Category Archives: Orange County

Spotlight on: Olamendi’s Mexican Restaurant

 

Olamendi’s opened in San Clemente in 1973 and featured some of the dishes the owner’s mother and grandmother had cooked for him when he was growing up. At the time, authentic Mexican fare wasn’t common in Southern California. While the restaurant got off to a slow start, within a couple of years, Olamendi’s had became so popular that it had to move to a bigger space, its current location on Pacific Coast Highway in Dana Point. Olamendi’s is now a popular eatery for surfers, who frequently come in after catching waves across the street.

When you enter Olemendi’s, you’ll think you’ve entered a Dia De Los Muertos festival instead of a restaurant, but don’t let the décor distract you. The food is good. Tacos cost around $5; burritos, $10; tostadas, $12; enchiladas, $6; and fajitas, $20. The extensive menu also includes a vegan section, which Olamendi said was inspired by his vegan son. Make sure to try my personal favorites–enchiladas suizas, the California burrito, or the Milaneza.

OC real estate forecast suggests smaller gains in 2018

Home for sale in Dana Point. Click photo for details.

As I said a couple posts back, the median sales price for homes in Orange County rose above $700K in September. But a recent forecast for the OC real estate market suggests that home prices might rise more slowly in the months ahead, around 1% through summer 2018.

Here are the home-price forecasts for the three largest cities in Orange County:

  • Anaheim: The housing analysts at Zillow expect home prices in Anaheim, California to rise by 1.4%. House values in Anaheim rose by 6.5% over the previous year.
  • Irvine: An even more modest forecast for the Irvine housing market, with an expectation for a 0.8% price increase over the next year.
  • Santa Ana: Economists predicted that home values in Santa Anna would rise by 2.1% between now and the summer of 2018. That was one of the highest forecasts they issued for cities within the broader Orange County real estate market. Santa Ana also had the highest increase in home prices over the last year, with values rising by 11%.

Is There a Price Bubble?
The Orange County real estate market is still constrained with limited supply available. According to local housing professionals, the county had about a 2-month supply of homes in May of this year. A “balanced” real estate market is considered to have about six months worth of supply. So from an inventory standpoint, Orange County is still a seller’s market due to limited supply. But homes aren’t selling as quickly as you might imagine, given the limited inventory. In May, the median number of days on market for listed properties was 40. That means houses in the area are selling a bit faster than the national average, but they’re not going like “hotcakes.” This reinforces the idea that the local housing market is becoming unaffordable to the majority of buyers.

Which brings us to the million-dollar question. Is the Orange County real estate market in a bubble, or will it enter one in 2018? Jim Doti, an economics professor at Chapman University recently told the Orange County Register that home prices in the area have reached an “irrational level.” This is because the median value is now eight times higher than the median family income. Doti went on to say: “We are in a balloon. No question.”

Source: Home Buying Institute

Do you qualify as “low income” in Orange County?

Source: OC Register

A family of four with an annual income of $84,450 or less now qualifies as low income in Orange County. A single person living alone qualifies as low income if he or she earns $58,450 or less a year.

Orange County has the fifth-highest income threshold in the nation, according to new income limits released last month by the U.S. Department of Housing and Urban Development.

Record-high rents and home prices are driving up Southern California income limits. Orange County apartment rents, for example, increased 20 percent over the past seven years, while the median sale price of an Orange County house has jumped 40 percent.

OC median home price tops $700k–a new record!

Home for sale in Dana Point. Click photo for details.

According to this article from the OC Register, property values throughout Orange County have risen to a record high for the third month in a row.

Highlights from the article:

  • The median price of a home hit $710,000 last month, up 10.9%
  • That’s up $25,000 from August’s median of $685,000, the sixth-biggest one-month price gain in records dating back to 1988
  • Home prices also rose in September throughout Southern California, pushing the regionwide median to its bubble-era high of $505,000 for the first time in a decade

Last month’s median almost elevates Orange County home values to Bay Area levels, where the nine-county median was $742,000 in August.

Will values keep going up? Only time will tell.

Listing of the week: 33541 Avenida Calita

My pick this week is a great family home in San Juan Capistrano.

33541 Avenida Calita
4 bed, 3 bath
3,266 square feet
$999,000 (price just reduced!)

Here’s why I think this is a great buy:

  • A property like this, nestled high in the hills of Meredith Canyon, doesn’t come on the market often
  • Excellent location–right in the middle of Dana Point and San Juan Capistrano, 5-minute drive to downtown San Clemente
  • Great ocean views
  • Peaceful, quiet neighborhood–ideal for a family
  • Low HOA dues ($98) and no Mello Roos

Want to check it out? Contact me today.

Listing of the week: 34731 Calle Loma

My pick this week is this remodeled tri-level in Capistrano Beach.

34731 Calle Loma
4 bed, 3 bath
3,100 square feet
$1,350,000

Here’s why I think this is a great buy:

  • So many great features–picturesque ocean views from multiple floors, enormous great room, fireplace, gourmet kitchen, well-manicured backyard
  • Great square footage (3,100!)
  • More than $200k in improvements
  • Great in-law or guest suite downstairs (includes kitchenette and separate entry)
  • Close to the beach and Pines Park

Want to check it out? Contact me today.

Are people fleeing southern California?

 

Home for sale in Dana Point. Click photo for details.

Source: OC Register

During the first 10 months of 2016, 5,706 residents of Orange, Los Angeles, Riverside and San Bernardino counties took out loans to buy a primary residence out of state, a CoreLogic analysis of mortgage applications shows.

Lower home prices and taxes, less congestion, family ties, or a more conservative environment are luring Southern Californians to leave the state, some transplants say. But housing costs clearly are the chief factor. Southern California’s housing market is one of the most expensive in the nation, with the median house price averaging $473,000 in 2016, double the U.S. average. And the costs are even higher in Orange and Los Angeles counties, which accounted for most of the region’s out-migration. The CoreLogic study showed one out of every four Los Angeles-Orange County homebuyers moved out of their county.

About 8.3 percent moved to the Inland Empire, while 8.2 percent left the state altogether. CoreLogic’s study is just the latest in a series of reports showing California among the nation’s leaders in out-migration, trailing only New York and Illinois in net out-migration numbers. About 266,000 more people left California than moved in from other states from 2010 to 2015, U.S. Census data show. Orange County lost nearly 11,000 residents to other California counties or other states. Los Angeles County lost almost 270,000 but Riverside County offset that loss with a net gain of 66,000 people.

To be fair, that doesn’t include people moving to California and the region from overseas, which more than offsets the loss to other states in California and Orange County. It also doesn’t take into account California’s largest-in-nation population. When taking population into account, net migration to other states accounted for 0.2 percent of all residents in 2015, 24th highest in the nation.