Santa Barbara Real Estate Trends: 3 Ways Buyers Have the Advantage

2010 will be known as the beginning of the recovering economy and new markets in real estate. During these uncertain times, we still wonder: have the economy and real estate market finally hit bottom?

One thing is for certain - new opportunities abound in buying Santa Barbara real estate and investment property. Santa Barbara real estate trends will inevitably dip to their lowest, but so will interest rates for home loans. This is the perfect time to get involved with the Santa Barbara real estate market.

Living through these times is challenging, but we will all have a story to tell about what it was like to live through a very difficult period and come out the other side. Your story about surviving the big recession could be as transformative as the new economy if you take the opportunity to invest in income property, find your new home, or refinance your mortgage.

Think of the bragging rights you’ll have years from now if you take advantage of the current Santa Barbara real estate market conditions:

1. Refinance your existing mortgage. Current interest rates are below historic lows.
   
2. Purchase real estate NOW! Elevated inventories and seller motivation are at all time highs.
   
3. Invest in income property. In 25 years of selling property in the area we have never seen the affordability this attractive. This is by far one of the best ways to provide passive income to your retirement portfolio.

You can listen to the talking heads and watch the news religiously; they all have their slant (or their major stock holders' slant) on what the future will bring. In the end, slow and steady confidence in the financial sector and diligent planning from the business leaders will bring the country and world back to profitable times.

By purchasing property now, you become the driving force behind the upward trend in your own Santa Barbara real estate investment.

Craft your success story of investing in Santa Barbara real estate and property today by contacting Santa Barbara Realtor John Sener. In 24 years of listing and selling properties in Santa Barbara and Montecito, John Sener has built a superb team of marketing specialists, contractors, service people and consultants to help you in every aspect of your real estate needs. John Sener and his remarkable team will help you plan your pathway to Santa Barbara real estate buying, selling, or investment. Contact John at (805) 331-7402 or visit JohnSener.com.

What's Driving Current Santa Barbara Real Estate Trends?

When the Association of Realtors held its economic forecast for 2010 in southern Santa Barbara county, Santa Barbara real estate trends post-recession were a hot topic. It’s a fact that property values have declined since pre-recession days, but Santa Barbara property sales are 25 percent better than the bottom of the market in January 2009. While our region reflects the same general real estate trends as the rest of the country, the Santa Barbara real estate market is coming out strong.

Billionaire Warren Buffett appeared on CNBC in March and had these comments about the national economy: "the worst is behind us"; "things are getting better but at a very slow rate,” and; " the jobs will come back but it won't be fast". The rest of the country is starting to feel the effects of the recovery. It’s not the same economy as before we started, but we are coming out of one of the biggest recessions in the history of the United States.

What effect does this have on local Santa Barbara real estate trends?

It’s a buyer’s market in Santa Barbara. The strong appeal of Montecito and Santa Barbara neighborhoods, from good school districts to exclusive private living in paradise, is translating to more real estate and investment property sales in Santa Barbara. We are hovering well above the rock bottom of last year - and climbing. Current MLS statistics show that we are averaging between 20 and 30 pending sales a week.

A closer look shows that a majority of the sales are in the conforming sales market. What does that mean? Conforming loan sales are purchases with loan amounts under $729,000. This translates into a majority of our transactions coming in under $900,000.

What is driving all the activity in this market? In pre-recession days, the medium house price on the South Coast was over $900,000. Today that number is $760,000. Home loan interest rates are at historic lows, and attractive government tax credits (soon to expire!) are strong incentive for first time home buyers (who make up 47% of buyers) and young families to take a foothold in the Santa Barbara real estate market.

Santa Barbara, Hope Ranch, and Montecito estates and high end home sales over $1,000,000 have also increased over the past six months. Just like the Beatles song says, they're “getting better all the time." This premier property market offers the most opportunity for buyers today - whether you’re looking for a new luxury Santa Barbara home or investment property. Inventories are high and sellers are competing for a limited number of buyers, making this by far a buyer’s best opportunity to buy Santa Barbara real estate that was priced 25-35% higher in value just two yeas ago.

This newly recovering market is your chance to buy Santa Barbara property that is both a great value and a once-in-a-generation investment opportunity.


It is vital to have a qualified team of professionals at your service to purchase and sell your home - and especially to navigate a major estate property transaction. In 24 years of listing and selling properties on the South Coast, John Sener has built a superb team of marketing specialists, contractors, service people and consultants to help you in every aspect of your real estate needs. Santa Barbara Realtor John Sener and his remarkable team will help you plan your pathway to Santa Barbara real estate or property investment. Contact John at (805) 331-7402 or visit JohnSener.com.

FEDERAL STIMULUS WILL HELP HOMEOWNERS

Despite all the controversy around the economic stimulus package, the intention of any stimulus is be a catalyst-influencing something else to happen. Creating movement in these ever changing economic times is essential and will present excellent opportunities for homeowners.

