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Businessman Looking At Prospect Of Higher Interest Rates

When Will Interest Rates Drop?

Will the Federal Reserve lower interest rates? It’s a matter of when, not if, according to the central bank. But the Fed has indicated that consumers shouldn’t expect any cuts until at least the spring.

To combat ongoing inflation, it raised the federal funds rate 11 times between March 2022 and July 2023. After its December 2023 session, the Fed forecasted it would make three quarter-point cuts by the end of 2024 to lower the benchmark rate to 4.6%.

Prices have started to come down, but the group has signaled it wants to see more positive data before pulling the trigger. CLICK for article.

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Economic update for the week of November 11, 2023

California third quarter housing affordability – The California Association of Realtors released their housing affordability index. It included that single-family detached-home affordability dropped to 15% in the third quarter of 2023, down from 16% in the second quarter and down from 18% one year ago. An income of $221,200 was needed to qualify for the monthly payment of $5,530 to purchase a $843,600 median priced home. Affordability for a condo or townhome dropped to 23% in the third quarter. An income of $170,400 was needed to qualify for the $4,200 payment to purchase a $650,000 median-price condo or townhome.

Stock markets posted another week of gains. Although there was not much economic news this week, stocks continued their November bounce after a tough October. The only day that markets did not advance was on Thursday after Fed Chairman Powell stated at a press conference that the Fed remained open to further rate increases. Investors felt that Fed comments after last week’s meeting meant that the Fed may be holding rates where they are, the highest levels in 22 years, to give them time to cool the economy. Stocks bounced back again on Friday. The latest consumer confidence report was released this week. It showed consumer confidence had slipped. That would be good news on the inflation front, as lower consumer confidence could slow consumer spending. Oil prices also continued to drop, which is also good news when looking at inflation. The Dow Jones Industrial Average closed the week at 34,283.10, up 0.7% from 34,061.32 last week. It is up 3.4% year-to-date. The S&P 500 closed the week at 4,415.24, up 1.8% from 4,338.34 last week. It is up 15% year-to-date. The Nasdaq closed the week at 13,798.11, up 2.4% from 13,478.28 last week. It is up 31.8% year-to-date.

U.S. Treasury bond yields – The 10-year treasury bond closed the week yielding 4.61%, up slightly from 4.57% last week. The 30-year treasury bond yield ended the week at 4.73%, down slightly from 4.77% last week. We watch bond yields because mortgage rates follow bond yields.

Mortgage rates – The Freddie Mac Primary Mortgage Survey reported that mortgage rates for the most popular loan products as of November 9, 2023, were as follows: The 30-year fixed mortgage rate was 7.50%, down from 7.76% last week. The 15-year fixed was 6.81%, down from 7.03% last week. Rates dropped all week. Next week’s rates should be closer to 7.5% on a 30-year fixed if the mortgage market remains where it was on Friday.

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A new law allows homeowner to sell ADUs like condos!

Accessory dwelling units, also referred to as ADUs and “granny flats,” have been available in California only as rentals. But a new law, Assembly Bill 1033, is giving Californians the opportunity to buy and sell them as condominiums.

ADUs come in all shapes and sizes — for example, a converted garage, a small home in the backyard, or, as often seen in San Francisco, an unused portion of the main house, said Assemblyman Phil Ting (D-San Francisco), who drafted the legislation.

Under AB 1033, which was signed into law this week, property owners in participating cities will be able to construct an ADU on their land and sell it separately, following the same rules that apply to condominiums. It gives homeowners more options for building on their property, and “the hope is, it would create more homeownership,” said Ting. CLICK

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The 8 most unexpected places in L.A. for a great bite to eat

From tacos at a tire shop to gas station cookies, check out our top picks for the city’s most clandestine cuisine.

Good food in L.A. isn’t hard to find, but sometimes a little detective work can be required, particularly in the age of Instagram pop-ups, Tock takeout orders and cottage bakeries. Having faded into the background, but never truly gone, is a different kind of unique dining experience: the unexpected places scattered across SoCal that also happen to offer a great, often inexpensive bite to eat. While some of our non-restaurant picks below have garnered local acclaim, their unlikely locations still make them noteworthy and special to us—so read on for our guide to the eight best unexpected places to eat in Los Angeles. For complete list CLICK

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A Record-Breaking Year For Southern California Luxury Real Estate Sets The Stage For 2022

From San Diego to Santa Barbara, 2021 was a record-breaking year for luxury real estate setting the stage for 2022. Sales activity reached historic levels in 2021 as did prices throughout Southern California. Here’s a look at what’s ahead in some of the hottest local luxury markets.

