Home > Blogs > Michael Thomson's Blog
5,102 views

Michael Thomson's Blog

By Michael Thomson | Agent in Los Angeles, CA
  • Price Index Up 12.4% in July 2013

    Posted Under: Market Conditions in West Hollywood, Home Buying in West Hollywood, Home Selling in West Hollywood  |  September 4, 2013 3:45 PM  |  340 views  |  No comments
    Home prices continue to increase. "The five states with the highest home price appreciation were Nevada (27 percent), California (23.2 percent), Arizona (17 percent), Wyoming (16.4 percent), and Oregon (15 percent)." Check out DSNews.com for more details:

    Price Index Up 12.4% in July

    Michael Thomson is a full time Realtor with the Keller Williams Sunset Strip Office. He has lived in Los Angeles for over 20 years and specializes in West Hollywood, Beverly Hills, Hancock Park, Hollywood Hills and Beverly Center-Miracle Mile. Feel free to call for questions at 310-927-8422 or visit the website at CityHomesLA .
  • Distressed Inventory Fading Fast as Housing Market Strengthens

    Posted Under: Market Conditions in West Hollywood, Home Buying in West Hollywood, Home Selling in West Hollywood  |  September 4, 2013 11:08 AM  |  353 views  |  No comments
    The housing market continues to improve.  The delinquency rate has dropped to it's lowest level since 2008.  Check out this article from DSnews.com: 

    Distressed Inventory Fading Fast

    "In July, about 949,000 homes were in some stage of foreclosure, down 32 percent from 1.4 million a year ago. Foreclosure inventory also showed a 4.4 percent decline from June. Year-to-date, foreclosure inventory is down by 20 percent."

    Michael Thomson is a full time Realtor with the Keller Williams Sunset Strip Office.  He has lived in Los Angeles for over 20 years and specializes in West Hollywood, Beverly Hills, Hancock Park, Hollywood Hills and Beverly Center-Miracle Mile.  Feel free to call for questions at 310-927-8422 or visit the website at CityHomesLA .

  • Home Prices Surge

    Posted Under: Market Conditions in West Hollywood, Home Buying in West Hollywood, Home Selling in West Hollywood  |  August 28, 2013 11:56 AM  |  370 views  |  No comments
    Southern California home prices are continuing to increase in value.  Per the LA Times, home prices have surged 28% over last June.  Here in West Hollywood and the surrounding areas, we are seeing multiple offers on most properties due to the inventory shortage.  The market has quickly turned into a seller's market.  As values increase, it's expected that more homeowners will enter the market and create a more level playing field. 

    Michael Thomson is a full time Realtor with the Keller Williams Sunset Strip Office.  He has lived in Los Angeles for over 20 years and specializes in West Hollywood, Beverly Hills, Hancock Park, Hollywood Hills and Beverly Center-Miracle Mile.  Feel free to call for questions at 310-927-8422 or visit the website at CityHomesLA .
  • Prices Increases Expected for 2013

    Posted Under: Market Conditions in West Hollywood, Home Buying in West Hollywood, Home Selling in West Hollywood  |  December 18, 2012 4:19 PM  |  406 views  |  No comments

    Buyers are expecting prices to continue rising in 2013 which is creating urgency to buy now. Investors are on the hunt for good buys as well. 

    At the same time, some buyers are waiting due to low inventory.  The low inventory is causing multiple offer situations on desirable and well priced homes. 

    Analysts released a report this week, saying home acquisitions by investors are likely to keep pushing home prices higher.

    Buyers still cited low interest rates as the main reason to buy as soon as possible.  Repeat buyers are also planning to make upgrades with their next property. When asked about the planned size of their next home compared to their current home, 49 percent indicated plans to buy a “much bigger” home, which was the most common response. In addition, 41 percent plan to buy a home that is the same size but nicer, more affordable, or in a different location. Redfin says it expects “2013 to be the year of the move-up buyer.”

    Overall, future prices are consistent with about a 5% increase from now to November 2013.

