You are currently browsing the category archive for the ‘Silicon Valley Housing Market’ category.
The Silicon Valley Association of REALTORS® FutureTech 2018, held April 19 in Los Altos, led 200 REALTORS® and brokers in discussions about smart home technology, big data and virtual reality. Products and services showcased at the event were intended to put agents on the forefront of technology so they can better serve their clients in the 21st century, according to Palo Alto broker Michael Dreyfus, with Golden Gate Sotheby’s Realty.
Dreyfus, who chairs the local trade association’s Palo Alto district, opened the program by noting the business of real estate has come a long way from big listing books, which agents and their clients valued, to paperless documents and virtual tours.
A session on the future of smart homes moderated by CBS News technology journalist Larry Magid, featured Sean Paterson, head of marketing and sales for Noon Home, a smart lighting system that wirelessly generates light in different levels to transform the look and feel of a home, and Sophie Le Guen, director of product management of Nest, which produces programmable, sensor-driven, WiFi-enabled thermostats, smoke detectors, security cameras, and other security systems.
Another on how big data is going to affect the future of real estate featured Dave Wetzel, CTO & COO of multiple listing service provider MLSListings Inc., Avi Gupta, president and CEO of SmartZip, which offers predictive marketing services so agents can land more listings by identifying homeowners most likely to sell in any neighborhood; and Stas Alexandrov, founder & CEO of iDevelop.city, an application that allows brokers and developers to view lots, find a place for a building, and see all the specific restrictions in one place.
The Silicon Valley Association of REALTORS® (SILVAR) 7th Certified International Property Specialist (CIPS) Institute took place last week with 15 students registered, including SILVAR CIPS designees who took some courses for audit. REALTORS® enrolled came from around the San Francisco Bay Area and as far as Sacramento.
Interestingly enough, among the full-time REALTORS® registered, only one student was born in the U.S. The other students were born in China, Taiwan, India, and the Philippines. The composition of this year’s class says everything about the cultural diversity in Silicon Valley, according to CIPS instructor David Wyant.
This was the seventh time Wyant and his wife and assistant Patsy, returned to Silicon Valley to teach the CIPS Institute at SILVAR. The Wyants travel all over the world teaching the global real estate courses and are able to share valuable insights with their students. Wyant was named International Instructor of the Year at the National Association of REALTORS® Conference and Expo in Chicago last November. He has received the same award twice before, in 2012 and 2009.
The CIPS Institute provides training in international business issues, including currency conversion, cultural awareness, legal and tax requirements, transaction principles of international real estate, and specifics about the real estate markets in Europe, the Americas, and Asia.
Wyant said global real estate opportunities are everywhere. People move to Silicon Valley from other countries and foreign-born individuals residing here move to new markets. People here may look to invest in property overseas.
“No matter which audience you cater to, the CIPS designation will provide you with the knowledge and tools to expand your business globally,” said Wyant.
Thank you to this year’s CIPS Sponsors of the Day: Darrell Monda with TourFactory; Kyle Chuang with Farmers’ Insurance; Anita Rodal, international liaison with AFEX (Associated Foreign Exchange) and president of SBPI Services, Inc.; and Kim Kim P Nguyen and Suzette Reboton, premier mortgage consultant and vice president and senior branch manager of HSBC Bank USA, Cupertino.
Pictured are members of the Japanese real estate delegation with SILVAR board directors, Global Business Council members and guests.
Fifteen real estate professionals from Japan came to Silicon Valley early in this month to network with Silicon Valley REALTORS®, bring cultural awareness, and learn about similarities and differences in doing business in the U.S. and Japan.
At the Silicon Valley Association of REALTORS® (SILVAR), the Japanese real estate professionals also learned about home inspection and typical inspection services provided to homeowners in the U.S. SILVAR Global Business Council member Atsuko Yube, a REALTOR® with Global Estate Link, arranged the visit. Yube, who is also a past president of the Asian Real Estate Association of America Silicon Valley (AREAA SV) and a board director of AREAA Global Inc., said home inspection is new in Japanese real estate because typically, when purchasing property, the Japanese buyer will tear down the home and build new.