Greater San Diego

Andy Nelson, president of Willis Allen Real Estate, a leading luxury brokerage in San Diego, expects 2022 to continue the trend. “It’s basic Keynesian economics of supply and demand fundamentals,” he says. “Right now, the biggest issue is the threat of COVID. Big decisions are on hold. Though I still see future growth in the real estate world.”

According to the Greater San Diego Assn. of Realtors November Housing Supply Overview: “After a year of record-setting activity, homes are still selling quickly and at a steady pace … strong demand and low inventory help insure the market will remain competitive for a long time.”

For the 12-month period spanning December 2020 through November 2021 the overall median sales price in San Diego was up 16.8% to $730,000. The largest price gains were in the single-family homes segment, where prices increased 18.3% to $835,000 CLICK for article.

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Economic update for the week ending January 15, 2022

Stock markets down slightly for the week – This week the December CPI number, a key indicator of inflation, showed that consumer prices had risen 7% year-over-year, the largest increase since 1982. The Commerce
Department reported that U.S. retail sales dropped 1.9% in December, indicating that higher prices have consumers holding off on some purchases. Higher inflation often equates to higher interest rates. To combat inflation the Federal Reserve has indicated that they intend to hike short-term interest rates this year. They have also indicated that they intend to reduce their balance sheet by dialing back bond and mortgage security purchases. That has already caused long-term mortgage rates to rise. It should be pointed out that interest rates are still near historic lows, but they are above the all-time low levels in the depth of the pandemic. The Dow Jones Industrial Average closed the week at 35,911.81, down 0.9% from 36,231.66 last week. The S&P 500 closed the week at 4,662.85, down 0.2% from 4,677.03 last week. The NASDAQ closed the week at 14,893.75, down 0.3% from 14,935.90 last week.

U.S. Treasury bond yields – The 10-year treasury bond closed the week yielding 1.78%, almost unchanged from 1.76% last week. The 30-year treasury bond yield ended the week at 2.12%, almost unchanged from 2.11% last week. We watch bond yields because mortgage rates often follow treasury bond yields.

Mortgage rates – The January 13, 2022 Freddie Mac Primary Mortgage Survey reported mortgage rates for the most popular loan products as follows: The 30-year fixed mortgage rate was 3.45%, up from 3.22% last week. The 15-year fixed was 2.62%, up from 2.43% last week. The 5-year ARM was 2.57%, up from 2.41% last week.

Housing sales numbers for December will be out next week. We had a call with the California Association of Realtors on Friday. The housing numbers for December are quite strong. When they release their final numbers next week, they will report that more homes sold in 2021 than any year since 2006, which was when sub-prime mortgages allowed virtually anyone to qualify for a home loan.

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Economic Update For The Week Ending December 11, 2021

Stock markets recovered this week – News that the Omicron COVID variant is causing more mild symptoms than previous variants has helped stocks recover from some of their steep loses suffered after the variant was first discovered. The November CPI, a key index of inflation, showed that consumer prices were up 6.8% year over year, their highest increase in 39 years. The Dow Jones Industrial Average closed the week at 34,970.99, up 1.3% from 34,508.08 last week. It is up 14.3% year-to-date. The S&P 500 closed the week at 4,712.02, up 3.8% from 4,538.43 last week. It is up 24.6% year-to-date. The NASDAQ closed the week at 15,630.60, up 3.6% from 15,085.47 last week. It is up 20.7% year-to-date.

U.S. Treasury bond yields – The 10-year treasury bond closed the week yielding 1.48% up from 1.35% last week. The 30-year treasury bond yield ended the week at 1.86%, up from 1.69% last week. Bond yields dropped sharply on fears of the new Omicron variant. They have risen from those steep drops but are still lower than they were two weeks ago. We watch bond yields because mortgage rates often follow treasury bond yields.

