What’s the Latest?
Week of May 27th-June 2nd
Property Tips and Tricks
If These Floors Could Talk
Imagine walking into a home and being able to decipher the history of its upkeep with just a glance at the floors. Similar to the rings of a tree, the condition of a home's floors can speak volumes about how well the property has been maintained.
It's important to remember that not all signs of wear are negative. Some marks tell stories of a home well-lived and loved. They key is distinguishing between character and neglect.
Below are a few quick tips depending on the type of flooring you'll encounter on your next home tour:
Hardwood: Well-kept hardwood that gleams under the sunlight suggests a homeowner’s diligent upkeep. Look for signs of regular polishing, absence of deep scratches, or boards free from warping. These details indicate a home that has been cherished and attentively preserved.
Tile: Cracked tiles can be a red flag, hinting at possible structural issues or neglect. However, spotless grout and a shiny finish suggest that the floors have seen regular cleaning and careful use.
Carpet: A carpet without stains or odors that springs back under your feet is a testament to regular professional cleaning and careful daily maintenance. On the other hand, worn paths or matted areas can indicate heavy use without adequate care.
As you survey a home's flooring, also pay attention to these indicators:
- Consistent Coloration: Uniform color across flooring suggests careful protection from sun fading and wear.
- Seamless Surfaces: The absence of gaps or lifting in flooring materials often indicates quality installation and maintenance.
- Attention to Detail: Notice the little things, like the condition of baseboards and thresholds, as they can reflect the overall attention given to the home.
When inspecting homes with hardwood floors covered by area rugs, it’s wise to lift the rugs to examine the condition of the wood beneath. Over time, sunlight can fade hardwood floors, leading to uneven coloring. If you’re considering a home adorned with multiple rugs and plan to rearrange or remove them, be prepared for the possibility of refinishing the floors to achieve a uniform hue. This detail is frequently missed by homebuyers and can result in an unexpected disappointment once the previous owner’s furniture and rugs are gone.
Next time you step into a home, take a moment to listen to what the floors are telling you. They might just reveal the hidden chapters of the property’s story and guide you in making an informed decision about its true condition.
Real Estate News
What's Going on with Home Prices and Sales?
Home Prices and Inventory Trends
While home prices are still on the rise, I expect the rate of increase to moderate as the year progresses. A growing national home inventory will likely temper the pace of price growth.
In local news, May saw a surge in new listings, surpassing the numbers from the previous year. In Monterey County, homes priced over $3 million experienced a significant jump in new listings this May, more than any May from 2019 to 2023. Most of the homes for sale at these price points are located in Carmel and Pebble Beach, as well as Carmel Valley. This surge has brought these higher-end homes' active inventory to a nearly three-year peak. However, there’s no immediate cause for alarm, as the inventory remains 35-40% below pre-pandemic levels for homes in this price range.
Market Dynamics
The accompanying chart showcases the new listings and sales for May from 2019 to 2024 for homes above $3 million. The chart uses bars to represent new listings and a line to indicate sales:
Economic Indicators
Inflation rates are moving favorably, suggesting we might see interest rate reductions come fall. A positive aspect of inflation has recently been the government debt-to-GDP ratio reduction.
Just this past week, the U.S. Treasury initiated a bond buyback program, enhancing liquidity in the bond market. This move could redirect funds into other assets, potentially including real estate.
Regional Housing Supply
While some regions in the country are seeing a substantial increase in housing availability, California, and specifically the Monterey Peninsula, remains an exception. In April, the Dallas metro area (8.1 Million People) approved more new housing units than the entire state of California (39 Million People). The persistent limitations on new development will continue to constrict the supply side of the market here.
Worked with me in the past? Share your experience.
Jonathan Balog
DRE# 01980970
Broker
M: 831.747.0310
[email protected]
Compass is a real estate broker licensed by the State of California operating under multiple entities. License Numbers 01991628, 1527235, 1527365, 1356742, 1443761, 1997075, 1935359, 1961027, 1842987, 1869607, 1866771, 1527205, 1079009, 1272467. All material is intended for informational purposes only and is compiled from sources deemed reliable but is subject to errors, omissions, changes in price, condition, sale, or withdrawal without notice. No statement is made as to the accuracy of any description or measurements (including square footage). This is not intended to solicit property already listed. No financial or legal advice provided. Equal Housing Opportunity. Photos may be virtually staged or digitally enhanced and may not reflect actual property conditions.
OUR WEEKLY UPDATE