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Santa Clarita Valley
Residential Real Estate
   BNI Presentation on December 14, 2011
                       By
          Phil Levy, REALTOR®, CDPE
          Intero Real Estate Services
                 661.313.4717
             phil@jpscvrealty.com
How do REALTORs® Define SCV?

             Aqua                                       Canyon
                              Acton
             Dolce                                      Country

                                                       Stevenson
            Castaic       Newhall
                                                         Ranch

                     Saugus                  Valencia
                         Phil Levy, REALTOR®, CDPE
Decenmber 14, 2011       Intero Real Estate Services               2
                            www.jpscvrealty.com
Why SCV?
                                                      City of Santa Clarita is 51st
                                                      most affluent in US
       SCV – Great Place to Live and                  • Ranks in top 15% of all cities with a
                  Work                                  population greater than 75,000.
                                                      • Very giving community
                                                      • Source: The Signal, Monday April 12
                                                        2010.



      Unemployment lower than
      State and US at Sep ‘11 (SCV                         SCV – Preferred filming
      Business Journal – Dec 2011)
      • Santa Clarita – 7.6%
                                                        location for all sorts of films,
      • LA County – 12.2%                               TV series, and commercials –
      • State of CA – 11.4%                              www.filmsantaclarita.com


                                     Phil Levy, REALTOR®, CDPE
Decenmber 14, 2011                   Intero Real Estate Services                                3
                                        www.jpscvrealty.com
Why SCV – cont.

      Recently voted the most
                                               Highly ranked schools
      “Business Friendly” city
                                                        (API)
           in LA County



        Higher median city
                                            Public Safety – 3d Safest
      household income vs LA
                                            city in CA and 11 in the
       County overall - $76 vs
                                                       US
       $52 (data from 2006).

                          Phil Levy, REALTOR®, CDPE
Decenmber 14, 2011        Intero Real Estate Services                   4
                             www.jpscvrealty.com
Relative Values of SCV Cities




                         Phil Levy, REALTOR®, CDPE
Decenmber 14, 2011       Intero Real Estate Services   5
                            www.jpscvrealty.com
Median Price & Closed Sales of SFR
                                                                         SCV SFR Sales since 1998 - YTD Oct 2011
    700
                              SFR Median Price ($000)
                                                                                                                                                                                                   643
    600
                              SFR Closings


    500                       6 per. Mov. Avg. (SFR Median Price
                              ($000))
                              6 per. Mov. Avg. (SFR Closings)
    400                                                                                                                                                                          405
                                                                                                                                                                                                                                                                                                          364
    300



    200



    100
                                                                                                                                                                                                                                                                                                          176


      0
                                     Apr-99
                                              Sep-99
                                                       Feb-00




                                                                                                                                                          Sep-04




                                                                                                                                                                                                                         Aug-07
                                                                                  May-01




                                                                                                                                                 Apr-04


                                                                                                                                                                   Feb-05




                                                                                                                                                                                              May-06




                                                                                                                                                                                                                                                             Apr-09
                                                                                                                                                                                                                                                                      Sep-09
                                                                                                                                                                                                                                                                               Feb-10




                                                                                                                                                                                                                                                                                                          May-11
                                                                         Dec-00


                                                                                           Oct-01




                                                                                                                                                                                                       Oct-06




                                                                                                                                                                                                                                                                                                                   Oct-11
          Jan-98




                                                                                                    Mar-02




                                                                                                                                                                                     Dec-05
                                                                                                             Aug-02
                                                                                                                      Jan-03




                                                                                                                                                                                                                Mar-07




                                                                                                                                                                                                                                                                                                 Dec-10
                                                                                                                                                                                                                                  Jan-08




                                                                                                                                                                                                                                                                                        Jul-10
                   Jun-98




                                                                                                                               Jun-03




                                                                                                                                                                                                                                           Jun-08
                            Nov-98




                                                                Jul-00




                                                                                                                                        Nov-03




                                                                                                                                                                            Jul-05




                                                                                                                                                                                                                                                    Nov-08
                                                                                                                                                 Month & Year

                                                                                                                      Phil Levy, REALTOR®, CDPE
Decenmber 14, 2011                                                                                                    Intero Real Estate Services                                                                                                                                                                           6
                                                                                                                         www.jpscvrealty.com
Breakdown of Sale Types (SFR)
        Closed SCV SFR Sales YTD 11/30/2011
                                 Short Pay,
                                 696, 32%
      Standard,
      930, 43%




                                                Active SCV SFR Listings at 12/13/2011
                          REO, 552,               Standard,
                            25%                   445, 35%


                                                                                Short Pay,
                                                                                660, 51%




