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Brentwood Condo For Sale! View The Virtual Tour

Thinking about moving to Brentwood?

The market is hot, hot, hot! And finding the perfect home in Brentwood can be tough – but not impossible. Home prices may be rising, and condo living is becoming the way to go for people of all ages.

Our newest listing, located at 575 South Barrington Avenue #305, gives you the chance to live in the super coveted & highly desired area!

The Excelsior building is a prestigious building in Brentwood that is walking distance to San Vicente, which is full of shops and dining options. Enter the building through a grand entry way and walk through double doors into a bright, front facing unit. The spacious open floor plan with high ceilings features 3 bedrooms and 2 and a half bathrooms with a balcony. The kitchen is newly updated with stainless steel appliances and custom finishing. The unit, situated on the 3rd floor, gets tons of light while facing Barrington.

You can sleep comfortably in an over-sized master bedroom equipped with a large walk-in closet and en-suite bathroom.

Sounds pretty perfect, right?

There’s more!

Washer and dryer area is also located inside the unit as well as a video intercom, two parking spaces and extra storage. The building amenities include pool & hot tub, a banquet room for entertaining guests, gym, saunas, 26 guest parking spaces, and earthquake insurance.

We’ll be open this Saturday and Sunday (March 19-20) from 2pm – 5pm! Feel free to come by and view this beautiful condo that will be sure to sell quickly!

Can’t make it to our open house this weekend? No worries! We’ve put together a virtual tour for you.

CLICK HERE TO VIEW THE VIRTUAL TOUR!

Feel free to contact Ethan (310) 666-2343 or Mitra (310) 383-7253 too set up a private showing and/or with any questions and concerns.

We look forward to seeing you this weekend!

New Listing – Prime Culver City Location

Culver City is one of Los Angeles’ hottest up-and-coming neighborhoods. Not only is it a historic city where it has served as a backdrop to tons of Hollywood films such as “The Wizard of Oz”, but with so many new developments, it has become the go-to place for dining and entertainment.

Our new listing, 3979 Higuera Street, is located in the heart of Culver City and is easily accessible to all of the shops.

Don’t miss the chance to make this 3 bedroom home in coveted Rancho Higuera in Culver City your own! This bright home has a formal dining room, wood burning fireplace, smooth ceilings and hardwood floors throughout. The home has a gorgeous backyard with mature trees.

Listing Price: $849,000

Contact:

Ethan

310.666.2343

EthanMoradifar@gmail.com

Take a look some photos of the property below!

Why 50 Cent’s Mansion Won’t Sell

In case you didn’t know, rapper 50 Cent filed for Bankruptcy this past July. But the major trouble for 50 is his mansion in 50centFarmington, Connecticut.

The 21-bedroom, 25-bathroom mansion was first listed in 2010 for $18.5 million and has since been reduced several times down to $8.5 million. Originally purchased in 2003 for $4.1 million, 50 Cent claims he put between $6-10 million into the 51,657 square foot property.

What else would $8.5 million get you if you were to purchase the home? An indoor pool, gym, basketball court, a “disco” dancing area with stripper poles (disco inferno, anyone?), just to name a few things. Not to mention, you would need $67k/month simply for up keep!

The main issue 50 made, along with sellers in general, is that his initial price was too high and not on par with market trends. When you don’t offer a competitive price for your property, it can turn off potential buyers and scare them away. Secondly, this article states that celebrity homes tend to sit on the market for quite some time, however the main reason for that is due to the price bracket. Celebrities generally have larger and more expensive homes that are not accessible to the average home buyer.

In our opinion, 50 Cent made a mistake by pouring too much money into his house and pricing it way too high for the market. His best bet is to put the home for lease and try selling again in a year or two.

What do you think? Sound off in the comments!

 

Home-Pice Growth Sped Up Last Year!

*This article is brought to you by the Wall Street Journal & California Association of Realtors 

Home-price growth accelerated late last year, according to a report released Wednesday by the National Association of Realtors, as a lack of supply continues to drive up prices despite cooling demand.

The national median existing single-family home price grew nearly 7% to $222,700 in the fourth quarter, compared with the same time last year, Realtors said. Prices increased 5.4% in the third quarter compared with a year earlier.

That price bump came despite the fact that the pace of sales slowed. Total existing home sales, including single-family properties and condos, declined 5.4% to a seasonally adjusted annual pace of 5.18 million from nearly 5.5 million in the third quarter.

