Drew Mobile: 858-220-3004 | Drew Email: drew@gellens.com

Christy Mobile: 858-220-3003 | Christy Email: christy@gellens.com

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Let’s Look at the History of Interest Rates

  • Mortgage interest rates have dropped considerably this spring and are hovering at a historically low level.
  • Locking in at a low rate today could save you thousands of dollars over the lifetime of your home loan.
  • Let’s connect to determine the best way to position yourself for a move in today’s market.

Just Listed in North Clairemont

Just Listed in North Clairemont

5149 Millwood Rd. San Diego, Ca 92117
Great location, single-level, 3 bedroom, 1.5 bath, detached home on a 6,000 sq/ft lot. Move in Ready! Offered at $615,000.
Will be on the MLS tomorrow.

Call Drew Littlemore for details or to schedule a showing.

All showings are Covid-19 compliant

Drew Littlemore/BHHS
858-220-3004
DRE#01935574

New Market Trend?

A Surprising Shift to the ‘Burbs May Be on the Rise

Keeping Current Matters

A Surprising Shift to the ‘Burbs May Be on the Rise | MyKCM

While many people across the U.S. have traditionally enjoyed the perks of an urban lifestyle, some who live in more populated city limits today are beginning to rethink their current neighborhoods. Being in close proximity to everything from the grocery store to local entertainment is definitely a perk, especially if you can also walk to some of these hot spots and have a short commute to work. The trade-off, however, is that highly populated cities can lack access to open space, a yard, and other desirable features. These are the kinds of things you may miss when spending a lot of time at home. When it comes to social distancing, as we’ve experienced recently, the newest trend seems to be around re-evaluating a once-desired city lifestyle and trading it for suburban or rural living.

George Ratiu, Senior Economist at realtor.com notes:

“With the re-opening of the economy scheduled to be cautious, the impact on consumer preferences will likely shift buying behavior…consumers are already looking for larger homes, bigger yards, access to the outdoors and more separation from neighbors. As we move into the recovery stage, these preferences will play an important role in the type of homes consumers will want to buy. They will also play a role in the coming discussions on zoning and urban planning. While higher density has been a hallmark of urban development over the past decade, the pandemic may lead to a re-thinking of space allocation.”

The Harris Poll recently surveyed 2,000 Americans, and 39% of the respondents who live in urban areas indicated the COVID-19 crisis has caused them to consider moving to a less populated area.A Surprising Shift to the ‘Burbs May Be on the Rise | MyKCMToday, moving outside the city limits is also more feasible than ever, especially as Americans have quickly become more accustomed to – and more accepting of – remote work. According to the Pew Research Center, access to the Internet has increased significantly in rural and suburban areas, making working from home more accessible. The number of people working from home has also spiked considerably, even before the pandemic came into play this year.

Bottom Line

If you have a home in the suburbs or a rural area, you may see an increasing number of buyers looking for a property like yours. If you’re thinking of buying and don’t mind a commute to work for the well-being of your family, you may want to consider looking at homes for sale outside the city. Let’s connect today to discuss the options available in our area.

Step 1 in Selling Your Home-De-Clutter

Watch Our Interview with Linda McNabb

from

Organized for Life 

30% of our real estate business is helping families sell a family owned home that has been in the family 30, 40 and even 50 years. The first step to getting a home ready for sale is to de-clutter the home.  This is often very difficult for families to do alone. Linda McNabb from Organized for Life has been helping clients de-clutter their homes for 25 years. She has worked with many of our sellers over the years and they always say it was the best money they ever spent.

Linda’s always says “The worst part of the de-clutter is the anticipation of doing it.”

You can de-clutter through the Covid orders. Linda is prepared to help clients remove items and organize their homes using the appropriate Covid safety precautions.

Contact us for more information on selling your home

We are happy to put you in touch with Linda to get you started

Are You Confused About the Economic Recovery?

 

Confused About the Economic Recovery? Here’s Why.