    Michael Thomson is a full time Realtor with the Keller Williams Sunset Strip Office.  He has lived in Los Angeles for over 20 years and specializes in West Hollywood, Beverly Hills, Hancock Park, Hollywood Hills and Beverly Center-Miracle Mile.  Feel free to call for questions at 310-927-8422 or visit the website at CityHomesLA .
  • Laurel Canyonites Say Mansion Building Messing With Bobcats

    Posted Under: Home Buying in West Hollywood, Home Selling in West Hollywood, In My Neighborhood in West Hollywood  |  August 13, 2012 12:16 PM  |  431 views  |  No comments
    When wealthy homeowners cry "think of the bobcats!" (or "think of the gobies!" or whatever), there's sometimes something else afoot ("think of the property values/exclusivity/peace and quiet!"), but either way someone's finally paying attention to the bobcats, as in Laurel Canyon today: the LA Times reports that the homeowners group Concerned Residents of Stanley Hills Drive have "filed a lawsuit against the city of Los Angeles for failing to enforce development restrictions on a multi-home project in a Laurel Canyon wildlife corridor." When permits were first issued for the three 4,000 square foot houses back in 2009, the project was supposed to include a 20 foot wide conservation easement dedicated to the Santa Monica Mountains Conservancy (basically a place for wildlife to move through), but "The group claims it later learned that the city allowed the developer to proceed with construction ... with a smaller conservation easement." The group is led by actor Tom Hulce (Mozart in Amadeus), who says "retaining walls and fences put up around the construction site 10 months ago are blocking migration patterns of deer, bobcat and coyotes that have existed for centuries." 

    Michael Thomson is a full time Realtor with the Keller Williams Sunset Strip Office.  He has lived in Los Angeles for over 20 years and specializes in West Hollywood, Beverly Hills, Hancock Park, Hollywood Hills and Beverly Center-Miracle Mile.  Feel free to call for questions at 310-927-8422 or visit the website at CityHomesLA .
  • Mortgage rates post second week of gains

    Posted Under: Home Buying in West Hollywood, Home Selling in West Hollywood, Financing in West Hollywood  |  August 9, 2012 12:25 PM  |  424 views  |  No comments
    Mortgage rates have moved higher off of record lows for the second consecutive week amid signs that the U.S. job market is stabilizing, according to a weekly survey by Freddie Mac.

    For 30-year fixed-rate mortgages, rates averaged 3.59 percent with an average 0.6 point for the week ending Aug. 9, up from 3.55 percent last week but down from 4.32 percent a year ago, according to Freddie Mac's Primary Mortgage Market Survey. Rates on 30-year fixed-rate mortgages hit an all-time low in Freddie Mac records dating to 1971 when they fell to 3.49 percent during the week ending July 26.

    Rates on 15-year fixed-rate mortgages averaged 2.84 percent with an average 0.6 point, up from 2.83 percent last week but down from 3.5 percent a year ago. Rates on 15-year fixed-rate mortgages hit a low in records dating to 1991 of 2.8 percent during the week ending July 26.

    For five-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) loans, rates averaged 2.77 percent with an average 0.6 point, up from 2.75 percent last week but down from 3.13 percent a year ago. Rates on five-year ARM loans hit a low in records dating to 2005 of 2.74 percent during the week ending July 26.

    Rates on one-year Treasury-indexed ARMs averaged 2.65 percent with an average 0.4 point, down from 2.7 percent last week and 2.89 percent a year ago. Rates on one-year ARMs hit an all-time low in records dating to 1984 of 2.68 percent during the week ending July 5.

    A separate survey by the Mortgage Bankers Association showed demand for purchase loans during the week ending Aug. 9 was down a seasonally adjusted 2 percent from the week before, and off 12 percent from the same time a year ago. Applications to refinance accounted for 81 percent of all mortgage loan applications.

