What’s Ahead for Real Estate in 2019?

by Julie Wright on January 22, 2019

As we begin another year, everyone wants to know: “Where is the housing market headed in 2019?”

It’s not only buyers, sellers, and homeowners who are impacted. The real estate market plays an integral role in the overall U.S. economy.  Fortunately, key indicators point toward a stable housing market in 2019 with signs of modest growth. However, shifting conditions could impact you if you plan to buy, sell, or refinance this year.

HOME VALUES WILL INCREASE

The value of real estate will continue to rise. Freddie Mac predicts housing prices will increase by 4.3 percent in 2019.While the rapid price appreciation we witnessed earlier in the decade has slowed, the combination of a strong economy, low unemployment, and a lack of inventory in many market segments continues to push prices higher.

“Ninety percent of markets are experiencing price gains while very few are experiencing consistent price declines,” according to National Association of Realtors (NAR) Chief Economist Lawrence Yun.2

Yun predicts that the national median existing-home price will increase to around $266,800 in 2019 and $274,000 in 2020. “Home price appreciation will slow down—the days of easy price gains are coming to an end—but prices will continue to rise.”

What does it mean for you? If you’re in the market to buy a home, act fast. Prices will continue to go up, so you’ll pay more the longer you wait. If you’re a current homeowner, real estate has proven once again to be a solid investment over the long term. In fact, the equity level of American homeowners reached an all-time high in 2018, topping $6 trillion.3

SALES LEVELS WILL STABILIZE

In 2018, we saw a decline in sales, primarily driven by rising mortgage rates and a lack of affordable inventory. However, Yun isn’t alarmed. “2017 was the best year for home sales in ten years, and 2018 is only down 1.5 percent year to date. Statistically, it is a mild twinge in the data and a very mild adjustment compared to the long-term growth we’ve been experiencing over the past few years.”2

Yun and other economists expect home sales to remain relatively flat over the next couple of years. Freddie Mac forecasts homes sales will increase 1 percent to 6.08 million in 2019 and 2 percent to 6.20 million in 2020.1

“The medium and long-term prospects for housing are good because demographics are going to continue to support demand,” explains Tendayi Kapfidze, chief economist for LendingTree. “With a slower price appreciation, incomes have an opportunity to catch up. With slower sales, inventory has an opportunity to normalize. A slowdown in 2019 creates a healthier housing market going forward.”4

What does it mean for you? If you’ve been scared off by reports of a market slowdown, it’s important to keep things in perspective. A cooldown can prevent a hot market from becoming overheated. A gradual and sustainable pace of growth is preferable for long-term economic stability.

MORTGAGE RATES WILL RISE

The Mortgage Bankers Association predicts the Federal Reserve will raise interest rates three times this year, resulting in a rise in mortgage rates.5 While no one can predict future mortgage rates with certainty, Realtor.com Chief Economist Danielle Hale estimates that the rate for a 30-year mortgage will reach 5.5 percent by the end of 2019, up from around 4.62 percent at the end of 2018.6

While mortgage rates above 5 percent may seem high to today’s buyers, it’s not out of line with historical standards. According to Hale, “The average mortgage rate in the 1990s was 8.1 percent, and rates didn’t fall below 5 percent until 2009. So for buyers who can make the math work, buying a home is likely still an investment worth making.”7

What does it mean for you? If you’re in the market to buy a house or refinance an existing mortgage, you may want to act quickly before mortgage rates rise. To qualify for the lowest rate available, take steps to improve your credit score, pay down existing debt, and save up for a larger down payment.

AFFORDABILITY ISSUES WILL PERSIST

Although the desire to own a home remains strong, the combination of higher home prices and rising mortgage rates will make it increasingly difficult for many first-time buyers to afford one.

“Buyers who are able to stay in the market will find less competition as more buyers are priced out but feel an increased sense of urgency to close before it gets even more expensive,” according to Hale. “Although the number of homes for sale is increasing, which is an improvement for buyers, the majority of new inventory is focused in the mid-to-higher-end price tier, not entry-level.”6

What does it mean for you? Unfortunately, market factors make it difficult for many first-time buyers to afford a home. However, as move-up buyers take advantage of new high-end inventory, we could see an increase in starter homes hitting the market.