Yube explained it has been the custom in Japan to build new homes because the Japanese like things new. There is also the traditional belief that bad fortune can transfer from the previous owner to the owner. Because of the preference for new and their beliefs, secondhand homes are not as desirable and are heavily discounted. Homes that are newly constructed begin to depreciate in value from the day they are purchased. Most homes are rebuilt after 25 to 30 years.
“The re-sale market has not been strong historically, so when the age of a property is more than 20 years old, its value drops to zero with the property essentially having no value,” said Yube.
Upon arriving at SILVAR, executive officer Paul Cardus and president-elect Alan Barbic welcomed the visitors and shared some information about organized real estate in the U.S., the difference between a real estate agent and a REALTORS®, the REALTORS® Code of Ethics, and membership in the Association of REALTORS®. The real estate professionals met with board directors Mark Wong, Ryan Nunnally and Joanne Fraser, members of the Global Business Council, and leadership from other real estate associations, including Tess Crescini, chair of SILVAR’s Global Business Council and co-president of the Filipino American Real Estate Professional Association Silicon Valley (FAREPA SV), and Anna Maria Valenzuela and Tracey McNeeley, president and director of membership services, respectively, of the Women’s Council of REALTORS® Silicon Valley (WCR SV).
Introductions were followed by a presentation by Yube on Silicon Valley real estate in Japanese. SILVAR member Chika Mori, a REALTOR® with Keller Williams Realty, presented information about the MLS, also in Japanese. Her presentation was followed by a presentation on home inspection in the U.S. by Frank Lesh, executive director of the American Society of Home Inspectors, who flew all the way from Chicago to speak to the group, and Larry Tringali, with Property Inspection Services.
After the presentations, the visitors, members and guests, met for a special evening mixer. Like many foreign guests that visit Silicon Valley, the Japanese real estate professionals were interested in the giant tech companies and were fortunate to tour Google and Facebook during their visit.
Cupertino-Sunnyvale District Chair Jeff Bell being interviewed by Maureen Naylor, reporter for KTVU Channel 2 News, at a home for sale in Mountain View
Jeff Bell, board director and 2010 president of the Silicon Valley Association of REALTORS®, was featured in KTVU news on Tuesday, in a story about how the low inventory and rising home prices are impacting even high paid tech workers in the region.
As of January 2018, Bell indicated the median sales price of a single-family home in Santa Clara County was $1,170,000, up 26 percent from a year ago. In Mountain View, where he has a listing, the median is $2,400,000, up 51 percent from last year.
According to MLSListings Inc., homes in Santa Clara County are being scooped up at a rapid pace, staying on the market between six to eight days. One home located in the Mountain View Whisman School District was only on the market a mere two days. Currently there are only six listings in Mountain View.
Bell said in order to qualify for a home priced at $2.4 million, a buyer would have to have an annual income of $340,000, with no other consumer debt (credit cards, car loans, etc.). With a 20 percent down payment, a buyer’s monthly payment, including principal, interest, insurance and property taxes, would amount to a whopping $12,185.25.
Bell observed while challenging, the cost does not appear to have deterred tech workers. He noted in one day he had 80 groups of potential buyers walk through the Mountain View listing, majority of whom were high-tech workers, many who worked at nearby Google. He said most who were keenly interested in purchasing the home were dual income couples.
“They are the type of buyers who are in the best position to afford such a home in this current hot market,” said Bell.
Feng Shui Master Y.C. Sun
Gong hei fat choy! Prominent astrologer and feng shui master Y.C. Sun recently shared his forecast for 2018, the Year of the Earth Dog, with members of the Silicon Valley Association of REALTORS®. This is going to be a year of highs and lows, said Sun.
Protectionism will be on the rise this year, a “classic pullback and comeback story,” said Sun. There will be violent ground movement – earthquakes, volcanic eruptions, mudslides, rebuilding of aging infrastructure like roads, levees, bridges rails, and in line with dry earth, there will be drought, flooding, fire, traffic and accidents.
The year will also be characterized by market volatility, economic and political chaos, but expect a comeback by Labor Day, said Sun. The country’s GDP will rise to 4 percent by year-end, but there will be lots of chaos before that.
