Hope you had a relaxing Labor Day weekend! Welcome Fall!
As we welcome Fall, here’s hoping you had a relaxing Labor Day weekend and if you are in the LA area that you managed to stay somewhat cool. I am personally ready for some much cooler weather.
Malibu Beach circa 2014
No doubt you’ve read the headlines about tariffs and inflation that are intended to scare people; the reality is quite the opposite. The Stock Market has been on fire, higher than ever before and certainly more so since the Covid Pandemic shutdowns. Bank of America is bullish about the market and projecting a continued optimistic view for the Stock Market despite tariffs and inflation. As a reference point, they say that in the past nine months the Stock Market has had at least 20 high points. Furthermore, they are expecting that rate cuts and potential 2026 stimulus will outweigh tariff risks and other uncertainties.
Labor Day Weekend
On the Real Estate side of the economy, home prices have surged. Some economists who closely monitor this indicate that they have surged twice as fast as monthly rents. To complicate matters, interest rates have been stuck between 6-8% for the past five years. Affordability remains the issue.
Affordability
I often think of my father when he decided to buy a home in the early 1970’s. He read all sorts of reports and one in particular from MIT pushed him off the fence. He realized that high inflation and interest rates were keeping him at the point where he would not even be able to afford to rent, let alone buy a home. Then he thought that if he bought something, he would at least stabilize monthly payments while inflation worked to increase the value of his home. Indeed it did! Even at the bottom of the Real Estate Market in the early 1990’s he sold his home for three times what he paid for it all after having lived comfortably in it for 20 years.
My point is, do not fall into the trappings of the headlines; if you are considering buying or selling it is not about timing. If you are a seller, it’s about properly pricing, and if you are a buyer, it’s critical to have a solid Realtor that will give you the facts and statistics of the local market. Right now there are fewer buyers out there, hence sellers are more open to negotiations. If you wait for the interest rates to drop, you just might be competing with more buyers who are sitting on the fence. Ultimately it could cost you more in the long run instead of enjoying your own home and increasing your home’s value.
Mom & Dad in the early days
Please reach out to me directly for advice and representation. In the meantime, enjoy my Newsletter.
Important dates in September: September 22 Rosh Hashanah begins at sundown; and it is the first day of Autumn. (Yom Kippur begins at sundown on October 1)
Endre Barath. Beverly Hills Realtor
If you are looking for a pet friendly Beverly Hills Realtor who can handle the most challenging properties that no one else could, please reach out to me directly. If you are considering buying or selling a home, a luxury home, luxury investment real estate, luxury vacation homes, or luxury beach properties in Southern California, Los Angeles, Century City, Westwood, West Hollywood, Beverly Hills, Marina Del Rey, Venice or Malibu, feel free to contact me at 310.486.1002 (m) or homes@endrebarath.com or visit one of my websites at https://www.endrebarath.com. Berkshire Hathaway Beverly Hills
A portion of my commission will be donated to a local and reputable animal rescue organization or cause.