Mortgage rates – The December 9, 2021, Freddie Mac Primary Mortgage Survey reported mortgage rates for the most popular loan products as follows: The 30-year fixed mortgage rate was 3.10%, unchanged from 3.11% last week. The 15-year fixed was 2.38% unchanged from 2.39% last week. The 5-year ARM was 2.45%, almost unchanged from 2.49% last week.

The November home sales reports will be released by the California Association of Realtors and the National Association of Realtors next week.

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Economic Update 9/5/2021

Economic Update For The Week Ending September 4, 2021

U.S. employers added 235,000 jobs in August – The Department of Labor and Statics reported that 235,000 new jobs were added in August . That number shocked analysts as economists surveyed by Dow Jones had predicted 720,000 new jobs. Experts point to a pullback in hiring due to a surge in new COVID cases. For example, the leisure and hospitality sector had been gaining 350,000 jobs a month for the last six months, but that stalled in August. There were also 400,000 workers that said could not work for pandemic-related reasons. Average hourly wages rose 4.3% year over year. The unemployment rate was 5.2% in August, down from 5.4% in July. It has fallen from a high of 14.8% at the start of the pandemic, but is a long way off from its 3.5% rate before the pandemic.

Stock Markets – Stock indexes remained mostly stable this week. Despite a disappointing jobs report that shocked experts, a hurricane that caused massive damage and flooding throughout the eastern U.S., and no letup in sight on the latest wave of COVID-19 cases, investors remained unfazed. The Dow Jones Industrial Average closed the week at 35,369.01, down 0.2% from 35,455.80 last week. It is up 15.6% year-to-date. The S&P 500 closed the week at 4,534.43, up 0.6% from 4,509.37 last week. It is up 20.6% year-to-date. The NASDAQ closed the week at 15,363.52, up 1.6% from 15,129.50 last week. It is up 19% year-to-date.

U.S. Treasury bond yields – The 10-year treasury bond closed the week yielding 1.33%, almost unchanged from 1.31% last week. The 30-year treasury bond yield ended the week at 1.94%, up slightly from 1.91% last week. We watch bond yields because mortgage rates often follow treasury bond yields.

Mortgage rates – The September 2, 2021, Freddie Mac Primary Mortgage Survey reported mortgage rates for the most popular loan products as follows: The 30-year fixed mortgage rate was 2.87%, unchanged from 2.87% last week. The 15-year fixed was 2.18%, unchanged from 2.17% last week. The 5-year ARM was 2.43%, unchanged from 2.42% last week.

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17 Hottest Restaurants in LA July 2021

The past year and a half has been an incredible challenge for restaurants across the country. LA has been no different, though the year 2021 has already seen a significant return to on-site dining due to eager diners looking for experiences and amazing food. LA’s restaurant scene seems to be mostly back to its pre-pandemic shape, though of course challenges remain with safety, staffing, and finances. The Eater LA heatmap has existed for more than 15 years as a place to answer the age-old question of “Where should I eat tonight?”

Typically restaurants here are less than six months old, giving a sense of what’s new to the LA dining scene. For restaurants that have established themselves as one of the city’s essential places to eat, check out the Eater LA Essential 38. Restaurants are placed on the map in geographical order, from west to east. CLICK

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Economic update June 26, 2021

Stock markets surged – S&P closed at record highs – Stock markets rallied and recovered from last week’s loses. Early in the week stocks rallied after Fed Chairman Jerome Powell stated that the Fed considered the current inflationary period transitory. He explained that comparing current prices to prices from one year ago when we were experiencing deflationary conditions at the worst part of the pandemic exaggerates inflation numbers. He also stated that prices are temporarily higher for goods and services due to pandemic related shut downs in manufacturing, and difficulties in hiring workers at a pace necessary to return to pre-pandemic levels. He stated that the Fed fully expects inflation to moderate as we move toward normalcy. On Thursday, President Biden announced that a bipartisan deal had been made on a $1.2 trillion infrastructure plan. Stocks rallied again as this spending will further stimulate the economy. The Dow Jones Industrial Average closed the week at 34,433.84, up 3.4% from 33,280.08 last week. It is up 12.4% year-to-date. The S&P 500 closed the week at 4,280.70, up 2.7% from 4,166.45 last week. It is up 13.9% year-to-date. The NASDAQ closed the week at 14,360.49, up 2.4%, from 14,030.38 last week. It is up 11.3% year-to-date.

