A New Year, A New Administration, New Vaccines - there's hope for 2021
After 2020, the idea of making predictions and forecasts for our local real estate market feels foolish. Overall, the market in the beach communities is strong, it does vary in strength depending on the price point.. Here's what I will be watching in 2021:
Big Picture-Macro Issues: Covid-19 – the vaccine rollout is key. I think it will ramp up and more vaccines will come to the market. If so, I see a 2nd half bounce back towards a more "normal life." At least where you can give a friend a hug... Restarting the Economy. Opening Shops, restaurants and businesses on Main Street. there will be a turnover, as we have seen, but lease rates will be reduced and new business will come in. New Stimulus and fiscal policy from the Biden Administration. I am hopeful they restore the full tax deductions on both property tax and on the interest we pay on mortgages.
Real Estate Centric Issues: Interest rates – I'll be watching the 10 year Treasury note & the Fed - I don't see the Fed raising interest rates anytime soon. Scarcity of inventory – Will people really locate to different parts of the country and leave Beach communities like ours because they can work from home? On the contrary, yes I’d prefer to work from home and then be able to take an evening stroll on the beach, rather than live anywhere else in the country. Quality of life issues in Santa Monica/Venice/Marina Del Rey - Confronting and implementing solutions for the homeless problem that has worsened with the Pandemic. My hope is that the new SM city council will work on this very complicated issue.
This is a 1 year chart of the 10 year Treasury Note. I would like to see this stay around 1% to keep interest rates on Mortgages low (+/- 3%).
Reach out to me anytime to consult on your situation. People & opportunities come to me every day, I can advise and connect you with the right buyer, seller, home and investment.
Here’s to health, happiness and good luck for all in the New Year. -Rob Maschio
I love where I live, I buy and sell what I know.
Robert Maschio Broker Associate Bulldog Realtors 2909 Main Street Santa Monica, CA 90405 (310) 460 -8324 email@example.com www.maschiorealestate.com BRE # 02010887
Residential, Income & Commercial Properties Serving the Beach Communities of Santa Monica, Venice & Marina Del Rey.