                                                          REO, 185,
                                                            14%


                                      Phil Levy, REALTOR®, CDPE
Decenmber 14, 2011                    Intero Real Estate Services                            7
                                         www.jpscvrealty.com
Looking Ahead
      – Potential for increase in housing demand – both
        rental and own.
            •   Return of jobs
            •   Lack of new housing starts
            •   Demographics
            •   Return of inflation
      – Affordability is at historically high levels
            • Driven by historically low interest rates and prices
            • FHA regulations have impacted the price of condos


                                Phil Levy, REALTOR®, CDPE
Decenmber 14, 2011              Intero Real Estate Services          8
                                   www.jpscvrealty.com
Opportunities Abound
• First Time Buyers
      – Profile – renters with stable employment or
        business with solid credit.
      – In most cases buying is less expensive than
        owning – before tax.
            • Financial model that provides the calculation.
      – Tax benefits of owning – deductibility of interest
        and property taxes.
      – Great inflation hedge
                              Phil Levy, REALTOR®, CDPE
Decenmber 14, 2011            Intero Real Estate Services      9
                                 www.jpscvrealty.com
Opportunities Abound, cont.
• Income Properties
   – Profile: Anyone looking to diversify his/her investment portfolio. Also
      move ups.
   – Real Estate can be a great wealth creator.
   – Cost of entry is at historically low levels. Temporarily
   – Generate solid returns
       • with a potential for future increases in rental income.
       • Lock in property assessments under Prop 13.
   – Significant due diligence is required on market values, property
      condition, rental income expectation, costs to purchase and maintain
       • pencil out the figures.
            – Find the right property
            – At the right price
            – With the right information
                              Phil Levy, REALTOR®, CDPE
Decenmber 14, 2011            Intero Real Estate Services                  10
                                 www.jpscvrealty.com
Opportunities Abound, cont.
• Distressed Property Owners
      – Profile: Anyone struggling to keep their home.
        Earlier intervention can profoundly affect the
        outcome.
      – Unprecedented assistance programs
            • Mortgage mods
            • Short Sales
      – Avoid Foreclosure:
            • Profoundly affects credit rating and access to credit and
              potential jobs or business opportunities

                               Phil Levy, REALTOR®, CDPE
Decenmber 14, 2011             Intero Real Estate Services            11
                                  www.jpscvrealty.com
Resources
• Patient and responsive
• Persistent at striving toward the right result for the
  client
• Solid negotiating and analytical skills
• Well connected in the local real estate community
• Strong financial background
      – Due diligence checklist and worksheets for investors
• Great network of affiliates
      – Short sale negotiators, lawyers, CPA for distressed property
        owners.
      – Mortgage lender and insurance agent for all buyers

                            Phil Levy, REALTOR®, CDPE
Decenmber 14, 2011          Intero Real Estate Services           12
                               www.jpscvrealty.com
Web Services for Clients
•   www.jpscvrealty.com
•   www.facebook.com/scvrealty
•   www.santa-clarita-home-solutions.com.
•   www.santa-clarita.com (City of Santa Clarita
•   www.santaclarita.com (City Guide)
•   www.SCVchamber.com (Santa Clarita Chamber of
    Commerce)




                             Phil Levy, REALTOR®, CDPE
Decenmber 14, 2011           Intero Real Estate Services   13
                                www.jpscvrealty.com

