Stan Tabler

Santa Barbara Real Estate, Montecito Real Estate, Hope Ranch Real Estate & Goleta Real Estate

Stan Tabler, Santa Barbara Real Estate Stan Tabler, Santa Barbara Real Estate

(805) 689-2305

Santa Barbara Real Estate Services

Santa Barbara Real Estate Services The decision to purchase real estate or to place your home for sale in the Santa Barbara real estate market can be one of the biggest you and your family will make at any given time. This decision can be made easier if you are adequately informed about the buying and selling process, the local real estate market and the neighborhoods and communities in which you are interested. As a local real estate professional with more than thirty years of experience helping buyers and sellers just like you, it would be my great pleasure to introduce you to the Santa Barbara Real Estate Services I offer to both buyers and sellers.

For sake of simplicity, buying a home is a three-step process: finding the right community, finding the right home and negotiating the best contract terms. For your convenience, I have compiled a wealth of information on local communities and their real estate trends as well as provided you access to the search the entire Santa Barbara MLS to view available properties. Once we have narrowed down the ideal community and the right home, I will use my many years of experience and expertise and my Santa Barbara Real Estate Services to negotiate the contract terms to suit your needs and to exceed your expectations.

For sellers, I believe you will find my commitment to untiring communication and service, masterful marketing and negotiation skills to be most refreshing. Resulting from years of extensive experience and research, a superior ability to anticipate problems and solve them and unsurpassed ethics and professionalism, you will find these qualities will help your home sell quickly and for its highest dollar.

Whether you are moving across town or across the country, it would be my great pleasure to assist you with all your housing needs and to share my Santa Barbara Real Estate Services with you and your family. Please feel free to browse my Santa Barbara Home Buying and Selling Tips at your leisure and do not hesitate to contact me, Stan Tabler at your convenience. I look forward to hearing from you soon and assisting you with all your real estate goals, big and small.

Santa Barbara South Coast Real Estate Update

June 12, 2022 

Direct from the County Recorder’s Office by way of Fidelity National Title, the total number of monthly residential sales on the South Coast of Santa Barbara County was down 33% from 209 in May 2021 to 140 in May 2022.  In May 2022 there were 92 House/PUD (Planned Unit Development) sales (down 42% from 2021) with a median sales price of $2,225,000 (down 2% from 2021) and an average sales price of $3,228,543 (down 9% from 2021).  In May 2022 there were 48 Condominium sales, (down 2% from 2021) with a median sales price of $1,107,500 (up 34% from 2021) and an average sales price of $1,092,141 (up 7% from 2021).  Year to date, there were a total of 685 residential sales in 2022 (down 29% from 2021), with a median sales price of $1,800,000 (up 16% from 2021) and an average sales price of $2,809,808 (up 16% from 2021).

In Carpinteria, there were a total of 18 residential sales in May 2022, up from 11 in April.  In May 2022 the median price of the 11 House/PUD sales was $2,250,000 and the average price was $3,206,496.  In May 2022 the median price of the 7 Condominium sales was $735,000 and the average price was $738,929.  The lowest-priced Carpinteria sale in May 2022 was a Condominium on Hickory Street @ $525,000 and the highest was a House on Shepard Mesa Road @ $8,050,000.

In Summerland, there were a total of 4 residential sales in May 2022, up from 3 in April.  In May 2022 the median price of the 3 House/PUD sales was $2,300,000 and the average price was $2,333,333.  In May 2022 the median and average price of the 1 Condominium sale was $1,820,000.  The lowest-priced Summerland sale in May 2022 was a Condominium on Banner Avenue @ $1,820,000 and the highest was a House on Banner Avenue @ $2,650,000.

In Montecito, there were a total of 16 residential sales in May 2022, down from 24 in April.  In May 2022 the median price of the 15 House/PUD sales was $5,250,000 and the average price was $6,800,000.  In May 2022 the median and average price of the 1 Condominium sale was $1,735,000.  The lowest-priced Montecito sale in May 2022 was a Condominium on Coast Village Road @ $1,735,000 and the highest was a House on Forge Road @ $15,050,000.

In Santa Barbara, there were a total of 49 residential sales in May 2022, down from 59 in April.  In May 2022 the median price of the 35 House/PUD sales was $2,413,000 and the average price was $2,774,847.  In May 2022 the median price of the 14 Condominium sales was $1,262,500 and the average price was $1,240,071.  The lowest-priced Santa Barbara sale in May 2022 was a House on N. Nopal Street @ $710,000 and the highest was a House on Campanil Drive @ $7,000,000.

In Hope Ranch, there was 1 sale in May 2022, down from 5 in April.  In May 2022 the median and average price of the 1 House sale was $3,200,000.  There are no Condominiums in Hope Ranch.  The only sale in May 2022 was a House on Via Dichosa @ $3,200,000.

In Goleta, there were a total of 52 residential sales in May 2022, up from 34 in April.  In May 2022 the median price of the 27 House/PUD sales was $1,740,000 and the average price was $1,941,704.  In May 2022 the median price of the 25 Condominium sales was $1,150,000 and the average price was $1,053,371.  The lowest-priced Carpinteria sale in May 2022 was a Condominium on Dearborn Place @ $540,000 and the highest was a House on Via Clarice @ $4,600,000.

Analysis

The COVID-19 pandemic has not only affected our daily lives but also how everyone buys and sells real estate.  Open houses and Broker Tours are once again allowed with optional mask-wearing.  Many Sellers who had avoided listing their homes due to COVID-19 concerns have now moved forward and listed their properties for sale as sale prices have surged, but inventory still remains very low.  Still, historically low mortgage interest rates and Buyers are still driving real estate values upward along the South Coast of Santa Barbara County.

All markets are hyper-localized, including the real estate market on the South Coast of Santa Barbara County with limited inventory and relatively higher values as compared to other areas of California and the United States.  Focusing on the supply in any market is a good way to anticipate where the markets are heading.  Along the South Coast of Santa Barbara County as of June 1st, there were 118 active House/PUD listings (up from 82 in May) and 16 active Condominium listings available (down from 19 in May).  Historically there has been more inventory available in the higher price ranges than in the lower ranges; as of June 1st, 29% of the 118 active House/PUD listings were located in the higher-valued Montecito and Hope Ranch areas.  Compare these current low totals to the inventory levels from 2007 to 2011 when the total number of active listings fluctuated between 734 and 1,026.  Historically the highest number of active listings along the South Coast was recorded in June of 1992 when there were an astounding 1,297 active listings available for Buyers to choose from.

In all of 2021, there were only 2 bank-owned sales along the South Coast of Santa Barbara County and as of June 1st there was only 1 bank-owned pending sale on the South Coast of Santa Barbara County: a long-delayed foreclosure at 374 Cinderella Lane listed @ $1,155,000.  There have been very few distress sales due to homeowner equity rising so quickly which allows them to “bailout” their financially distressed properties, pay off their mortgage and avoid foreclosure.  To check out California’s foreclosure list by County, check out this link: California Foreclosure Trends by County .

As of April 2022 (the latest monthly data available from CoreLogic), the highest recorded median sales price in any California county was in San Mateo County @ $1,665,000 (up 9.5% from 2021) and the lowest recorded county median sales price was in Siskiyou County @ $225,000 (down .7% from 2021).  The median sales price in Santa Barbara County was $767,000 (up 4% from 2021) while the median sales price in the City of Santa Barbara was $2,100,000 (up 18.3% from 2021).  The lowest residential median sales price in any California city was recorded in Mojave in Kern County @ $90,000 (down 43.4% from 2021) and the highest was in Atherton in San Mateo County @ $11,780,000 (down 3.2% from 2021).  You could buy 131 median-priced Houses in Mojave, 15.4 in Santa Barbara County, or 5.6 in the City of Santa Barbara for the same price as 1 House in Atherton.  If you care to see a House you can buy in Mojave for only $95,000, check out https://www.realtor.com/realestateandhomes-detail/26341-Olanche-St_Mojave_CA_93501_M29373-47157?ex=2943023766 .  If you care to see a House you can buy in Atherton for $11,988,000, check out https://www.realtor.com/realestateandhomes-detail/97-Ridge-View-Dr_Atherton_CA_94027_M25697-33706?ex=2943585463  .