Confused About the Economic Recovery? Here’s Why. | MyKCM

As we continue to work through the health crisis that plagues this country, more and more conversations are turning to economic recovery. While we look for signs that we’ve reached a plateau in cases of COVID-19, the concern and fear of what will happen as businesses open up again is on all of our minds. This causes confusion about what an economic recovery will look like. With this in mind, it’s important to understand how economists are using three types of sciences to formulate their forecasts and to work toward clearer answers.

  1. Business Science – How has the economy rebounded from similar slowdowns in the past?
  2. Health Science – When will COVID-19 be under control? Will there be another flareup of the virus this fall?
  3. People Science – After businesses are fully operational, how long will it take American consumers to return to normal consumption patterns? (Ex: going to the movies, attending a sporting event, or flying).

Sam Khater, Chief Economist at Freddie Mac, says:

“Although the uncertainty of the crisis means forecasts of economic activity are more unclear than usual, we expect that most of the economic damage from the virus will be contained to the first half of the year. Going forward, we should see a recovery starting in the second half of 2020.”

This past week, the Bureau of Economic Analysis released the advanced estimate for Gross Domestic Product (GDP) for the first quarter of 2020. That estimate came in at -4.8%. It was a clear indicator showing how the U.S. economy slowed as businesses shut down and consumers retreated to their homes in fear of the health crisis and of contracting COVID-19.Confused About the Economic Recovery? Here’s Why. | MyKCMExperts agree that the second quarter of 2020 will be an even greater slowdown, a sign more businesses are feeling the effects of this health crisis. The same experts, however, project businesses will rebound, and a recovery will start to happen in the second half of this year.

Bottom Line

As time goes on, we’ll have more clarity around what the true economic recovery will look like, and we’ll have more information on the sciences that will affect it. As the nation’s economy comes back to life and businesses embrace new waves of innovation to serve their customers, the American spirit of grit, growth, and prosperity will be alive and well.

April 29, 2020 Short Term Vacation Rentals Impacted by Covid-19

[Photo: Nature/iStock; terimakasih0/Pixabay]

The Macro STVR Market & the Micro STVR Market in San Diego

April 29, 2020

     Since the middle of March articles focusing on how the Covid-19 virus will affect businesses have flooded our screens. One area that has been impacted, an area that is new to our economy, is the short term vacation rental business. In this section of our newsletter we are providing you with three articles (excerpts from each) as well as current San Diego data. We felt this information is important given that San Diego & La Jolla has such a large number of short term vacation homes.

On April 6, 2020 Fastcompany.com published Airbnb’s Covid-19 Crisis Could be a Boon for Affordable Housing Airbnb hosts are seeing drastic booking declines amid the pandemic, but housing costs could go down as a result. Further into the article, author Steve Melendez writes,

As for how online vacation rentals will fare in the long-term, experts say the shutdown has raised questions that are still too early to answer. The pandemic may change housing supply in cities and vacation towns where activists say Airbnbs have depleted a limited housing pool, driving up rental prices. Some activists are already seeing conversions to longer term rentals, though the ultimate impact remains unclear. But in the short-term, the crisis may be a particular shock to individual hosts who use money from short-term rentals to attend school, fund startup businesses, or simply pay living expenses…” 

     “With travel halted, Airbnb drew the ire of some of its hosts after allowing guests to cancel many reservations with no penalty during the virus outbreak, even if properties normally had stricter cancellation penalties.”

     “A flood of cancellations came through,” says Scott Shatford, CEO of AirDNA, a company that analyzes the short-term rental market. He estimates an industry-wide cancellation for the next month of about 80%.” To read the article go here

On April 15, 2020 Fastcompany.com authors Ana Andjelic and Jessica Davidoof wrote Why Airbnb made a big mistake by ditching its marketing, The lesson here for any company is that holistic brand management should be the new marketing,

     “Airbnb lowered its internal valuation by 16%, to $26 billion. The company also saw a 40% drop in bookings, and that was back in mid-March. Its hosts are so angry about the company’s recent removal of cancellation fees that some people online thought one particular host video was a parody. The entire travel sector is in turmoil…”

