Ideal home that ticks all the boxes. This 5 bedroom 3 full bath 2,342 square foot home also has a 3 car garage. The huge bonus with this gem is it having a second Master bedroom and Full bath downstairs on the main living area. The home has a level entry, bright airy rooms, and an inviting open concept design. The interior was recently painted. The exterior was just pressure washed and trim restored. Situated on a cul-de-sac in quiet well maintained neighborhood with plenty of parking. The property has mature landscaping, which provides a private backyard. The inside laundry has a sink and direct access to the spacious 3 car garage. There are nearby hiking trails, a bike path, and fully equipped park. Nearby shopping, views, and climate are a few other characteristics which make this property the perfect home for you.
Sal Orlando 805.235.9770
Month: March 2017
New Listing! Desirable West Templeton Home
Immaculate home in desirable West Templeton Wildwood subdivision. Premier location with private road to access 3 car garage from the back. Large lot provides room and privacy. The home is very light and bright throughout. Tile entry. Fireplace in living room. Spacious dining room. Kitchen opens up to family room with patio door to nicely landscaped backyard. Master suite has patio door out to back patio and is located separate from the 2 guest bedrooms. 3 car garage has work bench and storage cabinets. Backyard has raised garden beds and large garden shed. Neighborhood park. Community walking trails. No sidewalks, curbs or gutters makes this neighborhood quaint and unique. Wonderful peaceful home.
Kim Bankston 805.674.2298
New Listing! Great 2 Bedroom, 55+ Community
Grover Beach Twin Home on Corner Lot. Desirable two bedroom, two bath home in a great 55+ community. The home has been well-maintained and also has a two car garage with overhead storage space. Upgrades include New Walk-In Tub in hall bath , Dual Pane Windows and Forced Air Heating Unit. Nice low maintenance backyard back yard with private patio area with 220 outlet to add hot tub. **Information deemed reliable but not verified or guaranteed by broker**
Shea Hutchinson 805.260.6322
Housing News
New Home Sales
New home sales increased 6.1 percent higher in February to a 592,000 annualized rate that beats economists’ predictions of 565,000 and is near the top estimate of 600,000. Sales appeared to have gotten a boost from builder concessions as the median price fell a monthly 3.9 percent to $296,200 for a yearly rate that is in the negative column at minus 4.9 percent. Supply of new homes did rise slightly this month, up 4,000 to 266,000 currently on the market but relative to sales supply fell to 5.4 months from 5.6 months. Supply has been thin all cycle for new homes and was at only 5.5 months February of last year. The average price, which reflects high end properties jumped 9.9 percent in the month for a yearly 11.7 percent gain at $390,400 a new record.
Existing Home Sales
Existing home sales are down 3.7 percent in February to a 5.480 million annualize4d rate and below the economists’ predictions of 5.555 million. Details for the most part are weak including a 3.0 percent decline for single family sales to 4.890 million and a sharp 9.2 percent drop for condos to a 590,000 rate. Year on year single family sales are up 5.8 percent with condos fading and barely over zero at a level of only 1.7 percent. Total yearly gains in sales are up a solid 5.4 percent, median home sales are at a level of $228,400 up a healthy 7.7 percent. Supply has been very thin but is improving with 1.750 million resales on the market for a 4.2 percent gain from January. Relative to sales, supply is at 3.8 months vs. January’s 3.5 month supply. Days on the market are very short at 45 vs. 59 days a year ago.
FHFA House Price Index
The FHFA house price index came in unchanged in for the month of January with the year on year appreciation falling a steep 5 tenths to 5.7 percent. This is the weakest month to month showing more than four years and weakest yearly rate in 2 ½ years.
New Listing! Morro Rock Views in 3 Bedroom 2 Baths
A diamond in the rough, perhaps, but you won’t have to look far to find huge potential in this gem. From the first step through the front door the huge rooms and vaulted open beam and wood ceilings make a statement of quality and character. More living space than most homes of this era the living, family and all 3 bedrooms are of generous proportion with roomy closets. The attractive ceiling architecture carries through the primary living spaces and into bedrooms and bathrooms. A wall of windows across the west facing living and dining area provide ocean and Morro Rock views and the sunny decks invite you to sit and enjoy the coastal breeze and sunset. Whether looking for the perfect vacation home with plenty of room for family and friends or to put down roots for enjoying community this north Morro Bay home will give you all the charm and space needed.
Gail Riley 805.776.3072
CCL Market Update
Labor Market Conditions Index
Monthly employment reports have been solid but the labor market conditions index is barely above zero, at a rate of 0.6 percent for the month of February. Besides a series of negative readings that occurred this time last year, the indicator’s current run is the weakest of the recover.
FOMC Meeting
During the Federal Open Market Committee meeting members voted to raise the federal funds target range by 25 basis points to 0.75 and 1.00 percent. The outlook for the rest of the year is unchanged in the FOMC forecasts, still at 1.4 percent for the federal funds rate which works out to two more 25 basis point hikes. Change in statement language is centered in inflation which policy makers see stabilizing around their 2 percent target rate. Total inflation is already close to 2 percent but the core reading which excludes food and energy remains below target. Another change in language is the description of business investment which they said has “firmed somewhat” from the January meeting when it was then described as being soft. Other than those two slight changes in language there are no significant changes with the economic expansion described again as being moderate. The labor market is solid and continues to strengthen. Household spending is on a moderate rise, consumer and business sentiment have improved. There is no direct reference to the timing of the next rate hike but the FOMC is on track for two more rate hikes this year.