U.S. Treasury bond yields – The 10-year treasury bond closed the week yielding 1.54%, up from 1.45% last week. The 30-year treasury bond yield ended the week at 2.16%, up from 2.01% last week. We watch bond yields because mortgage rates often follow treasury bond yields.

Mortgage rates – The June 24, 2021, Freddie Mac Primary Mortgage Survey reported mortgage rates for the most popular loan products as follows: The 30-year fixed mortgage rate was 3.02%, up from 2.93% last week. The 15-year fixed was 2.34%, up from 2.24% last week. The 5-year ARM was 2.53%, unchanged from 2.52% last week.

Southern California home prices increased 24.7% year-over -year in May – Real estate data company DQNews (formerly CoreLogic/DataQuick) reported that May existing home sales in their six county Southern California region Jumped over 100% from the number of sales last May. That surge is mostly related to a near stoppage in sales last May at the start of the pandemic. The median price jumped 24.7% in the six county region. That marked the highest year-over-year increase in the median price ever. The county by county numbers were as follows: Los Angeles County recorded a 25% increase in the median price. Orange County recorded a 19.3% increase in the median price. San Bernardino County recorded a 16.8% increase in the median price. Riverside County recorded a 22.5% increase in the median price. Ventura County recorded a 20.9% increase in the median price. San Diego County recorded a 22.9% increase in the median price.

May U.S. home sales – The National Association of Realtors reported that existing-home sales jumped 44.6% from the number of homes sold last May. The median price paid for a home in May was $350,300, up 23.6% from last May’s median price of $283,500. May marked the 111th straight months of year-over-year increases in the median price. The unsold inventory level is at a 2.5-month supply, down from a 4.6-month supply one year ago. First time buyers accounted for 31% of all purchases. Second-home and investor purchases accounted for 17% of all homes sold. Foreclosures and short sales accounted for less than 1% of all homes sold. All cash purchases accounted for 23% of all transactions.

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Economic Update June 19

Economic update for the week ending June 19, 2021

Stock markets dropped this week – Stock markets dropped following comments by Federal Reserve which were issued after their monetary policy meeting this week. In their comments they recognized that inflation is picking up at a faster rate than they had estimated. They said that they anticipated bringing rates above the 0% rate they dropped them to in the depths of the pandemic by making two rate hikes in 2023. Investors also drew the conclusion that even though they were not committing to rate hikes until 2023, they may take other tightening measures to keep the economy from overheating. Those include reducing bond purchases and other actions to tighten the money supply. The Dow Jones Industrial Average closed the week at 33,290.08, down 3.4% from 34,479.60 last week. It is up 8.7% year-to-date. The S&P 500 closed the week at 4,166.45, down 1.9% from 4,247.44 last week. It is up 10.9% year-to-date. The NASDAQ closed the week at 14,030.38, down 0.3% from 14,069.42 last week. It is up 8.9% year-to-date.

U.S. Treasury bond yields – The 10-year treasury bond closed the week yielding 1.45%, down slightly from 1.47% last week. The 30-year treasury bond yield ended the week at 2.01%, down from 2.15% last week. We watch bond yields because mortgage rates often follow treasury bond yields.

Mortgage rates – The June 17, 2021, Freddie Mac Primary Mortgage Survey reported mortgage rates for the most popular loan products as follows: The 30-year fixed mortgage rate was 2.93%, down slightly from 2.96% last week. The 15-year fixed was 2.24%, almost unchanged from 2.23% last week. The 5-year ARM was 2.52%, down slightly from 2.55% last week.

California home prices reach a new all-time high again in May – The California Association of Realtors reported that existing home sales totaled 445,680 on a seasonally adjusted annualized rate in May. That marked a month-over-month decrease of 2.7% from the near record number of homes sold in April. Year-over-year the number of sales were up 86.7% from last May when home sales ground to a halt due to the pandemic. The median price paid for an existing home in May was $818,260, up from April’s $813,980 median price. Year-over-year the median price increased 39.1% from last May when the median price was $588,070. May marked the highest year-over year gain in prices ever recorded, and the second straight month of year-over-year gains of over 30% in the median price, also a record. The California Association of Realtors tracks inventory levels based on how many months it would take to sell the active listings in all MLS systems at the current sales level. There was a 1.8 month supply of homes for sale in May, up from 1.6 months in April. There was a 3.2 month supply of homes for sale last May. The average 30-year fixed mortgage rate in May was 2.96%,down from 3.16% in May 2020