MILLENNIALS WILL MAKE UP LARGEST SEGMENT OF BUYERS

“The housing market in 2019 will be characterized by continued rising mortgage rates and surging millennial demand,” according to Odeta Kushi, senior economist for First American. “Rising rates, by making housing less affordable, will likely deter certain potential homebuyers from the market. On the other hand, the largest cohort of millennials will be turning 29 next year, entering peak household formation and home-buying age, and contributing to the increase in first-time buyer demand.”4

Danielle Hale, chief economist for Realtor.com, predicts the trend will continue. “Millennials are also likely to make up the largest share of home buyers for the next decade as their housing needs adjust over time.”6

What does it mean for you? If you’re in the market for a starter home, prepare to compete for the best listings. And if you plan to sell a home in 2019, be sure to work with an agent who knows how to reach millennial buyers by utilizing the latest online marketing techniques.

WE’RE HERE TO GUIDE YOU

While national real estate numbers and predictions can provide a “big picture” outlook for the year, real estate is local. And as local market experts, we can guide you through the ins and outs of our market and the local issues that are likely to drive home values in your particular neighborhood.

If you’re considering buying or selling a home in 2019, contact us at 949-770-9888 now to schedule a free consultation. We’ll work with you to develop an action plan to meet your real estate goals this year.

START PREPARING TODAY!!

If you plan to BUY this year:
 
Get pre-approved for a mortgage. If you plan to finance part of your home purchase, getting pre-approved for a mortgage will give you a jump-start on the paperwork and provide an advantage over other buyers in a competitive market. The added bonus: you will find out how much you can afford to borrow and budget accordingly.

Create your wish list. How many bedrooms and bathrooms do you need? How far are you willing to commute to work? What’s most important to you in a home? We can set up a customized search that meets your criteria to help you find the perfect home for you.

Call us today. The buying process can be tricky. We’d love to guide you through it. We can help you find a home that fits your needs and budget, all at no cost to you. Give us a call at 949-770-9888 to schedule an appointment today!  

If you plan to SELL this year:  

Call us for a FREE Comparative Market Analysis. A CMA not only gives you the current market value of your home, it will also show how your home compares to others in the area. This will help us determine which repairs and upgrades may be required to get top dollar for your property, and it will help us price your home correctly once you’re ready to list.

Prep your home for the market. Most buyers want a home they can move into right away, without having to make extensive repairs and upgrades. We can help you determine which ones are worth the time and expense to deliver maximum results.

Start decluttering. Help your buyers see themselves in your home by packing up personal items and things you don’t use regularly and storing them in an attic or storage locker. This will make your home appear larger, make it easier to stage … and get you one step closer to moving when the time comes!

Sources:

  1. Freddie Mac Economic & Housing Research Forecast –
    http://www.freddiemac.com/research/pdf/201811-Forecast-04.pdf
  2. National Association of Realtors 2019 Forecast – 
    https://www.nar.realtor/newsroom/2019-forecast-existing-home-sales-to-stabilize-and-price-growth-to-continue
  3. Bankrate 2018 Year in Review –
    https://www.bankrate.com/mortgages/year-in-review-for-housing-market/
  4. Forbes 2019 Real Estate Forecast –
    https://www.forbes.com/sites/alyyale/2018/12/06/2019-real-estate-forecast-what-home-buyers-sellers-and-investors-can-expect/#a98b80a70d9a
  5. Mortgage Bankers Association Forecast –
    https://www.mba.org/2018-press-releases/october/mba-forecast-purchase-originations-to-increase-to-12-trillion-in-2019
  6. Realtors.com 2019 National Housing Forecast –
    https://www.realtor.com/research/2019-national-housing-forecast/
  7. FOX Business –
    https://www.foxbusiness.com/personal-finance/where-mortgage-rates-are-headed-in-2019

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Our Featured Properties-UPDATED!

by Julie Wright on January 17, 2019

 

THE MARKET IS STILL HOT!!  If you are looking to BUY or SELL,

then call us TODAY at 949-770-9888!

