Talis Team Real Estate

Michael Talis: Call/text: (650) 766-6100 Web: https://bit.ly/3WUrGqv Email: https://bit.ly/3Hscr2d Coldwell Banker Realty CALDRE: 01883499

Michael Talis: Call/text: (650) 766-6100 Web: https://bit.ly/3WUrGqv Email: https://bit.ly/3Hscr2d Coldwell Banker Realty CALDRE: 01883499

Michael Talis: Call/text: (650) 766-6100 Web: https://bit.ly/3WUrGqv Email: https://bit.ly/3Hscr2d Coldwell Banker Realty CALDRE: 01883499

Michael Talis: Call/text: (650) 766-6100 Web: https://bit.ly/3WUrGqv Email: https://bit.ly/3Hscr2d Coldwell Banker Realty CALDRE: 01883499

Michael Talis: Call/text: (650) 766-6100 Web: https://bit.ly/3WUrGqv Email: https://bit.ly/3Hscr2d Coldwell Banker Realty CALDRE: 01883499

The interest rates were growing for the last two years. Right now the mortgage rate is approaching 7.25%. A year ago the interest rate was a whole percent lower than now. As the inflation rate is slowing down, it is expected that the mortgage rate will follow this downward trend. According to Barbara Corcoran, a real estate expert of the Shark Tank fame, this will be the time when many consumers who were sitting on the sidelines will jump into the market and home prices will go up by as much as 10% or 15%. Don’t get hung up on these numbers, home prices grow at different rates in different areas. Even here in the Bay Area there is a huge difference in the rate of appreciation, for example, between the Peninsula and East Bay but it will be a subject of a different video. When should we expect the interest rates to go down? Fannie Mae just came out with their mortgage rate forecast. They predict a mild recession in the first half of 2024 and that the interest rates will stay at elevated levels through 2024 gradually dropping to 6.4% by Q4. This interest rate reduction may not be enough to reignite the real estate market, most experts set this trigger point at around 5%. I am very skeptical about any predictions at this point because so few of them were accurate. At the beginning of this year nobody predicted that the rates would be above 7% now, in September of 2023. Despite the high interest rates, the real estate market was unbelievably strong so far this year. The reason for that is shortage of housing, that there were so few homes coming to the market while the demand remained strong. Competition for the available homes was fierce because the number of new listings this year dropped by more than 30% compared with the same time last year. Homes are still selling very fast, the median time on the market this year stays only at 9 days, same as last year. Home sale prices were steadily growing as many homes sold with multiple offers and above the asking price. And let’s put the current interest rate level in perspective. The all-time average fixed rate mortgage rate is 7.7%, and the highest ever recorded was 18.66% back 1981. After the Great Recession we got spoiled by very low mortgage rates and they may finally get back to historic average levels and stay there for a while. Bottom line: if you are considering buying a home and you are planning to own it for a long time, 7,10 or more years, there is no better time to buy than now. Bay Area home prices were growing this year as mortgage interest rates inched up from low 6% range to over 7% and prices may continue to grow due to extremely limited supply. Scary though is that today home prices may be the lowest you will see in the foreseeable future. And when, as predicted, the interest rates will go down, you will be able to refinance your home at a lower rate, reduce your monthly payment while taking full advantage of the steady home value appreciation. Michael Talis: Call/text: (650) 766-6100 Web: https://bit.ly/3WUrGqv Email: https://bit.ly/3Hscr2d Coldwell Banker Realty CALDRE: 01883499

Now knowing if the home is insurable and how much it will cost you can better estimate the actual cost of the home ownership and decide on your offer plans. Did anyone talk to you about PITI? PITI stands for principal, interest, taxes, and insurance. These are the components of your monthly payment, your monthly cost of home ownership. You know how much you can afford to pay monthly and it is obvious that increasing insurance costs will affect the price you will be willing to pay for this specific home. Michael Talis: Call/text: (650) 766-6100 Web: https://bit.ly/3WUrGqv Email: https://bit.ly/3Hscr2d Coldwell Banker Realty CALDRE: 01883499