One available option right now, and well worth the time and expense, is to re-finance your current First Trust Deed. With conforming loans increasing to $729,000, now is the best time in years to lock in a fixed rate on your home. These new 30 year loans come with fixed rates in the low 5 percent range. Looking at your current mortgage, is it over 6 percent? Are you currently in an adjustable rate mortgage? If the answer to either of these questions is yes, it is time to think about re-financing your home. Even if you have done so in the last few years, the savings on the interest rate will cover the costs of the new loan in a matter of a few months. If you have any questions about your current mortgage, or want to know more about the new conforming loans, call me! I can help you get all the right information that will save you thousands of dollars a year.

Current market conditions allow homeowners to reduce their property taxes!

Lately, the news for homeowners has been all about lost values. Here is a way to take advantage of this situation and put cash back into your household. With property values declining, you as a home owner are allowed to take advantage of this decrease in value by re-assessing your property at today's values, thereby reducing your property tax liability.

If you purchased your home in the last 5 years, chances are the current value may be less than what you paid for the property. In many cases, the new assessed value could now be thousands less than the original purchase price. With my help, the process is easy. Many of my friends and clients have received letters in the mail and others have downloaded information from independent companies that charge up to $500 to process these documents but together we can get this done for little or no cost to you. Stop paying higher property taxes today. I'm here to answer any questions you may have about this legal and easy way to reduce your current property tax bill.
Together, we can put you back in control, and remember, be the change you wish to see.

Always at your service, with the guiding hand of optimism,


John

Opportunity - take action NOW!

More Housing Struggles

U.S. market will stay problematic until at least next summer, Mortgage Bankers Association forecasts. San Francisco Chronicle, Wednesday October 22, 2008


In times of uncertainty, with news headlines being so negative, does anyone stop to read the whole story? NO! Headlines sell the paper and, unfortunately, conversation around the water cooler the next morning is too often confined to just the headlines read and not the content missed. I say this because I too used to be a headline reader and never take the time to read the entire story.

Contrary to what headlines proclaim, Santa Barbara, Montecito, Hope Ranch, Carpinteria, and even North County properties are all selling, and buyers are acquiring some of the best buys these markets have offered in over 15 years.
It doesn’t take long to figure out why so many transactions are being consummated at this seemingly perilous time. Astute buyers are taking advantage of what the rest of the country is running away from - OPPORTUNITY.

Opportunity is the effect created by a combination of favorable circumstances that offer some kind of advantage within there intersection.

Within every disaster there are opportunities and the buyers that take advantage of today’s doom and gloom headlines are those who have read the entire story and understand that a combination of many factors offer some of the best buying conditions - large inventory, historically low interest rates, and high seller motivation.

My point? Don’t be left out, take action NOW.

While many are rushing out the door, be the one rushing in to negotiate and buy! This window will close and it will close quickly and without notice. NOW is the time to take action, take the opportunity.

I have been a realtor for over 23 years. My knowledge and insight of the market are keen and proven. Contact me so I can help you take advantage of this incredible time in the real estate market.

Warren Buffett one of the wealthiest men in the world recently was quoted saying “it’s time to buy America”

It’s time to buy Santa Barbara!

A PERFECT STORM: Santa Barbara is a Buyer's Market Amidst National Slump

A Down Market you say? A recent CNN article confirms that falling real estate markets are still running their course.

Contrary to national headlines there are cities and communities flourishing in this so called “down” real estate market. Perspective is an interesting thing – it shifts - and from where you stand, the information just might lean in your favor. In a perfect storm a set of disparate events combine to create an exceptionally powerful phenomenon with great impact or influence. It is at just such a time that ones individual perspective is most important. A perspective from within the storm calls for specific response, while a perspective from outside the storm calls for an often entirely different course of action.

Despite the general trend across the country, real estate values in Montecito and Hope Ranch California have continued to rise since the beginning of the year. Both areas are experiencing double digit increases with Montecito values up almost 25% and Hope Ranch up 10% thus far in 2008. If you are considering buying or selling in the Santa Barbara area and you are relying on the national news for real estate updates, I think it is time to shift away from that broad general perspective and zone in on a local perspective that is truly relevant to your personal real estate needs. Yes, the general perspective countrywide is that of a “down” market, however, Santa Barbara is not in the eye of the storm.

Indeed, there is another set of events which make this a fantastic time in real estate. Yes, our community does have its share of foreclosures and REO’s. If you are looking to get into one of the most beautiful communities in the world it just might behoove you to act with haste. However, interest rates are still incredibly low (jumbo loans in the low to mid 6% range) and there is an abundance of inventory with over 600 homes on the market between Carpinteria and Goleta. Those familiar with the “ins” and “outs” of real estate in Santa Barbara County might actually call this a buyers market. This kind of talk has not been on the lips of real estate agents since the late 1980s.

History loves to repeat itself and the buyers that take advantage of the market today are going to be those who will talk about the bargains they were able to find in Santa Barbara, Montecito, and Hope Ranch in 2008. I promise you, it won’t last forever.

If your future investments include a plan for purchasing real estate in Southern Santa Barbara County history tells the story of economic regression followed by recovery and increased market values.