How Do I Choose the Right Real Estate Agent in Huntington Beach?

by Scot Campbell

January 2, 2025 | 714-336-0394 | Scot@CampbellRealtors.com | Broker of Record – Coldwell Banker-Campbell Realtors

When you’re navigating the real estate market in Huntington Beach, finding the right agent can make all the difference.

Whether you’re buying your first coastal home, selling a beloved property, or investing in a lucrative opportunity, your agent will be your trusted guide.

They bring invaluable experience and expertise, helping you navigate everything from local market trends to the complexities of contracts and negotiations.

A great agent can also connect you with neighborhoods that align perfectly with your lifestyle and goals.

Key Qualities to Look for in a Huntington Beach Real Estate Agent

As you search for the right real estate agent in Huntington Beach, keep an eye out for these key traits:
Experience: Look for someone with a proven track record and an in-depth understanding of the Huntington Beach market. An experienced agent will know how to navigate challenges and opportunities unique to Surf City.
Local Expertise: The best agents know Huntington Beach inside and out, from its vibrant downtown area and surf culture to its family-friendly neighborhoods and school districts. This knowledge is invaluable when choosing the right home or marketing your property effectively.
Strong Communication Skills: A responsive and communicative agent who answers the phone, text messages, and emails promptly is essential in keeping you informed at every stage of the selling process.
Professionalism: Choose an agent with a solid reputation, excellent reviews, and a respectful demeanor. Their professionalism reflects how seriously they take your real estate journey.
Adaptability: The Huntington Beach market can shift quickly. A great agent will remain flexible and adjust strategies to meet your unique needs as the market evolves.

Questions to Ask During the Hiring Process

To evaluate potential agents and ensure you’re making the right choice, ask these important questions:

1) What is your experience in the Huntington Beach market?

This question will help you gauge their familiarity with local trends and property values.

2) Can you provide references from past clients?

Speaking with former clients can offer insight into the agent’s work ethic and effectiveness.

3) What is your strategy for marketing a home?

A strong marketing plan is essential to attract buyers, especially in a competitive market like Huntington Beach.

4) How do you approach negotiations?

Their negotiation skills will directly impact your success, whether you’re buying or selling.

5) What are your fees and commission rates?

Clarifying these details up front will prevent any surprises later on.

Local Market Knowledge: Why It Matters

Huntington Beach is a dynamic real estate market, celebrated for its coastal lifestyle, world-class surf spots, and laid-back community vibe. Certain neighborhoods, like Downtown HB, Huntington Harbour, Bolsa Landmark, Edwards Hill, Seacliff, The Peninsula, Brightwater, Summerlane, Beachwalk, Pacific Ranch, The Boardwalk, and age 55+ neighborhoods like Huntington Landmark offer unique opportunities and appeal to different buyers. An agent with deep local knowledge can help you identify trends, such as rising property values in developing areas or seasonal demand shifts that may influence your decisions.

Local expertise also means understanding the details that matter—like proximity to top-rated schools, beach access, local events, and amenities such as parks, dining, and shopping hubs. This kind of insight is crucial when choosing a home or positioning a property for sale.

The Importance of Communication and Rapport

A successful real estate experience relies heavily on maintaining open and consistent communication with your agent. You need someone who regularly checks in, answers your questions promptly, and keeps you updated on progress. Establishing trust and a strong rapport can make the entire process smoother and less stressful, ensuring you feel supported at every step. In a competitive market like Huntington Beach, this kind of partnership can be the key to achieving your real estate goals.

Think twice before listing your home with a big “Team” or “Group”

Big “teams” tout their successful closing of many homes and perhaps being #1 in the city, state, or universe. But, to achieve their ranking, the junior associates on the team (perhaps 5, 10, 20 or more) give “credit” for their sales to one “team leader”. When listing your home, you may speak to that team leader initially, but your file will be passed to a junior associate for the remainder of the transaction. The junior associate will have nowhere near the education, experience, and skill to be found in a top producing individual Realtor working in your market that you could have hired. If you choose an individual top producing Realtor, the important agent tasks of your transaction will not be delegated to a junior associate.