The Federal Reserve (the Fed) has maintained a near-zero rate since early 2020 due to the negative effects on the world economy due to COVID-19 and supply chain issues.  Jerome Powell took office as chairman of the Board of Governors of the Federal Reserve System in February 2018.  He was sworn in on May 23, 2022 for a second term as Chairman ending May 15, 2026.  The early May half-a-point hike was the biggest rate increase in 22 years and came as the Fed is trying to pull down inflation running at a 40-year high.  Not only did policymakers see the need to increase benchmark borrowing rates by half a point, but they also said similar hikes would likely be necessary at the next several meetings.  Mortgage interest rates have increased close to 2% since the beginning of 2022 and many economists predict they will continue climbing.  As of June 4th, you could lock in a $640,000 30-year fixed-rate loan at 5.25% with a 1% closing fee.  Strange as it may seem, if you borrow more than $642,700, the interest rate will actually go down to 5%.  Historically the lowest 30-year mortgage interest rate since 1970 was recorded in February 2021 at 2.65%, which was matched again in July 2021.  The highest historical mortgage rate was recorded in 1981 @ 18.63%.  As a comparison, a payment for a $640,000 mortgage in 1981 would have been $9,975/month; as of June 4th, it would be $3,534/month with a fee of $6,400.  According to the Mortgage Bankers Association, mortgage applications have decreased to their lowest levels since December 2018. 

Of the 140 sales in May 2022, 115 were over $1,000,000 which equates to 82% of the total sales, up from 80% in April.  The South Coast of Santa Barbara is not an inexpensive place to purchase real estate as compared to most areas of the United States, but again many people will pay more to live and invest in Santa Barbara.  According to PropertyShark, California has 89 of the 127 most expensive median-priced sales’ ZIP codes in the country with New York being the next highest with 17 ZIPs.  Santa Barbara has 4 of the pricey ZIPs with Montecito’s 93108 ZIP coming in at #7 nationally. https://www.propertyshark.com/Real-Estate-Reports/most-expensive-zip-codes-in-the-us 

The National Association of Home Builders Housing Market Index is a good indicator of where home builders see the national real estate home market going.  In May their confidence fell 8-point, more than expected, to 69.  Any reading above 50 on this index still signals expansion and while an index of 69 is not necessarily bad, the drops since December 2021 have been significant.  We shall see where this index goes in the future. 

According to USA Today, the national average for all-cash real estate sales was 33% in the first quarter of 2022,  25% in 2021, and 15% in 2020.  On the South Coast in May 2022, 26% of the sales were cash sales, down from 28% in April.  Review the attached list of the 140 properties sold on the South Coast of Santa Barbara County in May 2022 and/or contact me for  information on specific sales.

On June 1st UCLA presented its Economic Outlook which essentially suggests that the economy peaked a few months ago and is now slowing down, but it is not in a recession.  The Outlook predicts a recession is at least a year away, but maybe as much as 3 years away.  To watch the entire Economic Outlook click HERE.

On May 31st the Conference Board reported that the Consumer Confidence Index was 106.4, down from 108.6 in April.  In recent years the highest Index level recorded was 137.9 in October 2018 and it was more recently as high as 132.6 in February 2020, at the start of the COVID-19 pandemic.  Historically the highest Consumer Confidence Index level was recorded in September 2000 when the Index stood at 142.5.  “Consumer confidence dipped slightly in May, after rising modestly in April,” said Lynn Franco, Senior Director of Economic Indicators at The Conference Board.  “That said, with the Expectations Index weakening further, consumers also do not foresee the economy picking up steam in the months ahead. They do expect labor market conditions to remain relatively strong, which should continue to support confidence in the short run.  Meanwhile, purchasing intentions for cars, homes, major appliances, and more all cooled—likely a reflection of rising interest rates and consumers pivoting from big-ticket items to spending on services. Vacation plans have also softened due to rising prices. Indeed, inflation remains top of mind for consumers, with their inflation expectations in May virtually unchanged from April’s elevated levels. Looking ahead, expect surging prices and additional interest rate hikes to pose continued downside risks to consumer spending this year.”  To review the full report: https://conference-board.org/data/consumerconfidence.cfm . 

As for the worldwide cost of living as of June 3rd, Expatistan compiled an index of 267 major metropolitan areas.  The cost of gasoline was checked on June 3rd.  Expatistan’s list indicates #3 San Francisco with a 240 Price Index score is the most expensive area in California (a gallon of regular gas costs $5.68) and the least expensive is #99 Modesto with a Price Index score of 136 ($5.30/gallon).  In the USA, #2 New York City @ 250 ($4.99/gallon) was the most expensive and the least expensive was #143 Cedar Rapids, Iowa @ 115 ($4.37/gallon).  Of the top 25 most expensive areas worldwide, 4 are in California including San Francisco at #3, #11 Los Angeles @ 213 ($5.39/gallon), #18 San Diego @ 197 ($5.25/gallon), and #23 Sacramento @ 192 ($5.49/gallon).  The most expensive area to live in the world is #1 Hamilton (Bermuda) @ 273 ($8.81/gallon) and the least expensive is #267 Visakhapatnam (India) @ 44 ($5.09/gallon).  Santa Barbara is not on the list as Expatistan does not rate it as a major metropolitan area, but local gas prices of $5.87/gallon are higher than larger California urban areas.  As of June 9th  the highest gas price in California was $9.60/gallon in Mendocino.  Expatistan’s Cost of Living index is interesting to check out to compare the cost of living in cities around the world: https://www.expatistan.com/cost-of-living/index .

On June 2nd, Danielle Hale at realtor.com wrote about national housing trends @ https://www.realtor.com/research/weekly-housing-trends-view-data-week-may-28-2022/ 

“The median listing price maintained a surprising amount of momentum this week even as recent monthly data show signs of a growing gap between buyer and seller expectations in today’s housing market. The reasons are explored in more depth in today’s May Housing Trends Report, but in short, the median asking price may not be the earliest signal of shifting momentum. Our monthly measure of the share of sellers having to reduce their asking price to find a buyer, for example, rose from one year ago in March, April, and May. Even this measure remains lower than what is historically normal, a reminder that sellers remain more in control of the real estate transaction than has generally been the case, but it is a reminder, like the still low but growing number of homes for sale, that the tide is turning.”

Historically the highest Year-to-Date median sales price recorded on the Santa Barbara South Coast was recorded back in 2007 at $1,031,500.  In May 2022 the median sales price was $1,800,000, equal to $1,800,000 in April and up 21% from 2021.  The median sales price had been hovering near 2007’s historic high for most of 2017, 2018, and 2019, started an upward creep in 2020 and then accelerated in 2021.  Now in 2022 new record high median sales prices are being set.  In May 2022 the average South Coast sales price was $2,890,808.

Based on the Santa Barbara Multiple Listing Service data, as of June 1st in the City of  Santa Barbara, there were 43 active House/PUD listings and 28 pending sales, which equates to a low 1.5 month supply (up from .96 in April) of listings for Buyers to choose from.  Generally a “one-month supply” would indicate the listings would all be sold within one month.  A two-to-three-month supply of inventory would be considered a basic Seller’s market where demand is high and inventory is scarce, a one-to-two-month supply of inventory indicates a heated Seller’s market and a lower than one-month supply indicates a feverish Seller’s market.  Historically a four-to-six-month supply of available inventory would indicate a fairly well-balanced, normal market between Buyers and Sellers.  Typically more than a six-month supply is considered to be a Buyer’s market where inventory is plentiful; Buyers are slower to make decisions and want to compare everything on the market.  Based on Santa Barbara Multiple Listing Service data and as of June 1st, Carpinteria/Summerland had a 2.5 month supply (up from 1.4 in May), Montecito had a 2.5 month supply (up from 1.9 in May), Goleta had a .87 month supply (up from .56 in May) and Hope Ranch had a 1.8 month supply (down from 2 in May).   These inventory statistics indicate that Carpinteria/Summerland and Montecito are in a basic Seller’s market. Santa Barbara and Hope Ranch are in a heated Seller’s market.  Goleta remains in a feverish Seller’s Market.  With a combined total of 76 House/PUD pending sales (down from 73 in May) and 118 active listings (up from 82 in May) on the South Coast of Santa Barbara County, there is only a 1.6 month supply (up from 1.1 in May) of House/PUD listings from which Buyers can choose.  With a combined total of 30 Condominium pending sales (up from 28 in May) and only 19 active listings (same as 19 in May) on the South Coast of Santa Barbara County, there is only a .53 month supply (down from .68 in May) of Condominium listings from which Buyers can choose.  All areas, except Hope Ranch, now have more House/PUD listings to choose from than there were in May, but the South Coast market still remains in a heated Seller’s Market, a step down from a feverish Seller’s Market in April.  The market has calmed and instead of seeing 7+ offers on a listing, we are only seeing 3.  The South Coast Condominium market is still in a feverish Seller’s Market.