Fewer metro areas saw price gains, but those that did were much more likely to see big double-digit increases. Prices increased year-over-year in 81% of markets measured by NAR, compared with 87% in the third quarter. But 30 metro areas saw double-digit increases, compared with 20 metro areas in the third quarter.

Western and sunbelt markets continued to see some of the biggest gains, with several Florida markets posting some of the largest, including Punta Gorda with a 20.7% increase, Palm Bay with a 18.7% increase and the Cape Coral-Fort Myers area with a more than 16% increase. Toledo, Ohio, a chilly midwestern market, was an outlier with a 21.2% increase.

The five most expensive markets in the county were San Jose, Calif., where the median existing family home price was $940,000, San Francisco at $781,600 and Honolulu at $716,600.

“Homeownership continues to be out of reach for a number of qualified buyers in the top job-producing, but costliest, parts of the country—especially on the West Coast and parts of the South,” said Lawrence Yun, chief economist at NAR.

As the market heads into the crucial spring selling season, the affordability of homes is likely to remain a concern. The Realtors have blamed the declining pace of home sales on the lack of affordability, pointing to the fact that first-time buyers aren’t returning to the market in large numbers.

“With price appreciation likely to continue at the same pace—and even higher in some markets—incomes need to rise even more to keep affordability conditions from declining further,” Mr. Yun said.

 

LA Gets Football Team – What Does That Mean For Inglewood?

Los Angeles finally signed on its first professional football team, the LA Rams!

Exciting right?

But what does that mean for Los Angeles neighborhood, Inglewood as we get our NFL stadium?inglewoodstadium 16

The Rams are not expected to play for 3 more years, but there has already been an increasing interest in developments in the vicinity of the stadium. Trulia warns that Inglewood will not see tremendous growth, however, Ethan Moradifar, our development expert says that in fact, the exact opposite will occur.

“LA Live is proof as to why the market prices will increase,” Ethan explains. “New condos near LA Live are now going for a million dollars, and 10 years ago nobody even thought about paying that price. The condos are not only priced in the million-dollar range, but they’re selling at over asking.”

With a higher end, enormous mixed-use project equipped with office spaces, shopping, and residential opportunities, Inglewood is sure to grow as well continue to develop. Generally, people tend to want to live near their jobs, especially in Los Angeles where commuting is difficult due to traffic.

The football players and their families will also want to live close to the stadium, increasing demand for housing in the area.

While the Trulia study claims that many housing markets near NFL stadiums have actually decreased in value, “it’s almost guaranteed that will not happen in LA,” says Ethan. “You can’t compare the Dallas housing market to Los Angeles.”

The Playboy Mansion For Sale…Equipped With Hef

The famous Playboy mansion is up for sale in Los Angeles’ Holmby Hills neighborhood with a hefty (pun intended) price tagPlayboy Mansion Hosts Red Carpet Event For EuropaCorp's "The Transporter Refueled" of $200 million. However, there is one small catch: Hefner wants to live in the house for the remainder of his life.

Company spokesman, John Vlautin, told USA TODAY that, “if a buyer is found for the Playboy Mansion, Mr. Hefner will continue to live at the mansion for the rest of his life.”

Hefner bought the infamous mansion in the early 1970s for just $1 million. The Playboy Mansion has been a Hollywood staple for decades, known for its wild parties and Hef’s live-in girlfriends.

The property sits on over 5 acres of land, is over 20,000 square feet and boasts 29 rooms. It also has a 4-bedroom guest house, home theatre, gym, tennis court, swimming pool, and zoo.

Millennials Will Make Up Biggest Buyers Demographic in 2016

Yahoo! released a report through CNBC that 2016 is projected to be the year of the millennials when it comes to home MGBlogbuyers in the market. Realtor.com reports that 1 out of every 3 home buyer will be of the millennial generation.

Who exactly are millennials?

Also known as Generation Y, millennials fall in the range of people born around 1981 to 2000.

As home prices start to cool down a bit in 2016 to become more affordable across the country, the number of sales will increase and we will see many first-time home buyers. People between the ages of 24-35 bought more homes in 2015 than in previous years.

The numbers are growing and will continue to grow as we head into the new year.

