Real Estate from L.A. To Palm Springs

We sell homes from L.A. to Palm Springs and we're based out of Pomona, CA. As a real estate agent Jose Perez and Associates offers insights and updates into the housing market in Pomona, Chino, Chino Hills, Ontario, Eastvale, Norco, Corona, Riverside, Whittier, Downey, Covina, and West Covina.

March 31, 2020

iBuyers Suspend Programs

Are you familiar with what an iBuyer is?

Zillow Suspends ibuyer program

 

These are buyers that are making instant cash offers, thus the “i” in iBuyer, with flexible terms, usually at a heavily discounted price. Some of the biggest known iBuyers just pulled out from buying real estate last week.

Zillow, Redfin, Opendoor And Realogy Suspend iBuyer Programs As Coronavirus Weakens Housing Market.

This makes for very interesting food for thought. Zillow is a billion dollar company that has gathered great data throughout the years. Why do you think they’ve pulled out? What do they know? If you had that information, would you sell now rather than later?

The following was a great read by Brenda Richardson from Forbes regarding the impact a seller had.

The ripple effect of the iBuying tumult is upsetting people like Jeramiah Dooley, who is trying to sell his two-story townhome in Charlotte, North Carolina. After receiving bids from Zillow, Offerpad and Opendoor, Dooley told Forbes that Zillow made the highest offer on the home, and he signed a contract on January 13. 

“They gave me up to 90 days to close, which was perfect because I am scheduled to actually move on the 30th of this month,” Dooley said. “Then the day before yesterday, I got the same email that looks like everyone else has gotten, basically blaming the latest public health orders issued for a wholesale cancellation of every house that Zillow had under contract to buy.”

Dooley said he was given 48 hours to choose between two options from Zillow: “I could take a check for $5,000. That’s $1,000 in earnest money that they were contractually obligated to pay me for breaking the contract and $4,000 extra for the trouble. Or they would pay for a Realtor to relist the house. They were just going to cancel the contract and walk away.” 

Faced with that dilemma, the father of two said, “I chose the money. I didn’t have any choice. And the $5,000 doesn’t come close to the cost of what I put into getting the house ready to sell as well as what it’s going to cost me now that I have an additional mortgage payment that I have to take care of until I can find someone to buy the townhome.”

He noted, “I understand the financial part of it. I understand that Zillow feels like there is going to be a downturn in the market, and they need to get out from under these contracts now. Even if they have to pay some money to get out, the chances are the houses will be available on the market for less money in the next few months. I understand that. It stinks for me personally, but I understand how the math works.” 

Dooley said he could fully grasp if Zillow had said it would halt any offers that were in the negotiating stage. “But this was a contract that had been in place for almost exactly three months, and then we were less than 10 business days from closing. And we would have never had to have been in the same room,” he pointed out. “The contracts were done. The lawyers could have sent the papers back and forth.”

He said, “What has offended me the most, what I think has insulted me the most is that every step along the way, they have blamed these health orders. They have blamed this on decisions being made by health-care officials. They have blamed this on wanting to protect their employees and customers. They’ve very much latched onto this is a COVID-19 problem to the point where when they sent me the termination agreement, the agreement is called the coronavirus termination agreement, which is insulting. It’s taking this epidemic and using it as air cover for making a financial decision that just ends up screwing every customer that they are trying to do business with.”

Dooley added, “We absolutely could have closed on this house without ever having to break any sort of guidelines around social distancing. And so for Zillow to blame what’s going on from a health-care standpoint for their financial decision to break this contract and put that burden back on me and their customers is really insulting.”

 

References:

 https://www.inman.com/2020/03/23/zillow-suspends-homebuying-in-all-24-zillow-offers-markets/?utm_source=inbriefselect&utm_medium=email&utm_campaign=inbrief&utm_content=784285_textlink_1_20200323

https://www.forbes.com/sites/brendarichardson/2020/03/28/zillow-redfin-opendoor-and-realogy-suspend-ibuyer-programs-as-coronavirus-weakens-housing-market/#5c071c4f5856

Posted in General, Sellers Tips
March 27, 2020

Stimulus Package 2020

 

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Posted in General, Market Updates
Dec. 27, 2019

JP Brings Santa 2019

 

JP Brings Santa Recap

 

Every year we like to say thank you to our past clients and future clients. We create a fun event for the whole family with food, raffles, cookie decorating and we even bring Santa Claus so you can create a great family photo for free! Here is a recap of our 2019 event. We look forward to making each year bigger and better.

