Who are the buyers in today’s market? Should I buy now or wait? Where will prices be in 6 months? What are the opportunities, and what are the challenges in a post-Covid-19 market?
One of the main factors contributing to the success of multi-family’s success in recent years has been the Millennials: in particular their desire to live close to where they work and socialize. Additionally their tendency to wait in regards to marriage and starting a family as well as a social consciousness has often involved sharing houses to be more socially responsible, which also allows them to pay higher rents.
But time moves on and millennials are growing up. Many are also just “aging out” of the rental market. For many, those delayed life milestones are upon them. There are others are waiting in the wings, but will they be enough to sustain the current level of multifamily supply and demand?
Pundits think that at least for 2020, multifamily properties will continue to be a strong performer. When considering a longer term demographic trend, however, the millennial generation is starting to age out of the key renter pool, as they get into their mid to late 30’s.
The “average” millennial is also getting married, having kids and buying a house, but later in life. There is going to be an economic impact to that. We still have record employment but wages have not kept pace. Another huge factor is the student debt burden. The amount of student debt has also more than doubled since the early 2000’s, so the millennials have a hard time saving and qualifying for their first home, even when they have good jobs.
Adding to all of this is the fact that the prices have gone up significantly. In Los Angeles it’s now over $600,000. And that’s just the median. The question is whether or not millennials have the ability to qualify for a loan and make the down payment needed to purchase the types of housing that they want at the prices that the market is bearing. Add to this the fact that the construction costs of multi-family and single family, including the costs of remodeling or adding on to homes, have risen significantly.
If they cannot afford to buy a home, they may continue to rent. But the problem there is whether they can afford the larger spaces that they will need. The larger units available tend to be more luxurious and much more costly. Some will decide to move out of the area, if not out of the State. It remains to be seen.
|Nestled against the picturesque foothills of the San Gabriel Mountains, Sierra Madre is beloved for the quaint atmosphere and charming town center. Close to wonderful hiking trails, the city offers access to the best of the natural wonders of the region.
Retro Split Level in an idyllic setting on a quiet cul-de-sac. The practical design offers staggered living on three levels, suitable for many different lifestyles. The
3 Bedrooms | 2 Bathrooms | 1,641 sqft | 7,868 sqft lot
On a Friday afternoon in the spring, a small group wandered below a canopy of towering eucalyptus trees in an idyllic and sun dappled Southern California yard. The Pacific Ocean below sparkled a dazzling shade of blue, birds chirped and sang overhead, and cheerful bright orange poppies blanketed a nearby hillside embankment.
The crowd was here to take a self-guided tour of the Eames House, an architectural marvel of glass and steel, built by Charles Eames and his wife, Ray, in the late-1940s. The couple moved into the property on Christmas Eve 1949, and continued to live and work there for more than a quarter century until their deaths. In 2004, the couple’s step-daughter, who then owned the house, gave it as a gift to the non-profit Eames Foundation, which she founded in part to protect it. In 2006, it was declared a National Historic Landmark.
The house, situated on a Pacific Palisades bluff, north of Santa Monica and south of Malibu, is “unselfconscious,” “created in its own little world, screened all around by trees, foliage and hills,” which serve as a “shock absorber,” according to the description of the property in the December 1945 issue of Arts & Architecture magazine. It was here that the Eames House was introduced as part of the magazine’s famed Case Study Houses program, for which publisher John Entenza commissioned major architects of the day to design and build affordable and efficient model homes meant to address the mid-century housing boom and serve as a template for how returning GIs and their families wanted to live after World War II.
Between 1945 and 1966, 36 homes were designed and 25 were built—most of them in Los Angeles. The Eames House—Case Study House #8—is one of two that has nonprofit status, and is eagerly toured by architecture buffs from around the world. The other is Pierre Koening’s iconic Stahl House—Case Study House #22—which overlooks the city’s expanse from a point of remove in the Hollywood Hills.
$650,000 – 3 beds, 2 baths, 1,520sqft, 7,317sf lot This lovely single-level home on a quiet cul-de-sac has been updated with all new flooring, newer windows and is freshly painted with decorator colors. The formal entry opens to the great room that boasts a Spanish-influenced fireplace, flanked by windows. The adjacent kitchen is flooded with natural light. It opens to the fully enclosed private backyard, which features fruit trees and plenty of space for the kids to play. The large eating area opens to the covered porch, perfect for alfresco dining. The master suite is large with an updated bathroom, featuring marble floors and a walk-in shower. Don’t miss the hidden vanity table! The two additional bedrooms are on a separate wing and share a hallway bathroom.
I have a great appreciation of architecture and my favorite style is Prairie. Here in Los Angeles it’s unusual to find a home in this style made famous by Frank Lloyd Wright in Oak Park, Illinois. There is a stunning example of this architectural style, designed by architect Dave DeAngelis and built only three years ago. Located behind gates on a hilltop setting in La Canada Flintridge, this is truly worth a look. Listed by Janice McGlashan of Coldwell Banker, I would love to show you this beautiful home.
Listed by Janice McGlashan of Coldwell Banker for $ 10.995 million.
Frank Lloyd Wright inspired Prairie style estate constructed to take full advantage of the panoramic San Gabriel mountain views. Designed by Dave DeAngelis and perched on an over 60,000 square foot lot, the secluded architectural estate features ultimate privacy, open plan layout & modern amenities. Expansive glass and full-height sliding doors foster indoor-to-outdoor transparency & connections between living spaces. Exquisite wood materials were carefully selected to provide lasting elegance. The open kitchen, dining and living areas form the heart of the home. The inviting master retreat on the main level features sliding doors to the backyard, 2 walk-in closets & a luxurious master bathroom with double shower & vanities. A 3,000 square foot covered patio with massive fire pit creates outdoor living space for dining, relaxation & play. Elegant interior finishes complement the home’s clean lines & comfortable spaces, providing a serene environment for living. The upper level boasts 4 bedroom suites with walk-in closets & built-in desks, family room, second laundry room & oversized terrace with spectacular views. Award winning La Canada Schools.
Tucked in between towering Cypress trees on a steep hillside in Echo Park, Anonymous Architects’ “House in Trees” is exactly what its name implies. Strategically placed on the hillside between three large cedars, architect Simon Storey chose to preserve the massive fourth tree in the center of the site, leaving it in place and incorporating it into the design.
“The house is like a minimalist barn that seems to be floating over the steep hillside, with an undulating roof that mimics the topography,” says broker Kristal Moffett of Deasy Penner Podley. “There are not a lot of architectural homes for rent, and to find a one-of-a-kind house that is this dramatic, in such a delightful location, is a genuinely rare opportunity.”
|389 Linda Vista Avenue | Pasadena|