     “How much a brand invests in maintaining the relationship with its customers during the crisis defines its long-term success. In the case of Airbnb, this means keeping both sides of its marketplace (the hosts and the renters) going. If hosts lose revenue and feel unsupported by the company, they will leave (and many of them already are) and may not come back…”

“After the backlash, Airbnb secured a $10 million relief fund for “super hosts” and is offering grants of up to $5,000 for the hosts most impacted by the recent change in policy. It will also cover 25% of cancellation fees for hosts.” To read full article go here

 On April 28, 2020,  Wall Street Journal writers Tripp Mickle & Preetika Rana authored,  A Bargain with the Devil’-Bill Comes Due for Overextended Airbnb Hosts, Entrepreneurs built mini-empires of short-term rental properties, borrowing against revenue that’s now vanishing under coronoavirus lockdowns…

     “Airbnb hosts saw $1.5 billion in bookings vanish in mid-March as the travel industry froze, according to market-research firm AirDNA LLC, which analyzes bookings. Airbnb gave guests full refunds and forced hosts to dip into their pockets or beg for leniency on April loans and rent…The startup that gave rise to the short-term rental economy is slashing expenses and secured $2 billion in financing this month, including a $1 billion loan at a hefty interest rate. The Wall Street Journal reported last month that Airbnb had racked up hundreds of millions in losses due to the pandemic. The company hasn’t publicly reported figures…”

“AirDNA estimates that a third of Airbnb’s U.S. listings for entire homes or apartments—excluding shared rooms—are by hosts with a single property. Another third are run by hosts with between two and 24 properties. The remaining third involve hosts with more than 25 properties…”

“Hosts’ sense of control disappeared as the crisis took hold and the company stepped in to ameliorate travelers’ panicked cancellations. Airbnb granted guests full refunds for stays between March 14 and May 31, wrenching the finances of those who had used Airbnb income to underwrite and sustain their mini-empires.” To read full article go here (WSJ may require you to subscribe).

Let’s Look at San Diego & La Jolla

     San Diego currently has 11,230 active STVR listed online with 67% listed on Airbnb, 18% listed on VRBO & 15% listed on both platforms per  airdna.co.   82% of the rentals are whole home rentals, 17% are private room rentals and only 1% are shared room rentals.  How many of these homes are owned by companies or people just trying to keep paying their bills is hard to know for sure.

     La Jolla currently has 991 homes actively listed  for daily and weekly rentals online with 50% listed on Airbnb, 23% listed on VRBO & 23%  listed on both platforms per airdna.co. 87% of the homes rented are whole homes while 13% are private room rentals.

Bottom Line:
With this change in the short term vacation rental business due to the virus, we may see more homes coming to the market for long term rent and for sale due to vacancies and low bookings.

If you have questions or are considering selling your home, contact us today to discuss your options.

April 21st Housing Market Update (Newsletter)

Littlemore Housing Market Update

April 21, 2020 

Local Business of the Week

SPIZ Vegetarian Kitchen
Open for Take Out & Delivery

La Jolla
613 Pearl St.
La Jolla, Ca 92037
858-732-0034
(includes a coffee shop)

other locations
Clairemont and North Park

SPIZ.com

 

Covid-19 Lending Update 

with
Greg Parker @ Prosperity Home Mortgages

Thank you Greg Parker for your expertise on these lending changes and keeping our clients and community up to date. The first step if you are deciding to buy right now is to speak to a lender. Some sellers are requiring buyers show a pre-qual letter  just to see a home during the Covid-19 orders.  What does the future of housing look like to Greg?  He covers that at the end of the video.  If you have any questions, please do not hesitate to call, text, email us or visit our website and contact us.

Littlemoregroup.com

For lending questions your are welcome to contact
Greg Parker 
NMLSR ID: 662132
Greg.Parker@phmloans.com
858-353-0449

Journalist photography of San Diego, CA. During stay at home order, COVID-19 pandemic. March 2020

Will This Economic Crisis Have a V, U, or L-Shaped Recovery?

by

Keeping Current Matters

Many American businesses have been put on hold as the country deals with the worst pandemic in over one hundred years. As the states are deciding on the best strategy to slowly and safely reopen, the big question is: how long will it take the economy to fully recover?