While interviewing top individual Realtors, make sure they have assistants who help with photography, marketing, and transaction paperwork. You want to be sure your agent is available on short notice to show your home when prospective buyers call, text, or email!

Conclusion

Choosing the right real estate agent in Huntington Beach doesn’t have to feel overwhelming. By understanding their role, prioritizing key qualities, asking the right questions, appreciating the importance of local expertise & communication, you’re well on your way to finding an agent who fits your needs perfectly.

You do not want your home sale handled by an inexperienced junior associate from a big team… instead choose a top producing individual Realtor with good assistants.

Whether you’re buying your dream coastal home, selling a cherished property, or investing in Huntington Beach’s thriving market, partnering with an individual top producing agent is a crucial step.

REAL TRENDS Announces #1 Agent Ranking for Huntington Beach

by Scot Campbell

Scot Campbell has been Awarded the #1 Agent Ranking in Huntington Beach!

2024 RealTrends Verified Individual Agent Rankings by City

>Huntington Beach, Ca: #1

>Award: America’s Best by Volume

>Individual Agent: Scot Campbell

>Company: Coldwell Banker – Campbell Realtors

>2023 Volume: $40,821,450 ~ Based on 2023 sales data*

RealTrends agent rankings have been featured in The Wall Street Journal, Newsweek, Inman, HousingWire, RISMedia, and many other news outlets.

Verified City Rankings – RealTrends is proud to announce the expansion into local city rankings in 2024!

This new program allows for top performing real estate agents and teams to join the industry’s most exclusive & verified list of real estate professionals.

Verified City Rankings allows the national power of RealTrends to shine a congratulatory spotlight on the top realtors working in local markets across the United States.

Verified Performance – RealTrends Verified analyzes Brokerage, Team, & Agent performance data, spotlighting the top 1.5% of real estate pros.
Track Record – RealTrends has been tracking and analyzing real estate performance data for 30 years.
Discovery – RealTrends helps benchmark Brokerages, Teams, & Agents against their competition and unlocks unique insights into their performance.

Not only does RealTrends recognize top performers in local markets, RealTrends Verified City Rankings makes it easier for home sellers to discover the agents that really dominate the market in their city.

Several real estate and business-focused news outlets have published RealTrends agent rankings in the past.These rankings, which highlight top-performing real estate agents and teams, are often featured by a mix of national and regional publications.

News outlets that have historically covered or republished RealTrends agent rankings include:

The Wall Street Journal, Newsweek, Inman, HousingWire, RISMedia, The Real Deal, and many others.

It is an honor to receive this award! I am very grateful to my past & current clients for their support, and their kind words… many naming me the “Best Realtor” in Huntington Beach in their testimonials.

Here is a link to my #1 City Ranking for Sales Volume and #4 City Ranking by Closed Transactions in RealTrends. https://tinyurl.com/RealTrendsRankings, or scan the QR Code.

Having thoughts of Selling? I can answer all your questions, and if relocating is your desire after considering your options, I will help you prepare your home for the market and sell it for top dollar.

I am available my mobile phone/text: 714-336-0394 or email: SdCampbellRealtor@gmail.com

Advice for home owners • May 14, 2024

History of Agency in California Residential Real Estate Transactions

by Scot Campbell

May 12, 2024 | 714-336-0394 | Scot@CampbellRealtors.com | Broker of Record – Coldwell Banker-Campbell Realtors

As one of the very few practicing real estate professionals in California who has worked through all the Agency changes in California Residential Real Estate Transactions over the last 40 years, I can effectively explain where the real estate industry has been with the rules of agency, and where it is today given the recent NAR Settlement.