The ramifications of the concerns about COVID-19 and how it has and will continue to affect our world, the war in Ukraine, inflation, the cost of gasoline, scarcity of insurance companies in California, rising mortgage rates, and rising insurance premiums are all concerns to many Buyers, and Sellers.  Now that Proposition 19 has taken full effect, 55+ year-old homeowners can transfer their existing real estate tax base to a new home anywhere in California.  Mortgage interest rates have risen lately but are still near historical lows.  Extremely low inventory and the COVID-19 migratory trends toward smaller cities all have led to a surge in Santa Barbara property values.  With a number of qualified Buyers and lower inventory, do not expect to see values going down anytime soon.   Supply and demand dynamics have and will continue to affect the South Coast of the Santa Barbara Real Estate Market now and for a long time to come.

Feel free to contact me with any questions. 

Stan Tabler, CRS, GRI, ABR, GREEN

Compass

801 Chapala Street

Santa Barbara, CA 93101

805.689.2305

[email protected]

http://www.stantabler.com

CalBRE Brokers License #00774377 since 1980

Santa Barbara Real Estate Buying and Selling Tips

Home-Fire-Hardening-Disclosure-Advisory-4Download

Whether you are a first-time home buyer or a seasoned veteran who has bought and sold properties for decades, buying or selling a home can be a complex process. While I have compiled this list of Santa Barbara Home Buying and Selling Tips as a resource for both buyers and sellers just like you, there is nothing that can replace the guidance provided by a knowledgeable and trusted member of the real estate community. As a Santa Barbara Realtor with more than three decades of experience in the Santa Barbara and surrounding markets, it would be my great pleasure to share my vast experiences with you. Perhaps one of the biggest preparations sellers can make when listing their Santa Barbara CA houses for sale is to get their home ready for buyers’ first impressions. Items such as the walkway, front porch and entryway can be crucial in a buyer’s first impression. Be sure to keep these areas free from clutter, updated and fresh. Kitchens and bathrooms are also known to “sell homes.” These are great areas to consider a few upgrades to maximize your return. As part of the Santa Barbara Real Estate Services I offer to sellers, we will walk through your home together to determine if any updates or changes need to be made to emphasize your home’s most marketable qualities. For buyers, it is important to first ask yourself why you want to buy a home: To stop paying rent? To start building equity? To raise a family? To have a place of your own? To entertain business associates? To move up to a bigger home? Next, you should determine the type of home you would like to have. Be specific and be sure to separate the “needs” from the “wants.” Once you have started this process, it will be imperative to speak with a qualified loan consultant regarding a pre-qualification. These Santa Barbara Home Buying and Selling Tips will assist you in being ready to explore communities and tour homes of interest without going on a wild goose chase.

Should you have any questions about these Santa Barbara Home Buying and Selling Tips, I encourage you to contact me. As a local real estate professional who lives, works and plays within the communities I service, it would be my great pleasure to welcome you to our area or to help you find the perfect buyers for your Santa Barbara home. Please do not hesitate to contact me today. I look forward to hearing from you soon and to earning your trust and business. Let’s get started!

Why is Santa Barbara Real Estate so expensive?

The Santa Barbara County South Coast may be the most attractive area in all of California to live due to its coastal setting, weather and no/slow growth policies which have been legally, and more importantly mentally, in place since 1972. With a total population of just over 200,000 coupled with a job base larger than the number of housing units available, the unrelenting demand for residences far outstrips the limited supply. Demand to live on the South Coast comes not only from local South Coast buyers (who account for 69.1% of the sales), but from North County buyers (1.2%), California buyers (14.7%), Western United States buyers (6.4%), Eastern United States buyers (5.8%) and Buyers from Abroad (2.8%). The South Coast’s Median Home price runs over twice the price of California’s Median Home price. Santa Barbara is a world-class destination and a highly desirable place to live; real estate values are driven by lifestyle choices, not just by economics.

What is the Median Home Selling Price?

The Median Price represents the price point at which half the homes sell for more and half sell for less. The Median Price can fluctuate from month to month depending on the price-mix of homes sold.

Current Price Trends

South Coast of Santa Barbara County

For May 2022

Single Family Residence Market

Median Sales Price = $2,225,000

Lowest Sale Price = $710,000

Highest Sale Price = $15,050,000

Condominium/PUD Market

Median Sales Price = $1,107,500

Lowest Sale Price = $525,000

Highest Sale Price = $1,820,000

Where can I see Santa Barbara homes for sale?

Just go to “Property Search” to listings currently available in any given price range.

Buying Your Santa Barbara Home

Step 1

Meet with me to get a general overview of the current market and to discuss what you are looking for in a home. Contact Stan by e-mail at [email protected] or on his direct line at (805) 689-2305.

Step 2

Since you will be making a serious financial commitment, your next task is to determine your budget for your investment in Santa Barbara Real Estate. If you need a mortgage, you should start the Pre-Approval process with a local lender and determine your comfort level.

Step 3

Determine the size of Santa Barbara home you will require, or can live with, by identifying the spaces you need for your family’s activities. No house will ever fully live up to your dreams, so you will probably have to make some compromises. Break the process into parts and prioritize those parts. Mentally budget for the parts your really care about!

Step 4

Select target neighborhoods that meet your needs for commuting, shopping access, quality of schools, availability, style and recreational activities. There is an array of possibilities; during this step we will tour homes in a few Santa Barbara neighborhoods to give you a overall view of the area.

Step 5

After determining which Santa Barbara neighborhoods and will fit your desires, we will concentrate your home search in the chosen areas. This may entail e-mailing the new listings to you as they come on the market or calling you with the information.

Step 6

After locating a home acceptable to you, we will prepare an offer to be presented to the Seller. This offer will contain your inspection and financing contingencies.

Step 7

Upon mutual acceptance of your negotiated offer, an escrow will be opened to handle the paperwork and title insurance needed for you to purchase the property. In California, the escrow company is a neutral third party which follows mutually agreed upon instructions from the Buyer and Seller. Your deposit check, which is usually in the amount of 3% of the purchase price, will be deposited into this escrow account.

Step 8

The length of escrow is negotiated in the offer and can be long or short, but the usual length is 30-45 days. Usually the Buyer has a 17 day inspection contingency and the Buyer has the right to inspect the property and review any disclosures the Seller can provide. If the Buyer requires a mortgage, the time frame for removing the loan contingency is usually between 17 and 21 days. These time frames are all negotiable.

Step 9

Assuming that property checks out and you have removed all your contingencies, the balance of your funds is due in escrow the last business day prior to the escrow closing. Property transfers are recorded at 8:00 AM each business day and we usually get confirmation between 10:00 and 2:00, depending on how busy the County Recorder’s office is that particular day. Upon receiving confirmation the Seller usually releases the keys to the Buyer who is then free to occupy their new property.

 

Santa Barbara South Coast Real Estate Update

June 12, 2022 

Direct from the County Recorder’s Office by way of Fidelity National Title, the total number of monthly residential sales on the South Coast of Santa Barbara County was down 33% from 209 in May 2021 to 140 in May 2022.  In May 2022 there were 92 House/PUD (Planned Unit Development) sales (down 42% from 2021) with a median sales price of $2,225,000 (down 2% from 2021) and an average sales price of $3,228,543 (down 9% from 2021).  In May 2022 there were 48 Condominium sales, (down 2% from 2021) with a median sales price of $1,107,500 (up 34% from 2021) and an average sales price of $1,092,141 (up 7% from 2021).  Year to date, there were a total of 685 residential sales in 2022 (down 29% from 2021), with a median sales price of $1,800,000 (up 16% from 2021) and an average sales price of $2,809,808 (up 16% from 2021).

In Carpinteria, there were a total of 18 residential sales in May 2022, up from 11 in April.  In May 2022 the median price of the 11 House/PUD sales was $2,250,000 and the average price was $3,206,496.  In May 2022 the median price of the 7 Condominium sales was $735,000 and the average price was $738,929.  The lowest-priced Carpinteria sale in May 2022 was a Condominium on Hickory Street @ $525,000 and the highest was a House on Shepard Mesa Road @ $8,050,000.

In Summerland, there were a total of 4 residential sales in May 2022, up from 3 in April.  In May 2022 the median price of the 3 House/PUD sales was $2,300,000 and the average price was $2,333,333.  In May 2022 the median and average price of the 1 Condominium sale was $1,820,000.  The lowest-priced Summerland sale in May 2022 was a Condominium on Banner Avenue @ $1,820,000 and the highest was a House on Banner Avenue @ $2,650,000.

In Montecito, there were a total of 16 residential sales in May 2022, down from 24 in April.  In May 2022 the median price of the 15 House/PUD sales was $5,250,000 and the average price was $6,800,000.  In May 2022 the median and average price of the 1 Condominium sale was $1,735,000.  The lowest-priced Montecito sale in May 2022 was a Condominium on Coast Village Road @ $1,735,000 and the highest was a House on Forge Road @ $15,050,000.

