San Fernando Valley Real Estate Podcast with Scott Himelstein

Have you considered an umbrella policy as a homeowner? I'm joined by an expert to help me explain what you get with this type of coverage. Looking to buy a home? Get a Full Home Search   Looking to sell your home?  Free Home Price Evaluation Umbrella policies are extremely important if you own a home or rental property. To help me explain why, I'm joined today by Zachary Schneiderman of Schneiderman Insurance Agency. An umbrella policy adds liability coverage on top of underlying policies. So if you have auto and homeowners insurance, they each have their standard liability limits. The umbrella policy requires a certain minimum amount of liability underlying it. It usually adds on in $1 million increments over your home and auto. It's about $300 a year for two cars and a home, which isn't that much money to spend for a lot of liability coverage.  If you have an auto accident or an accident at home, that liability you carry isn't always enough when you think about the catastrophes that can happen. Any sort of accident in your home can bring liability against you as the homeowner. An example would be someone getting hurt on the diving board if you have a pool. That's why you want to be sure you have enough protection to hopefully settle the matter with the other party.An umbrella policy adds liability coverage on top of underlying policies. Another reason an umbrella policy is so important is for things like getting sued after an auto accident.  If you don't have enough insurance and someone is severely injured in an accident, the medical costs and pain and suffering costs awarded by the court can be well above the $250,000 you have as your limit of your auto policy. An umbrella policy provides you that extra money for a very cheap price and gives you the ability to have an insurance company step in and defend you and settle the matter so that nobody comes after your assets. If you don't have enough money on your auto policy in this example, they're going to go somewhere else to find  the rest or if. If you're a landlord and have rental property, the umbrella policy is really a no-brainer. Anything you own as a personal liability policy—home, auto, motorcycle, boat, jet skis, etc.—you can have under your umbrella policy. You can have a rental property under it as long as it's four units or fewer. It becomes a little bit more expensive for every unit you add on, but you add that liability with one policy over all of those other elements you own and give yourself a lot more protection. Remember, when you're in those positions, you likely have more assets.  It's not a lot of money to add that liability. It's a simple solution to giving you peace of mind no matter what instance comes up. As Zachary says, they don't know what claims will be brought against you, they just know that there's always the potential.  If you have any questions about these policies, you can reach Zachary at (818) 322-4744 or visit his website. As always, if you have any real estate questions, don't hesitate to give me a call or send me an email. I'm always happy to help!

Today I’m bringing you the latest market update for the San Fernando Valley and Porter Ranch. Looking to buy a home? Get a Full Home Search   Looking to sell your home?  Free Home Price Evaluation What’s going on in our local real estate market? Last time, we let you know that inventory was incredibly low. It has gone up a bit in the spring buying and selling season, but it is still very low.  At the end of March, there were only 2,100 homes for sale in the entire San Fernando Valley. In Porter Ranch at the end of March, there were only 45 homes for sale out of 11,409 single-family homes in the area. That number actually went up above 60 at the beginning of April, but due to the number of buyers looking for homes, that number has already reduced into the low 50s. I expect that trend to continue and repeat itself over the course of the next few months because buyers are anxious to take advantage of current interest rates.  The number of homes currently under contract in the 91326 zip code is 55. The number of homes that have actually closed in the 91326 since the beginning of 2017 is 94. The amount of homes that have actually closed throughout the San Fernando Valley is down significantly from last year to this year, which again has a lot to do with the lack of inventory we’re currently seeing. If you’re not priced correctly, don’t be surprised if you end up sitting on the market for awhile. If homes are priced correctly, we are still seeing multiple offers across the board. Buyers are being picky and cautious so if you’re not priced correctly, don’t be surprised if you end up sitting on the market for awhile.  If you have any questions about the market or real estate in general, feel free to give us a call or send us an email. We would love to hear from you!