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ECONOMIC UPDATE 4/17/2021

Stocks continued their unprecedented rise again this week – A surge in consumer spending, increasing corporate profits, and inflation all point to the economy recovering much quicker than expected. That added to the effects of the nearly $2 trillion of stimulus that will be disbursed over the next 24 months, and possibly a giant infrastructure package has investors bullish on the economy. The Dow Jones Industrial Average topped 34,000 for the first time in history. It closed the week at 34,200.67, up 1.2% from 33,800.60 last week. It is up 11.6% year-to-date. The S&P 500 closed the week at 4,185.87, up 1.4% from 4,128.80 last week. It is up 11.3% year-to-date. The NASDAQ closed the week at 14,052.34, up 1.1% from 13,900.19 last week. It is up 8.6% year-to-date.

U.S. Treasury bond yields – The 10-year treasury bond closed the week yielding 1.59%, down from 1.67% last week. The 30-year treasury bond yield ended the week at 2.26%, down from 2.34% last week. We watch bond yields because mortgage rates often follow treasury bond yields.

Mortgage rates – The April 15, 2021, Freddie Mac Primary Mortgage Survey reported mortgage rates for the most popular loan products as follows: The 30-year fixed mortgage rate was 3.04%, down from 3.13% last week. The 15-year fixed was 2.35%, down from 2.42% last week. The 5-year ARM was 2.80%, down from 2.93% last week.

California existing home sales in March – The California Association of Realtors reported that existing, single-family home sales totaled 446,410 on an annualized basis in March. That represented a year-over-year increase of 19.7% from the 373,070 annualized rate of homes sold in March 2020. The median price paid for a home climbed 8.6% month-over-month from the median price in February. The median price paid for a home in California was $758,990 up 23.9% from the median price of $612,440 last March. There was just a 1.6 month supply of homes for sale in March, down from a 2.6 month supply one year ago. Below please find a graph of regional statistics for Southern California.

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LA COUNTY SLOWLY REOPENS

As of 12:01am Monday, March 15th, LA County has officially moved from the purple tier into the less restrictive red tier, as part of California’s ongoing Blueprint For A Safer Economy program. The transition means modified reopenings for multiple sectors of the County, including gyms, movie theaters, yoga and dance studios, museums, zoos, and aquariums. For restaurants, it means that for the first time since last summer, indoor dining can begin to resume. CLICK

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Economic Update For The Week Ending February 20, 2021

Stock markets ended the week slightly lower on inflation fears – U.S. retail sales jumped 5.3% in January. This unexpected jump was credited mostly to consumers spending stimulus checks, as well as a general feeling that the worst of COVID is behind us. On the other hand, investor’s confidence in the economy, and a tremendous amount of stimulus money being added to the economy, has promoted fears of inflation. Those inflation fears, and economic optimism have caused bond yields to increase. Higher bond yields lead to higher interest rates which increases borrowing costs for businesses, consumers, governments, and mortgages. This held stock markets from jumping again this week despite strong corporate earnings, a drop in COVID cases, and strong data from just about all sectors. The Dow Jones Industrial Average closed the week at 31,494.32, up 0.1% from 31,458.40 last week. It is up 2.9% year-to-date. The S&P 500 closed the week at 3,906.71, down 0.7% from 3,934.83 last week. It is up 4.0% year-to-date. The NASDAQ closed the week at 13,874.36, down 1.6% from 14,094.47 last week. It is up 7.7% year-to-date.

U.S. Treasury bond yields – The 10-year treasury bond closed the week yielding 1.34%, up from 1.20% last week. The 30-year treasury bond yield ended the week at 2.14%, up from 2.01% last week. We watch bond yields because mortgage rates often follow treasury bond yields.

Mortgage rates – The February 18, 2021, Freddie Mac Primary Mortgage Survey reported mortgage rates for the most popular loan products as follows: The 30-year fixed mortgage rate was 2.81%, up from 2.73% last week. The 15-year fixed was 2.21% almost unchanged from 2.19% last week. The 5-year ARM was 2.77%, almost unchanged from 2.79% last week.