In Santa Barbara, there were a total of 49 residential sales in May 2022, down from 59 in April.  In May 2022 the median price of the 35 House/PUD sales was $2,413,000 and the average price was $2,774,847.  In May 2022 the median price of the 14 Condominium sales was $1,262,500 and the average price was $1,240,071.  The lowest-priced Santa Barbara sale in May 2022 was a House on N. Nopal Street @ $710,000 and the highest was a House on Campanil Drive @ $7,000,000.

In Hope Ranch, there was 1 sale in May 2022, down from 5 in April.  In May 2022 the median and average price of the 1 House sale was $3,200,000.  There are no Condominiums in Hope Ranch.  The only sale in May 2022 was a House on Via Dichosa @ $3,200,000.

In Goleta, there were a total of 52 residential sales in May 2022, up from 34 in April.  In May 2022 the median price of the 27 House/PUD sales was $1,740,000 and the average price was $1,941,704.  In May 2022 the median price of the 25 Condominium sales was $1,150,000 and the average price was $1,053,371.  The lowest-priced Carpinteria sale in May 2022 was a Condominium on Dearborn Place @ $540,000 and the highest was a House on Via Clarice @ $4,600,000.

Analysis

The COVID-19 pandemic has not only affected our daily lives but also how everyone buys and sells real estate.  Open houses and Broker Tours are once again allowed with optional mask-wearing.  Many Sellers who had avoided listing their homes due to COVID-19 concerns have now moved forward and listed their properties for sale as sale prices have surged, but inventory still remains very low.  Still, historically low mortgage interest rates and Buyers are still driving real estate values upward along the South Coast of Santa Barbara County.

All markets are hyper-localized, including the real estate market on the South Coast of Santa Barbara County with limited inventory and relatively higher values as compared to other areas of California and the United States.  Focusing on the supply in any market is a good way to anticipate where the markets are heading.  Along the South Coast of Santa Barbara County as of June 1st, there were 118 active House/PUD listings (up from 82 in May) and 16 active Condominium listings available (down from 19 in May).  Historically there has been more inventory available in the higher price ranges than in the lower ranges; as of June 1st, 29% of the 118 active House/PUD listings were located in the higher-valued Montecito and Hope Ranch areas.  Compare these current low totals to the inventory levels from 2007 to 2011 when the total number of active listings fluctuated between 734 and 1,026.  Historically the highest number of active listings along the South Coast was recorded in June of 1992 when there were an astounding 1,297 active listings available for Buyers to choose from.

In all of 2021, there were only 2 bank-owned sales along the South Coast of Santa Barbara County and as of June 1st there was only 1 bank-owned pending sale on the South Coast of Santa Barbara County: a long-delayed foreclosure at 374 Cinderella Lane listed @ $1,155,000.  There have been very few distress sales due to homeowner equity rising so quickly which allows them to “bailout” their financially distressed properties, pay off their mortgage and avoid foreclosure.  To check out California’s foreclosure list by County, check out this link: California Foreclosure Trends by County .

As of April 2022 (the latest monthly data available from CoreLogic), the highest recorded median sales price in any California county was in San Mateo County @ $1,665,000 (up 9.5% from 2021) and the lowest recorded county median sales price was in Siskiyou County @ $225,000 (down .7% from 2021).  The median sales price in Santa Barbara County was $767,000 (up 4% from 2021) while the median sales price in the City of Santa Barbara was $2,100,000 (up 18.3% from 2021).  The lowest residential median sales price in any California city was recorded in Mojave in Kern County @ $90,000 (down 43.4% from 2021) and the highest was in Atherton in San Mateo County @ $11,780,000 (down 3.2% from 2021).  You could buy 131 median-priced Houses in Mojave, 15.4 in Santa Barbara County, or 5.6 in the City of Santa Barbara for the same price as 1 House in Atherton.  If you care to see a House you can buy in Mojave for only $95,000, check out https://www.realtor.com/realestateandhomes-detail/26341-Olanche-St_Mojave_CA_93501_M29373-47157?ex=2943023766 .  If you care to see a House you can buy in Atherton for $11,988,000, check out https://www.realtor.com/realestateandhomes-detail/97-Ridge-View-Dr_Atherton_CA_94027_M25697-33706?ex=2943585463  .

The Federal Reserve (the Fed) has maintained a near-zero rate since early 2020 due to the negative effects on the world economy due to COVID-19 and supply chain issues.  Jerome Powell took office as chairman of the Board of Governors of the Federal Reserve System in February 2018.  He was sworn in on May 23, 2022 for a second term as Chairman ending May 15, 2026.  The early May half-a-point hike was the biggest rate increase in 22 years and came as the Fed is trying to pull down inflation running at a 40-year high.  Not only did policymakers see the need to increase benchmark borrowing rates by half a point, but they also said similar hikes would likely be necessary at the next several meetings.  Mortgage interest rates have increased close to 2% since the beginning of 2022 and many economists predict they will continue climbing.  As of June 4th, you could lock in a $640,000 30-year fixed-rate loan at 5.25% with a 1% closing fee.  Strange as it may seem, if you borrow more than $642,700, the interest rate will actually go down to 5%.  Historically the lowest 30-year mortgage interest rate since 1970 was recorded in February 2021 at 2.65%, which was matched again in July 2021.  The highest historical mortgage rate was recorded in 1981 @ 18.63%.  As a comparison, a payment for a $640,000 mortgage in 1981 would have been $9,975/month; as of June 4th, it would be $3,534/month with a fee of $6,400.  According to the Mortgage Bankers Association, mortgage applications have decreased to their lowest levels since December 2018. 

Of the 140 sales in May 2022, 115 were over $1,000,000 which equates to 82% of the total sales, up from 80% in April.  The South Coast of Santa Barbara is not an inexpensive place to purchase real estate as compared to most areas of the United States, but again many people will pay more to live and invest in Santa Barbara.  According to PropertyShark, California has 89 of the 127 most expensive median-priced sales’ ZIP codes in the country with New York being the next highest with 17 ZIPs.  Santa Barbara has 4 of the pricey ZIPs with Montecito’s 93108 ZIP coming in at #7 nationally. https://www.propertyshark.com/Real-Estate-Reports/most-expensive-zip-codes-in-the-us 

The National Association of Home Builders Housing Market Index is a good indicator of where home builders see the national real estate home market going.  In May their confidence fell 8-point, more than expected, to 69.  Any reading above 50 on this index still signals expansion and while an index of 69 is not necessarily bad, the drops since December 2021 have been significant.  We shall see where this index goes in the future. 

According to USA Today, the national average for all-cash real estate sales was 33% in the first quarter of 2022,  25% in 2021, and 15% in 2020.  On the South Coast in May 2022, 26% of the sales were cash sales, down from 28% in April.  Review the attached list of the 140 properties sold on the South Coast of Santa Barbara County in May 2022 and/or contact me for  information on specific sales.

On June 1st UCLA presented its Economic Outlook which essentially suggests that the economy peaked a few months ago and is now slowing down, but it is not in a recession.  The Outlook predicts a recession is at least a year away, but maybe as much as 3 years away.  To watch the entire Economic Outlook click HERE.

On May 31st the Conference Board reported that the Consumer Confidence Index was 106.4, down from 108.6 in April.  In recent years the highest Index level recorded was 137.9 in October 2018 and it was more recently as high as 132.6 in February 2020, at the start of the COVID-19 pandemic.  Historically the highest Consumer Confidence Index level was recorded in September 2000 when the Index stood at 142.5.  “Consumer confidence dipped slightly in May, after rising modestly in April,” said Lynn Franco, Senior Director of Economic Indicators at The Conference Board.  “That said, with the Expectations Index weakening further, consumers also do not foresee the economy picking up steam in the months ahead. They do expect labor market conditions to remain relatively strong, which should continue to support confidence in the short run.  Meanwhile, purchasing intentions for cars, homes, major appliances, and more all cooled—likely a reflection of rising interest rates and consumers pivoting from big-ticket items to spending on services. Vacation plans have also softened due to rising prices. Indeed, inflation remains top of mind for consumers, with their inflation expectations in May virtually unchanged from April’s elevated levels. Looking ahead, expect surging prices and additional interest rate hikes to pose continued downside risks to consumer spending this year.”  To review the full report: https://conference-board.org/data/consumerconfidence.cfm . 