Scroll Down to see Our Vacation Rentals AND Sold Listings w/ Seller Savings!

FOR SALE!

30 Calle San Luis Rey

RSM, 92688

Offered at $750,000

OPEN HOUSE 1/27  NOON-4pm….This home is located in the desirable Emerald Ridge Liberty community. Single family detached home with a spacious floorplan, 4 bedrooms and 3 bathrooms. One of the many benefits of this home is that it features a downstairs bedroom or can be used for an office with an adjoining bathroom. Upstairs there are 2 bedrooms with wood laminate flooring, and a full size laundry room with added sink and cabinet for your convenience. The master bedroom suite and bathroom is spacious features plantation shutters and recessed lighting and extends the entire width of the home. Downstairs has an open floor plan from the kitchen with new stainless steel oven and microwave, and is open to the family area with crown molding and ceramic tile flooring. There is approximately 2000 square feet of living space. The front and rear yards have extensive hardscape that adds to the charm of this home.  Walking distance to Solana Park which offers a swimming pool, baseball fields, playground and picnic area. Also enjoy membership to SAMLARC with access to the Beach Club, pools, sport courts, parks, trails, picnic areas and fishing!  For Private Showing, Please Contact Listing Agent Ed Wright at 949-770-9888  Click Here for Photos!  Click Here for Flier!

BACK ON THE MARKET!

810 Calle Puente

San Clemente 92672

NOW Offered at $1,400,000

Prime location in Central San Clemente, walking distance to Beach, Trails, San Clemente Pier and down town Del Mar. Three units consist of Two 2 Bedroom 1 Bath and One 1 Bedroom 1 Bath. All units have been remodeled and upgraded with new kitchens, windows, French doors, plumbing, wood floors, new fixtures, full size gas ranges, new water heaters and much more. Exterior plaster and exposed beams all have been re done. Unit A and B are single level with a spacious floorplan, exposed wood beam ceilings and skylight. The upper I bedroom has a peek ocean view from the full size living room and bedroom. All units have a full size stackable washer and dryer. Private and fenced patio yards for the two single story units. Three separate garages are off rear alley with extra parking in the alley. Each unit is on a lease and earning above Pro forma rents for the area! This is an ideal investment property that stands out as being one of the nicest income units in the San Clemente area.  For Photos, Drone Photo and Flier Click Here! Please Call Listing Agent Ed Wright at 949-770-9888 Regarding Showings, DO NOT DISTURB TENANTS.

Help-U-Sell and Platinum Edge Properties Helping Buyers Find Homes

SOLD!

27552 Gable St

Dana Point 93624

SOLD!

92 Verdin

Aliso Viejo 92656

SOLD!

12 Del Padre

Foothill Ranch 92610


SOLD!

24871 Hamlet Way

Laguna Niguel 92672

SOLD!

715 N. Hemet St

Hemet 92544

AVAILABLE VACATION HOMES

674 Blue Jay Rd

Big Bear, 92315

Call for Listing Agent Ed Wright for Rates/Availability 949-770-9888.

Click here for Property Link  for More Information!

 

Click Here for Our Latest Newsletter!

Close to Big Bear Lake with sunset views. Sleeps 11+ people and pet friendly. Master bedroom on main level has lake view and king sized bed plus a private full bathroom. The second main floor bedroom has a twin size trundle bed with a pull out twin size bed and is next to the full 2nd bathroom. Downstairs has 2 separate bedrooms and 1 full bathroom. One bedroom has a queen sized bed and the other has bunk bed with 2 full size beds and one twin size trundle. The game room is spacious and has a full wet bar with refrigerator. Games include darts, foos ball, karaoke and television. Upstairs is a great room layout with spacious living room and rock fireplace. There is a 50′ flat screen TV with cable and Blue Ray DVD player. The upgraded granite counter top kitchen with stainless steel appliances is open to the living room and dining area. WIFI internet service and telephone is available. Outside is view deck of the lake plus lower level spa for your relaxing evenings. A full size BBQ is also available. The Pleasure Point Marina is a short distance away where you can rent a boat slip, Pontoon boats, paddle boards and kayaks are also available. There are plenty of places you can fish for trophy sized Trout and Bass. A short drive to the Village where you can eat and shop.