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BNI Presentation 12-14-2011

  • 1. Santa Clarita Valley Residential Real Estate BNI Presentation on December 14, 2011 By Phil Levy, REALTOR®, CDPE Intero Real Estate Services 661.313.4717 phil@jpscvrealty.com
  • 2. How do REALTORs® Define SCV? Aqua Canyon Acton Dolce Country Stevenson Castaic Newhall Ranch Saugus Valencia Phil Levy, REALTOR®, CDPE Decenmber 14, 2011 Intero Real Estate Services 2 www.jpscvrealty.com
  • 3. Why SCV? City of Santa Clarita is 51st most affluent in US SCV – Great Place to Live and • Ranks in top 15% of all cities with a Work population greater than 75,000. • Very giving community • Source: The Signal, Monday April 12 2010. Unemployment lower than State and US at Sep ‘11 (SCV SCV – Preferred filming Business Journal – Dec 2011) • Santa Clarita – 7.6% location for all sorts of films, • LA County – 12.2% TV series, and commercials – • State of CA – 11.4% www.filmsantaclarita.com Phil Levy, REALTOR®, CDPE Decenmber 14, 2011 Intero Real Estate Services 3 www.jpscvrealty.com
  • 4. Why SCV – cont. Recently voted the most Highly ranked schools “Business Friendly” city (API) in LA County Higher median city Public Safety – 3d Safest household income vs LA city in CA and 11 in the County overall - $76 vs US $52 (data from 2006). Phil Levy, REALTOR®, CDPE Decenmber 14, 2011 Intero Real Estate Services 4 www.jpscvrealty.com
  • 5. Relative Values of SCV Cities Phil Levy, REALTOR®, CDPE Decenmber 14, 2011 Intero Real Estate Services 5 www.jpscvrealty.com
  • 6. Median Price & Closed Sales of SFR SCV SFR Sales since 1998 - YTD Oct 2011 700 SFR Median Price ($000) 643 600 SFR Closings 500 6 per. Mov. Avg. (SFR Median Price ($000)) 6 per. Mov. Avg. (SFR Closings) 400 405 364 300 200 100 176 0 Apr-99 Sep-99 Feb-00 Sep-04 Aug-07 May-01 Apr-04 Feb-05 May-06 Apr-09 Sep-09 Feb-10 May-11 Dec-00 Oct-01 Oct-06 Oct-11 Jan-98 Mar-02 Dec-05 Aug-02 Jan-03 Mar-07 Dec-10 Jan-08 Jul-10 Jun-98 Jun-03 Jun-08 Nov-98 Jul-00 Nov-03 Jul-05 Nov-08 Month & Year Phil Levy, REALTOR®, CDPE Decenmber 14, 2011 Intero Real Estate Services 6 www.jpscvrealty.com
  • 7. Breakdown of Sale Types (SFR) Closed SCV SFR Sales YTD 11/30/2011 Short Pay, 696, 32% Standard, 930, 43% Active SCV SFR Listings at 12/13/2011 REO, 552, Standard, 25% 445, 35% Short Pay, 660, 51% REO, 185, 14% Phil Levy, REALTOR®, CDPE Decenmber 14, 2011 Intero Real Estate Services 7 www.jpscvrealty.com
  • 8. Looking Ahead – Potential for increase in housing demand – both rental and own. • Return of jobs • Lack of new housing starts • Demographics • Return of inflation – Affordability is at historically high levels • Driven by historically low interest rates and prices • FHA regulations have impacted the price of condos Phil Levy, REALTOR®, CDPE Decenmber 14, 2011 Intero Real Estate Services 8 www.jpscvrealty.com
  • 9. Opportunities Abound • First Time Buyers – Profile – renters with stable employment or business with solid credit. – In most cases buying is less expensive than owning – before tax. • Financial model that provides the calculation. – Tax benefits of owning – deductibility of interest and property taxes. – Great inflation hedge Phil Levy, REALTOR®, CDPE Decenmber 14, 2011 Intero Real Estate Services 9 www.jpscvrealty.com
  • 10. Opportunities Abound, cont. • Income Properties – Profile: Anyone looking to diversify his/her investment portfolio. Also move ups. – Real Estate can be a great wealth creator. – Cost of entry is at historically low levels. Temporarily – Generate solid returns • with a potential for future increases in rental income. • Lock in property assessments under Prop 13. – Significant due diligence is required on market values, property condition, rental income expectation, costs to purchase and maintain • pencil out the figures. – Find the right property – At the right price – With the right information Phil Levy, REALTOR®, CDPE Decenmber 14, 2011 Intero Real Estate Services 10 www.jpscvrealty.com
  • 11. Opportunities Abound, cont. • Distressed Property Owners – Profile: Anyone struggling to keep their home. Earlier intervention can profoundly affect the outcome. – Unprecedented assistance programs • Mortgage mods • Short Sales – Avoid Foreclosure: • Profoundly affects credit rating and access to credit and potential jobs or business opportunities Phil Levy, REALTOR®, CDPE Decenmber 14, 2011 Intero Real Estate Services 11 www.jpscvrealty.com
  • 12. Resources • Patient and responsive • Persistent at striving toward the right result for the client • Solid negotiating and analytical skills • Well connected in the local real estate community • Strong financial background – Due diligence checklist and worksheets for investors • Great network of affiliates – Short sale negotiators, lawyers, CPA for distressed property owners. – Mortgage lender and insurance agent for all buyers Phil Levy, REALTOR®, CDPE Decenmber 14, 2011 Intero Real Estate Services 12 www.jpscvrealty.com
  • 13. Web Services for Clients • www.jpscvrealty.com • www.facebook.com/scvrealty • www.santa-clarita-home-solutions.com. • www.santa-clarita.com (City of Santa Clarita • www.santaclarita.com (City Guide) • www.SCVchamber.com (Santa Clarita Chamber of Commerce) Phil Levy, REALTOR®, CDPE Decenmber 14, 2011 Intero Real Estate Services 13 www.jpscvrealty.com