As for the worldwide cost of living as of June 3rd, Expatistan compiled an index of 267 major metropolitan areas.  The cost of gasoline was checked on June 3rd.  Expatistan’s list indicates #3 San Francisco with a 240 Price Index score is the most expensive area in California (a gallon of regular gas costs $5.68) and the least expensive is #99 Modesto with a Price Index score of 136 ($5.30/gallon).  In the USA, #2 New York City @ 250 ($4.99/gallon) was the most expensive and the least expensive was #143 Cedar Rapids, Iowa @ 115 ($4.37/gallon).  Of the top 25 most expensive areas worldwide, 4 are in California including San Francisco at #3, #11 Los Angeles @ 213 ($5.39/gallon), #18 San Diego @ 197 ($5.25/gallon), and #23 Sacramento @ 192 ($5.49/gallon).  The most expensive area to live in the world is #1 Hamilton (Bermuda) @ 273 ($8.81/gallon) and the least expensive is #267 Visakhapatnam (India) @ 44 ($5.09/gallon).  Santa Barbara is not on the list as Expatistan does not rate it as a major metropolitan area, but local gas prices of $5.87/gallon are higher than larger California urban areas.  As of June 9th  the highest gas price in California was $9.60/gallon in Mendocino.  Expatistan’s Cost of Living index is interesting to check out to compare the cost of living in cities around the world: https://www.expatistan.com/cost-of-living/index .

On June 2nd, Danielle Hale at realtor.com wrote about national housing trends @ https://www.realtor.com/research/weekly-housing-trends-view-data-week-may-28-2022/ 

“The median listing price maintained a surprising amount of momentum this week even as recent monthly data show signs of a growing gap between buyer and seller expectations in today’s housing market. The reasons are explored in more depth in today’s May Housing Trends Report, but in short, the median asking price may not be the earliest signal of shifting momentum. Our monthly measure of the share of sellers having to reduce their asking price to find a buyer, for example, rose from one year ago in March, April, and May. Even this measure remains lower than what is historically normal, a reminder that sellers remain more in control of the real estate transaction than has generally been the case, but it is a reminder, like the still low but growing number of homes for sale, that the tide is turning.”

Historically the highest Year-to-Date median sales price recorded on the Santa Barbara South Coast was recorded back in 2007 at $1,031,500.  In May 2022 the median sales price was $1,800,000, equal to $1,800,000 in April and up 21% from 2021.  The median sales price had been hovering near 2007’s historic high for most of 2017, 2018, and 2019, started an upward creep in 2020 and then accelerated in 2021.  Now in 2022 new record high median sales prices are being set.  In May 2022 the average South Coast sales price was $2,890,808.

Based on the Santa Barbara Multiple Listing Service data, as of June 1st in the City of  Santa Barbara, there were 43 active House/PUD listings and 28 pending sales, which equates to a low 1.5 month supply (up from .96 in April) of listings for Buyers to choose from.  Generally a “one-month supply” would indicate the listings would all be sold within one month.  A two-to-three-month supply of inventory would be considered a basic Seller’s market where demand is high and inventory is scarce, a one-to-two-month supply of inventory indicates a heated Seller’s market and a lower than one-month supply indicates a feverish Seller’s market.  Historically a four-to-six-month supply of available inventory would indicate a fairly well-balanced, normal market between Buyers and Sellers.  Typically more than a six-month supply is considered to be a Buyer’s market where inventory is plentiful; Buyers are slower to make decisions and want to compare everything on the market.  Based on Santa Barbara Multiple Listing Service data and as of June 1st, Carpinteria/Summerland had a 2.5 month supply (up from 1.4 in May), Montecito had a 2.5 month supply (up from 1.9 in May), Goleta had a .87 month supply (up from .56 in May) and Hope Ranch had a 1.8 month supply (down from 2 in May).   These inventory statistics indicate that Carpinteria/Summerland and Montecito are in a basic Seller’s market. Santa Barbara and Hope Ranch are in a heated Seller’s market.  Goleta remains in a feverish Seller’s Market.  With a combined total of 76 House/PUD pending sales (down from 73 in May) and 118 active listings (up from 82 in May) on the South Coast of Santa Barbara County, there is only a 1.6 month supply (up from 1.1 in May) of House/PUD listings from which Buyers can choose.  With a combined total of 30 Condominium pending sales (up from 28 in May) and only 19 active listings (same as 19 in May) on the South Coast of Santa Barbara County, there is only a .53 month supply (down from .68 in May) of Condominium listings from which Buyers can choose.  All areas, except Hope Ranch, now have more House/PUD listings to choose from than there were in May, but the South Coast market still remains in a heated Seller’s Market, a step down from a feverish Seller’s Market in April.  The market has calmed and instead of seeing 7+ offers on a listing, we are only seeing 3.  The South Coast Condominium market is still in a feverish Seller’s Market.

The ramifications of the concerns about COVID-19 and how it has and will continue to affect our world, the war in Ukraine, inflation, the cost of gasoline, scarcity of insurance companies in California, rising mortgage rates, and rising insurance premiums are all concerns to many Buyers, and Sellers.  Now that Proposition 19 has taken full effect, 55+ year-old homeowners can transfer their existing real estate tax base to a new home anywhere in California.  Mortgage interest rates have risen lately but are still near historical lows.  Extremely low inventory and the COVID-19 migratory trends toward smaller cities all have led to a surge in Santa Barbara property values.  With a number of qualified Buyers and lower inventory, do not expect to see values going down anytime soon.   Supply and demand dynamics have and will continue to affect the South Coast of the Santa Barbara Real Estate Market now and for a long time to come.

Feel free to contact me with any questions. 

Stan Tabler, CRS, GRI, ABR, GREEN

Compass

801 Chapala Street

Santa Barbara, CA 93101

805.689.2305

[email protected]

http://www.stantabler.com

CalBRE Brokers License #00774377 since 1980

Santa Barbara Real Estate Market Trends

Santa Barbara South Coast Real Estate Update

June 12, 2022

 

Direct from the County Recorder’s Office by way of Fidelity National Title, the total number of monthly residential sales on the South Coast of Santa Barbara County was down 33% from 209 in May 2021 to 140 in May 2022.  In May 2022 there were 92 House/PUD (Planned Unit Development) sales (down 42% from 2021) with a median sales price of $2,225,000 (down 2% from 2021) and an average sales price of $3,228,543 (down 9% from 2021).  In May 2022 there were 48 Condominium sales, (down 2% from 2021) with a median sales price of $1,107,500 (up 34% from 2021) and an average sales price of $1,092,141 (up 7% from 2021).  Year to date, there were a total of 685 residential sales in 2022 (down 29% from 2021), with a median sales price of $1,800,000 (up 16% from 2021) and an average sales price of $2,809,808 (up 16% from 2021).

In Carpinteria, there were a total of 18 residential sales in May 2022, up from 11 in April.  In May 2022 the median price of the 11 House/PUD sales was $2,250,000 and the average price was $3,206,496.  In May 2022 the median price of the 7 Condominium sales was $735,000 and the average price was $738,929.  The lowest-priced Carpinteria sale in May 2022 was a Condominium on Hickory Street @ $525,000 and the highest was a House on Shepard Mesa Road @ $8,050,000.

In Summerland, there were a total of 4 residential sales in May 2022, up from 3 in April.  In May 2022 the median price of the 3 House/PUD sales was $2,300,000 and the average price was $2,333,333.  In May 2022 the median and average price of the 1 Condominium sale was $1,820,000.  The lowest-priced Summerland sale in May 2022 was a Condominium on Banner Avenue @ $1,820,000 and the highest was a House on Banner Avenue @ $2,650,000.

In Montecito, there were a total of 16 residential sales in May 2022, down from 24 in April.  In May 2022 the median price of the 15 House/PUD sales was $5,250,000 and the average price was $6,800,000.  In May 2022 the median and average price of the 1 Condominium sale was $1,735,000.  The lowest-priced Montecito sale in May 2022 was a Condominium on Coast Village Road @ $1,735,000 and the highest was a House on Forge Road @ $15,050,000.

In Santa Barbara, there were a total of 49 residential sales in May 2022, down from 59 in April.  In May 2022 the median price of the 35 House/PUD sales was $2,413,000 and the average price was $2,774,847.  In May 2022 the median price of the 14 Condominium sales was $1,262,500 and the average price was $1,240,071.  The lowest-priced Santa Barbara sale in May 2022 was a House on N. Nopal Street @ $710,000 and the highest was a House on Campanil Drive @ $7,000,000.

In Hope Ranch, there was 1 sale in May 2022, down from 5 in April.  In May 2022 the median and average price of the 1 House sale was $3,200,000.  There are no Condominiums in Hope Ranch.  The only sale in May 2022 was a House on Via Dichosa @ $3,200,000.

