Have you ever thought about how much money you would have saved down the road if you would have invested in a sustainable home design? Imagine your electricity bill being almost non-existent or not having to use your heater or air conditioner to make your home comfortable during those hot and cold months. All of this can be accomplished by using sustainable design to build or upgrade your home.  Sustainable design is a concept that is taking off in the U.S. and numerous people are beginning to see the many benefits that it has for their future.

That being said, I am happy to announce that the Central Coast Homes Magazine has teamed up with Grandberry Financial and PasoRobles.com to introduce to you the inaugural Central Coast Luxury Sustainable Home Competition. For this competition we are asking for people to come forward who might be interested in either having their home built or upgraded in a sustainable manner by using their lend-able equity to fund this process.

The mission of this competition is to provide a vehicle for the client to build with “sustainability” as the cornerstone of the design process. Sustainable design is a design philosophy incorporating architectural design and product selection that contributes to social well-being, makes sound economic sense, and has negligible impact on the environment while at the same time creating a lasting very unique sense of style and consciousness. It also incorporates the idea of utilizing existing, proven design concepts and product technology.

Grandberry Financial wants to make sure that they deliver a service and product that has sound long term investment and pay back potential while at all times helping the environment with a design criteria that reflects your tastes, choices and ultimate peace of mind.

Great home design should enhance the value of each environment, make optimal use of space, elicit an environmentally sustainable mindset, and use less energy with existing technology and design philosophy than currently used today.

That is precisely the reason we are putting on the Central Coast Luxury Sustainable Home Competition. Each qualified candidate will also receive a Paso Robles vacation package offered to you by PasoRobles.com. You can access more information on the Central Coast Luxury Sustainable Home Competition by visiting the following website http://www.reenergizeca.com/ or by contacting Brian Braithwaite from Grandberry Financial at 714-975-0104.

Discover the Santa Ynez Valley with Claire Hanssen…Explore the gated enclave of Oak Trail Ranch

“Blue Belle’s Ranch” — Unique in it’s simplicity and serenity, set on 20 acres of Oak groves and located in the Santa Ynez Valley’s coveted foothill area, this Hacienda-style home opens to extremely luxurious and contemporary interiors. A center courtyard, guest house, barn and abundant wildlife are some features. Gated ranch community surrounded by natural beauty. Offered at $3,495,000

Claire Hanssen | Prudential California Realty
2933 San Marcos Ave., Ste. 102 | Los Olivos, CA 93441
(805) 680-0929 | claireh@syv.com
www.clairehanssen.com

Number of units sold in Southern SB County – May 2009

The number of units sold in May 2009 is down 21% when compared to May 2008. Through the first 5 months of 2009 there have been a total of 430 units sold and when you compare that to the first 5 months of 2008, there were 573 units sold. The number of units sold for the first 5 months of 2009 is down 25% when compared to the first 5 months of 2008. There are some great opportunities out there if you can get financing. Interest rates are low and will be heading up later this year and into 2010. If you are interested in any additional information please feel free to email me at JRinSB@Cox.net or call me at (805) 689 2058.

Best regards,

Jeff Reeves

April Sales in Southern SB County

Here’s a quick update.  There is a lot of refinancing occuring, however sales are still sluggish.  This month should be better then last month, however I imagine the number of units sold will still be lower then last year.  The next few months (through Septemeber) is our busiest time of year.  Be aware sales slow down in October through February.

There are some great opportunities out there and some very desperate sellers.  If you are a buyer you have a huge advantage as sellers realize they have to move on price if they want to sell their home.

CARPINTERIA – Total Sales 10 – Avg $1,532,227

GOLETA – Total Sales 22 – Avg $535,795

ISLA VISTA – Total Sales 2 – Avg $961,000

SANTA BARBARA – Total Sales 56 – Avg $920,402

HOPE RANCH – Total Sales 1 – Avg $2,800,000

MONTECITO – Total Sales 12 – Avg $1,993,167

SUMMERLAND – Total Sales 3 – Avg $1,300,000

If you are interested in any additional information please feel free to email me at JRinSB@Cox.net or call me at (805) 689 2058.

Best regards,

Jeff Reeves

April 2009
Average and Median Sales Prices in Southern SB County.