Posted in General, Holidays
Dec. 9, 2019

Sellers Guide Winter 2020

Dec. 9, 2019

Buyers Guide Winter 2020

Nov. 20, 2019

November 2019 Market Update

 

It's a great day at Jose Perez and Associates. My name is Jose Perez. I'm here to give you an update for the month of November. So there's three topics that I want to talk to you guys about. Number one, if you are looking to buy or sell and you're thinking about holding off until next year, please stay tuned to what I have to say today. Number two, I'd like to give you guys access to the new buyer and seller guides and number three guys, business plan. Are you working on your business plan?

Are you waiting until 2020?

Number one, are you're thinking about waiting until 2020 to buy or sell?  Remember in economics class your senior year, they talked about supply and demand, well bring that thought back to now. So what happens is at the end of the year, most people, start holding off. They get in holiday mode, both buyers, sellers, and even some real estate agents, and they hold off until next year. Here's what happens if you're a seller, and there's less properties on the market, and there's still a high demand of buyers. What happens to your property? It looks more attractive. If you wait until January and you put it on the market, then there's more sellers that are thinking like you. And guess what happens? Now you have more competition because there's more houses on the market. So if you're a seller and you're thinking about selling, give us a call. We will be glad to analyze your particular property to see if it would make sense for you to sell now or wait until January. If you're thinking about buying. Same concept guys. There is going to be more serious sellers right now during the holiday season. There's also less buyers. Come January, you know, new year new me, everybody's new year's resolution to buy a house. You're going to have more competition out there. So if you're thinking about buying, consider that you have less competition during the holidays. Keep that in mind and again, if you're looking to get a strategy session as to when is the best time to buy or sell, give us a call for a personalized consultation. 

Winter Buyer and Seller Guides coming soon!

Number two guys I want to give you guys access to our new buyer and seller guys, we are going to be rolling those out on December 5th so please click on our website and check those out. The winter additions are coming out. 

Need help with your Business Plan?

Lastly guys, I am working on my business plan for 2020 and I'd like to get your help. This December is gonna be 20 years that I've been in the industry. I'm 40 years old, that's half my life, and more and more every year I've depended on my clients, my friends, to refer me business. What I realize is I want to help my friends and my clients accomplish their goals. So if you're working on your business plan and there's something that I can do to help you, please reach out and let me know. Until next time, guys, if you know anybody that might be looking to buy, sell, or invest anywhere from LA to Palm Springs, please give us a call 951-444-5811.

Sept. 19, 2019

September 2019 Market Update

 

It's a great day at Jose Perez and Associates. My name is Jose Perez. I'm here to give you an update for the month of September. There are three topics I want to share with you guys today. Number one, do you have PTSD for real estate? Number two, do you know what strategies you can use to pay off your mortgage early? And number three, have you gotten informed as to how to buy or how to sell? 

 

Do you have PTSD for Real Estate?

So number one, PTSD for real estate. Do you have it? Here's what I mean by that. A lot of folks bought properties in '05, '06, '07, '08, and during the mortgage meltdown either had a short sale or had a foreclosure in the past and for that reason, they're a little bit scared about jumping back into the real estate market. Here's what I've got to share with you guys. This market we're in today is a whole lot different and even if we do go into recession in 2020 I want you to know that there is a big difference. Let me share this that economist at Zillow had to say "The housing crash during the Great Recession left a lasting impression...But as we look ahead to the next recession, it's important to recognize how unusual the conditions were that caused that last one, and what's different about the housing market today. Rather than abundant homes, we have a shortage of new home supply. Rather than risky borrowers taken on adjustable-rate mortgages, we have buyers with sterling credit scores taking out predictable 30-year fixed-rate mortgages. The housing market is simply much less risky than it was 15 years ago." It's also predicted that if we do go into recession, it's going to last a lot less time than what it did last time. Lastly, if you were to look at this chart and look at the last five recessions, three out of the last five recessions, property values went up. And I continue to say that because the last time that the property values went down during a recession, remember the real estate and mortgage industry were the cause of that recession. So we don't expect that to happen again. 