In Goleta, there were a total of 52 residential sales in May 2022, up from 34 in April.  In May 2022 the median price of the 27 House/PUD sales was $1,740,000 and the average price was $1,941,704.  In May 2022 the median price of the 25 Condominium sales was $1,150,000 and the average price was $1,053,371.  The lowest-priced Carpinteria sale in May 2022 was a Condominium on Dearborn Place @ $540,000 and the highest was a House on Via Clarice @ $4,600,000.

Analysis

The COVID-19 pandemic has not only affected our daily lives but also how everyone buys and sells real estate.  Open houses and Broker Tours are once again allowed with optional mask-wearing.  Many Sellers who had avoided listing their homes due to COVID-19 concerns have now moved forward and listed their properties for sale as sale prices have surged, but inventory still remains very low.  Still, historically low mortgage interest rates and Buyers are still driving real estate values upward along the South Coast of Santa Barbara County.

All markets are hyper-localized, including the real estate market on the South Coast of Santa Barbara County with limited inventory and relatively higher values as compared to other areas of California and the United States.  Focusing on the supply in any market is a good way to anticipate where the markets are heading.  Along the South Coast of Santa Barbara County as of June 1st, there were 118 active House/PUD listings (up from 82 in May) and 16 active Condominium listings available (down from 19 in May).  Historically there has been more inventory available in the higher price ranges than in the lower ranges; as of June 1st, 29% of the 118 active House/PUD listings were located in the higher-valued Montecito and Hope Ranch areas.  Compare these current low totals to the inventory levels from 2007 to 2011 when the total number of active listings fluctuated between 734 and 1,026.  Historically the highest number of active listings along the South Coast was recorded in June of 1992 when there were an astounding 1,297 active listings available for Buyers to choose from.

In all of 2021, there were only 2 bank-owned sales along the South Coast of Santa Barbara County and as of June 1st there was only 1 bank-owned pending sale on the South Coast of Santa Barbara County: a long-delayed foreclosure at 374 Cinderella Lane listed @ $1,155,000.  There have been very few distress sales due to homeowner equity rising so quickly which allows them to “bailout” their financially distressed properties, pay off their mortgage and avoid foreclosure.  To check out California’s foreclosure list by County, check out this link: California Foreclosure Trends by County .

As of April 2022 (the latest monthly data available from CoreLogic), the highest recorded median sales price in any California county was in San Mateo County @ $1,665,000 (up 9.5% from 2021) and the lowest recorded county median sales price was in Siskiyou County @ $225,000 (down .7% from 2021).  The median sales price in Santa Barbara County was $767,000 (up 4% from 2021) while the median sales price in the City of Santa Barbara was $2,100,000 (up 18.3% from 2021).  The lowest residential median sales price in any California city was recorded in Mojave in Kern County @ $90,000 (down 43.4% from 2021) and the highest was in Atherton in San Mateo County @ $11,780,000 (down 3.2% from 2021).  You could buy 131 median-priced Houses in Mojave, 15.4 in Santa Barbara County, or 5.6 in the City of Santa Barbara for the same price as 1 House in Atherton.  If you care to see a House you can buy in Mojave for only $95,000, check out https://www.realtor.com/realestateandhomes-detail/26341-Olanche-St_Mojave_CA_93501_M29373-47157?ex=2943023766 .  If you care to see a House you can buy in Atherton for $11,988,000, check out https://www.realtor.com/realestateandhomes-detail/97-Ridge-View-Dr_Atherton_CA_94027_M25697-33706?ex=2943585463  .

The Federal Reserve (the Fed) has maintained a near-zero rate since early 2020 due to the negative effects on the world economy due to COVID-19 and supply chain issues.  Jerome Powell took office as chairman of the Board of Governors of the Federal Reserve System in February 2018.  He was sworn in on May 23, 2022 for a second term as Chairman ending May 15, 2026.  The early May half-a-point hike was the biggest rate increase in 22 years and came as the Fed is trying to pull down inflation running at a 40-year high.  Not only did policymakers see the need to increase benchmark borrowing rates by half a point, but they also said similar hikes would likely be necessary at the next several meetings.  Mortgage interest rates have increased close to 2% since the beginning of 2022 and many economists predict they will continue climbing.  As of June 4th, you could lock in a $640,000 30-year fixed-rate loan at 5.25% with a 1% closing fee.  Strange as it may seem, if you borrow more than $642,700, the interest rate will actually go down to 5%.  Historically the lowest 30-year mortgage interest rate since 1970 was recorded in February 2021 at 2.65%, which was matched again in July 2021.  The highest historical mortgage rate was recorded in 1981 @ 18.63%.  As a comparison, a payment for a $640,000 mortgage in 1981 would have been $9,975/month; as of June 4th, it would be $3,534/month with a fee of $6,400.  According to the Mortgage Bankers Association, mortgage applications have decreased to their lowest levels since December 2018. 

Of the 140 sales in May 2022, 115 were over $1,000,000 which equates to 82% of the total sales, up from 80% in April.  The South Coast of Santa Barbara is not an inexpensive place to purchase real estate as compared to most areas of the United States, but again many people will pay more to live and invest in Santa Barbara.  According to PropertyShark, California has 89 of the 127 most expensive median-priced sales’ ZIP codes in the country with New York being the next highest with 17 ZIPs.  Santa Barbara has 4 of the pricey ZIPs with Montecito’s 93108 ZIP coming in at #7 nationally. https://www.propertyshark.com/Real-Estate-Reports/most-expensive-zip-codes-in-the-us 

The National Association of Home Builders Housing Market Index is a good indicator of where home builders see the national real estate home market going.  In May their confidence fell 8-point, more than expected, to 69.  Any reading above 50 on this index still signals expansion and while an index of 69 is not necessarily bad, the drops since December 2021 have been significant.  We shall see where this index goes in the future. 

According to USA Today, the national average for all-cash real estate sales was 33% in the first quarter of 2022,  25% in 2021, and 15% in 2020.  On the South Coast in May 2022, 26% of the sales were cash sales, down from 28% in April.  Review the attached list of the 140 properties sold on the South Coast of Santa Barbara County in May 2022 and/or contact me for  information on specific sales.

On June 1st UCLA presented its Economic Outlook which essentially suggests that the economy peaked a few months ago and is now slowing down, but it is not in a recession.  The Outlook predicts a recession is at least a year away, but maybe as much as 3 years away.  To watch the entire Economic Outlook click HERE.

On May 31st the Conference Board reported that the Consumer Confidence Index was 106.4, down from 108.6 in April.  In recent years the highest Index level recorded was 137.9 in October 2018 and it was more recently as high as 132.6 in February 2020, at the start of the COVID-19 pandemic.  Historically the highest Consumer Confidence Index level was recorded in September 2000 when the Index stood at 142.5.  “Consumer confidence dipped slightly in May, after rising modestly in April,” said Lynn Franco, Senior Director of Economic Indicators at The Conference Board.  “That said, with the Expectations Index weakening further, consumers also do not foresee the economy picking up steam in the months ahead. They do expect labor market conditions to remain relatively strong, which should continue to support confidence in the short run.  Meanwhile, purchasing intentions for cars, homes, major appliances, and more all cooled—likely a reflection of rising interest rates and consumers pivoting from big-ticket items to spending on services. Vacation plans have also softened due to rising prices. Indeed, inflation remains top of mind for consumers, with their inflation expectations in May virtually unchanged from April’s elevated levels. Looking ahead, expect surging prices and additional interest rate hikes to pose continued downside risks to consumer spending this year.”  To review the full report: https://conference-board.org/data/consumerconfidence.cfm . 

As for the worldwide cost of living as of June 3rd, Expatistan compiled an index of 267 major metropolitan areas.  The cost of gasoline was checked on June 3rd.  Expatistan’s list indicates #3 San Francisco with a 240 Price Index score is the most expensive area in California (a gallon of regular gas costs $5.68) and the least expensive is #99 Modesto with a Price Index score of 136 ($5.30/gallon).  In the USA, #2 New York City @ 250 ($4.99/gallon) was the most expensive and the least expensive was #143 Cedar Rapids, Iowa @ 115 ($4.37/gallon).  Of the top 25 most expensive areas worldwide, 4 are in California including San Francisco at #3, #11 Los Angeles @ 213 ($5.39/gallon), #18 San Diego @ 197 ($5.25/gallon), and #23 Sacramento @ 192 ($5.49/gallon).  The most expensive area to live in the world is #1 Hamilton (Bermuda) @ 273 ($8.81/gallon) and the least expensive is #267 Visakhapatnam (India) @ 44 ($5.09/gallon).  Santa Barbara is not on the list as Expatistan does not rate it as a major metropolitan area, but local gas prices of $5.87/gallon are higher than larger California urban areas.  As of June 9th  the highest gas price in California was $9.60/gallon in Mendocino.  Expatistan’s Cost of Living index is interesting to check out to compare the cost of living in cities around the world: https://www.expatistan.com/cost-of-living/index .