Be careful in April, particularly April 5 through May 4. It is going to be a bad and disaster-ridden month because the karma between the month of the Fire Dragon and Year of the Earth Dog will be in big conflict.
The President was born in the Year of the Fire Dog. The fire dog does not get along with the earth dog, so expect him to face a lot of trouble and challenges in health and in politics this year. He will encounter chaotic issues in March, in the second half of April, two weeks in June, and in October.
As for real estate, Sun said business will be good, but will slow down. It will be tough to be a real estate agent because of so much competition due to the housing shortage and low affordability. Dallas, San Antonio, Stockton, Las Vegas, Orlando, Colorado Springs, Salt Lake City, Charlotte, Tulsa, Nashville, Houston, Tampa will be the top U.S. markets this year. In the Bay Area, top markets are San Jose, South San Francisco, Daly City, San Bruno, Hayward, Concord, Vallejo, Santa Cruz and Santa Rosa.
As for feng shui and the home, Sun said good locations are the center (happiness, celebration, always keep the middle of your home clean, free from clutter), southeast (money/fame), south (best energy for writing, studying, research), northwest (tender loving care, family values, promotes romance), southwest (change, travel, relocation). “Bad” locations are the north (disaster, misfortune), northeast (arguments), east (decline of energy, loss of money, robbery), west (sickness).
If your house faces any of these “bad” locations, Sun suggests placing six copper coins under a mat or placing a copper bell by the entrance. You can also add a peace lily. For homes that face east, add a large glass of water or blue decoration. For homes that face northeast, add a red decoration.
The feng shui master’s advice for the Year of the Earth Dog: “Time for meeting real people to get connected, getting in shape, eating healthier food, spending less time on social media/games, learning a new skill, be kind, be proactive, or becoming the barking dogs (that) seldom bite!”
Top left to right: 2017 REALTOR® of the Year Chris Isaacson; Affiliate of the Year Darrell Monda; Spirit of SILVAR Leannah Hunt. Bottom left to right: 2017 C.A.R. Region 9 Chair Chris Isaacson; 2017 President Denise Welsh was presented with her own gavel, a thank you for her service; President’s Award Susan Tilling.
The Silicon Valley Association of REALTORS® Installation Dinner on Jan. 25, SILVAR 2017 President Denise Welsh and Executive Officer Paul Cardus presented the 2017 Appreciation Awards to recognize certain members for their valuable contributions to the Association last year.
Welsh first thanked her fellow board members and committee chairs for their support last year, and said it was a privilege to serve the membership of SILVAR as president. Recognized for their outstanding contributions were:
2017 REALTOR® of the Year: Chris Isaacson (Coldwell Banker Residential Brokerage)
Welsh said Chris Isaacson has been a REALTOR® for slightly over a decade and in that time he has achieved so much for the Association in many different roles, from serving on the district council, as 2015 president of SILVAR, a California Association of REALTORS®® (C.A.R.) Region 9 director, 2017 SILVAR Region 9 chair, and National Association of REALTORS®® (NAR) director.
Welsh described Isaacson as a quiet and effective leader. Working on issues ranging from political to financial, Isaacson has shared his vision and expertise with the Association and its members. “Through his strong, calm leadership, and with an unflappable demeanor, he has strengthened and grown our Association,” said Welsh. Isaacson was also recognized for his leadership and excellent work on behalf of SILVAR and members as 2017 SILVAR Region 9 Chair.
2017 Affiliate of the Year: Darrell Monda (TourFactory)
Welsh said Monda, a longtime affiliate of SILVAR, “has proven to be a dedicated workhorse and a great proponent of our Association.” His firm provides essential state-of-the-art services to SILVAR’s REALTOR® members. Welsh recognized Monda’s professional support for all programs across the Association, from tour meetings, to the CIPS (Certified International Property Specialist) Institute, to the bocce ball tournament in Los Gatos.
“His generosity of spirit and willingness to roll up his sleeves and help where needed enhances the image of our Association and our REALTOR® and affiliated professional members,” said Welsh.