Here are five reasons why zestimates face accuracy challenges: They don't take into account many important factors that affect home's value such as upgrades condition and location. For example if a home's square footage is recorded incorrectly zestimate will be based on the wrong information. Zestimates are based on historical data and do not take into account market fluctuations like the current supply and demand situation or the economy that can greatly affect property values. It is especially critical when prices change fast like in 2022 when home prices jump by 16.5% between January and April only to fall by more than 20% from April high till the end of the year. Michael Talis: Call/text: (650) 766-6100 Web: https://bit.ly/3WUrGqv Email: https://bit.ly/3Hscr2d Coldwell Banker Realty CALDRE: 01883499

What are the benefits what's so special and uh who can use it? Okay, great! These programs are specifically designated to first-time home buyers. And a first-time home buyer is defined by Fannie Mae and Freddie Mac as someone that has not owned a primary residence during the past three tax years. Including or excluding investment? If you currently own investment property but have not owned a primary residence for the past three years you're a first-time home buyer for this program. Michael Talis: Call/text: (650) 766-6100 Web: https://bit.ly/3WUrGqv Email: https://bit.ly/3Hscr2d Coldwell Banker Realty CALDRE: 01883499

Hills in a lot of cases mean fire danger. Everyone remembers recent fires in the Santa Cruz Mountains that burned the headquarters of Big Basin. Fortunately that fire did not jump over the hill and the most densely populated parts of the Bay Area were not affected. Anyways, the home our client considered was in the high fire danger zone. And the only policy available was California FAIR Plan. It is a state-backed insurance of last resort when no private policies are available. The cost of the coverage was significantly higher than expected and the cost of the insurance policy became the decisive factor why our client decided not to put an offer on this home. And this is not a one-off story... Michael Talis: Call/text: (650) 766-6100 Web: https://bit.ly/3WUrGqv Email: https://bit.ly/3Hscr2d Coldwell Banker Realty CALDRE: 01883499

Are you concerned about the California insurance crisis and its impact on your homebuying journey? In this video, we delve into the challenges posed by the California insurance crisis and provide valuable insights for homebuyers. The California insurance crisis, characterized by soaring homeowner insurance costs and limited coverage options, has left many prospective buyers uncertain about their homeownership dreams. We explore the reasons behind this crisis, including recent natural disasters like wildfires and the regulatory landscape. Discover strategies to mitigate the risk of securing affordable insurance for your California home. Whether you're a current homeowner seeking a solution or a potential buyer evaluating insurance coverage, we've got you covered. Learn about the importance of natural hazard disclosures reports and how they can impact your home selection. Explore options like bundling policies and consulting insurance brokers to find the right coverage for your needs. Understand the crucial role of insurance costs in your overall homeownership expenses with a focus on PITI (Principal, Interest, Taxes, and Insurance). We'll help you make informed decisions about your future home purchase while considering various factors beyond insurance. Stay informed about the evolving real estate landscape amidst the California insurance crisis. Subscribe to our channel, hit the like button to support us, and share this video with others who are navigating the challenges of the California insurance crisis. Michael Talis: Call/text: (650) 766-6100 Web: https://bit.ly/3WUrGqv Email: https://bit.ly/3Hscr2d Coldwell Banker Realty CALDRE: 01883499

We just need to use the income that we have to use to qualify you. We can't use less than what your actual salary is. So let's just say you made 200,000 and we only needed you know 190. We have to use the 200,000 but we don't have to add in the miscellaneous portions of your income. What about two jobs? Same thing. We only have to use what is needed to qualify. Okay got it. And the same thing with the stock options or any other type of conversation. That's right. Just from my understanding... So this program is nationwide right It is nationwide. The loan limits vary per county, right? So depending on the kind of cost of real estate. Well and the immediate income for the area. Michael Talis: Call/text: (650) 766-6100 Web: https://bit.ly/3WUrGqv Email: https://bit.ly/3Hscr2d Coldwell Banker Realty CALDRE: 01883499

First go to the MLS listings.com or whatever site you're using for searching homes and look for the recently sold homes that match your criteria Size of the houses bedrooms bathrooms and the sale price Search the entire county Put Santa Clara or San Mateo County in the search line Enter your preferred price range and look at the results Do you see the clusters of homes in different segments of the map That's where your search will be the most productive In order to familiarize yourself with these areas drive there have lunch see the crowds Michael Talis: Call/text: (650) 766-6100 Web: https://bit.ly/3WUrGqv Email: https://bit.ly/3Hscr2d Coldwell Banker Realty CALDRE: 01883499

