Mortgage Rates Increase Once Again

 





Introduction: Mortgage Rates on the Rise

Yeah, mortgage rates increased once again. And even because of that, home buying demand still held up even through the election and stronger-than-expected economy. Increased rates, home buying demand still holds tight, along with Cupertino home of the week Willow Glen home of the week luxury home of the week, and the 12 Bay Area sales report.

Let's get moving here real quick Yep. Rates increased. 


Economic Impact on Home Buying

If you still need to look last week, I showed you that rates went above 6. They're at like 6.7, 6.75 because the economy is doing well. We need to slow down the process of home buying, which I need help understanding. It's not just home buying. It's also the price of goods, credit. Everything business cashflow and all that other stuff. When it comes down to it, I just got a new credit card, like 21%, which is ridiculous, but it is what it is. I use it to buy and pay it off every month. So it doesn't really affect me, but it's ridiculous because the economy is out of control right now, no matter how you look at it.

This is because demand is still there. Rates are increasing because demand is still high. Crazy to think about it. Affordability, right? Why? They've been talking about this for a very long time. 


Inventory and Housing Market Dynamics

Uncertainty, Stronger-Than-Expected Economy Push-Up Rates

There's not enough inventory all across, right? There are certain areas like Fort Myers, Cape Coral, and Jacksonville, where their prices are shrinking. Because of condominiums and insurance, that's a place where people go because they have their second homes or their snowbirds or what have you. They're like, screw it. I'm not going to pay that kind of money for insurance. I'm just going to get rid of my house. And everybody's saying that's why there's a glut of inventory there.

There's not enough inventory all the way around. The number one reason is that we're not building enough homes, right? I don't care who you listen to. I don't care what side of the aisle you vote on. There are not enough homes for the large population that we have, so I don't buy it. There's not enough inventory. We're not building enough houses. 


Institutional Investors and Housing Supply


On top of that, we have institutional investors BlackRock Vanguard, and all these other big, huge companies buying up thousands of homes. I heard somewhere BlackRock owns 300, 000 homes across the United States. That means they don't care if you're a renter or buyer. I get it. BlackRock must provide profit for its stakeholders and stockholders. And until something changes BlackRock, Vanguard, Zillow and all these other companies are going to buy up your potential home and try to force you to become a renter.

That's just part of life. This means that for those of us who still want to own a house, CR house prices increasing because there's not enough supply to match demand. So what do they do? They try to slow down the demand by increasing prices. So right now it's six and a half. It's really 6. 75. You can buy it down all the way to five and a half, but it's not going to help anybody. And here's this report right here, which came in last week, Thursday says that pending homes still remain fairly strong for the amount of inventory that's out there. 


Regional Market Variations


Of course, there are still those little areas that are in a glut of inventory because they're in a bad place, right? Nowhere in the United States do we have a perfect economy, We have micro-economies and if you're in St. Louis or wherever it doesn't matter, Those are great places for you to buy a house if you want to buy and live there. And yes, there's election uncertainty. 


Election Impact on Housing Market

Homebuying Demand Holds Up Even As Election

I call it more like election hesitancy because we're seeing houses stay on the market a little bit longer. All the houses I'm looking at right now. They're sitting on the market. And you're going to see that houses are starting to slow down. That's because we're going into the winter months, it's election time, et cetera. It doesn't bring down the value of the house. 


Current Mortgage Rates and Home Prices

Mortgage Rates Increase Once Again

High mortgage rates have pushed monthly housing payments near the highest level since July. Daily average 30-year mortgage, 6.44, 6.5, and median sales price has gone down quite considerably across the United States, but our median price is still around 2 million. We're at 2. 3 million on average, but it's just under, 1. 9 for the median. In Santa Clara County. Demand is still there. So what do you do? You increase prices to slow down that part of the economy. If you're thinking about selling a house, get this home inspection checklist. Enough said. 

Home Inspection CHECKLIST HERE https://abitanogroup.com/homeinspectionchecklist

Cupertino House of the Week

Cupertino Home of the Week

Cupertino House of the Week, Linda Vista Drive. This is right by where I used to live when I was in high school. This is Monta Vista, John F. Kennedy, De Anza right here. De Anza is here somewhere. That's De Anza right there. This is over by Linda Vista Park. Trails that I used to hike around when I was a kid. This is a nice standard ranch. Not my listing. 3.4 million dollars for a bedroom, two bath, 2, 100 square feet, built in 1965. 


Inside a Modest Ranch Home


Let's take a look inside. I've not looked inside these today, so it looks like everything has been updated modestly. No major upgrades. Like they painted the old counters, put some of those original, not original, but updated tile. It looks like maybe, nope, that's the original tile. So that kitchen's original is just painted the same as the bathrooms, maybe a new toilet. So nothing super fantastic. 3.75 million Mona Vista High School. That's ranging on being dangerous. I went to John F. Kennedy. I went to Monta Vista. So nice.


Willow Glenn House of the Week

Willow Glen Home of the Week

This is Willa Glenn's house of the week. And I love it when agents use the inside of the house as their first picture. This is not my listing. 1212 Curtis, five-bedroom, four and a half bath, 4, 100 square feet built brand spanking new. They bought an old piece of property tore it down and put a little McMansion on it. And it's really pretty looking. Wow. That is amazing. All for the low price of 3. 5 million. If you're interested in looking at any of these, please let me know. 


Luxury Home Tour in Pebble Beach

Luxury Home of the Week


The luxury home of the week is in Pebble Beach. Eight bedrooms, nine and two half baths, 10, 000 square feet built in 1925. This beautiful house is in the 17-mile drive area of Monterey Bay, Carmel is down here Let's take a look inside. Gated inside of a gated community. I love that. How much is this? It's 29 million dollars. If you're interested in this, let me know. We'll get you into this house today. This thing is beautiful. This tells people that you've arrived. Look how old-world rustic. This is beautiful. Look at the view. That's almost like a picture. Like a painting

That's a great picture. You got the bokeh effect there. Nice. If you're interested, let me know if you're thinking about buying a house, download this checklist. It lets you walk through five, or six houses at a time and mark down the differences or upgrades of each house so that when you go back at the end of the day, you and your spouse can look at what you like and don't like what you need to upgrade if you want to upgrade that kind of thing.

Download that checklist. The links are in the description below and in the blog. 

FREE HOME BUYER CHECKLIST HERE https://abitanogroup.com/Homebuyerchecklist

Bay Area Sales Report

All right, 12 Bay Area sales report. We had 161 sales this last week. These are all single-family homes. We're at 6, 800 transactions, still far and above more than any other, county. However, Alameda County is coming up pretty quick, but Alameda on average is a better buy because of the price. It's almost, 900, 000 difference. Santa Clara actually went up in value 174 on average last week. So we're holding our own, right? And 6 percent over list price on average versus 10 percent in San Francisco. Alameda is 7 percent and Napa is rock bottom. It's 96 cents on the dollar. So there you go. 66 days on the market.

If you're looking for a great buy, that's where you want to go. If you're looking for a low-cost house, in Solana County or San Benito County. That's where you want to go. All right. I'm Vito with Abitano. Thanks for watching. We'll see you 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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