Archive for June 2011 | Monthly archive page

It’s all happening in the city, eventually

By Tara Tran • Jun 23rd, 2011

California’s big cities are projected to lead the way in the state’s job recovery and the Bay Area is forecasted to be the starting point for the state’s employment resurgence. The Silicon Valley boom is no small part of that push.

However, a bifurcated recovery is expected throughout California. In contrast to the state’s inland and central valleys where the local economy depends more on residential construction and commuting, the Bay Area and other like-minded California coastal hubs are likely to experience more job growth on account of their diversified and technology-driven industries.

Although a job upturn will be slow, economists of the UCLA Anderson Forecast predict employment in California will grow 1.7% in 2011, 2.4% in 2012 and 3.1% in 2013.

The UCLA Anderson Forecast of employment does not parallel first tuesday’s forecast for the next several years. We believe 2011 will be very weak in job growth through the beginning of 2012. Parts of the nation are getting up to speed, but we are not ready to take off just yet. Much corrective action is needed before we can settle down for any long pleasant recovery. [For a forecast of employment in California and the implications it has for the housing market, see the Market Chart, Jobs Move Real Estate.]

The Anderson percentage predictions calculate an addition of 239,328 jobs in 2011. This would bring California’s total employment to 14,317,427 by end of 2011. California presently (as of May 31, 2011) has 14,071,600 paying jobs and we do not see anywhere near an additional 250,000 jobs coming in by the end of 2011 as would be needed to meet the Anderson forecast. But we will see – it would definitely be nice for rental properties.

Anderson forecasts California will have 14,661,045 jobs by end of 2012 and 15,115,538 by end of 2013. One half year more of that kind of job growth and by mid-2014 we will have recovered all the jobs lost since the December 2007 peak of 15,348,200 jobs. first tuesday senses the full recovery in jobs will not come for another two years, in 2016. December 2011 numbers will enlighten all of us as we simply do not now know what consumer confidence numbers will show after a year of this most sluggish recovery.

The Anderson numbers seem high to us, but this volume of job creation in California is not out of the question. February, March and April of 2011 each saw an increase of at least 36,000 jobs. Only at that pace would we would easily attain the Anderson numbers.

California employment trends also forecast changes for demographics since wherever these jobs do appear, people will follow. This job forecast for coastal communities holds weight, especially since California’s job-hungry and mobile-minded Generation Y (Gen-Y) continues to express its preference to live in more  intimate, low-maintenance housing closer to their work – essentially a life in the city. It’s only a plus for them as the city is just the place where the more technical jobs they want will be. [For more information on the coming role of Gen-Y in California real estate, see the October 2010 article, The demographics forging California’s real estate market:  a study of forthcoming trends and opportunities – Part I.]

With employment scarce and the demand for work frantic, expect California’s demographics – led by Gen-Y – to shift significantly from its post-1980 suburban sprawl. Also a word to agents, brokers and investors: anticipate the demand for rentals and multi-family housing condo sales to go up – in the city, that is.

Source: firsttuesdayjournal.com

Copyright © 2011 by first tuesday Realty Publications, Inc. Readers are encouraged to reprint or distribute this information with credit given to the first tuesday Journal Online — P.O. Box 20069, Riverside, CA 92516.

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224 Cabrillo


Represented Buyer
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Professional Staging

Regardless of current market conditions, it has been shown time and time again that a well-prepared home will sell for a higher market price and in less time than unprepared properties. One study found that staged homes usually sold in half the time and, on average, for almost 5% more than unstaged properties.

Your home has just one chance to make a great first impression with each potential buyer!

PROFESSIONAL STAGING BROCHURE

Price it Right

Statistics show that the sooner a property sells after going on the market, the higher the sale price. As illustrated in the chart below, the majority of homes with offers accepted within the first 30 days of going on the market are selling above asking price. Conversely, those homes on the market more than 100 days sold for an average of 88% of the original list price.

  • Price it right to begin with.
  • Prepare the home to show in its best possible light.
  • Implement the most comprehensive marketing plan possible.
  • Hire an agent who knows how to negotiate effectively on your behalf.

VIEW CHART — “Price It Right”

What you can and can’t control…

What You Can’t Control

  • The past (what you paid for your home at purchase)
  • The size, location and general amenities of your home
  • General economic circumstances
  • Local market conditions

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The Paragon Internet Marketing Plan

Fact: 80% of home buyers in the United States now begin their search on the Internet.

Fact: 25% buy a home they first see on the Internet.

Fact: Consumers are now more than 1000% more likely to find the home they purchase on the Internet than in a newspaper or magazine.

All Paragon listings feature photography by a professional real estate photographer. The Paragon slideshow allows buyers to walk through the home from anywhere in the world.
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The Marketing Timeline

“The key to selling your house for top dollar—even in a dismal market—is simple: Implement a broad-based advertising campaign to generate spirited buyer competition for your property.”
– House Selling for Dummies
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The Listing Presentation Agenda

  • Our first goal is to discuss your priorities, preferences, requirements and timeline for selling your home. I understand how personal selling a home is and I want you to be clear in outlining how I can be of most help and service to you.
  • How am I a good fit for you? We will discuss my qualifications as an agent, and what resources I have available to me to achieve your goals.
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The Dangers of Overpricing

“One crucial aspect of selling a house is correctly establishing its initial asking price. If a seller prices a house near its fair market value, the house usually sells quickly for top dollar. If, on the other hand, a seller grossly overprices a property, it tends to linger on the market…Ironically, instead of getting more money… [Over-pricing] usually stigmatizes a property and reduces the eventual sale price to less than it would have been with more realistic pricing.”
– House Selling for Dummies
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An Agent’s Fiduciary Responsibility

For most, the home is one our biggest financial assets. Its sale is typically one of the largest, most complicated and most emotional financial transactions to undertake. As an agent, I take that responsibility very seriously.
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