Visit our  NEW Website at www.resortvacationhome.com/or Go to www.AirBNB.com/Rooms/3282047

YouTube Videos Available on our Website!

tranquil-cottage-by-the-sea34021 Violet Lantern St.

Dana Point,  92629

Call for Listing Agent Ed Wright for Rates/Availability 949-770-9888.

Click Here for Our Latest Newsletter!

Cottage by the harbor! This is the ideal temporary housing or vacation beach cottage located in the Lantern District steps from the Town Center restaurants and activities, parks and harbor area. Great curb appeal with white picket fence. Large grass area and tropical front yard. Entertain in the private tropical fenced rear yard with covered patio. Inside features 2 spacious bedrooms, one with a walk in cedar lined closet. Very warm atmosphere with wood walls and ceilings. Living room has wood flooring and bedrooms have carpet. Ceramic tile in upgraded kitchen and laundry room. Refrigerator and washer/dryer are included. The bathroom is upgraded and extra-large. Fully furnished, just bring your clothes and bathing suit! Sleeps up to 7 people comfortably.

Month-to Month with Flexible rental term from 20 days to 6 months.  Rates for June 15- Sept 4 is $4000, Tenant to pay non-refundable cleaning fee of $150.  Call for Listing Agent Ed Wright for Availability 949-770-9888.

Visit our NEW Website at www.resortvacationhome.com/Go to www.AirBNB.com/Rooms/3115006

YouTube Video Available on our Website!

SOLD!  SELLERS SAVING THOUSANDS!

SOLD IN 19 DAYS!  SELLER SAVED $12,930 in COMMISSIONS w/ OUR LOW SET FEE!

22252 Cripple Creek

Lake Forest 92630

SOLD $696,000

SOLD! SELLER SAVED $10,650 in COMMISSIONS with OUR LOW SET FEE!

214 Via Robina #26

San Clemente 92629

SOLD Price $532,500

SOLD!  Seller SAVED $22,490 in Commissions w/ Our Low Set Fee and We Bought Buyer!

632 Darrell St

Costa Mesa, 92627

SOLD Price $699,000

SOLD IN 23 DAYS! SELLER SAVED $41,650 in Commissions w/ Our Seller Options!

9 La Purisima

RSM 92688

SOLD Price $860,000

SOLD IN 12 DAYS ABOVE LISTING PRICE! SELLER SAVED $12,500 in Commissions w/ Our Low Set Fee!

12 Calle San Luis Rey

RSM 92688

SOLD Price $715,000

SOLD ABOVE LISTING PRICE!  SELLER’S SAVED $21,650 in Commissions with Our Seller Options!

60 Eagle Run

Irvine 92614

SOLD Price $510,000

SOLD ABOVE LISTING PRICE! SELLER’S SAVED $4,934 in Commissions with Our Let Set Fee!

21931 Rimhurst Dr #E

Lake Forest 92630

SOLD  at $329,500

SOLD! SELLER SAVED $41,870 in Commissions with Our Seller Options!

23722 Arjay Way

Laguna Niguel 92677

SOLD Price $847,000

SOLD at Full Price!  Seller Saved $6,750 in Commissions w/ Our Low Set Fee!

52 Corniche #E

Dana Point 92629

SOLD Price $390,000

SOLD IN 10 DAYS AT FULL PRICE!  HELP-U-SELL BROUGHT BUYER and SELLER SAVED $12,005 in COMMISSIONS!

24401 Lantern Hill Dr #D

Dana Point 92629

SOLD Price $399,000

SOLD ABOVE LISTING PRICE!  SELLERS SAVED $12,950

22575 Woodglen Cir

Lake Forest 92630

SOLD Price $730,000

 

SOLD!  Sold at FULL Price!