Well how could you trust someone with your home evaluation if they failed to correctly calculate the values of their own properties The other event was more of a PR blunder when then Zillow CEO Spencer Raskov sold his own home for 40% less than zestimates projected Quite a significant discrepancy Zillow always was aware of shortcomings of their zestimates. Michael Talis: Call/text: (650) 766-6100 Web: https://bit.ly/3WUrGqv Email: https://bit.ly/3Hscr2d Coldwell Banker Realty CALDRE: 01883499

Michael Talis: Call/text: (650) 766-6100 Web: https://bit.ly/3WUrGqv Email: https://bit.ly/3Hscr2d Coldwell Banker Realty CALDRE: 01883499

Michael Talis: Call/text: (650) 766-6100 Web: https://bit.ly/3WUrGqv Email: https://bit.ly/3Hscr2d Coldwell Banker Realty CALDRE: 01883499

Discover the latest developments in the Bay Area housing market as we dive into the dramatic shifts of August 2023. Join us for a deep analysis of Silicon Valley's real estate landscape, including surprising trends, record-breaking prices, and key insights that could impact your buying or selling decisions. Explore the dynamic market conditions, buyer and seller strategies, and exclusive tips for navigating the current real estate climate. Whether you're a homeowner, prospective buyer, or simply curious about the state of the Bay Area's housing market, this video provides essential information you won't want to miss. Stay informed and subscribe for more updates on the ever-evolving Bay Area housing market. Michael Talis: Call/text: (650) 766-6100 Web: https://bit.ly/3WUrGqv Email: https://bit.ly/3Hscr2d Coldwell Banker Realty CALDRE: 01883499

Join us as we delve into the remarkable journey of the Montrose Avenue open house in Palo Alto. From the initial invitation that reached your inbox or found its way to your front door, to the incredible outcomes that followed, this video unveils the secrets to our success. 🏠 Generating Huge Interest: Hundreds of eager buyers flooded our open houses, resulting in a flurry of activity and multiple offers. 📈 Setting a New Record: Witness the astounding sale price of over $3,450,000 – a staggering 15% above the listing price. This achievement establishes a groundbreaking sale price record for the neighborhood. ⏱️ Swift and Successful: In just 22 days, we closed the deal, a remarkable feat considering the challenging market conditions and economic uncertainties. 🏡 Tailoring Solutions: Learn how we worked closely with the homeowners to craft a tailored plan, evaluating options ranging from selling as-is to extensive remodeling. 🛠️ The Power of Remodeling: Discover how remodeling was strategically employed as a sales tool, transforming an outdated home into a modern, move-in-ready masterpiece. 🎯 Targeted Marketing: Explore our meticulous marketing campaign, including staging, professional photography, 3-D tours, and aerial views via drones. The result? Over 160 groups attending the open house, setting the stage for a competitive bidding war. 🏆 Setting Records: Witness how we shattered records, setting a new home price record in the Charleston Gardens neighborhood despite challenging economic conditions and rising interest rates. Your journey in selling your home will be unique, and we're here to tailor our approach to meet your specific needs. Whether your property requires upgrades or minimal changes, our sales strategy adapts to ensure the best results for you. Join us in unraveling the story behind our success and discover insights that could transform your own real estate journey. Remember, your home's story is different, and we're here to help you achieve your goals. Michael Talis: Call/text: (650) 766-6100 Web: https://bit.ly/3WUrGqv Email: https://bit.ly/3Hscr2d Coldwell Banker Realty CALDRE: 01883499

Get in touch with us: Buyers: https://bit.ly/3L8SyRf Sellers: https://bit.ly/438h5MS Barron Park was absorbed into the city of Palo Alto only 1975. Residents enjoy rural style living in the heart of Silicon Valley, next door to Stanford, HP, Tesla, Google and Meta. Most schools are located within the neighborhood and children don't have to cross many major road to get there. In this video I am sharing more that 30 years of my family living in Palo Alto. Michael Talis: Call/text: (650) 766-6100 Web: https://bit.ly/3WUrGqv Email: https://bit.ly/3Hscr2d Coldwell Banker Realty CALDRE: 01883499