Even though interest rates have shot up considerably since December, we are still in a strong seller’s market. Homes in the San Fernando Valley and Porter Ranch are selling quickly and we expect this trend to continue for the foreseeable future.  Looking to buy a home? Get a Full Home Search   Looking to sell your home?  Free Home Price Evaluation One question that we’ve been getting bombarded with on pretty much a daily basis is, “Why are we still in a seller’s market if the rates have gone up dramatically since December?”  There are several reasons why the San Fernando Valley and Porter Ranch areas are still in a seller’s market. A few of them stand out in particular. First, we have extremely low inventory. Right now, we have just 1.5 to 1.7 months of available inventory in most neighborhoods in the San Fernando Valley. In Porter Ranch, there are just about 60 properties for sale out of the 11,409 single-family units that are in the area. For comparison, there were over 300 properties for sale during the foreclosure crisis in 2008. Secondly, you are seeing a situation where homeowners are moving up but not selling. They were able to secure such a low rate when they bought the property originally that it makes sense for them to keep it, rent it out, and qualify for a new home. As a result, there is less inventory coming on the market.The lack of new construction at entry-level price points is disappointing. There isn’t a lot of new construction taking place right now, either. Part of it is because of zoning laws, part of it is because there isn’t any more space to build out in the San Fernando Valley. The homes that are being built don’t cater to the largest pool of buyers in the entry-level market. This includes buyers who are coming back into the market after a past foreclosure and buyers who are coming from other areas in the market like Pasadena, Burbank, and Glendale. The latter group is getting a lot more bang for their buck in areas like Porter Ranch and Granada Hills. Don’t anticipate anything changing in the near future. We should be in a strong seller’s market for a while now. Despite the fact that rates have gone up a bit, we are still seeing more and more buyers come to the market in order to lock in rates before they go up even more. If you have any questions for us, don’t hesitate to give us a call or send us an email. I would love to hear from you.

Buying a fixer upper can be a stressful task, but there are certain tips you can follow to make sure the process goes smoothly. Looking to buy a home? Get a Full Home Search   Looking to sell your home?  Free Home Price Evaluation We’ve all seen those shows on HGTV where a lovable team of construction-savvy husbands and wives, fathers and sons, or siblings and business partners buy a rundown house and in 30 minutes of TV time turn it into a masterpiece and create tens of thousands of dollars of instant equity.  While that scenario is certainly possible, these shows gloss over some of the most stressful parts of actually buying a fixer upper. Lots of people overlook the expenses that are involved and the expertise needed to handle so many different facets of the process. In the end, though, the allure of a fixer upper can be irresistible. If you budget your renovations right, you can get a steal of a deal on a rundown house and customize it in any way you desire. Do your homework before embarking on a fixer upper. Here are some tips to be mindful of if you’re going down the fixer upper path so you can be prepared for what’s ahead:Get a home inspection. This will help you find out what you’re in for behind the scenes, such as the plumbing system, electrical framework, and the HVAC units. You may have been able to turn on the water and flip on the lights when you made the offer, but the electrical system could be a recall, or the HVAC might be on its last leg. Older homes might not be up to code with electrical systems and could have dangerous materials in them. If you don’t know about these things up front and deal with them, it can come back to bite you. Bring in an architect and/or contractor. Many buyers of fixer uppers want to make big structural changes, and an architect or contractor can help you with this kind of thing. They can estimate the cost involved and help with design elements. Do your research when hiring contractors—the cheapest is rarely the best option. A good contractor can give you an honest estimate for your projects and help you stay on schedule.Check the zoning. This isn’t the most fun process, and you rarely see it on TV, but zoning can go a long way in determining what is and what isn’t permitted to do on a property. Zoning laws vary from city to city, but you can do a lot of research about it online. Look into some tax incentives. Depending on the area you live in, you might be eligible for a tax abatement or a tax credit for improving a property’s value. A fixer upper can be a long and stressful project, but if you have the patience to research what you need to research, you can find yourself in your own custom dream home with a good amount of free instant equity.  If you’re considering buying a fixer upper or have any other questions, don’t hesitate give us a call. We’d be happy to help you.