Spirit of SILVAR: Leannah Hunt (Sereno Group)
Leannah Hunt is a REALTOR® who reflects the Association’s commitment to supporting and contributing to the communities it serves and is one of the leaders in real estate in Silicon Valley. Welsh said Hunt “has worked on the frontlines and behind the scenes for the success of the Association.”
Welsh praised Hunt’s efforts to give back to the community by being active in an array of political and civic causes, serving on numerous boards.
“She is generous with her financial support as she is with her time. She is the REALTOR® face in her community,” said Welsh.
President’s Award: Susan Tilling (Coldwell Banker Residential Brokerage)
The President’s Award is presented at the discretion of the president to an individual whose service to the Association is worthy of special thanks and recognition. Susan Tilling has devoted many years of her time acting as a representative at C.A.R. and is a C.A.R. Director for Life.
Upon presenting this award to Tilling, Welsh said, “We are often asked why we get involved and volunteer. We are trying to find our ‘why.’ There are people who are involved out of a deep conviction that the time spent, the purpose of the organization, provides enough motivation for them to donate their time to the cause.
Welsh said Tilling “embodies the values and principles that drive so many of us to dig in and get involved with organized real estate, to fight for property rights and the ability of every man to achieve the American Dream. It is our ‘Why.'”
SILVAR’s 2018 leadership team.
The Silicon Valley Association of REALTORS® 2018 leadership was installed Jan. 25 at Palo Alto Hills Golf & Country Club. California Association of Realtors 2013 president Don Faught administered the oath of office to SILVAR’s 2018 president, Bill Moody, and the 2018 officers and board directors. C.A.R. 2005 president Jim Hamilton served as master of ceremonies.
SILVAR’s 2018 officers include Moody, a REALTOR® with the Referral Realty, Cupertino; Alan Barbic, a REALTOR® with Sereno Group, Los Gatos, president-elect; and Phyllis Carmichael, a REALTOR® with Coldwell Banker Residential Brokerage, Los Altos, treasurer.
Joining SILVAR’s lead officers are Denise Welsh (Alain Pinel Realtors), past president; Karen Trolan (Alain Pinel Realtors), Region 9 chair; Leannah Hunt (Sereno Group), National Association of Realtors director; district chairs Jasmine Lee (Intero Real Estate Services), Menlo Park-Atherton District; Penelope Huang (Golden Gate Sotheby’s International Realty), Palo Alto District; David Casas (Intero Real Estate Services), Los Altos-Mountain View District; Jeff Bell (Coldwell Banker Residential Brokerage), Cupertino-Sunnyvale District; Ryan Nunnally (Keller Williams Bay Area Estates), Los Gatos-Saratoga District; and Mark Burns (Referral Realty), Joanne Fraser (Alain Pinel Realtors), Katherine Frey (Katherine Frey Real Estate), Mary Kay Groth (Sereno Group), Lynn Wilson Roberts (Alain Pinel Realtors), and Mark Wong (Alain Pinel Realtors), directors At-large.
Moody is a native of Silicon Valley and a U.S. veteran, having served in Vietnam from 1966 to 1968. He is a graduate of the former Ellwood P. Cubberley High School in Palo Alto and San Jose State. Moody has served as chair of SILVAR’s Cupertino-Sunnyvale District and as a California Association of Realtors Region 9 director.
In his address to members and guests, Moody said he spent 25 years in high tech sales before getting his license 15 years ago. Quoting the late Steve Jobs, Moody said, “Your work is going to fill a large part of your life, and the only way to be truly satisfied is to do what you believe is great work And the only way to do great work is to love what you do. If you haven’t found it yet, keep looking. Don’t settle. As with all matters of the heart, you’ll know when you find it.”
As both the House and Senate sharpen their vision for tax reform, REALTORS® want to ensure homeownership is protected throughout the tax reform debate.
“We are watching closely for changes to current law that might leave middle-class homeowners – and homeownership broadly – in a worse place than it is today,” said National Association of REALTORS® (NAR) President Elizabeth Mendenhall. “A near doubling of the standard deduction, combined with the elimination of other deductions, like the state and local tax deduction, can turn the American dream into a nightmare for families, as the rug is pulled out from under them. Simply preserving the mortgage interest deduction in name only isn’t enough to protect homeownership.” Now that both the House and Senate have passed their own versions of The Tax Cut and Jobs Act, a Conference Committee will address the differences between both bills and come up with a final version of a tax reform bill. It could happen anytime next week, as their goal is to vote on the bill by the end of the week.
