happens post national election, is always a bit of an unknown. 

PERHAPS THE MOST COMPELLING EVIDENCE OF NO BUBBLE LIES IN EQUITY

It is hard to have a collapse in prices that dictates a bubble burst without a collapse of jobs and over encumbered real estate to go with it.  In fact, 91.5% of homes in the U.S. have equity according to CoreLogic.  To add to that amazing figure is this one:  2016 will either restore or add an additional 850,000 homes to equity based on just a 5% appreciation rate for the rest of the year, which seems highly likely.

6 REASONS TO SELL NOW

There are some very persuasive reasons for a home to hit the market.  Here are a few... 1) Less competition - Whether your home is in a perfect location or not, perfect condition or not, it can never hurt to have less competition to be able to dictate your price and terms.  2) Multiple Offers - It is always a boon for your agent to be able to tell the other agents representing their buyers, that there are multiple offers.  This brings a highest and best offer much more quickly and cuts down on haggling.  3) More qualified buyers - Simply more people means more options for all cash buyers or well qualified and probably no contingency for sale of another home first.  4) Low interest rates - Better for you if you are moving up, better for qualification of the buyers that you have.  5) Buyers with added purchasing power.  Those lower rates can make it easier to pump up the sales price because the money is so cheap.   In other words, adding more to your sales price doesn't raise the monthly payment all that much.  6) More exposure for your home - Fewer properties advertised in the paper, on FaceBook, Zillow, Trulia, and anywhere else you can think of.  More people will see your home, because there aren't that many homes to see.

WELCOME TO 1036 UNDERHILL DRIVE IN PLACENTIA

Gorgeous front yard features new landscaping with drip system and slate walkway. Upon entering you will see an inlaid stain glass door which leads you to this stunning custom built in office with dovetail joint file drawers and cabinets. Home also features hickory hardwood flooring and imported Italian tile throughout the downstairs. All windows have been tinted and windows and doors have casings. Raised baseboards and crown molding throughout as well as rod iron on staircase. Home also features plantation shutters and a gorgeous precast fireplace mantle. Family room boasts a beautiful built in entertainment center and is pre wired for surround sound. Kitchen features upgraded stainless steel appliances, granite, and reverse osmosis water system. Master has a private balcony overlooking the 11th fairway and has Hunter Douglas sheer blinds. Master bath features Italian ceramic tiles, upgraded counter tops and jacuzzi tub. Master closet boasts custom island, racks and shelves. Upstairs also features a large loft, secondary bedrooms with built in shelving in closets. Garage has epoxy sealed floors, 75 gal. hot water tank, custom cabinets and workbench as well as water softener. Backyard features stainless BBQ, New Umbrellas and upgraded drip system. 

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WELCOME TO 1037 FUCHSIA CIRCLE IN PLACENTIA

GORGEOUS turnkey upgraded home. This amazing home features a gourmet kitchen with custom cabinets, self closing drawers, and granite counters. Beautiful slider off the kitchen leads to a very private and covered patio. The home has hardwood floors and brand new carpeting in the living room. The house has been freshly painted inside and out with a very neutral palet making it fit for many years to come. The house was upgraded with brand new bathrooms that feature travertine showers, beautiful granite counters and custom lighting. There are also custom built in closets and drawers in each of the secondary bedrooms. The master bedroom features a walk in closet and a secondary closet, a slider going out the the backyard and a private ensuite bath with stunning lighting and frameless shower door. This home is also outfitted with solar panels to keep those electric bills next to nothing. Home has upgraded roof and cement roof tiles put on with solar within the last year. Home also features a water softener and outdoor pantry for more storage. The furnace, air conditioner, water softener and water heater have all been replaced in the last few years. There is RV parking on both sides of the home for RV or boat. Owners show so much pride in their home and just had the  front yard completely redone and landscaped with gorgeous plants, trees, grass, malibu lighting and a very comfortable, quiet new patio. There are white shutters and newer windows throughout. The backyard is so serene with the utmost privacy. There is a really nice patio cover with warm lighting to enhance the mood and relaxation. The backyard also features a jacuzzi for fun summer nights. 

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