California existing home sales – The California Association of Realtors reported that existing, single-family home sales totaled 484,730 on an annualized basis in January. That represented a year-over-year increase of 22.5% from the 395,700 annualized rate of homes sold in January 2020. The median price paid for a home in California was $699,890, up 21.7% from the median price of $575,160 last January. Inventory levels were lower than one year ago. There was just a 1.5-month supply of homes for sale in January, down from a 3.4-month supply one year ago.

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What Will Real Estate Look Like In 2021?

What Will Real Estate Look Like In 2021?
Chances are, you or someone you know has bought or sold a house in the last 10 months. No matter if you are moving across the street or across the country, it’s all part of a record-setting real estate boom.
The Covid-19 pandemic has affected every industry, but perhaps none as surprisingly as real estate. Triggered by job and financial changes, the push to stay at home and low interest rates, a record number of people have bought homes during the pandemic, even as a recession lingers and unemployment rates remain high. And the trend will continue throughout 2021.
The real estate boom is far from over. Here are three key homebuying trends to look for in 2021. For complete article in Forbs, CLICK

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VOTE VOTE VOTE!!!!

One of the most important elections in out nations history.  If you still have a ballot DO NOT MAIL IT. You can drop it off at numerous mail drop boxes CLICK to find them in your area.  If you are unsure of your polling place CLICK.  If You want to vote in person mask up and  CLICK.  Vote for yourself, your children, your parents and for those who can’t.

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Economic Up Date 9/26/2020

Economic update for the week ending September 26, 2020 

Stocks were down for a seventh straight week - The Dow and S&P closed  lower again this week. Major contributors to the drop in stocks this week were: New Coronavirus cases increased both in the U.S. and Europe. Hopes of a new round of stimulus once thought to be done deal has faded. It is feared that no stimulus package will be approved before the election. Trade tensions with China appear to be escalating. First time unemployment claims increased unexpectedly last week. The Dow Jones Industrial Average closed the week at 27,173.96, down 1.7% from 27,657.42 last week. It’s down 4.8% year-to-date. The S&P 500 closed the week at 3,298.96, down 0.6% from 3,319.47 last week. It’s up 2.1% year-to-date. The NASDAQ closed the week at 10,913.56, up 1.1% from 10,893.28 last week. It’s up 21.6% year-to-date.

U.S. Treasury bond yields The 10-year treasury bond closed the week yielding 0.66%, down slightly from 0.70% last week. The 30-year treasury bond yield ended the week at 1.40% down from 1.45% last week.

Mortgage rates – The September 24, 2020, Freddie Mac Primary Mortgage Survey reported mortgage rates for the most popular loan products as follows: The 30-year fixed mortgage rate average was 2.90%, unchanged from 2.87% last week. The 15-year fixed was 2.40%, unchanged from 2.37% last week. The 5-year ARM was 2.90%, down from 2.96% last week.

U.S. existing-home sales and prices soared in August -  The National Association of Realtors reported that U.S. existing-home sales hit  6 million in August on a seasonally adjusted yearly basis. The number of homes sold in August was 10.5% higher than August 2019. That marked the highest number of homes sold in a month since December 2006. Prices also surged. Nationally the median price paid for a home jumped 11.4% from one year ago. 

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The Essential Guide to L.A.’s Post-Pandemic Real Estate Roller Coaster

L.A. real estate in the post-pandemic era is about 
to undergo massive changes as millions work from home, hipster hoods falter amid retail meltdown, and the city’s newest hot spot might be monopolized by the richest man on Earth. Will massive home equity growth come to a crashing halt? Or will the residential market reset to its pre-pandemic self this summer? With millions sheltering in place, here’s what’s hitting home. CLICK   for article. #lamag

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Economic Update

Economic update for the week ending August 15, 2020

Stock markets were up again this week - Stocks rallied again this week despite congress’ failure to pass another stimulus package. Fortunately, investors feel a package containing approximately $2 trillion in stimulus will pass. The main sticking point in the bill is the approximate $1 trillion of the Democrat’s $3 trillion bill that will be given to state and city governments to offset budget deficits caused by loss of tax revenue due to the pandemic. Republicans don’t want to use federal money to bail out state and local governments. It’s also widely felt that many state and local governments would return to more strict business closures and stay-at-home orders if not for financial concerns. Retail sales in July reached pre-pandemic levels, as did housing sales. The number of first time unemployment claims dropped below 1 million last week for the first time since March. The Dow Jones Industrial Average closed the week at 27,931.02, up 1.8% from 27,433.48 last week. It’s down 2.1% year-to-date. The S&P 500 closed the week at 3,372.85, up 0.6%  from 3,351.26 last week. It’s up 4.4% year-to-date. The NASDAQ closed the week at 11,017.12, up 0.1% from 11,010.94 last week. It’s up 22.8% year-to-date.