NAR is asking Congress to support the following provisions for inclusion in the final legislation:
Mortgage Interest Deduction: Retain current law to maintain a total cap of $1 million on primary first and second homes.
Capital Gains Exemption: Retain current law of exempting gains of up to $250,000 for single filers and $500,000 for joint filers for primary residence lived in for two of the past five years of ownership.
State and Local Tax Deductibility: The limitation of deductibility to property taxes should be expanded to include state and local income taxes and the cap should be increased and indexed to inflation These provisions would add needed protection to current and future homeowners and strengthen the ability of qualified American families to purchase a home.
Denise Welsh, president of the Silicon Valley Association of REALTORS®, emphasized it is important to keep homeownership intact for everyone who wishes to purchase a home. “Let’s not let tax reform quash the American dream of homeownership. While the bill reduces taxes on average in every income group, we have grave concerns that with the elimination of the state and local tax deductions and limiting property tax deductions, millions would still see their taxes go up and home values would drop,” said Welsh.
The Federal Housing Finance Agency (FHFA) announced this week that it will raise the maximum conforming loan limits for mortgages acquired by Fannie Mae and Freddie Mac in 2018 to $453,100 on one-unit properties and a cap of $679,650 in high-cost areas. The previous loan limits were $424,100 and $636,150, respectively. This is the second straight year and the second time that the FHFA has raised the conforming loan limits since 2006.
The conforming loan limit determines the maximum size of a mortgage that Government Sponsored Enterprises Fannie Mae and Freddie Mac can buy or guarantee. Non-conforming or jumbo loans typically carry a higher mortgage interest rate than conforming loans, increasing monthly payments and negatively impacting affordability for families to purchase homes.
The FHFA decided to raise the conforming loan limits due to rising home values. In most of the country, the 2018 maximum loan limit for one-unit properties will be $453,100. In high-cost areas like Santa Clara and San Mateo counties and most counties in the Bay Area, the cap will be $679,650. Maximum loan limits for 2018 are up in all but 71 counties or county equivalents in the U.S., according to the FHFA. For a list of the 2018 maximum loan limits for all counties and county-equivalent areas in the U.S. click here.
2017 Los Gatos/Saratoga District Chair Mary Kay Groth passes the gavel on to 2018 District Chair Ryan Nunnally.a caption
Ryan Nunnally, a REALTOR® with Keller Williams Bay Area Estates, was installed on Wednesday night as 2018 chair of SILVAR’s Los Gatos-Saratoga District. More than 90 SILVAR members and guests attended the District’s annual Holiday Reception and Installation held at La Rinconada Golf & Country Club in Los Gatos. The evening also gave members an opportunity to celebrate the year’s achievements and welcome the holiday season.
2017 District Chair Mary Kay Groth welcomed everyone and before relinquishing the position, mentioned she was very grateful for the opportunity to have served the District and glad she had stepped up and got involved in organized real estate. Groth urged SILVAR members to get involved and heed the Calls for Action from the National Association of REALTORS® (NAR) and California Association of REALTORS® (C.A.R.).
“It’s good we stay involved as REALTORS®. Please answer the Call for Actions because it is important to our business,” said Groth.
Noting getting involved in organized real estate, while it has many rewards, is also a time commitment, Groth thanked the members of this year’s District Council for helping her with the tour meetings and events this year. They include Alan Barbic, Shawn Carroll, Pelin Erdal, Eileen Giorgi, Audrey Hutton, Nunnally, David Tonna and Suzanne Yost.
Then, in keeping with the District’s tradition, past District chairs who were present were asked to come forward and pass the gavel on to the incoming District chair. The gavel was passed from Marlene Rodman to Jeff Barnett, Dennis Byron, David Tonna, Mark Von Kaenel, Karen Trolan, Alan Barbic, Suzanne Yost, and on to Groth, who then handed it to Nunnally.
Silicon Valley Association of REALTORS® says ... 