26351 West Grove Circle #53

Lake Forest 92630

SOLD Price $485,000

(Seller was listing agent)

SOLD!  SELLER SAVED $9,850 in COMMISSIONS with OUR LOW SET FEE!

6 Via Loma

Laguna Niguel 92677

Sold Price $560,000

SOLD! SELLER SAVED $8,350 in COMMISSIONS with OUR LOW SET FEE!

51 Coventry Ln

Aliso Viejo 92656

Sold Price $410,000

SOLD! All Cash Sale and SOLD in 3 Days!

151 Gauguin Cr

Aliso Viejo 92656

SOLD Price $620,000

SOLD!  SELLER SAVED $3,555 in COMMISSIONS with our LOW SET FEE!

7 Via Hermosa

RSM, 92688

Sold Price $283,500

SOLD! Seller SAVED $30,250 with Our Low Set Fee!

29401 Via San Sebastian

Laguna Niguel 92677

Buyer and Seller Represented by Help-U-Sell Wright

Sold Price $570,00

SOLD!  Seller SAVED $7,600 with Our Low Set Fee!

 27191 Calle Caballero #C

San Juan Capistrano 92675

Sold Price $485,000

SOLD!  Seller SAVED $3,900 with Our Low Set Fee!

3 Saint Maxime #28

Laguna Niguel 92677

Sold Price $780,000

SOLD in 5 Days, Seller SAVED $9,450 in COMMISSIONS with our LOW SET FEE!!

26216 Sanz #A

Mission Viejo 92691

Sold Price $320,000

SOLD! MULTIPLE OFFERS, 14 DAY ESCROW, CASH  SALE!

SELLER SAVED $24,000 in COMMISSION with our LOW SET FEE!

2 Sagitta Way

Coto de Caza 92679

Offered at $1,200,000

Panoramic View

SOLD!  5 DAYS ON MARKET AND ABOVE LISTING PRICE!

22311 Caminito Mescalero #225

Laguna Hills, 92653

Sold Price $460,000

front-view-of-home-resized

SOLD in 10 DAYS!  SELLER SAVED $10,940 in COMMISSIONS w/ OUR LOW SET FEE!

70 Lobelia

RSM 92688

Sold Price $454,000

SOLD IN 3 DAYS!  SELLER SAVED $44,450 in Commissions w/ our Seller Options and Low Set Fee!

33111 Daniel Dr

Dana Point 92629

Sold Price$890,000

Strands Beach Photo

SOLD IN 10 DAYS w/ FULL PRICE CASH OFFER!

SELLER SAVED $8,697 in COMMISSIONS!

34034 Selva Rd #103

Dana Point 92629

Sold Price $554,900

Front View of Home-webisze

SOLD IN 16 DAYS! SELLER SAVED $10,350 in COMMISSIONS!

25272 Romera Pl

Lake Forest 92630

Sold Price $610,000

Front View of Home Resized

SOLD! SELLERS SAVED $16,790 in COMMISSIONS!

34 Cedar Tree

Irvine, 92612

Sold Price $859,000

Front View of Home Resized

SOLD!  SELLERS SAVED $8,050 in COMMISSIONS!

22802 Avalon St

Lake Forest, 92630

Sold Price $500,000

Front View of Home

SOLD IN 13 DAYS AND ABOVE ASKING PRICE!

Seller SAVED $10,006 with Our Low Set Fees!

2115 Camellia Ln

Fullerton 92833

Sold Price $565,200

Ponderosa front 1SOLD!  Seller SAVED $26,110 with Our Low Set Fees and Seller Options!

21052 Ponderosa

Mission Viejo 92692

Sold Price $551,000

Front View of Home

SOLD in 12 Days!  Seller SAVED $9,400 in Commissions!

43 Avenida Brio

San Clemente 92673

Sold Price $545,000

Front View of HomeSOLD in 7 Days! Seller SAVED $9,120 in Commissions!