Let’s look at the possibilities. Here are the three types of recoveries that follow most economic slowdowns (the definitions are from the financial glossary at Market Business News):

  • V-shaped recovery: an economic period in which the economy experiences a sharp decline. However, it is also a brief period of decline. There is a clear bottom (called a trough by economists) which does not last long. Then there is a strong recovery.
  • U-shaped recovery: when the decline is more gradual, i.e., less severe. The recovery that follows starts off moderately and then picks up speed. The recovery could last 12-24 months.
  • L-shaped recovery: a steep economic decline followed by a long period with no growth. When an economy is in an L-shaped recovery, getting back to where it was before the decline will take years.

What type of recovery will we see this time?

No one can answer this question with one hundred percent certainty. However, most top financial services firms are calling for a V-shaped recovery. Goldman Sachs, Morgan Stanley, Wells Fargo Securities, and JP Morgan have all recently come out with projections that call for GDP to take a deep dive in the first half of the year but have a strong comeback in the second half.

Is there any research on recovery following a pandemic?

 

Just Sold in Pacific Beach

Just Sold 

1141 Thomas Ave San Diego, Ca 91209

Staged by Everything Creative Design, we put this home on the MLS just as the Covid-19 orders began.  We received a full price offer the first day on the market, and quickly received more offers over the weekend. We also closed this on time in 30 days during the stay home orders. This home sold quickly because it was in a good location, updated with new paint & carpet, staged, marketed online and to brokers, easy to show, and priced right.

Offered at $795,000

Click Here to View Listings

Covid-19 Update Staying Sane & Mentally Healthy

Covid-19 Update Staying Sane & Mentally Healthy

April 11, 2020

The Take Aways From Our Meeting

with Tom Ferry & psychiatrist Dr. Daniel Amen

1. Disinfect for your ANTS automatic negative thoughts or undisciplined thoughts. Watch out for these and when they pop up (because they do) you can decide whether to let them build their house in your head or stop them. Writing helps, deep breaths, choosing to focus on reality and not what ifs, stay in today and in the now. Before getting out of bed start with a mental gratitude list, deep breathing, and focus on the facts. End every day with a list of what went well. See Dr. Amen’s Blog 10 Pandemic ants that are making you anxious & depressed
2. Healthy choices with our diet are so important to our mental health. Try using a tracking system like Noom so as not to graze or stress eat at this time. www.noom.com
3. Whenever you are going to do anything stop and think “Is this good for my brain?” Then choose whether to move forward or make a different more brain healthy choice.
These are just basics for us to grab while we all are in this together. Stay healthy & Stay Sane❤️
Thank you First Responders

We want to truly thank with all our hearts everyone on the front lines helping us get through this pandemic. We know & love many ER doctors, nurses, lifeguards, and first responders in our community. ❤️ Their advice to us was to stay home and stay healthy. Some of our lifeguards were doing rescues during this very rainy week in San Diego, and we are so grateful to them. 

Drew & Christy Littlemore BHHS/Maxine & Marti Gellens Team
DRE#01935574  DRE#13461019

Covid-19 La Jolla Housing Market Update April 10, 2020

Covid-19 Update

Housing Market in La Jolla

April 10, 2020

 

We Are Always Learning  

Wow! This week has been a busy week of learning for us. We have been on conference calls with BHHS legal team & CEO, our real estate team, Tom Ferry, our coach Jeff Mays, Dr. Daniel Amen, and the CEO & Economist at Keeping Current Matters.

Coming Up

We’ve learned so much that we decided to break down most of this past week into separate videos: mental health & hygiene during this pandemic, the economy and unemployment rates, new Covid-19 forms required for real estate. Please watch for those video blogs.

If you would like to join our weekly newsletter please do. Weekly Newsletter

Or if you would like to help support local business you can like the FB group Support Local La Jolla Businesses During Covid-19

Drew & Christy Littlemore/BHHS/Maxine & Marti Gellens Team

DRE# 01935574  DRE# 01913461