Mortgage Applications
The sharply higher rates last week did not hold back home buyers or refinancing homeowners during the week of March 10th. Purchase applications for home mortgage4s rose a seasonally adjusted 2 percent while applications for refinancing increased by 4 percent. Unadjusted , the purchase index rose 3 percent from the week prior and was up 6 percent from levels this time a year ago. The refinance share of mortgage activity rose 0.2 percentage points to 45.6 percent, continuing the previous week’s rebound from the lowest level since November 2008. The strength of mortgage activity for both homebuyers and home refinancers, despite a week of sharply higher rates, applications for both home buying and refinancing increased giving hope during this time of current high interest rates.
Consumer Price Index
Consumer prices are increasing while the key year on year level is getting a special lift from the 2016 comparison. Consumer prices rose only 0.1 percent as was expected, with the core coming in as expected as well at a 0.2 percent gain. The yearly comparison continues to climb, up 2 tenths to 2.7 percent, well above the 2 percent line and was last at this level nearly 5 years ago in March 2012. The core rate, however, which excludes energy remains steady at 2.2 percent. Energy prices fell a sharp 1.0 percent during the month of February with gasoline down 3.0 percent, yet the year on year rates are still very strong at plus 15.2 percent for overall energy and plus 30.7 percent for gasoline. Other components of the report to note are the strong gains for recreation and also apparel both of which rose 0.6 percent in the month and a gain, and a gain of 0.2 percent for food. Medical care rose only 0.1 percent with a yearly rate increase of 3.5 percent. Housing posted a third monthly gain of 0.3 percent monthly gain for a yearly increase of 3.2 percent.
Housing Market Index
The housing market index is up a very sharp 6 points this month of March. It increased to a level of 71 for the best reading of the economic cycle. Home builders’ current sales are at an index level of 78, up 5 points. Traffic has also seen gains with an 8 point increase to a level of 54. This is the third plus 50 score for this reading in the last four months. This score suggests that first time buyers, who had been previously holding down the housing sector during this cycle, are optimistic again and are looking to buy a new home.
Housing Starts
The headlines for the February housing starts report were mixed, strength in single family permits leads were favorable at 1.288 million annualized rate for starts. Total permits however were not as strong at a rate of 1.213 million. This compared to economists’ predictions of 1.270 million for both. Permits for single family homes, where building costs and sale prices are the highest, rose 3.1 percent in February to an 832,000 rate that is up 13.5 percent on a yearly basis. This is good news for a thinly supplied new home market. This gain, however, is offset by a downturn in multifamily units where permits fell 22 percent in the month to a rate of 381,000 that is down 11.2 percent on a yearly basis. Starts for single family homes were up 6.5 percent to a rate of 872,000 for a 3.2 percent yearly gain. Multifamily starts fell 3.7 percent in the month to a level of 416,000; however, they are still up 13.0 percent from a year ago. New supply is coming as homes under construction rose 1.3 percent to 1.091 million for the highest reading since the real estate bubble back in October of 2007.
Jobless Claims
Labor market conditions remain strong and stable as initial jobless claims are holding at trend, down 2,000 in the week of March 11th to a level of 241,000. The four week average has changed very little down nearly 10,000 from mid-February to a level of 237,250. Continuing claims are also favorable down 30,000 in the lagging data for the week of March 4th. The four week average is down 12,000 to 2.054 million. The average is down 27,000 from early February another positive indication of ongoing health in the labor market.
JOLTS
Job openings came in at 5.626 million in January and remaining strong and in line with their 2-year trend. Hiring is showing new acceleration which rose 2.6 percent in the month to 5.440 million for one of the best readings of the economic cycle. The quits rate is up 1 tenth to 2.2 percent, this hints at improved confidence among workers. The layoff rate remains low and unchanged at 1.1 percent. The narrowing of the gap between openings and hirings is welcome but may hint at possible wage inflation if employers have to make better offer to get their new recruits.
Housing Inventory Levels Reach Record Lows in San Luis Obispo County
Inventory levels always decrease during the winter months, in the past five years we saw around a 3-4 months inventory between November and February then around 5 months of inventory during the summer. This February there was only 2.5 months of inventory in San Luis Obispo County. There were a total of 820 active listings this February 2017, which is a significant decrease from 1,117 active listings in February 2016.
This is a seller’s market meaning now is a great time to list. The median home price has been increasing and there are more home buyers than sellers in the market. Buyers should be prepared to compete, presenting their highest and best offer quickly when they find the right home. The graph below shows the monthly inventory trend over the past five years.
New Listing! Gorgeous N. Grover Home!
Gorgeous north Grover Beach home located in the exclusive gated community of Mar Brisa! This tri-level home offers beautiful mountain and city views, while looking out the stunning picture windows. The 2197 sq. ft. home has 3 bedrooms, and 3 baths, an upgraded kitchen and formal dining room, and a family and formal living areas. Please notice the custom tile work and fine finishes throughout this wonderful home. Bonus: The sellers added over $40K in drought resistant landscaping, drainage, and drip system.
Collette Kutil 805.801.8114
New Listing! 2 Bedroom 2 Bath 55+ in Grover Beach
Very popular, close-knit 55+ retirement neighborhood with twin homes. Great floor plan with lots of room, living room, separate den, two bedrooms and two full bathrooms and two car attached garage with laundry hookups. Lovely private patio and low maintenance yard. Newer windows and carpet. Must be 55+ to live in the home, but any investor may purchase the home and there is no association fee!
Shari Bone 805.471.9184
New Listing! Laguna Green Condo in SLO
Located in Laguna Green complex just off Los Osos Valley Road. It is conviently located near shopping, dining, beautiful hiking trails and schools. Downtown SLO & Cal Poly is a 10 minute drive. Currently rented out until June 30, 2017.
David Singer 805.459.0127