If anyone needs proof that the local real estate market has improved, take our sales record this week as a signal. Rebecca Riskin & Associates will close four escrows this week, a 2012 record for the team. With a flurry of activity over the summer months, the team not only took on more listings but received more offers. All four sales were the team's own listings, while two of the transactions were both buyer and seller represented. Meanwhile, Rebecca Riskin & Associates has had five new listings within the past month, including two pocket listings.
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A new report released this week from Realtor.com ranks the Santa Barbara metro area as the top region in the country for annual list price increases. Perhaps the high-end Montecito market is driving this number up, as we have seen a resurgence in the $10 million + market with 10 sales closed above this mark already this year. For the month of August, Santa Barbara had the 2nd fastest rising list price increase, with 5.34% month-over-month.
Statewide, California seams to be leading the way for current housing market stability. California was home to 8 of the top 10 metros for year-over-year inventory reductions and 5 of the top 10 metros for year-over-year list price increases last month. In Santa Barbara, inventory is down considerably as our market heats up. Recent numbers from Realtor.com reveal a 35% decrease in inventory year-over-year for the Santa Barbara metro area. To learn more, click here.
It's time we checked in again to gauge the overall health of the real estate market, both nationally and locally. Here's a quick roundup on how the market is faring as we leave the fast-paced summer months behind.
A recent article in the Wall Street Journal indicated that home prices posted their strongest gains in six years during the first half of 2012, a clear sign that many of the nation's real estate markets have hit bottom. While this statement looks promising, it came with a warning: hitting bottom shouldn't be confused with full-on recovery.
The biggest news continues to be a lack of inventory in many markets, which is pressuring house prices to gradually rise. Inventories of existing homes are at an eight year low, while fewer distressed homes have hit the market and many sellers postpone listing in hopes of an uptick in price.
Meanwhile here in Santa Barbara county, south county sales are up 43% year to date. This is an incredible gain, with sales coasting steadily throughout the summer at a record breaking pace. Over the course of the last five years, local market trends have seen a steep drop in sales over the summer months, while this year we experienced a steep gain in May and a solid summer plateau.
On the lower end of the market, inventory is extremely low while many sellers try to ride out the market bottom. Here in Montecito, the high end continues to be very strong, and our office is a flurry of activity!
We just got word that one of our listings here in Montecito is receiving an award! Next month, Qualified Remodeler Magazine will publish its annual Master Design Awards, recognizing the best in residential remodeling. 1134 Hill Road in Montecito, CA earned the Master Design Award this year with both the Gold and Judge's Choice Award!
The home, Villa Vicin' 'O Mare, is a wonderful transformation of a classic Montecito bungalow into a contemporary beach villa with seamless indoor-outdoor living. Redesigned by Santa Barbara architects Neumann Mendro Andrulaitis and remodeled by Allen Associates, impeccable attention to detail has been paid to every aspect of the home’s design, from the champagne limestone floors to the wide plane wood paneled ceiling.
Custom mahogany bi-fold doors and windows effortlessly connect indoor and outdoor living spaces, opening completely for endless entertaining opportunities. A glass-enclosed patio includes ample room for dinner parties, complete with an artistic wall of water and fire table feature.
Outside, a large garden oasis awaits with wandering paths through fruit trees, palms and towering bamboo. Generous patios, water fountains, a walled private garden and lush tropical landscaping allow for true indoor-outdoor Santa Barbara living.
Inside, an open-plan living space designed with yacht-like efficiency showcases exquisite, contemporary décor and interior details, revealing understated elegance. The eye-catching gas fireplace, featuring Rasmussen FireBalls, makes the living room feel sleek and modern while warm in ambience.
Beautiful double doors open on to a sunken master retreat, enhanced by a luxurious spa-like bathroom and private patio. A blown glass pendant chandelier adorns the freestanding soaking tub, overlooking a serene courtyard with an eight-foot privacy glass gate.
Located in the heart of Montecito and steps from Butterfly Beach, the Biltmore and Coral Casino, Villa Vicin’ ‘O Mare combines the highest quality amenities for modern living in an exquisite 2 bedroom, 2 bathroom beach retreat.
Zillow announced yesterday that U.S. home values continued to climb for the eight consecutive month, according to data from their July 2012 Real Estate Market Reports. Home values are up 1.2% nationwide, a healthy number supported by low inventory in many markets.
Here in Santa Barbara, July South County sales shook off the previous month's dip to return to positive growth. 2012 sales are an astonishing 44% higher than last year. Meanwhile, inventory is at a 6 year low! Does this mean home prices are finally on the rise?
The LA Times reported today that the median home price in Southern California hit its highest point in nearly four years as buyers compete for fewer homes. The median is up over 8% from this time last year, and has been increasing steadily for six consecutive months. Last month's sales were also up 13.8% over July 2011, with approximately 20,500 properties sold throughout the six-county region.
While home prices in Montecito don't quite compare to the Southern California media price of $306,000 (according to DataQuick), we have been seeing full price or multiple offers in some high-demand price ranges. And as we reported last week, the high-end market at $10+ million is seeing a local resurgence.
