Rising Rates = New Trends
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"Our spring has come at last with the soft laughter of April suns and shadow of April showers." - Byron Caldwell Smith
Read on for your local real estate update, homeowner seasonal tips to consider and discover lifestyle tips curated just for you!
San Diego Real Estate
New Trends Emerge as an Outcome of Increasing Interest Rates
Mortgage rates have increased 45% in four short months, from 3.31% at the end of December 2021 to 4.8% today, rapidly eroding the purchasing power of many buyers.
To put this into perspective: at the end of 2021, a buyer desiring a $4,000 per month payment could afford a $1,013,333 home by putting down 10%. Today, that same buyer needs to cap the search below $846,667. To buy a $1,000,000 home today, the monthly payment would jump from $3947 to $4772. That is an additional $884 per month, or $10,608 per year.
As the pool of buyers able to purchase shrinks as rates rise, we are already starting to see a reduction in the number of offers received on each home: where there was once 20 offers on a home, a similar home today might only receive 5 offers.
Over time, if mortgage rates persist at these higher levels with duration, then demand will continue to remain muted compared to prior years even with more homes coming on the market.
If you or someone you know has been on the fence about selling a home in San Diego, now may be a great opportunity to maximize the sales price. Contact me to start a discussion on the best strategy moving forward.
Sources: Reports on Housing, Steven Thomas and
Mortgage Bankers Association®
Real Estate In the News
Most and Least Expensive States To Live In
Thinking about your next big move? Choosing a place to live is a highly personal decision driven by many factors, like cost of living, proximity to friends and family, and career opportunities to name a few. But if the most important thing to you is the cost of living, then read on to see what states are ranked the cheapest and most expensive.
And did you know that through my network at Compass, I can connect you with an agent in every major city in the United States? With Compass recently named the #1 brokerage by sales volume in the country (Source: RealTrends), you can be assured that my network is officially the best in the United States. Let’s talk!
The Power of Compass Concierge:
A Case Study
2 Bed | 1 Bath | 800 SF
When our Colorado-based clients reached out to us to sell their San Diego home we immediately presented a plan to help make this historic home shine to maximize buyer demand and the sales price.
Through a 15-minute application, they were approved to use our exclusive Compass Concierge program to front the cost of the recommended repairs and improvements. $19,732 was invested at no cost or interest to our clients, and all projects were managed by us. The sellers simply paid the total amount back at closing with the proceeds from the sale.
Our clients were blown away by the stress-free process and didn’t have to make a single trip to San Diego. But the proof is in the numbers: we achieved a final sales price of 122% of the list price! Click here for more before and after photos. With services like Compass Concierge, contact me to discuss how investing in your home with simple improvements could lead to a swifter more profitable sale.
5 Bed | 2.5 Bath
La Jolla Concours D'Elegance
April 16th - April 18th Earning the reputation as one of the finest internationally renowned classic automobiles showcases in the United States, the La Jolla Concours d’Elegance continues to attract discerning car enthusiasts from around the globe. With such a rich history and ever-growing population of vehicles in the world, the La Jolla Concours has made it a standing tradition to select a marque each year to honor throughout the weekend of events.
Tickets and information found here.
Western Days Parade
Grab your cowboy hat and head on out to East County to celebrate Lakeside's legendary 57th Western Days Parade. The theme this year is Reading—A Passport to Adventure. Rain or shine, the parade begins at 9:35 AM sharp. Bring the whole family for a day of fun in the sun! Click here fore more information.
Lifestyle Tips & Tricks
Open Floor Plan: In or Out?
Over the past few months, we've been noticing the rise in rooms—not just designated areas of a larger space, but sectioned-off spaces complete with four walls. So, what gives? Is the open floor plan on its way out? Admittedly, it depends on who you ask. Courtesy of Martha Stewart Living
12 Recipe Ideas for Spring Produce Spring is just around the corner, and with the warmer weather comes a slew of tasty spring produce ready to add some freshness to your meals. Here are a myriad of recipes that really give mangoes, peas, and more spring fruits and vegetables a chance to shine.
Space Age Design Relaunches Whether you call them Space Age or Atomic Age, the homes built in the 1950s and 1960s represented a new wave of modern architecture inspired by space exploration and futuristic ideas. Now that space travel for the layman is becoming a reality, we can expect to see architects and designers gathering inspiration from the new boom and from advancements in materials and technology. Courtesy of Mansion Global