    Michael Thomson is a full time Realtor with the Keller Williams Sunset Strip Office.  He has lived in Los Angeles for over 20 years and specializes in the Hollywood Hills, Beverly Hills, West Hollywood, Hancock Park and Beverly Center-Miracle Mile areas.  Feel free to call for questions at 310-927-8422 or visit the website at CityHomesLA .
  • Shrinking supply of homes for sale has upended market dynamics

    Posted Under: Market Conditions in West Hollywood, Home Buying in West Hollywood, Home Selling in West Hollywood  |  August 1, 2012 10:56 AM  |  436 views  |  No comments

    The stock of homes listed for purchase has fallen significantly from last summer, in turn raising prices and homeowners' equity stakes and reducing total sales.

    Though many home shoppers who assume they are still in a buyer's market find it hard to believe, one of the sobering fundamentals shaping real estate this summer is shrinking inventory: The supply of houses for sale has fallen significantly in most areas compared with a year earlier, sometimes dramatically so. And that is having important side effects by raising prices and homeowners' equity stakes and reducing total sales.

    In major metropolitan markets from the mid-Atlantic to the West Coast, the stock of homes listed for purchase has dropped by sometimes extraordinary amounts — 50% or more below year-earlier levels in several areas of California, according to industry studies.

    In Los Angeles, available inventory is 49% lower than it was last summer, San Diego by 53%, reports Redfin, a national online realty brokerage. In Seattle, listings are off 41%. In Washington and its nearby suburbs, listings are down 28%.

    According to the National Assn. of Realtors, the total number of houses listed for sale across the country in June was 24% lower than a year earlier. The dearth of listings is often more intense in the lower- to mid-price ranges, less so in the upper brackets.


    Just south of San Francisco, Redfin agent Brad Le says inventory in Silicon Valley is down so drastically — and demand so strong — that the bidding wars are spinning off the charts.


    "We're not just talking about 10 or 15" offers, he says, "but sometimes 40 and 50."


    Some buyers are inserting escalation clauses into their contracts to keep pace with counter-bids, and waiving financing contingencies, inspections and even agreeing to increase their down payments to counter any differences between the accepted sale price and the appraised value. One modest, 1,700-square-foot house recently was listed at $879,000. It drew more than 50 competing offers and sold to an all-cash buyer for $1,050,000 in less than a month.


    Silicon Valley is in its own special economic niche, but inventories have declined nationwide. Online real estate and mortgage data firm Zillow reports that some of the steepest declines are in places hit the hardest during the bust, and where sizable percentages of owners still are underwater on their mortgages. In Phoenix and Miami, for example, 55% and 46% of owners, respectively, have negative equity.


    Both cities have seen significant drops in inventory, and both are experiencing strong appreciation in home prices. Phoenix prices are up 14.7% for the year and Miami by 9.7%, according to data from research firm CoreLogic.


    What's behind the widespread declines in listings?


    Analysts say negative equity plays a major role — it discourages people who might otherwise want to sell from doing so. They don't want to take a big loss, especially in a slowly improving price environment. So they sit tight rather than list. Banks with large stocks of pre-foreclosure and foreclosed properties are doing the same, creating a so-called "shadow inventory" of houses estimated to total 1.5 million units.


    Where's this all headed?


    Stan Humphries, chief economist for Zillow, says the likely trend is for more of the same: Constricted supplies will lead to price increases, especially in segments of local markets where demand is strongest. Longer term, price increases will gradually rewind the cycle, increasing owners' equities and convincing more of them to list and sell. This, in turn, should put a brake on price increases, especially under today's super-strict mortgage underwriting and appraisal practices.


    Bottom line for anyone looking to list or purchase any time soon: Though conditions vary by location and price segment, lower supplies of houses available for sale are changing market dynamics — putting sellers in stronger positions than they've been in years.
     

    Michael Thomson is a full time Realtor with the Keller Williams Sunset Strip Office.  He has lived in Los Angeles for over 20 years and specializes in the Hollywood Hills, Beverly Hills, West Hollywood, Hancock Park and Beverly Center-Miracle Mile areas.  Feel free to call for questions at 310-927-8422 or visit the website at CityHomesLA .

« Read older posts
 
Copyright © 2014 Trulia, Inc. All rights reserved.   |  
Have a question? Visit our Help Center to find the answer