We've been following some recent news regarding the high-end real estate market picking up in certain pockets across the country. For example, an estate in Miami just broke records for a single family home sale at $47 million, while New York and Silicon Valley keep making headlines. According to RealtyTrac, home sales of $1+ million are up 23% from one year ago.
Having seen a similar pattern here in Montecito, we decided to dig a little deeper to decipher our perception of the high-end market resurgence. According to the MLS, there was only one recorded closed sale at over $10 million in Montecito for 2011. Compare that to 2012, where year-to-date $10+ million sales already total 9. Montecito also had its first closing of over $20 million this year already.
Some experts explain the resurgence in closed sales by the drop in house prices, which have fallen 20% this year in the $1+ million range. Here in Montecito, we've definitely seen prices come down from their highs, but we've also seen some properties sell for prices above their previous sales price. Full price and multiple offers are also becoming the norm on well-priced homes in limited inventory ranges.
Pocket listings can be used by sellers and their real estate agents for a handful of reasons, but each pocket listing comes with a unique strategy in mind. Before we dive in to some of these strategies, which were highlighted in a recent article published by the RealtyTimes, let’s quickly define what exactly a pocket listing is.
Simply put, an agent may choose to list a home without listing in on the Multiple Listing Service (MLS). They figuratively keep the listing in their pocket, instead of broadcasting it out to the audience of millions using the MLS. A pocket listing is thus an unofficial, off-market listing.
Pocket listings are generally a strategy of high-end, expensive homeowners looking for a unique approach to their house sale. Because of changing market conditions, however, pocket listings have become more mainstream.
Some sellers aren’t happy with current market prices, so they’re happy to wait for the right buyer to come along who will pay the right price, and will settle for the lack of marketing through traditional real estate channels. In a similar fashion, sellers can use a pocket listing to test the market quietly before taking the plunge.
Meanwhile, other sellers may select a pocket listing because of the ability to generate a quick cash sale, even if the pre-determined price is below market value.
Another issue with listing high-end properties in the MLS is the time on the market shadow that may follow a property if it sits for a period of time. This can give buyers the feeling that there’s something wrong with the home, or they may feel obligated to submit offers much lower than market value based of the length of the time the home has sat on the market.
Finally, pocket listings can be a great alternative for sellers who require privacy. Keeping their home out of traditional marketing channels can work in their favor when trying to avoid the media.
For more information on listing strategies, please visit our website. To read the complete article by RealtyTimes, click here.
This week, Zillow reported an increase in U.S. home values for the first time in five years, marking a reported end to the slide of the real estate market. Numbers revealed a 2.1% increase in home values from the first to second quarter of 2012, the first of it's kind since 2007. Zillow's Real Estate Market Reports also highlighted a four month consecutive increase in national home values, while 2nd quarter 2012 home value appreciation was the highest it's been since 2005. The report varies widely across markets within the United States, however it appears that a gradual and steady increase in home values should become a reality for most of us. The worst could really be over! For more information on the market locally in Santa Barbara and Montecito, click here.
Just last week, Wine Spectator awarded Vogelzang Vineyards with an outstanding rating for two of their 2010 wines. The 2010 Sauvignon Blanc Reserve received 92 points, while the Birdsong Sauvignon Blanc received 91 points. Wine Spectator's 100 point scale classifies wines in the 90-94 point range as "outstanding: a wine of superior character and style." The 2010 Sauvignon Blanc Estate is now the highest rated Sauvignon Blanc in the country!
Winemaker Robbie Meyer blends the estate Sauvignon Blanc grapes with the Musque clone which offers floral spicy and tropical notes with a fuller body. His blends use wild yeast grains, giving the wines a wonderful aromatic note.
The 108-acre Vogelzang vineyard presents an incredible and unique opportunity to own an award-winning vineyard in an up-and-coming world-class wine region. Vogelzang rests at the heart of Happy Canyon, one of the first nationally recognized appellations in Santa Barbara County. With fantastic potential for an estate site, the property boasts plenty of space to build an expansive home and equestrian facilities alongside the vines. For more information, click here.
This month we were thrilled to learn that Santa Barbara is the second hottest metropolitan real estate market in the United States! According to an article published by Forbes, our May median home prices were 30% higher than that of May 2011, while total home sales doubled. New listings are selling 20% faster than one year ago, while pending contracts are up a whopping 80%. Helping the Santa Barbara real estate market is the fact that it's simply one of the best places to live, and buyers see a value in that. In fact, there's a scarcity of inventory as local residents can still afford the median house price (the area enjoys one of the lowest unemployment rates in California.)
Bottom line? Santa Barbara has a hot, luxury housing market!
Click here to read the entire Forbes article. For more information about Santa Barbara area real estate listings, click here.