Cities to keep your eyes out for:

  • San Diego, CA
  • San Francisco, CA
  • Providence, RI
  • St. Louis, MO
  • Virginia Beach, VA

 

 

 

Why It’s Better To Buy House Than To Pay Rent

Whether you are a college student who is about to graduate and enter the real world, or an already established working adult, you need to be informed on both the facts and impacts of real estate and how it is affected by interest rates.

It has been well documented and agreed upon by many economists that over time the United States real estate market fluctuates tremendously and that the U.S. economy positively correlates with the real estate market. Since the introduction of the FHA and mortgage programs, researchers have discussed with great insight how the interests rates associated with the loans have had a great impact on real estate, and therefore, the economy.

It is essential to study the interest rates in order to aid one in making the right financial decision, be it to rent a property or to take out a loan to purchase a home. While some may argue that real estate is simply another part of our world, extensive research and education demonstrates that it holds a significant importance on our national and global economy, as well as on a personal level.

Where do these rates originate? There is one central bank that offers rates that the bank borrows from, London Inter Bank Offered Rate (LIBOR). In an article from Money.com, Josh Clark states that The United States treasury can partially control the rates by controlling the cash flow by using securities such as bonds. When money is available, interest rates drop, however, when there is not an abundance of cash flow, interest rates rise.

Currently, interest rates are at about 4.25%, a very low number to date and very attractive to buyers who are in need of a loan. Many researches are now stating that interest rates will go up in the years to come, which places soon-to-be college graduates in a difficult position. Ergo, we must make smart and strategic decisions based on facts and market trends.

DEMAND FOR RENTING HOMES AND APARTMENTS

During every dip in our economy we tend to see the demand for renting homes and apartments rise for various reasons. Qualifications for home loans by banks become tightened due to taking on the least amount of risks to ensure a safe return on a loan. Due to the difficulty of acquiring a loan, the rental demand rises during a slide in the economy because this is when the most amount of people are laid off from their jobs by companies needing to cut expenses to stay afloat — this forces people to take on a one-year rental/lease agreement rather than take on a 30-year loan that must be repaid.

OWNING A HOME

Individuals find it more attractive to rent because of the short-term lease agreements available, however, I personally am a huge advocate of owning your home no matter how difficult it may be. Throughout time home values have always risen and will continue to rise even after a crash, according to the Economist.com that has done extensive research and an array of tests to prove the theory. I also believe it is important to not only have liquid assets, but also property assets. Out of college if you have the ability to purchase a home, whether it be all cash or with a loan, I would advise doing so.

On the other hand, many of us graduating from college do not have that luxury. In this case I would recommend renting an apartment or home for a few years (1-6 years) while you accumulate wealth and save as much money as possible. Doing this will give you the ability to purchase a home either with all cash or with a smaller loan amount, thus making acquiring a loan easier because of the smaller amount of principal and lower payments.

INTERESTS RATES RISING? IT’S NOTHING TO WORRY ABOUT

Although interest rates are rising, there is nothing to worry about. While you may end up with a 5.5% interest rate instead of 4.24%, you are paying that amount of interest on a smaller principal. For example, if a person has a $100,000 interest only loan at 4% you will be paying $4,000/month. On the other hand, if you wait a few years and are able to pay half of that as a down payment then the loan principal is $50,000. If the principal is $50,000 with a 5.5% interest only loan the payment is only $2,500.

As you can see, although the rate seems higher the payment is actually much lower because of the principal amount you borrowed. This is very feasible for a working person to rent for a few years and accumulate as much wealth as possible before purchasing a home.

BUYING A HOME IS AN INVESTMENT

Being a homeowner not only has many benefits, but it is also one of the biggest investments one can make. As simple as it may sound, when one owns a home, it is theirs to keep, meaning they are no longer subject to increasing rents every year. The owner now has one of the most valuable investments in the world, a tangible asset.

Moreover, with a home, you have a tangible asset that can be used in many different ways. Firstly, homes typically increase in value.

Other advantages to owning your home is the equity involved that is correlated with the appreciation of a home. If you have a home that is worth $1,000,000 and have a $500,000 loan, then you have 50% equity. Conversely, if your home appreciates to $1,500,000 then your equity has now gone up from 50% to 75% without spending any more money.

Furthermore, you will now have borrowing power with the increased equity. The increased equity will then allow you to borrow or refinance your home in exchange for some equity in order to get another loan to borrow money for a business or investment.