In 1982, I started working in my father’s real estate office (while I was still in high school). A licensed California Real Estate Broker since 1957, E.J. Campbell is the founder of our brokerage. At that time, the standard real estate practice in California when selling a home was to hire a Seller’s Agent. That brokerage was known as the “Listing Agent”, and customarily a portion of the commission was “offered” through the Realtor MLS to a “Cooperating Brokerage” who was deemed a “Sub-Agent” of the Seller’s Listing Agent.

The fiduciary duty of the Seller’s Listing Agent and Cooperating Brokerage (Sub-Agent) was entirely to the Seller of the home. This would be just as you would expect at a car dealership… everyone you speak with is trying to sell the vehicle for the maximum profit for the dealership. There is no one looking out for the interests of the “car Buyer” at the automobile dealership, and prior to 1984 there was no one looking out for the interests of the home Buyer. The concept of “Buyer Beware” ruled the day.

Easton V. Strassburger (Buyer Agency Begins)

In 1984, there was a revolution in the rules of real estate agency. The practice of “Buyer Agency” was introduced following the Easton V. Strassburger case. It became best practices and Real Estate Law for real estate agents to be either: The Buyer’s Exclusive Agent, the Seller’s Exclusive Agent, or a Dual Agent Representing Both Buyer & Seller. However, to the dissatisfaction of many home Sellers, the law and existing practice in the industry provided that the Seller pay the commission for both the Seller’s Agent and the Buyer’s Agent.

As much as some home Sellers were dissatisfied with the concept, the policy benefited the Sellers; here are the reasons why:

VA Buyers have zero money to pay a Buyer Agent commission. In fact, the Veterans Administration does not permit them to pay a commission. If the Seller does not pay the commission for VA transactions, these Buyers leave the pool of potential home purchasers.
FHA Buyers have zero money to pay a Buyer Agent commission. They are scraping up 3.5% to put down on a home, it could take months or years to save enough money to pay a Buyer Agent commission. If the Seller does not pay the commission for FHA transactions, these Buyers may never join the pool of potential home purchasers.
Most Buyers are trying to reach down payment thresholds to lower their payment and qualify for a higher loan: 5%, 10%, 15%, and 20%. Each time one of these levels is reached, there is a savings in the cost of borrowing with either a lower rate/points or the elimination of Private Mortgage Insurance (at 20% down). The higher the Buyer’s down payment as a percentage of the purchase price, the easier it is for the Buyer to qualify for the loan.
Seller paid Buyer Agent commissions allow the Buyer’s down payment to be larger. For example: with 20% down, an increase in the Buyer’s down payment of $20,000 allows the Buyer to finance an additional $100,000. The Sellers benefit from the Buyer having more money to put down, thus pay more for the home. Example: If the Seller pays the $20,000 commission, the Buyer can pay $100,000 more for the home.

Once these facts were explained to the “dissatisfied” home Sellers (who were upset that they were paying a commission to a Buyer’s Agent), the Sellers quickly agreed to the practice. They did this not do this because they were “nice”, it was done because paying the Buyer Agent commission was in the best interest of home Sellers.

Burnett v. National Association of Realtors (Jury Decides Changes are Needed)

Fast forward to 2023. A law firm found a new group of “dissatisfied home Sellers” and filed a lawsuit against the National Association of Realtors which alleged that these Sellers had been defrauded. The contention was they were forced to pay a Buyer Agent commission and Realtors were preventing negotiations on commission rates.

The case was filed in the State of Missouri, Burnett v. National Association of Realtors (“NAR”), et al. In October 2023, it was reported that a jury (none of whom were home owners) found in favor of the disgruntled Sellers. The Missouri Jury was successfully convinced that Home Sellers felt compelled (or were explicitly told) to pay a commission to Buyer’s Agents.

The jury felt that it was implied (or stated) that Buyer Agents might refuse to show their property (if a lower commission was offered), fostering fear that their home would not sell.