 

 

Payoff your mortgage sooner!

Now on a much brighter note, let's talk about paying off your mortgage. Did you know that 37% of Americans have a paid-off house? No mortgage. So what I thought about was sharing with you guys some of the strategies that I'm using, some of the strategies that other folks are using in regards to paying off their house fast and as soon as possible. So one of them, for instance, is getting yourself on a biweekly payment. The second strategy is using a home equity line of credit, both either a second or a first mortgage. And third, knowing the difference between a daily accrued interest and an amortization schedule. If you're interested in paying off your mortgage soon or faster than the 30 years, please give us a call so we can do a one on one strategy session.

 

 

Are you well informed about real estate?

Lastly, I read an interesting quote with Albert Einstein and this is what it says. "If you can't explain it simply, you don't understand it well enough." That just really reminded me of how important it is to make an informed decision. So what we do is every quarter we pull out our new buyer and seller guides and our fall buyer and seller guides are now available. You could download them in the link below or go to our website to download them. But guys in a shifting market, especially a year where you're going to have presidential elections, it's really important to know what you're doing when it comes to real estate and hopefully you can see that we take our time to study the market so that we can share it with you guys. And that way we can make an informed decision that's best suited for your family.

Fall Buyer Guide               

 

 

  Fall Seller Guide

 

Contact us

If you're looking to buy, sell, or invest in real estate between LA and Palm Springs, give us a call. My number is (951) 444-5811 or visit our website www.joseperezandassociates.com.

Sept. 12, 2019

Sellers Guide Fall 2019

Sept. 12, 2019

Buyers Guide Fall 2019

Aug. 23, 2019

August 2019 Market Update

 

Is a recession coming?

It's a great day at Jose Perez and Associates. My name is Jose Perez. I'm here to give you an update for the month of August. There are three topics I want to share with you guys today. Number one is recession and what that means to real estate. Number two is interest rates and what are those doing that are impacting our lives today. And number three, is this a good time to buy or sell? 

 

Recession and real estate

Number one, I want to jump right into recession. If you watch CNN, constant negative news, that's probably what it should stand for. They keep talking about the US going into recession. Now, first of all, most people, they automatically equate recession with the housing crisis and they don't mean the same thing. Recession is when the GDP goes down for two quarters in a row and when that happens, we're considered to be in a recession as a growth domestic product. So real estate, 3 out of the last 5 recessions, real estate property values have actually gone up. The only reason why most people equate those two is because the last recession that we were in was actually caused by the real estate and mortgage market. And that's the reason why property values went down significantly during the last recession. But keep in mind, most of the time, a recession is actually a good thing for real estate because investors, people with money, they end up pulling the money out of the stock market and other things like that and they put it into real estate. So make sure you're in tune with that. 

 

How low are interest rates?

Number two guys, interest rates, they are super low. I think they're going to the lowest they've been in 4 years. Whether you're looking to buy right now using FHA or conventional or VA, whether you're looking to refinance, interest rates are low. If you're thinking about doing any of those, give us a call. We will connect you with a great lender that would get you guys that lowest interest rate lowest down payment, lowest monthly payment, and take good care of you guys. 

 

Is this a good time to buy or sell?

Number three, is this a good time to buy or sell? Guys, no matter what you do, if you buy a property today, 10 years from now, you're going to be really glad you did. In fact, what I'm saying is double down by three properties if you can, because at the end of the day, with appreciations being forecasted to go up 3% to 4% every year for the next 4 to 5 years, I think this is a great time to buy. What better place than here in America. If you guys know anybody that might be looking to buy, sell or invest, give us a call 951-444-5811 or visit our website to check out all the latest listings at www.joseperezandassociates.com.