U.S. Treasury bond yields The 10-year treasury bond closed the week yielding 0.71, up from 0.57% last week. The 30-year treasury bond yield ended the week at 1.45%, up  from 1.28%  last week.

Mortgage rates – The August 13, 2020 Freddie Mac Primary Mortgage Survey reported mortgage rates for the most popular loan products as follows: The 30-year fixed mortgage rate average was 2.96%, up from 2.88% last week. The 15-year fixed was 2.48%, up from 2.44% last week. The 5-year ARM was 2.90% unchanged  from 2.90% last week.

California homes were more affordable in the second quarter of 2020 - The California Association of Realtors announced that 33% of California households could afford to purchase a median priced single family home in the second quarter of 2020, up from 30% in the second quarter of 2019. The income needed to purchase a $610,850 median priced home was $115,200. That qualified for a payment of $2,880 which included principal, tax, and insurance on a 3.43%  30-year fixed loan with 20% down. 44% of California households were able to qualify for a median priced condominium or townhouse. The income needed to qualify for a payment of $2,280 was $90,000. That payment included principal, interest, taxes, insurance, and homeowner’s fees.
Official home sales numbers for July will be released next week, but preliminary numbers were quite strong. It appears that the number of sales will be about 6% higher this July than last July, and the median price will show a staggering increase of nearly 10% from one year ago. The official numbers will be included in next week’s report.
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The Ultra Rich Are Still Buying $50-Million Dollar Homes

Ira Meltzer is the busiest he’s been in 35 years. As the managing director of residential financing firm One Million Dollar Plus, he specializes in securing massive home loans for celebrities. Over the next month, he’s set to close more than $90 million in financing.  Apparently, the ultra-rich are still buying homes. Although sales on the lower end of the market have all but seized up, the pandemic (and the new showing restrictions that have resulted from it) has done little to slow L.A.’s luxury market.

In 2019, L.A. County recorded 85 residential sales of $5 million or more in March. For more information CLICK

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Property In Los Angeles CanBe Shown Again

L.A. real estate agents can get off their Zoom calls, and go back to showing properties.

Mayor Eric Garcetti released a revised “Safer at Home” order Monday that states, “housing units and real property may be shown” by appointment if there are no more than two visitors at a time.Home showings of renter-occupied units are only allowed if the property owner obtains the tenant’s written consent.The revised city law does not lift the ban on open houses, and it is not known if L.A. County will follow in the city’s footsteps. A message left Wednesday with the County Board of Supervisors was not immediately returned.But the measure lifts the shackles for many agents who miss doing what they do best: pitching a physical property to a potential buyer.  For more information CLICK #realdeal

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Coronavirus In LA: Your No-Panic Guid To Daily Life & The New (A Changing) Rules

Life in L.A. — and really, most of the country at this point — has been fundamentally changed. We don’t know yet what the new normal is going to be, and we don’t know when. Some local officials are eyeing mid-May to start rolling back restrictions, but a lot would have to happen first.

Life in L.A. — and really, most of the country at this point — has been fundamentally changed. We don’t know yet what the new normal is going to be, and we don’t know when. Some local officials are eyeing mid-May to start rolling back restrictions, but a lot would have to happen first.
Gov. Gavin Newsom’s plan for relaxing the stay-at-home order hinges on six key metrics with phases on phases. L.A. Mayor Eric Garcetti has a plan with five key marks to hit.
On April 27, Garcetti told us this: “My sense is probably in the next two to six weeks we’ll see some baby steps forward.”
Garcetti, who was talking to our newsroom’s public affairs show AirTalk, which airs on 89.3 KPCC, added ”it’s not really about a date, or how few cases you have — it’s about the infrastructure you have to handle opening up.”
So here’s where we are:
Californians are still under orders to stay home unless working essential jobs or seeking essential servicesBusinesses are closed, a staggering number of people are out of work, and if you’re not sure what day it is, we can relate.
The U.S. still has the highest number of confirmed cases of COVID-19 in the world, with local numbers contining to rise.And we are still publishing and updating this guide. For weeks now we’ve been doing what we can to help combat fear, anxiety and frustration by:

  • Bringing you the most recent and accurate information
  • Explaining what’s happened/happening in clear language (but let us know if we’re falling short)
  • Continuing to update this comprehensive guide as new information becomes available (it’s now basically impossible to count how many updates we have made.)  For more information CLICK
  • #lalist
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You can now visit a breakup-themed bar in Los Angeles for an anti-Valentine’s Day celebration

Looking for something a bit different?  The pop-up is running from January 31 through February 16. I headed to the West Hollywood area around 8 p.m. on a Friday night for an evening at the bar. I decided to go to the bar alone to get a truly “single” experience. Although I’m currently in a relationship, I have gone through a breakup before (right before Valentine’s Day, actually) and have also helped friends through their heartbreak. I wanted to see if the anti-Valentine’s Day cocktail bar would be a good place to try and mend a broken heart. CLICK

 

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Los Angeles’ biggest home sales of 2019 hit the $150-million mark

It was a year of one-upmanship for Los Angeles’ high-end housing market. Trophy estates in prized Westside pockets twice shattered the county (and state) price record, while markets such as Hollywood Hills West showed that big things may be in store in 2020 after recording their highest sales in about a decade.

Of the top single-family home sales, more than 30 surpassed the $20-million mark in 2019, according to Property Shark. Among those were six sales north of $70 million and three sales of $100 million or more. Here’s a closer look at L.A. County’s biggest sales of the year. CLICK #LATIMES

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5 Reasons You Need To Visit West Hollywood

If you find yourself on the West Coast often, you’ve probably checked off most of the top tourist spots in LA. On repeat trips, don’t rehash old itineraries, instead, get super local by discovering new neighborhoods. These are the top reasons why you need to visit West Hollywood.

Also known as WeHo, a stop in West Hollywood should feature in your next California vacation plans for celebrity spotting, great dining and the opportunity to try out all the latest wellness trends. This small city of just 37,000 residents is where rock ’n’ roll’s elite come to party and this is why you should join them. CLICK for article. #forbes

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The best hotels in Palm Springs

If you’re going to book a stay in Palm Springs, do it at one of these luscious hotels

Hotels and Palm Springs go together like mountain views and citrus trees. Hotels are so ingrained in the culture and history of Coachella Valley cities that staying in one is part of the desert experience.

For nearly a century now, they’ve hosted health-seekers, Hollywood stars, industry giants, and Southern California vacationers. Many of the earliest properties in the area have been refreshed to meet today’s fascination with the Palm Springs area, and the historic midcentury modern properties are wearing their updates especially well. For a list CLICK #curbedla

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How to sell your house fast

If you need to sell your house fast, you probably don’t have a whole lot of time to research the current real estate market and ponder how it’ll affect your home sale. You just want sales guidance from a real estate agent (here’s how to find a real estate agent in your area) or other pro that will help you find a buyer as fast as possible.

Well, here’s the good news: It is possible for you, as a seller, to offload your home quickly. The experts say selling comes down to a few key to-do’s that you should take care of before your property hits the market.  For more information CLICK #realtor.com

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Are baby boomers ruining the housing market for everybody else?

If you follow the real estate pages, you have probably seen stories claiming that baby boomers are creating havoc in the housing markets — pushing up prices, staying in their homes too long and overtaxing rental markets. Some stories even predict that boomers will cause regional market crashes in coming decades.

But are the actions of baby boomers really so problematic? And are the homeownership decisions of aging boomers key to understanding the future of home-price dynamics? #LATIMES for more information  CLICK

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Mortgage Rates Remain Stable to Start 2020

The new decade has kicked off with a fairly stable interest-rate environment for home loans.

The 30-year fixed-rate mortgage averaged 3.72% during the week ending Jan. 2, down two basis points from the previous week, Freddie Mac, reported Thursday.

Similarly, the 15-year fixed-rate mortgage fell three basis points to an average of 3.16%, according to Freddie Mac. The 5/1 adjustable-rate mortgage, meanwhile, increased one basis point to an average of 3.46%. CLICK for article. #realtor.com

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