They felt it was unreasonable that the commission remained the same even if the Buyer independently found the home, attended an open house without an agent, conducted an analysis of comparable properties using publicly available data, and only contacted the Buyer’s Agent for assistance with the offer paperwork.

Compounding the issue, the real estate industry enacted arguably self-serving rules (MLS Rule 9.7 and NAR Standard of Practice 1616) prohibiting licensed real estate agents from assisting Sellers in negotiating lower Buyer’s Agent commission as part of the offer/counter-offer process.

A Landmark Settlement (NAR Agrees to Rule Changes)

On March 15, 2024 the National Association of Realtors entered into a settlement in the Burnett V. NAR case which as of today’s date is awaiting approval by the court.

As part of the settlement, NAR agreed to the following MLS rule changes which will become effective in Mid-August 2024:

Agents are required to sign a written Buyer Representation Agreement with their Buyer Clients wherein compensation to be paid by the Buyer is specified.
Seller paid Buyer commissions will no longer be published in the Realtor MLS.

Furthermore, NAR has issued specific guidance that agents should always tell clients:

“Compensation arrangements (including commissions) are, and have always been, negotiable and set between a broker and their respective client… “
“Listing brokers in consultation and agreement with their Seller clients decide how much compensation to offer to serve the Seller’s best interest, and it can be $0, $1, or any other amount. NAR rules do not specify an amount for commissions. This is solely a matter that’s negotiated between brokers and their clients.”

Effect of the settlement on Coldwell Banker – Campbell Realtors policy & practices

A New Era in real estate is beginning soon. The marketing success and closing of a home sale for top dollar in this New Era will be determined by the skillset of the Listing Agent. These are the objectives we will maximize:

The number of qualified Buyer online views, in-person viewings of the property, and Buyer Agent Showings
The number of offers submitted by qualified Buyers (either through Listing Agent or cooperating Buyer Agent)
The sale price, optimal terms, and net proceeds desired by the Seller

Our policies and practices as the Listing Agent will remain aligned with the home Sellers who have hired us to market their properties. Accordingly, we invite Sellers to read our New Marketing Plan to Sell your Home which is now being completely revised for the New Era in real estate which begins in Mid-August 2024.

In consultation with California Assn of Realtors attorneys, we have found elegant solutions for: VA, FHA, and Buyers with down payment threshold issues.

Advice for home buyers • March 20, 2024

PRESS RELEASE FOR BUYER CLIENTS regarding NAR Settlement & Buyer Agent Commissions

by Scot Campbell

For immediate Release – March 16, 2024:

By Scot D. Campbell, Broker of Record ~ Coldwell Banker-Campbell Realtors, Huntington Beach, CA

In response to the Sitzer/Burnett v. National Association of REALTORS® (“NAR”) lawsuit, NAR announced changes to the Realtor MLS rules.

The changes reflect the most significant modification of the rules of agency since the practice of Buyer Agency was introduced following the Easton V. Strassburger case in 1984.

The changes to the Multiple Listing System were announced on March 15, 2024 and the rules will become effective in July 2024:

1) Agents are required to sign a written Buyer Representation Agreement with their Buyer Clients wherein compensation to be paid by the buyer is specified.

2) Seller paid buyer commissions will no longer be published in the Realtor MLS. Instead, the listing agent will publish a dollar amount or percentage that the seller is offering to credit the buyer through escrow for the payment of closing costs including the Buyer Agent commission.

The NAR announcement has left many Homebuyers with questions and concerns:

Q: Will buyer representation agreements become mandatory under California law?

A: We don’t know whether there will be future proposed legislation that requires California licensees to use Buyer Representation Agreements; however, it is clear that the industry is moving toward mandatory agreements between Buyers and their Agents.

Coldwell Banker-Campbell Realtors uses a one-page Simple Buyer Representation Agreement along with the C.A.R. Standard Form BRBC (which specifies that the seller credit money from escrow to pay the Buyer Agent commission).