On June 2nd, Danielle Hale at realtor.com wrote about national housing trends @ https://www.realtor.com/research/weekly-housing-trends-view-data-week-may-28-2022/ 

“The median listing price maintained a surprising amount of momentum this week even as recent monthly data show signs of a growing gap between buyer and seller expectations in today’s housing market. The reasons are explored in more depth in today’s May Housing Trends Report, but in short, the median asking price may not be the earliest signal of shifting momentum. Our monthly measure of the share of sellers having to reduce their asking price to find a buyer, for example, rose from one year ago in March, April, and May. Even this measure remains lower than what is historically normal, a reminder that sellers remain more in control of the real estate transaction than has generally been the case, but it is a reminder, like the still low but growing number of homes for sale, that the tide is turning.”

Historically the highest Year-to-Date median sales price recorded on the Santa Barbara South Coast was recorded back in 2007 at $1,031,500.  In May 2022 the median sales price was $1,800,000, equal to $1,800,000 in April and up 21% from 2021.  The median sales price had been hovering near 2007’s historic high for most of 2017, 2018, and 2019, started an upward creep in 2020 and then accelerated in 2021.  Now in 2022 new record high median sales prices are being set.  In May 2022 the average South Coast sales price was $2,890,808.

Based on the Santa Barbara Multiple Listing Service data, as of June 1st in the City of  Santa Barbara, there were 43 active House/PUD listings and 28 pending sales, which equates to a low 1.5 month supply (up from .96 in April) of listings for Buyers to choose from.  Generally a “one-month supply” would indicate the listings would all be sold within one month.  A two-to-three-month supply of inventory would be considered a basic Seller’s market where demand is high and inventory is scarce, a one-to-two-month supply of inventory indicates a heated Seller’s market and a lower than one-month supply indicates a feverish Seller’s market.  Historically a four-to-six-month supply of available inventory would indicate a fairly well-balanced, normal market between Buyers and Sellers.  Typically more than a six-month supply is considered to be a Buyer’s market where inventory is plentiful; Buyers are slower to make decisions and want to compare everything on the market.  Based on Santa Barbara Multiple Listing Service data and as of June 1st, Carpinteria/Summerland had a 2.5 month supply (up from 1.4 in May), Montecito had a 2.5 month supply (up from 1.9 in May), Goleta had a .87 month supply (up from .56 in May) and Hope Ranch had a 1.8 month supply (down from 2 in May).   These inventory statistics indicate that Carpinteria/Summerland and Montecito are in a basic Seller’s market. Santa Barbara and Hope Ranch are in a heated Seller’s market.  Goleta remains in a feverish Seller’s Market.  With a combined total of 76 House/PUD pending sales (down from 73 in May) and 118 active listings (up from 82 in May) on the South Coast of Santa Barbara County, there is only a 1.6 month supply (up from 1.1 in May) of House/PUD listings from which Buyers can choose.  With a combined total of 30 Condominium pending sales (up from 28 in May) and only 19 active listings (same as 19 in May) on the South Coast of Santa Barbara County, there is only a .53 month supply (down from .68 in May) of Condominium listings from which Buyers can choose.  All areas, except Hope Ranch, now have more House/PUD listings to choose from than there were in May, but the South Coast market still remains in a heated Seller’s Market, a step down from a feverish Seller’s Market in April.  The market has calmed and instead of seeing 7+ offers on a listing, we are only seeing 3.  The South Coast Condominium market is still in a feverish Seller’s Market.

The ramifications of the concerns about COVID-19 and how it has and will continue to affect our world, the war in Ukraine, inflation, the cost of gasoline, scarcity of insurance companies in California, rising mortgage rates, and rising insurance premiums are all concerns to many Buyers, and Sellers.  Now that Proposition 19 has taken full effect, 55+ year-old homeowners can transfer their existing real estate tax base to a new home anywhere in California.  Mortgage interest rates have risen lately but are still near historical lows.  Extremely low inventory and the COVID-19 migratory trends toward smaller cities all have led to a surge in Santa Barbara property values.  With a number of qualified Buyers and lower inventory, do not expect to see values going down anytime soon.   Supply and demand dynamics have and will continue to affect the South Coast of the Santa Barbara Real Estate Market now and for a long time to come.

Feel free to contact me with any questions. 

Stan Tabler, CRS, GRI, ABR, GREEN

Compass

801 Chapala Street

Santa Barbara, CA 93101

805.689.2305

[email protected]

http://www.stantabler.com

CalBRE Brokers License #00774377 since 1980

Final Goleta Home Buying Walk Through

You’ve found the home of your dreams, negotiated the contract and you’ve been running around making plans and getting ready to move – closing is just days away! There are just a few more steps before the keys to your new Goleta Real Estate are in your hands. One of these important steps is the Final Goleta Home Buying Walk Through. There is a lot that can happen in the final days before closing. Movers may have damaged a wall or the floor during the seller’s move, perhaps the curtains you negotiated into the deal have been taken down, or maybe the previous owner left the garage full of boxes and trash. Anything can happen, which is why it is imperative to complete a final walk through whether you are Buying a Second Home or Vacation Home or are moving into your primary residence.  Here are a few tips to remember when touring the home for the final time:

  1. Check steps, sidewalks, driveways and patios for any noticeable change.
  2. Verify the condition of doors and windows, including locks.
  3. Check garage door and openers, as well as exterior lights and motion-activated lights.
  4. Flush all toilets and check all faucets.
  5. Check all appliances to ensure they are in working order, including water heater.
  6. Check ceilings, walls and floors for any new damage.
  7. Verify heating and air is operational.
  8. Ensure all negotiated terms from the contract are present and in the expected condition.
  9. Ensure that all the seller’s personal items and debris have been removed from the property.

As your Goleta Realtor, one of my responsibilities to both buyers and sellers is to ensure that this Final Goleta Home Buying Walk Through is completed to everyone’s satisfaction. If you’re considering the purchase or sale of a Goleta home or any property in the Santa Barbara area, it would be my pleasure to discuss the final walk through and many other details with you.

With more than three decades of real estate experience within this community, I have helped countless numbers of buyers and sellers reach their real estate goals. Whether you’d like more information on the Final Goleta Home Buying Walk Through or would like to speak with me to learn more about the community and its real estate, please do not hesitate to contact me today! I look forward to hearing from you soon.

Montecito Real Estate Closing Process

What’s next? After you have worked tirelessly to find the home of your dreams, it’s time for the closing process to begin. Simply put, closing occurs when you sign the papers to make the house yours. However, before that day arrives the Montecito Real Estate Closing Process involves several important steps that are put in place to protect all parties. As your Montecito Real Estate Agent, it would be my pleasure to guide you and assist you throughout the entire process from beginning to end.

 

  1. Open Escrow – Escrow is an account held by a third party. This third party will hold the escrow amount you agreed upon in your purchase agreement until closing.
  2. Title Search and Title Insurance – When purchasing Montecito California Real Estate, title search and insurance provide peace of mind and legal safeguard so that when you buy a property, no one else can try to claim it as theirs later. A title officer will perform the search to make sure there are no clouds on the title.
  3. Appraisal – A lender will want to make sure you’re borrowing an amount equal or less than the home’s market value.
  4. Home Inspection – While a home inspection is not required, most buyers will choose to have an inspection to ensure they understand the condition of the home they are purchasing. If there are serious problems uncovered during inspection, you will generally have the opportunity to renegotiate or back out of the agreement.
  5. Final Walkthrough – This is one of the last steps before you sign closing papers to ensure no damage has occurred and nothing has been removed that is included in the purchase.
  6. Closing Day – It is imperative to review each closing document thoroughly before completing the Montecito Real Estate Closing Process. Generally, the buyer and seller, as well as their agents, will be present at the closing. Once all legal documents are signed, the title company will officially record the deed and other legal documents with the appropriate government agencies.

These are the very basic steps of the Montecito Real Estate Closing Process. It is important to remember that each purchase or sale is unique and that it is always in your best interest to have a local real estate professional assist you from beginning to end. Please take a moment to browse my blog and my website and let me know if you have any questions or if I can be of any assistance. You may also enjoy my recent Montecito Real Estate Market Report. There has never been a better time to consider the purchase of Montecito real estate. Contact me at your convenience to learn more!

Santa Ynez Home Buyers and Sellers Checklist

Overwhelmed? Taking care of all the little details when it comes time to purchase or sell your Santa Ynez Valley Homes can seem daunting. There are many factors to consider and deadlines to meet to ensure your transaction stays on track. As a local real estate professional that has been assisting buyers and sellers just like you for more than forty years, I’ve developed a Santa Ynez Home Buyers and Sellers Checklist to assist you.

