The Vacant Land Property Scam: Know the Red Flags | NAR LAWSUIT | What you get for $1MM in SILICON VALLEY

 

 


The Vacant Land Property Scam: Know the Red Flags | NAR LAWSUIT | What you get for $1MM in SILICON VALLEY

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Decoding the NAR Lawsuit: Impact on Consumers
 What does the NAR lawsuit really mean to you as a consumer? We'll be talking about that as well as there's a new scam that you have to be aware of and what you get for a million dollars in Santa Clara County. Look at the economic and housing development program from the feds and the 12, Months of inventory look, all right, let's get moving into this and make this thing.

So it's bigger I actually have to go to a meeting real quick. So I'm gonna make this as quick and painless as possible What does this NAR lawsuit really mean to you as a consumer for the seller? It's actually a boon, but nothing really changes for the buyer You might get screwed into having to pay a little bit more in closing costs because the seller is less reluctant nowadays To pay you or help give any concessions.

Now, what really is going to happen? We don't know. This is all supposition. You look at all of these news reports, you go on tick talk or Facebook or wherever, and you're going to see a lot of people talking about this. And it feels like this is what was going to happen. And the world's going to, and then even here like a box is saying that the housing market's going to crash.

How is that one thing going to crash the market? The demand is still there. I just, there's a lot of salacious baloney that's being floated out there. So my intention for you is don't listen to it until we actually get a ruling from the judge, which is in July. We're not going to know exactly what's happening.

We're getting a lot of guidelines as to how we're supposed to be doing business now how we are going to cross our T's and dot our I's and how we have to discuss this with both sides. Yeah. Okay. But we really don't know. This is like an ebb and flow. Of what's going on and they have asked to settle with the plaintiffs and it's presented to the judge and we won't know anything until July.


So all this crap that you see here, I don't know. I don't think it's going to stop anything. I don't think that we're going to have all of a sudden a flood of inventory and prices are going to get slashed. I don't think so. It's still going to have to happen. If you're going to have a buyer's agent, you have to be represented or you want to be represented by a buyer's agent.

You're going to have to pay them one way or the other. Nothing's going to change. Does the seller have to pay? No, the seller never had to pay. So really it doesn't matter. There's a, there, it's just, I think it's actually good about what's going on because it's going to tighten up how we do business and it's going to screw over a lot of the lead aggregator companies like Zillow, and Trulia and Redfin and all these other companies because that's how they built their business on.

They take a huge chunk of the commission from the buyer's agent to help them sell houses. And I just never believed in that model anyway. So goodbye. What's going to happen here? We don't know. The truth is we don't know. 

Beware of the Latest Real Estate Scams

Rant over vacant property, vacant lands, property scam. Know the red flags.
I'm not going to go into this a whole lot because it's tricky. If you own land, be aware that people are scamming things out. It's like the Airbnb scam where they come in and they rent an Airbnb unit, whether it's a house or a condo for a month, and then they put it on the market for sale, and then they collect a lot of deposits and contracts and everything in the cash out.

And five, 10, 000 times 10, that's a lot of money making, make that kind of money, scamming 10, 15, 20 people out of a deposit money. And that's gone, right? The seller is not the owner of Airbnb and is not entitled. It's the same thing happening here. They pose as the owner of this property and they try to find somebody willing to buy it.

And then they either take the deposit and run. Or they sell it and then they get a whole lot more money and it's fraudulent. We talked about this a little bit earlier, a few months ago with Suzanne from Cornerstone, and we talked about how this is happening to older people where there's title fraud that's happening.

There's a reason why we're around. Because we get educated on what is happening and how to protect people from all these different types of scams, but also how to negotiate for you and how to walk you through the entire process. 

What $1 Million Buys You in Santa Clara County

What you get for a million dollars. This is right down here.

95123. It show you on the map where it is really quick. This is Blossom Valley in 85. Oak Grove High School is right here and this is Marshall Cottle and this is the Banana Groves or the Groves, right? So it's right here, nice little Inside corner lot, and get rid of this here. There we go. Four bedrooms, two baths, 300, 1, 399 square feet on a smaller acre of land.

It's usually 1. 8 is what we're looking for an average of 46 years old days on the market. Seven list price is a million dollars. What you get for a million dollars in San Jose. Santa Clara County.