Additionally, many people want stability in their lives and homeownership is one way to do so. Due to the fact that most home loans are fixed-rate loans, the payments on the loan will stay consistent during the life (terms) of the loan. Personally, I feel that owning a home is a necessity, if it is at all possible to do so.

DOUBTERS OF OWNING A HOME

While many experts such as Derek Thompson, a senior editor for The Atlantic, are against the notion of owning their home because of the recent crash and uncertainties, I could not disagree more. One saying by the distinguished Warren Buffet,  “Be Fearful When Others Are Greedy and Greedy When Others Are Fearful.”

If this time plan goes accordingly, a person may likely own a home by their late 20’s or early 30’s. At this point, they are no longer saving a lump to own a home. I would still highly recommend saving somewhat as much as you were saving when you were trying to purchase a home, as this enables one to set up a future income by investing in other opportunities.

There are a number of different opportunities available such as investing those savings right back into real estate, whether it be an income producing home, apartment, or commercial property such as a retail property. By doing so, it will set you up in a great place for retirement, in a great position for when you have kids, and when you have to pay for them to go to college. Consequently, because you are still young you can use some of these savings in riskier investment because you have time to make it up in the future.

As people get older, it becomes much more difficult to take risks because of the potential downfall and hardships that may occur during the latter stages of one’s life. Real estate is one of the safest investments relative to its risk/reward correlation. The fact is that there is only so much land in the U.S and particularly the major cities, but there are more people being born everyday. This creates a high demand for real estate that will continue to grow.

RETIREMENT

Retirement is currently a delicate subject and is predicted to become even more of a sensitive subject in the upcoming years. According to the Financial Planning Association, one of the main issues with social security is that it will  more than likely become irrelevant come the second half of the 2030’s. Many retired individuals today rely solely on social security as their source of income. If social security were to be cut off for them, they would be forced to go back to work.

Investing in real estate is a great way to not only protect oneself financially, but also have a surplus of money to spend on material items, vacations, and anything else one may want. Additionally, one of a parents biggest priorities is taking care of their family and with the extra income and real estate assets that come with investing that will all be taken care of, and more if the right decisions are made. The real estate market will always fluctuate, but if you plan, budget, save, and invest you will be set up for an easier life financially.

Ethan Moradifar

Junior Partner, The Moradifar Group

310.666.2343

Donald Sterling Needs to Sell Property for Debt

Donald Sterling is under quite some fire. The CFO of Donald Sterling’s properties, Darren Schield who also oversees the finances of The Sterling Family Trust, has statedthat the Clippers owner may have to sell a large amount of his real estate in order to pay off his $500 million in loans if he does not sell the LA Clippers for $2 billion dollars.

Should Sterling sell $500 million dollars worth of property, and experts are claiming that the real estate market in Los Angeles will get really shaken up, with Schieldsaying that it could potentially destabilize the market.

We at The Moradifar Group, however, don’t think it’s going to cause quite the stir that everyone has been predicting. There is too high of a demand in real estate in the Los Angeles area right now for anything to change drastically. If Sterling is forced to sell some of his real estate empire, we predict that he will get rid of his “bad” buildings, and investors will jump on the opportunity. The truth of the matter is that investment-wise, Sterling most likely does not really have any “bad” buildings. Therefore, his properties are ones that are in high demand and will have no problem selling smoothly and rapidly. Not only will the properties sell rather quickly, they will also sell at high prices. Donald Sterling might have been a fool to make racial slurs on the phone with V. Stiviano, but he was no fool when it came to creating his massive empire.

What do you think? Is the market going to destabilize? Do you think Sterling will be forced to sell a large part of his empire? Comment and let us know, we’d love to hear your thoughts!

-The Moradifar Group

Current Market Numbers – July 2014

It’s no secret that the average housing price in Southern California has been continuing to rise and hit new highs, as the numbers show from DataQuick. Just last month (June), the median price has risen 7.8 percent from June 2013. While it may appear that there are great mortgage rates out there and a better economic situation across the board, we’re not seeing quicker gains in the overall average of prices on the market.

The problem is that there are not enough “real” buyers out there. The banks are buckling down on giving high-risk loans, which is obviously making it much harder for buyers to purchase the properties they desire at these high prices on the market.

Below you can find the sale and resale of both condos and homes in Los Angeles, Orange County, Riverside, San Bernardino, San Diego, and Ventura:

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