Are you thinking about buying or listing an Airbnb property? There are a few questions you should ask yourself first. Looking to buy a home? Get a Full Home Search   Looking to sell your home?  Free Home Price Evaluation You’ve probably heard of the property website Airbnb before. You may have even stayed in an Airbnb property before. My own family has stayed in Airbnb properties all over the world. It’s a great way for homeowners and investors to make a little bit of extra money, and more buyers are purchasing properties lately to use for this sole purpose. If you’re thinking of listing your current home on Airbnb or buying a rental property to use as a rental property for Airbnb, there are a few questions you should ask yourself to know if you’re making the right choice. First, have you picked a good location? As the first rule of real estate goes: location, location, location. In order to be a successful investment, demand for lodging has to exist in your specified area. It wouldn’t make sense to have an Airbnb property in a place that has very little tourism. Your property should be close to attractions and transportation. A good view helps, as well. For your Airbnb to be a successful investment, it has to be in the right area. Second, how much time and energy are you willing to invest? Airbnb properties don’t rent themselves. You’re expected to provide a clean space, and guests will expect certain things like clean towels, tourist information, and a way to reach you in case they have any problems. Hosting can be difficult and time consuming. You can hire a service to remove some of that burden, but that doesn’t come cheap.  Third, are you hosting Airbnb by the book? In places like New York and San Diego, they’re cracking down on properties because they’re greatly affecting the hospitality industry. Laws and regulations are always changing, so you need to make sure you’re following all of the rules and paying all necessary taxes in your area.  Renting out your place on Airbnb may not be a full-time business endeavor, but make no mistake—it requires effort and attention to detail. Consider that before buying or renting a property on Airbnb.  If you have any questions about Airbnb properties or want to take a look at some Airbnb properties on the market, feel free to give us a call or shoot us an email. We look forward to helping you.

How is the market doing in the San Fernando Valley area? I’ve got the recent numbers in my latest video. Looking to buy a home? Get a Full Home Search   Looking to sell your home?  Free Home Price Evaluation How does the summer market look in our area? Before we launch into the update, I wanted to let you know that we have a couple of links for a list of all the local fireworks shows happening on July 4th.  Inventory has increased since April. That’s fairly typical of this time of year, where we see an uptick in inventory as the spring season moves into summer. The properties are still selling, but the inventory numbers have definitely increased.  In the end of April, we had about 2,200 homes for sale in the entire San Fernando Valley, and now we’re looking at almost 2,700 properties that have been listed. In Porter Ranch, there were 65 properties for sale in April, and now you’re looking at closer to 90 properties.With these numbers, the inventory is still quite low. With these numbers, the inventory is still quite low. Obviously there is more to choose from for buyers than there was a few months ago, but that inventory is still quite tight. Furthermore, even though we’re seeing more properties come onto the market, it doesn’t make much of a difference in inventory because demand is so high.  You can really see that reflected in the amount of closed escrows, which is up 30% from this time last year. In May of this year, we saw over 1,700 closed escrows in the San Fernando Valley, which is up from 1,300 in May 2016.  The other big news is that the Fed raised the interest rate again, but the rates really haven’t been that affected. We’re actually hovering around 4.5%, and buyers are currently qualifying with rates between 3.75% and 4% interest.  Right now the market is still very strong and properties are selling if they’re priced correctly. If you have any questions or you’re looking to buy or sell a home, please give me a call. I’d be happy to help you!

Today I wanted to talk to you about this great new website that the Valley Relics Museum has set up for residents of the Valley.

Are you thinking about buying or listing an Airbnb property? There are a few questions you should ask yourself first.

Buying a fixer upper can be a stressful task, but there are certain tips you can follow to make sure the process goes smoothly.

Even though interest rates have shot up considerably since December, we are still in a strong seller’s market. Homes in the San Fernando Valley and Porter Ranch are selling quickly and we expect this trend to continue for the foreseeable future.