 

Santa Ynez Home Buyers and Sellers Checklist For Buyers:

  • Determine how much you can spend by speaking with a knowledgeable mortgage consultant. This may include checking your credit reports and learning how much you can borrow.

  • Find a local real estate professional that has the in-depth community knowledge today’s Santa Ynez Valley homebuyer needs.

  • Research potential neighborhoods. Begin making a list of features you want in a home, and start house hunting with your Realtor.

  • Make an offer.

  • Get an inspection, appraisal and begin working towards the closing process.

 

Santa Ynez Home Buyers and Sellers Checklist For Sellers:

  • Educate yourself about the current market data and trends in your neighborhood

  • Prepare your home. Clean and de-clutter all areas of the home. Speak with your Realtor about any changes or upgrades that may need to be addressed before placing your home for sale.

  • Price your home to sell. Take time to discuss this thoroughly with your Realtor.

  • Work to keep you home clean and tidy so you are always ready for showings.

  • Be realistic with all offers and take the emotions out of your decision.

These are just a few steps that you and your Realtor will need to take to ensure your transaction is as smooth and successful as possible. If you are investing in property, I encourage you to also read by blog entitled: Santa Ynez Investment Properties Do and Don’t List. If you’re ready to start browsing the real estate market or would like to discuss selling your Santa Ynez home, contact me today! I am always available for consultation and look forward to sharing my wonderful community with you! Let’s get started today.

Santa Ynez Investment Properties Do and Don’t List

Offering world-class wineries, verdant vineyards, sprawling ranches and six small towns, the Santa Ynez Valley is praised by locals and visitors alike for its rural-agricultural heritage and sophisticated “wine country” ambiance. In spite of the area’s relaxed atmosphere, Santa Ynez Valley Real Estate allows residents to enjoy an active lifestyle including golf, biking, hiking and horseback riding, as well as excellent fishing at nearby Lake Cachuma. An ideal location for investment, I have compiled this Santa Ynez Investment Properties Do and Don’t List for your convenience.

 

When considering the purchase of any investment property, it is important to complete a Santa Ynez Home Buyers and Sellers Checklist to ensure you stay focused and to move efficiently through the transaction. Here are a few investment pointers:

 

  • Do analyze your finances and make sure you can take on an investment property at this time.

  • Do make sure you are prequalified for a loan.

  • Do hire a knowledgeable and respected real estate professional, and be sure to research the current market in the community of your choice.

  • Do make sure you fully inspect properties to ensure that there are no large issues that will significantly change the total cost of your investment.

  • Don’t overestimate the value of rental properties. Your property may sit vacant for some time and you will need to account for this.

  • Don’t get invested emotionally in the process.

  • Don’t rush through the process. Take your time to find the investment that suits your wants and needs.

  • Don’t rely on seller’s documentations. Always have a third party verify title.

 

These are just a few tips to place on your Santa Ynez Investment Properties Do and Don’t List. It is important to remember that each house and each transaction are unique and that the guidance of a local real estate professional in these cases can be vital to your success.

 

As your Santa Ynez Valley Realtor, please do not hesitate to contact me if you have any questions about the Santa Ynez Investment Properties Do and Don’t List or any of the information you find on my website. I’d love to hear from you and look forward to helping you find the investment property that not only suits your needs, but that also exceeds your expectations. Let’s get started today!

Entertainment in Carpinteria and Summerland California Area

Positioned quietly between Ventura and Santa Barbara County, Carpinteria is a small, enchanting ocean-side town that is renowned for its exceptional bluffs and seemingly endless beaches. Entertainment in Carpinteria & Summerland California Area includes everything from surf and sea right outside your front door to bike riding, camping, a walk along the Salt Marsh Reserve, fine dining, world-class shopping and much, much more.

 

Carpinteria Real Estate allows residents and visitors alike to participate in endless recreational, social and cultural activities throughout the year. One great example is the highly celebrated Avocado Festival. Each year the festival can be found along Linden Avenue with everything from award winning guacamole to homemade avocado ice cream. Speaking of food, you will also find a wealth of great restaurants including Carp’s one-stop hamburger shack, Robitaille’s Fine Candies, Island Brewing Company, Cajun Kitchen Café and Hugos Restaurant. You will also find Hollandia Produce, an organic produce company, rounding off the shopping and Entertainment in Carpinteria & Summerland California Area.

 

Other fantastic sources of Entertainment in Carpinteria & Summerland California Area are the many hiking trails and hot springs found in the neighboring community of Ojai, the events and activities at the Santa Barbara Polo Fields and of course the endless beaches and ocean waves.

 

As your Carpinteria and Summerland Realtor, it would be my pleasure to introduce you to the area and to the many activities, amenities and luxuries found here. I encourage you to browse my website at your convenience and look forward to assisting you with any and all your real estate needs. You may also be interested in my recent blog entitled: How Do I Price My Carpinteria and Summerland Home? Contact me today to get started whether buying, selling or investing!

How Do I Price My Carpinteria and Summerland Home?

When it comes to putting your Carpinteria and Summerland Real Estate on the market, determining the right asking price is one of the most important decisions you and your Realtor will make. If you’re asking the question –  “How Do I Price My Carpinteria and Summerland Home?” – you’re headed in the right direction. With the help of a qualified and experienced Carpinteria Real Estate Agent, you should have no problem setting the right price for your home and attracting more potential buyers to your property.

 

When determining the appropriate asking price, real estate professionals take several things into consideration. Some of these include: comparable listings and sales, withdrawn and expired listings, pending sales, square foot cost comparisons and the overall condition of the local market. Once these items have been reviewed, a good Realtor will be able to answer: “How Do I Price My Carpinteria and Summerland Home.”

 

As a seller, it is also important to look at the selling of your home as objectively as possible and to try to keep emotions out of the equation. Equally as important is to remember that pricing your home too high could have a very negative impact on the marketability of your home. By setting a price that is too high, your home could likely become “stale” in the market and will need to be removed from the market for a period of time. If the property is priced too high and sits too long, potential buyers will think negatively of the property. Therefore, in order to get your home sold in the quickest possible time period, it is important for you to give serious consideration to the price suggested by your Realtor.

 

If you’re still wondering, “How Do I Price My Carpinteria and Summerland Home?” or would like to learn more about Entertainment in Carpinteria & Summerland California Area, I encourage you to browse my website and blog at your leisure. Please contact me if you have any questions. It would be my great pleasure to help you with any and all of your real estate goals!

Vacationing in Montecito California & The Santa Barbara Area

“Little mountain, little forest” – the ideal name for this exceptional area of winding, tree-shaded lanes reminiscent of an English countryside. The small, upscale beach community of Montecito, California has long been renowned for its exceptional beach access, beautiful boutiques, cafes and restaurants, and for the unparalleled luxury Montecito Real Estate found throughout the community. If you are considering Vacationing in Montecito California & The Santa Barbara Area, you will find endless beaches, from Butterfly Beach down to Fernald’s Point, on which to enjoy a long leisurely stroll in the sun and a dip in the Pacific Ocean.

Today, many who vacation in the area are considering the purchase of a Montecito Vacation Home. With interest rates at an all-time low and a myriad of exceptional real estate opportunities available throughout Montecito and Santa Barbara, there has never been a better time to make the dream of owning a beachfront property a reality. Whether you are looking for a luxury estate-sized home right on the ocean or a quiet condominium tucked away from the hustle and bustle, Montecito and the Santa Barbara area have it all. Montecito also offers exceptional shopping opportunities at both the “Lower Village” on Coast Village Road and the “Upper Village” on East Valley Road.

When thinking about purchasing a home for use when Vacationing in Montecito California & The Santa Barbara Area, it is important to understand that a home can be much more valuable if it’s rentable. You may think you’ll keep the retreat all to yourself, but it is smart to shop as though you are going to rent the home out. As a local real estate professional with more than 30 years of experience in this community, I can help you find the property to not only meet your needs, but to also exceed your expectations.

I encourage you to browse my blog and my website at your leisure to learn more about Vacationing in Montecito California & The Santa Barbara Area as well as to learn more about our community including the Montecito Real Estate Closing Process. Should you have any questions or would like to speak with me regarding your specific needs, please do not hesitate to contact me directly! Let’s get started today!


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Contact Stan

Stan Tabler, CRS, GRI, ABR
Stan TablerRealtor of the Year
Compass California
DRE #00774377 since 1980
801 Chapala Street
Santa Barbara, CA 93101
(805) 689-2305
[email protected]