The median sales price in April 2009 is down 29% when compared to April 2008.  Santa Barbara’s median sales price dropped 22% and Goleta dropped 20%.  And most importantly, the high end is finally starting to show signs of the reality of the market.  Montecito dropped 38% in April 2009.  We are near the bottom, maybe another 10-15% more at most.  Be careful because interest rates are going to rise within the next year or so.

There are some great opportunities out there and some very desperate sellers.  If you are a buyer you have a huge advantage as sellers realize they have to move on price if they want to sell their home.

If you are interested in any additional information please feel free to email me at JRinSB@Cox.net or call me at (805) 689 2058.

Best regards,
Jeff Reeves

Harry Kolb of Sotheby’s International Realty® Reviews Recent Trends of Montecito Estates over $5 Million in his Newsletter “The Little Woods.”

By now it’s no surprise that estate sales were down last year. In 2008 we sold 57 homes in our area for over $5 million compared to 66 the previous year. Even though this represents a 14% reduction in the number of homes sold, that number was still well over the previous three years when we averaged 45 homes sold.

Looking at the various communities in our area, the sale of significant homes in Montecito didn’t slow dramatically until after September with the failure, merger or conservatorship of several large United States-based financial firms. But the market for homes valued over $5 million was slow all year in Hope Ranch, Santa Barbara and for all oceanfront properties in general.

In Hope Ranch, last year’s sales for homes over $5 million were down to 4 homes sold compared to 13 the previous year. In Santa Barbara the number was 0 for last year compared to 3 in 2007. On the beach, sales were down from 11 to 9. Perhaps the most telling segment of our market was that priced over $16 million where we only sold 5 homes last year compared to 10 the previous year. That may not sound like such a terrible value until you realize there are over 50 homes on the market or quietly available with an asking price above $16 million.

Another important measure of market strength is the average sales price compared to the last asking price for those homes sold. Last year, as you would expect, the average buyer expected a larger discount from the seller’s asking price. The discount between the last asking price and the eventual sales price increased from an average of 5% in 2007 to 8% last year. That’s the largest change in this key measurement since I’ve been keeping records for the past 20 years.

To keep this value in perspective however, you should know that each of the 57 transactions varied widely based on particular buyer and seller motivation, the features of the property and the reasonableness of the particular asking price. Twelve of these 57 homes actually sold for full price and a few sold for even more than full price!

But perhaps an even more alarming trend that was evident during the last few months of last year was the request by the buyers for a last-minute reduction in price just before their escrow was due to close – often well after all their contingencies were released and the seller thought he had completed all negotiations. This can create an uncomfortable situation for a seller who may feel he has already reduced his sales price more than he had ever thought necessary, only to then be faced with the choice of accepting even less for his home or to cancel the transaction and adjust all his alternative plans as well. Most sellers accepted the reduced terms.

This was an alarming issue here in our area because it almost never occurred before. I would warn any seller to work diligently at making their escrow as secure and iron-clad as possible. Attempt to have the buyer release all or a significant portion of his deposit as soon as possible to insure as secure a transaction as possible. Many sellers think that the buyer’s deposit in escrow is theirs if the buyer does not perform in accordance with the terms of the purchase. This is not the case. The deposit is a token of faith submitted to escrow by the buyer as part of a unilateral agreement and requires the consent of both parties, the buyer and the seller, for the escrow company to do anything with it – to return it to the buyer or to release it to the seller. Without the full consent of both parties, escrow can’t take instruction from either party alone. This is why it’s helpful for a seller to have a release of a significant portion of the deposit written into the initial agreement. This release usually occurs after the buyer has released his contingencies so the seller knows there is that added motivation for the buyer to perform as expected, or lose the released deposit. This provision at least encourages a buyer to employ any re-negotiations at the time he is removing his contingencies and not to wait until the very close of escrow.

As an alternative to having a portion of the buyer’s deposit released to the seller prior to the close, a seller may also negotiate to retain possession of the property by renting back from the buyer after the close of escrow. The rental period usually runs for two to four weeks or enough time for the seller to move from the property after the close. This protects the seller from at least the turmoil of physically moving from the home until the transaction has been completed to everyone’s satisfaction.

