I cannot believe I am writing my final blog post for 2023!
The end of the year is a great time, especially for us Realtors, since it is a time to review our year and be grateful for all that was accomplished. In addition, it is a slow time in the market that allows us to be able to sit back and enjoy time with family. And lastly, it is a time to build excitement, goals, and resolutions.
For the culminating post of the year, I am going to cover three topics.
1. Look back on the year and say THANK YOU.
2. Real estate resolutions for all.
3. What you can expect from me and Haynes Real Estate in 2024.
Let’s get started!
Thank You 2023
Rarely do I talk about personal sales on the blog, although I am not above shouting out a sale that is relevant to a blog topic or when I believe we achieved extra special results.
That said, the end of the year is a nice time to look back on clients we have helped and say thank you to our clients, friends, and family for their support.
While sales were down 50% in the home market, I was lucky enough to not see the same in our sales volume. Below are results from 2023:
$7,775,000 – 26th Street, Manhattan Beach
$6,500,000 – The Strand, Hermosa Beach
$5,700,000 – 16th Street, Manhattan Beach
$4,743,000 – Walnut Avenue, Manhattan Beach
$2,497,500 – Via Carrillo, Palos Verdes Estates
$2,300,000 – Laurel Avenue, Manhattan Beach
$1,360,000 – Pacific Coast Hwy, Redondo Beach
$1,200,000 – 233rd Street, Torrance
$830,000 – 168th Street, Lawndale
$829,000 – Arbor Vitae Street, Inglewood
Over $33 million sold in 2023.
I am truly grateful for my clients and all of my friends/family this year. While actual sale transactions are down due to market dynamics, my sales volume remained high, and I truly appreciate the work entrusted to our team for more expensive transactions throughout the year.
Real Estate Resolutions/Advice
It is always fun to make real estate resolutions for the South Bay marketplace.
These resolutions are meant to spark ideas if you fall into one of these categories.
First-Time Homebuyers
I believe 2024 could be a year of great opportunity for home buyers.
With low supply, if you are ready to buy a home and can snag a property then you have a couple things working for you:
- If supply stays historically low, then your new asset over time will grow in value
- If interest rates drop, then you might find yourself with a coiled spring that appreciates faster than normal
That said, the market is historically expensive and there are risks.
My advice is to utilize the new 5% down Fannie Mae loan for owner-occupied income properties.
The best way to mitigate your risk in any market is cash flow. Make it a priority to buy something like a triplex to help you afford an expensive market and rental income will help weather any bad times.
Then hold for the long-term as a core piece of your retirement portfolio. And if you’re lucky, a drop in mortgage rates could produce a nice short-term boost in value.
Home Sellers
You are still in the driver’s seat thanks to low supply.
But, the market is down from the its peak. If you can pair down your expectations and prepare like it is a buyer’s market, then you will still achieve close to all-time high pricing.
If you are planning to sell, you need to carefully plan out your sale and execute. Here are some helpful tips:
- Time your home listing properly
- Staging is a requirement
- Ensure your home is marketed to 2024 standards
If you are selling your home, then you need to time the sale correctly.
You will need to think about listing during the busy spring or the surprisingly strong fall months. Do NOT list during major holidays, or if there is a short-term bump of competitive listings in your neighborhood, or local week-long school holidays like spring break.
Staging is nearly a requirement for almost all listings these days. If your home was not furnished by a professional interior designer or you don’t get raving compliments from nearly everyone that visits your home, then you can likely earn a higher ROI with a staging company.
And finally, you need to ensure your home is marketed to 2024 standards. The MLS still rules, but if your home is not being marketed on phone screens or social media platforms, then it is not getting the exposure it deserves.
Move-Up Buyers
I believe move-up buyers are in the driver’s seat for 2024!
But, you do need to plan and run numbers more than ever.
First and foremost, do you sell your current residence at a profit? Or, is your interest rate so low that it’s an asset for you to keep and rent your home?
A detailed cost/benefit analysis must be done, and while I almost always recommend trading into multiple units if you hold real estate, sometimes taxes, your time/real estate know-how, and personal wealth plan can say otherwise.
After that, it is time for house hunting!
But be sure to prepare your home to be listed in less than 24 hours’ notice. What do I mean? You should be cleaning and photographing your home BEFORE you find your move-up home.
This allows you to list your home the day you ink a deal on your next residence. And, even though the marketplace is allowing for contingent deals, the faster and more organized you can be on your down leg, the less stress you will have completing two transactions at once.
Income Property Investors
And lastly, income property investors.
Wowzers! This is one of the most unique income property investing environments in a long time and it could get even more interesting in 2024.
Yet again, your cost/benefit analysis is going to rule here.
Does it make sense to hold? To sell? Or acquire more income producing properties?
In a nutshell, I think income property investors are in the same bind as first-time home buyers this year. The market is expensive but a material drop in interest rates could send the market higher.
What it comes down to…be patient.
Have patience to acquire the perfect property that will be a winner in any environment or work to time your sale when interest rates are at their best moment.
Coming Soon in 2024
We have a lot planned for clients and our followers in 2024.
Below is a list of some things we have planned the first half of the year:
- A couple of new home listings to add to the South Bay marketplace
- More South Bay Hidden Gems on Instagram
- More podcasts and more guests to join
- If I have my way, new South Bay real estate content on our YouTube channel
- And of course, the weekly written blog is not going anywhere
If you have not been following my Instagram account @RichardHaynesRealEstate, then you are missing out on some great food content.
Over the past year I decided to highlight “Hidden Gem” food joints in the South Bay. The response has been far beyond what I could have imagined as our follower base has grown by over 500% and we get tens of thousands of views, and on the rare occasion, hundreds of thousands of views.
Hidden Gems and my real estate videos have been stepped-up to serve you with informative real estate content, as well as great eateries you can support in the South Bay.
I plan to continue to deliver on my podcast and have a goal to invest time into our YouTube channel to educate you more on South Bay home neighborhoods and longer educational videos for those of you interested in sharpening your real estate knowledge.
Many thanks to all of you for reading along, watching videos, and hiring me to represent your real estate transactions.
I am grateful and humbled by all of the support.
Happy New Year and see you in 2024!
Richard Haynes
DRE: 01779425
For more South Bay real estate insights, subscribe and follow Richard’s social channels below:
The Richard Haynes Real Estate ShowA leader in South Bay real estate for the better part of a decade, Richard thrives as an advisor to his clients with over $248 million in sales as a broker or investment principal at his boutique agency, Haynes. Richard is known for his keen local market insights which have been featured in the L.A. Times, The Street, and Forbes, along with his weekly South Bay real estate blog. [read more]