Get in touch with us: Buyers: https://bit.ly/3L8SyRf Sellers: https://bit.ly/438h5MS If you are thinking about buying or selling a home this year, or just curious about the housing market, you might be seriously puzzled not knowing what to expect. On one hand the housing market looks strong - home sale prices are growing, median time on the market is almost at all-time low and it is common for 10, 12, or more buyers bidding on homes in your neighborhood. On another hand, the number of sales is dropping, interest rates are approaching the highest level since 2006, since before the housing market crash. And here in the Bay Area we have two sets of seemingly conflicting numbers amplifying this confusion. On one hand, the number of new listings year to date dropped by a whooping 33.9% compared to the same time of last year, 9600 new listings came to the market during the first half of 2023 in Santa Clara and San Mateo counties compared to 14.6 thousand over the same time period last year. 5000 opportunities to own a home were taken away from the home buyers this year! The number of sales closely followed the same trend - the number of home sales dropped by 33.4%. On another hand, the home sale prices are on the rise again, inching closer and closer to the all-time high mark. June median home sale price in our two counties was $1,580,000, just 4.2% below the all-time record level of April of 2022. Note that home sale prices were steadily growing this year and so far are up by 18.8%. The median time to sell a home dropped to just 8 days, it takes only 8 days for half of new listings to sell, homes now are selling as fast as humanly possible. If you need to sell, it is a great time to put your home on the market. Housing prices are growing and your home will have WAY less competition than usual, roughly 30% less competition than in previous years. The buyers are very active, competition for available homes is very stiff and aggressive. The challenge for many potential home sellers is that if you sell your home, you will need to find a new place to live in, you will need to buy a replacement property. If you are planning to stay in the Bay Area, you already know what is going on on the market, it definitely will be a difficult task. And if you are going to move out of the Bay Area, it will be easier for you to find a home to buy, but not much easier! Nationwide, the number of homes on the resale market dropped by more than 20%, not as steep of a drop as in the Bay Area, but still very significant. What helps to satisfy the housing demand in other markets is new construction. The number of new home completions rose to about 1500 units per month this year, first time since 2007. Note that 1500 new homes was the monthly average for new home completions since the 60s. With the increased availability of newly constructed homes and shortage of resale opportunities, the number of new home sales surged by 20% during the first half of 2023 compared to the last year. This housing market disbalance was triggered by the fight against inflation and the resulting mortgage interest rate hikes. At the time of this video the interest rates are climbing over the 7% threshold, the highest levels since 2002. And while the interest rates are just getting back to historic average levels, the speed of mortgage rate increases was unexpectedly fast and extremely disruptive. The meteoric rise of the mortgage rates created a “lock-in effect” for the existing homeowners. They were able to purchase their homes or refinance at much lower rates than currently available. You would need a really good reason to put your home, financed at below 3% rate, up for sale and then purchase a new one paying 7% interest or more. This “lock-in effect” depressed the inventories, especially here in the Bay Area. Most Peninsula cities were almost completely developed in the 50s, 60s and 70s. There are very few opportunities to build more housing, especially single family homes. And if you are a buyer, in today's market you are facing two major obstacles - high interest rates and low inventory. Low inventory creates stiff competition for the available homes and drives bidding wars while high mortgage rates increase overall cost of housing. What we recommend to our clients is to buy, and to buy as soon as possible, if they are planning to stay in the area and in their new home for 7 or more years. The key here is long-term ownership enabling them to build equity and accumulate wealth. If they are not sure about their plans and may have to move in 3 years or less, we would recommend renting a home. Buying a home for a short stay is usually too risky regardless of the overall direction of the housing market. Michael Talis: Call/text: (650) 766-6100 Web: https://bit.ly/3WUrGqv Email: https://bit.ly/3Hscr2d Coldwell Banker Realty CALDRE: 01883499

Get in touch with us: Buyers: https://bit.ly/3L8SyRf Sellers: https://bit.ly/438h5MS Here are three reasons why NOW is still a good time to sell a home in the Bay Area: First, the number of homes available for sale is at historically low levels. This year, there were 35% fewer listings compared to last year. If you put your home on the market, you will face less competition than at any time this century. Second, prices are on the rise again and getting close to all-time highs. So far this year, the Bay Area median home sale price has grown by 16% since hitting the market bottom in December 2022. Prices are only 7% below the peak level reached in April of last year. Third, buyer demand remains strong. Rising home prices and an accelerating pace of sales are testaments to that. The median time to sell a home dropped to just nine days, roughly the pace of sales we had in 2021 when mortgage interest rates hovered around 3%. Michael Talis: Call/text: (650) 766-6100 Web: https://bit.ly/3WUrGqv Email: https://bit.ly/3Hscr2d Coldwell Banker Realty CALDRE: 01883499