I know somebody that has the same floor plan. It's a good floor plan. The garage is right there. That's a refrigerator. You can, this is actually a sliding glass door. You can't see that right now. Yeah. See,

this is a good standard unit. Meant, maintained, has pretty much everything. The appliances, et cetera. But that's what you get for a million dollars these days.

So what happens when you live in Santa Clara County? Cost more to live here on every level, but that's a standard. Good looking standard house. Okay. 

Economic Insights: Housing and Insurance Costs
Why don't I go into this a little bit right here? This is from Freddie Mac's economic housing and mortgage outlook. It just came out yesterday. And they talk about how jobs are, but it also goes into a little bit of cost of living.
So it really dives down into insurance and your insurance is important. And you hear a lot of this, right? For example, it costs 5, almost 6 per thousand. For your insurance premium in Florida, it's 2 and 30 cents per thousand in California, which is not the lowest, but it's pretty low. If you look at the threshold, the ones in dark states are more expensive.
Texas is six, Oklahoma is 10, and Tennessee is 4. 5 per thousand. So there you go. Another thing to look at is the cost burden, right? So talking about California being a great place to live, yes, it's more expensive, but when you look at the overall insurance burden or the cost by state, California, it doesn't take a big, huge chunk.

Still one, it's not the lowest, but it's not the highest like Louisiana. And Mississippi and Florida, which is why those states are having problems. We're having problems with drought and forest fires and sometimes earthquakes. But there you go. So the idea behind insurance is that it's a necessary evil.

You need it. I just totaled a car. I didn't my daughter just totaled a car. So glad we have it. They're going to give us some money to either salvage it, take it away from us, or they're going to give us a little bit less money, but that's what insurance is for and think, the universe that, that nobody was hurt, she rear-ended somebody and that person rear-ended somebody.

So it was a triple-car collision. Everybody's fine. Everybody's safe. So anyway, just something to look at. Okay. 

Analyzing the Current Real Estate Market Trends

Inventory And Supply Charts

Months of inventory looks like it's all going down if you look at these numbers right here Let me see if I can break this open so it's bigger.

You can look at the numbers here, right? I'm just adding in this week just to show you that this number is going to go up and down Last week we spiked up quite a bit But that's normal, right? This, these numbers are going to go up and down here. They're going to wag, but you're going to see that they have a straight line over time.

It's the same thing with the cities, Los Altos Hills is the outlier. So if you just imagine, if you look at inventory, or this is months of inventory if we stop putting new listings on the market today, it would take. San Jose, 1. 1 month to sell everything out versus Los Altos Hills, which is 4. 7 because they're a whole lot more expensive, right?

Same thing with Mountain View, Milpitas, and Montessori. So, the reason why I show you this isn't because I love numbers.  Everybody loves numbers. The reason why I show this to you is that you need to be informed in case something spikes up. Ducks down and this, these are just baselines. So nothing really exciting other than this is where we are today.

Hope this is helpful. 

Closing Thoughts and Farewell

I'm Vito with Abitano. We'll see out there.

Vito Scarnecchia Real Estate Broker, Veteran, Dad DRE#: 01407676 408-705-6817 Vito@abitano.com Website: abitano.com https://www.onereal.com/vito-scarnecchia-1 update your home value: https://hmbt.co/bT7qRJ RELOCATION@ABITANO.COM FREE DESKTOP APPRAISAL https://www.propertyrate.com/agent/vitoscarnecchia If you are moving ANYWHERE in the world - Let me know! I know a LOT of AMAZING Agents! Book appointments here: https://calendly.com/abitano/15min Home Buyers Course YT YouTube.com/SanJoseLiving IG https://www.instagram.com/abitanogroup/ FB https://www.facebook.com/vito.scarnecchia/ LI https://www.linkedin.com/in/vito-scarnecchia/ Blog http://blog.abitano.com/ POD https://spotifyanchor-web.app.link/e/oxdH1Hwfcvb Professional Photography by Kim E https://photosbykime.com / Local Real Estate Market and Home Value Report https://hmbt.co/bT7qRJ Financial Intelligence https://docs.google.com/forms/d/e/1FAIpQLSc0R5pjHIAPguZ5GDEB-fTbGJXKpWK3coK9Khymv_GTWkMnyQ/viewform?usp=send_form https://www.onereal.com/vito-scarnecchia-1 Willow Glen's five most expensive homes https://youtu.be/3A_E2ck0ePg





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