As has been the case for a number of years, Sotheby’s continued to dominate the sale of the more expensive homes in our area. Last year our firm represented 29 sides of the sales over $5 million compared to our next closest competitor who represented 23, and 18 sides over $16 million compared to 7 for our next closest competitor. If I can assist you with the sale or purchase of property, I hope you’ll feel you can rely on my assistance.

(From agent’s January 2009 Newsletter)

Harry Kolb

Sotheby’s International Realty®
1106 Coast Village Road, Suite D
Montecito, CA 93108
Telephone: 805.452.2500

For more information email Harry Kolb or to sign up to receive PERIODIC MARKET UPDATES visit his website at www.sbestatehomes.com.

April 2009 Santa Barbara/Montecito Sales – Southern Santa Barbara County

Overall, there was an increase in the number of units sold compared to last month.  This was expected because the next 4-5 months is our busiest time of year.  Sales are slow from October through February.

When I compare April 2009 to April 2008 the number of units sold is down 18%.  I expect sales to be slow for the remainder of this year as well as 2010.

There is good news.  Overall, the market under $1.5 million has seen about a 35% drop in price.  Prices above $1.5 million is still hit and miss.  Some sellers understand they need to be realistic about price and others still think we’re living in a sellers market.  With low interest rates (5%) for a conforming loan, it is making it easier for buyers to get into a nicer home.  Clearly we are in a buyers market.

If you are interested in any additional information please feel free to email me at JRinSB@Cox.net or call me at (805) 689 2058.

Best regards,
Jeff Reeves

Your Own Private "Paraiso" Beckons . . .

Bob Lamborn of Sotheby’s International Realty presents "Paraiso," a $35,000,000 luxury estate located in Montecito, California. This Vista Linda Lane home is proudly featured as the cover property for the Santa Barbara and Santa Ynez Valley Homes Magazine (Volume 10, Issue 5, page 10).

Inspired by the grand haciendas of early California and the finest architects of our time, the designers and artisans of this magnificent estate blended Old World sophistication and craftsmanship with modern interpretation to form this masterpiece created for those who believe refinement and luxury are a way of life.

Construction of the finest quality is nearly completed on this extraordinary property located in one of the most desirable locations in the world — Montecito, California. Its commanding 12 acre knoll-top site offers panoramic views of the Pacific Ocean, Channel Islands, Santa Barbara Harbor and the Santa Ynez Mountains.

The finished estate will include an 11,000 square foot main residence with sumptuous master bedroom, as well as 3 additional bedroom suites, a well-appointed theatre room and classic wine cellar with an Old World feel. A large garage facility has capacity for 9 automobiles.

The expansive pool cabana — with fireplace, changing rooms, luxurious baths, showers and sauna – is adjacent to the pool and spa, which utilize a salt water filtration system providing beautiful, glistening, clear, chlorine free water.

A two-bedroom, 1,200 square foot guest house, secluded on it’s on own knoll, offers dazzling views and is surrounded by a magnificent pine forest.

Additional amenities contributing to the prominence of this great estate include a separate abode for manager’s quarters and a well-equipped outdoor entertaining area capable of accommodating up to 200 guests.

The extraordinary landscape of Paraiso’s grounds provides outstanding beauty as you stroll along a mile-long walking path, linger in the shaded meadows and manicured lawns and dream in the formal rose garden. A festival of organic fruit trees, including apple, fig, persimmon, orange, lemon, lime, tangerine, pear and plum, delight the palette and intrigue the senses. Two stunning acres of delicious avocados and an abundant variety of blueberries, blackberries and boysenberries provide a fruitful bounty from nature.

As the sun sets over the ocean and the twilight illuminates the mountains, sit back, relax your mind and let yourself go in your own private Paradise…"Paraiso" beckons you with a promise of eternal grace and infinite peace. $35,000,000. www.VistaLindaLane.com

For more information on this property and other Montecito and Santa Barbara Real Estate, contact Bob Lamborn, Realtor® at 805.689.6800.

Bob Lamborn, Realtor®
Sotheby’s International Realty® – Santa Barbara
1106 Coast Village Road
Santa Barbara, CA 93108
Cell: (805) 689-6800
Office: (805) 969-9993
Fax: 805-969-9376
E-mail: Bob.Lamborn@SothebysRealty.com
Website: www.BobLamborn.com