Archive for December, 2015
Happy holidays to all -may you find relaxation and time well-spent with your loved ones. Happy New Year as well…I wish for each one of you a year full of love, happiness, laughter, good health, and most of all: PEACE.
California Assembly Bill AB-139 will take effect January 1, 2016. It will allow homeowners to avoid probate and designate one or more beneficiaries to inherit their properties upon their death, without the creation of a trust. Upon the death of the homeowner, ownership would pass immediately to the beneficiary, without having to go through probate proceedings.
Designation of a beneficiary in the deed does not take away any rights of the property owner during her/his lifetime. She/he retains 100% control over the property during lifetime, and can still sell, place liens on the property, or borrow against the property with no need to inform the beneficiary named in the deed. The homeowner is also free to revoke the designation at any time during his or her life.
This low cost alternative is a great way to protect your property from probate. If you would like to discuss taking advantage of this new law, contact my highly recommended colleagues at In a Pinch Business Services at 760-536-3637, or visit www.inapinchonline.com The fee for creation of this document is $95. You can also contact your attorney.
For more information on the new bill please Click here
Around this time of year there are numerous posts on real estate market predictions for the coming year, so yes, this one will join the club. But it is important to note that in my opinion, one can only attempt to make accurate predictions (keeping in mind that no prediction is ever accurate) at a hyper-local level. I cannot predict what is in store for the market in Columbus Ohio or Memphis, Tennessee. But I can give a pretty accurate prediction for San Diego County, California.
This past year the San Diego County real estate market has seen great improvement, with Spring and Summer sales contributing to the annual state sales growth of 7.2% (some areas exceeded that number). We also saw many multiple offer situations in the high season. That has calmed down as we headed into and through the Fall season, but there are still buyers out there now and properties continue to go into escrow – since Thanksgiving the market has really picked up in North San Diego.
Here are my predictions for 2016:
1. Steady sales. As we head into 2016 I think real estate sales will remain steady. As long as there is not a major financial situation or big rise in interest rates (which I doubt), I think we will continue to see sellers listing homes and buyers making offers. Homes that show well, or homes that are priced very well for what they offer, will continue to generate sales. I believe price will play a big role – gone are the days of sellers listing over comparable market price (unless of course the home is unique – big ocean view, fully upgraded, etc.). If you are a seller and want to sell your home, it will be all about price- more so than ever.
2. “Normal” price increases. I think prices will remain relatively steady, barring any major crises in the economic sector. I believe we will see possibly a 5-6% growth in prices overall in 2016, which is considered “normal” in many markets. San Diego will always have a slightly higher increase in annual sales compared to some other areas of the country, due to location and weather.
3. Inventory growth, albeit slowly. Over the last few years there has really been a slow down in inventory, although 2015 showed some positive signs of increases. I think as we head into 2016 we will continue to see slight increases, as people continue to feel more confident in the economy. Rising rates could spur potential sellers to list their homes before rates get too high (although I do not believe that will happen – but of course even slight raises could spur fear of bigger ones, which means fewer buyers).
4. Rising interest rates. There has been a threat of rising rates for some time, but I think in the coming year we will see slight increases – at least one, maybe twice. This should spur some buyers to jump off the proverbial fence, but could also cause others to jump up there. It would likely create inventory growth, as sellers fear the latter scenario.
Overall I think 2016 will continue to be a positive for the real estate market in San Diego county. In areas such as this – with our proximity to the coast and beautiful weather – there is never a true slump. If you are considering selling or purchasing a home, regardless of where, consult with an experienced real estate agent to get an accurate market snap shot so that you are prepared. Happy New Year to you all!