Did you know that the recent healthcare reform bill had a real estate tax clause buried in its legislation? According to a recent article by the LA Times, a 3.8% real estate tax will go into effect in 2013 as part of the healthcare bill. For most homeowners looking to sell, the new tax won't apply. The new surtax, which will take effect on January 1, 2013, will only be applied to sellers making a substantial profit on their home. The 3.8% will affect those above the $200,000 (single) or $250,000 (joint) gross adjusted income, who receive profits above the capital gains tax free limits on the sale of their principal residence. Things may get tricky for those selling vacation homes or rental real estate, where all of the profits could be subject to the surtax.
For more information or to read the entire article, click here.
The market is still strong this summer, with a huge improvement year over year. Check out the latest Cort graph highlighting year-to-date sales....the best summer by far in over 5 years! Here in our office, things just aren't slowing down. Two new listings this week!
What's more American than the 4th of July? A BBQ on the 4th of July of course! Today we're browsing through some of our favorite outdoor dining spaces in Montecito and Santa Barbara in search of some inspiration for tomorrow's fabulous holiday. Wishing everyone a fun and safe 4th!
It's that time of year when the temperatures climb and a swimming pool sounds more and more inviting. In case you don't have access to your very own pool to lounge by this summer, here are a handful to drool over. We selected our favorite pools from our current listings in celebration of summer!
The Wall Street Journal announced today the results for their annual "The Thousand" list, the 2012 Top 1,000 Real Estate Professionals by Transaction Volume. Not only did Rebecca Riskin & Associates make "The Thousand," they also made the Top 250!
The list is compiled by The Wall Street Journal and REAL Trends, Inc. as a summary of the top 1,000 real estate professionals and teams in the United States, based on the amount of closed transaction volume for 2011. Rebecca Riskin & Associates also made "The Thousand" and the Top 250 lists for real estate teams in 2011.
Just last month we reported to you that sales for Santa Barbara County were booming. Well, the May numbers are in and the market is gaining speed even faster than expected. In fact, the South County real estate market is now running 40% ahead of 2011 year-to-date. The graph below displays a serious spike in sales, with May 2012 reaching an all time high and breaking the 200 property threshold. This is the strongest start to the year we've seen since 2004!
Meanwhile at Rebecca Riskin & Associates, we are definitely feeling the market heat up as we continue to break records. Our year- to-date sales are now at $135 million! Make sure to visit our website to view the beautiful photos and full details of our 22 current listings.
If you'll excuse the rhyming title, we want to take a moment to announce some exciting news. One of our vineyard listings, the phenomenal Vogelzang vineyard property in Happy Canyon, has recently received some widespread recognition for its world-famous wines.
- Their 2009 Sauvignon Blanc Reserve was selected to be poured for the leaders of the Free World last weekend at the NATO G-8 Summit intimate leaders only banquet in Chicago's Soldier Field.
- Their 2010 Birdsong Sauvignon Blanc was rated 91 by Wine Spectator in their advanced issue coming public in June.
- Their 2010 Viognier Reserve was selected in January 2012, by Tony Asnault, Executive Chef at Patina in LA (Four Michelin Stars) and served with his creations at The James Beard Foundation, NYC.
- Their 2010 Birdsong Viognier was chosen this week to represent California Viognier at the Court of Master Sommeliers at the Bellagio in Las Vegas May 29-31.
We love that there's so much more to this property than looks alone; and, as we're sure you can see, it has no lack of aesthetic beauty. Click on any of the photos to see the property's page on our site.
As of lately, fantastic weather has graced our seaside town. Things aren't just looking up outside, however: Our office has been booming with action. We have proudly closed nearly $110 million in sales since January, a new record for us. In fact, the southern Santa Barbara County real estate market is up 33% in sales compared with last year.
We're thrilled to see the market upturn, as increases in high end real estate sales bodes well for the market in general, boosting consumer confidence.
Additionally, we have some exceptional mega listings coming up and will have some beautiful things to share here. Stay tuned because can't wait to show them off!
As promised, today we bring you part two of our kitchens feature. We briefly spoke about the importance of a well-appointed kitchen these days, especially with a cultural shift in how Americans use their kitchens. In other words, increasingly more people are using their kitchens as a central social zone in their homes, foregoing separate dining rooms in favor of enjoying meals directly within the kitchen itself. Here are some more of our favorite kitchens from various Montecito real estate listings-- ones we definitely want to spend time in.
1. We love how this kitchen places bright, white marble with dark cabinetry and hardware; it creates a sleek, yet prominent contrast.
2. Country style kitchens tend to feel the most inviting and easy to spend time in. The use of open spaces and an immediate eat-in area makes this one feel particularly social.
3. Another lovely country-style kitchen, this more charmingly-sized space uses lots of bright white, light countertops, and a bit of sheen to maximize cheerfulness. This creates a perfect balance between refreshing and cozy.
4. Country kitchens can take on a Mediterranean flair, like this one, which has a touch of Tuscan villa and looks out over the Pacific Ocean and Santa Ynez mountain range.
5. Kitchens with less space can still be spectacular, with beautiful beamed ceilings, gleaming granite counter tops, stainless steel appliances, and stone tile back splashes.
