Superstar Redlands realtor team shares their experiences during pandemic
Note: we have another interview this week, this one from the excellent Gabby Taylor group in Redlands. This team has amassed a strong set of ratings on Google and Zillow, and are beloved by their clients for their experienced and customer-centered approach to real estate. Gabby and Michael Taylor join me for a few questions about the current real estate market.
The highlights here are that we are still in a seller’s market. Low inventory and high prices means owners are sitting in a good position, but interest rate increases throughout 2022 are almost inevitable at this point, which will slow the market down. We are also seeing a lot of movement out of Redlands/California to lower-cost areas - and some of these movements are politically motivated. Overall, buyers seem to be making quicker decisions, which certainly makes sense in these stressful times.
Sit back and enjoy! I had a lot of fun working on this with Gabby and Michael and I hope you learn a few things too along the way.
Me: How long have you been working in real estate, what sets your office apart from others in the industry, and how can readers find you/contact you?
Gabby Taylor: Our group has over a combined 30 years of real estate experience. I was licensed in 2003. During this period, the knowledge base I had really began the differentiation from other teams and groups of agents who got into the market either as part time or wanting to make “a little extra” money. Our growth since has been controlled and steady, but our core values have always remained the same. Many people within our sphere continue to contact us for their real estate needs and end up referring us to their friends and family. We pride ourselves as being full-time, strategic planners for real estate. We live and work in the communities we love and serve, making it easy for us to be accessible agents and to share our “hyperlocal” knowledge of the Inland Empire. We can be reached by phone: 909-633-3714, 562- 533-6058 (LA County), email gabby.taylor@gmail.com or Michael at 909-633-3716, kmichaeltaylor@gmail.com.
Me: Is it a buyer's or seller's market right now? (Or is it a bit of both?)
Gabby Taylor: Currently it remains more of a seller’s market with a lack of inventory, though 2022 may bring an increase in interest rates (they are still historically low). and a “perception” of a slowdown. If the Fed does increase interest rates, the initial perception may result in a slight slowdown in buyer demand. Currently, to deal with market conditions and with multiple offers being made on a single property, we have partnered with Homelight, a company that offers the ability to make a cash offer that is then turned into a 30 year fixed loan on the back end. Another is Trade-in. This allows a seller to take the equity out of their home and buy before they sell, thereby making a powerful non contingent offer.
Me: I know you work with a lot of different clients and you even work outside of Redlands. Any major changes in the makeup of your clientele since the pandemic?
Gabby Taylor: We are seeing a lot of local demand at the bottom to mid range of the market as buyers struggle with the lack of inventory. We are also seeing higher end demand as people move from higher income areas such as LA/OC and buy homes that seem inexpensive to them for the $1,000,000 plus market, generally families that have relocated due to the pandemic or wanting out of the LA /OC counties desiring a better quality of life with no commutes (Zoom has drastically reduced commuting time).
Overall, the sweet spot in home values in the Inland Empire is a 3-bedroom 2 bath property, 1700 sq/ft on 6000 sq/ft lot. Selling price between $450,000- $650,000. [Editor’s Note: this is right around the region’s median house price, according to the California Association of Realtors.]
The investors we work with are selling properties they purchased between 2006-2015, taking their equity to invest elsewhere. Others are hungry to find opportunities. Nationally, the iBuyer concept where companies like Zillow, Redfin and others are purchasing homes sight unseen and for lower values, had a purpose by establishing brand awareness but has fallen short and lost money.
Owner occupied remains the highest percentage of our sales.
In the last year, we have relocated more clients out of Redlands to “lower” cost states such as Nevada, Tennessee, North / South Carolina, Florida and Texas. Many have retired, others have moved for personal and political reasons (60%); the other 40% have moved to Redlands for work, selling in LA / Orange County and wanting more house and space.
No second home purchases in Redlands; only Big Bear and Arrowhead.
Since the pandemic, we are seeing more transitory buyers, and sellers are quick to make decisions. Clients we have known for years make overnight decisions to move to larger homes, out of state, etc. much of this is being done in order to take equity out, retirement driven and lifestyle changes. We take it upon ourselves to keep our clients informed of current market conditions, etc., as we have further found that everyone is much more informed and wiser to the home buying and selling process as a whole.
Thanks again to Gabby and Mike for their support and for their excellent answers to the questions. Have a nice weekend, and see you for next Tuesday’s update!