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Health & Fitness

Same Feeding Frenzy, Different Names: Laguna Beach Homes Hot Again!

Ace realtor Hillary Caston predicts hot times ahead for the Laguna Beach real estate market.

Back in January, I predicted the Laguna Beach real estate market was hugging rock bottom. Naturally, most of you scoffed. Nevertheless, the predictions proved accurate – the rock-bottom prices have come and gone. Well, you’ll be pleased to know I have a fresh batch 3rd Quarter predictions of great relevance to Laguna Beach homes.

As I gaze into my crystal ball, I see a replica of the ‘02-‘05 market upswing in the years spanning ‘12-‘14. The Laguna Beach real estate market will roar ahead as it did in those earlier years, generating the same feeding frenzy, but with different names. For instance, banks will slap brand new marketable labels on old loan packages. New terms and names will pop up everywhere. Maybe you’re even singing along to those catchy jingles, like Lending Tree, which are back on the airwaves.

The 3rd Quarter According to Hillary

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  1. Distress Inventory Will Slow to a Dribble. Like it or not, banks are once again in the driver’s seat. Sure, there’s still a substantial inventory of distress properties in short sale or foreclosure. And there are plenty of bank-owned homes that lenders haven’t released to the marketplace. But there’s a sound financial reason for the bank to cling to this ‘shadow inventory’. They will make more money by holding the properties as Orange County real estate prices soar higher.
  2. Homeowners Will Get Off the Fence.  Sellers contemplating stepping up to a larger home or better location finally will put their homes on the market. A savvy team such as The Coastal Property Experts will aggressively price the property to generate multiple offers and sell your home in 30 days or less – guaranteed. Sellers who took their un-sellable homes off-market in the last 24 months will put their properties back in circulation because they know the Laguna Beach real estate market is spinning up.
  3. Overpriced Homes Will Find Their Market.  People currently unable to sell overpriced homes will profit in the near future. If sellers can afford to hold onto their pricy property, they’ll see the real estate market catch up to their elevated price. BUT The Coastal Property Experts doesn't recommend this course of action. It’s far better to take your profits now to buy a new home before your dream property is no longer affordable. 
  4. Banks Received Mountains of TARP Money from the Government. TARP funding is actually our tax dollars keeping the banks afloat and profitable. So lenders can wait it out comfortably as the coastal real estate market shoots up.
  5. Real Estate Will Pay Greater Dividends Than the Stock Market. If given a choice between buying a $400k condo and a $650k home that will cost $15k more annually, the latter would be the preferable move. The $15k invested in a blue chip stock such as AT&T likely would net you a profit of $2 or $3 dollars per share in three years. Invested in the $650k property, the same $15k would buy you a substantially better home and a 10% annual gain in equity over a period of three years. And let’s face it, you can live in this investment. You can’t live in the headquarters of AT&T.   

We at The Coastal Property Experts recommend you grab your share of the current real estate upswing.  If you’re ready to make money with your money in the Laguna Beach real estate market, contact our team today to schedule your complimentary consultation.

The Coastal Property Experts

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