2395 Paseo Circulo

Tustin 92782

Sold Price $469,000

Front View of Home SOLD in 10 Days! Seller SAVED $3,300!

2030 E Via Mariposa #C

Laguna Woods, 92637

Sold Price $275,000

Front View of Home

SOLD IN 23 DAYS and $20,000 ABOVE LISTING PRICE!

8691 Tamarack Way

Buena Park, 90620

Sold Price $465,000

SOLD! SELLER SAVED $14,580 in COMMISSIONS!

25082 Linda Vista Dr.

Laguna Hills, 92653

Sold Price $785,000

Front View of Home -Temp

 SOLD IN 3 DAYS!  SELLER SAVED $11,550 in COMMISSIONS!

16 Feldspar Way

RSM, 92688

Sold Price $650,000

Front View of Home

SOLD! Seller Save $6,676 in Commissions!

Help-U-Sell Wright also represented BUYER!

35 Timbre

RSM, 92688

Sold Price $260,000

Front View of HomeSOLD! SELLER SAVED $19,210 in COMMISSIONS!

41 Sprucewood

Aliso Viejo 92656

Sold Price $972,000

Front View of HomeSOLD!! SELLER SAVED $9,850 in COMMISSIONS!

19 El Guiro

Ranch Santa Margarita, 92688

Sold Price $560,000

 

 

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OC Housing Report: A Different Start

January 16, 2019

We have the latest OC Housing Report: A Different Start.  Below is a snap shot of the report.  To view the full report, become one of our Preferred Clients! You will get access to the bi-weekly OC Housing Reports and other Real Estate Information! You can unsubscribe at any time and we keep your email […]

Read the full article →

January Vacation Rental Newsletter

January 10, 2019

Bear Mountain and Snow Summit are now OPEN! It’s beginning to look like winter on the slopes!  So check your calendar to plan your ski, snowboard or tubing vacation! Our January Vacation Rental Newsletter (see below) features our Big Bear and Dana Point properties, but also included are city events for the month to help you plan your […]

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OC Housing Report: The Holiday Chill

December 6, 2018

We have the latest OC Housing Report: The Holiday Chill. Below is a snap shot of the report. To view the full report, become one of our Preferred Clients! You will get access to the bi-weekly OC Housing Reports and other Real Estate Information! You can unsubscribe at any time and we keep your email […]

Read the full article →

December Vacation Rental Newsletter

December 4, 2018

    Grab your ski’s and snow boards because Bear Mountain and Snow Summit are now OPEN! They are making snow now that the temperatures have dropped!  Take a look at their WebCam! There are so many holiday events going on both in Big Bear and Dana Point this month so don’t miss out! Our December Vacation […]

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“How’s the Market?” What’s Ahead for Real Estate

November 27, 2018

While no one can predict the future with certainty, most experts expect to see modest growth in the U.S. housing market for the remainder of this year and next. Inventory will remain tight, mortgage rates will continue to creep up, and affordability will remain a major issue in many parts of the country. So what […]

Read the full article →

OC Housing Report: It’s the Buyer’s Turn

November 20, 2018

Finally good news for BUYERS!!  We have a snapshot of latest OC Housing Report: It’s the Buyers Turn.  For most of the 2018, it has been a seller’s market with sellers receiving multiple offers upon putting up the For Sale sign!  Frustrated buyers had to cut back on their expectations after writing offer after offer with […]

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OC Housing Report: Like a Model Home

November 13, 2018

We have the latest OC Housing Report: Like a Model Home. Below is a snap shot of the report. To view the full report, become one of our Preferred Clients! You will get access to the bi-weekly OC Housing Reports and other Real Estate Information! If you are thinking of selling your home in Spring […]

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November Smart Moves Newsletter

November 8, 2018

As Thanksgiving fast approaches, we thought we share this great November newsletter which features how to prepare your home for Thanksgiving and even a simple recipe! Special Thank you to Sharon Whaley and Sandy Dow (Asst. VP’s) at Fidelity National Home Warranty for providing us with this monthly newsletter! If you are looking for Home […]

Read the full article →