Q: What if a buyer doesn’t have enough money to pay for a Buyer Agent commission?

A: The C.A.R. Standard Form BRBC can be included with any offer a buyer wishes to make on either listed or unlisted properties. In essence, a credit to the buyer’s closing costs from the seller pays the Buyer Agent commission in the amount previously negotiated between the Buyer and the Buyer Agent in the Buyer Representation Agreement.

Q: Will this change how homes are bought and sold in California?

A: The answer is absolutely “Yes”. Buyers will formally “hire” a Buyer Agent and the agent compensation will be agreed in writing before commencing the process of locating a home to purchase.

Q: Can a seller choose to offer “No Commission” to the Buyer’s Agent?

A: The answer is absolutely “Yes”. But, practically this has been the case for many years in our area. The California Regional Multiple Listing Service has maintained rules which allow an offer of compensation to the Buyer’s Agent of just “One Dollar”. Yet, sellers have very rarely offered a $1 commission because “no commission” was found not to be a sound marketing strategy for home sellers who wanted to generate as many showings and offers as possible.

Q: Can a seller choose to offer No Credit to the Buyer’s closing costs when an offer is submitted.

A: The answer is absolutely “Yes”. But, the new NAR rules call for an announcement in the MLS for each listing indicating how much of a credit the Seller is offering to the Buyer for closing costs which the Buyer can use to pay the commission.

Just as Sellers found in the past that offering a $1 commission not a sound marketing strategy generating lots of showings & offers, it is likely that Sellers will discover the same is true if they offer No Credit to the Buyer’s Closing Costs (for payment of the commission).

Q: If the seller is offering a credit in the Realtor MLS that is less buyer wants, can the Residential Purchase Agreement “offer” include a Credit Request which is greater than what was published in the MLS?

A: The answer is absolutely “Yes”. This is exactly what the C.A.R. Standard Form BRBC was designed to do for Buyers.

Q: How much of a commission should the Buyer agree to pay the Buyer’s Agent in the written Buyer Representation Agreement?

A: Commissions are negotiable by law. The commission you elect to pay your Buyer’s Agent is up for negotiation.

A very responsive agent working for a reputable brokerage with a brick & mortar office who provides you with Full Service in locating the property, negotiating the sale, helping with inspections & the Request for Repair, following up on escrow, making sure the Seller follows the terms of the Residential Purchase Agreement, and countless other details is worth much more than a Buyer Agent who offers little or no help other than writing the offer… and happens to have very poor negotiating & follow-up skills.

Like anything else, you get what you pay for… and buying a home is generally the biggest financial decision you will make in your lifetime. Good advice is very valuable, and a hard-working agent can make the difference between a good transaction and a regrettable one.

Ultimately you will decide the Buyer Agent commission offered to your Coldwell Banker-Campbell Realtors agent, and your agent will do their utmost to negotiate a credit offered by the Seller in an amount which covers the commission.

At the end of the day, the Seller has put their property on the market to get it sold… not to quibble about how much the Buyer’s Agent is going to be paid.

From reading the headlines in the media, you might think that most sellers that contacted me asked the questions: “Does this mean I do not have to pay a commission to get my home sold?”

Perhaps you think Sellers are thrilled about the NAR Announcement. In fact, they are not happy, they are worried. The question I received from Seller clients since the ruling was this: “How am I going to get my home sold if I can no longer offer a commission to Buyer Agents to bring buyers to purchase my home?”.

Sellers understand that Buyer Agents perform many important tasks in real estate transactions… starting with having the “trust” of the Buyer which was built during the interview process or because the agent has already done transactions with the buyer, their family, or friends in the past.

Sellers rely on Buyer Agents to bring prospective buyers to see their home, explain why the home is a good one to purchase, and demonstrate the value of the home using neighborhood sales comparables.

The truly savvy Sellers understand that without Buyer Agent Representation, many… perhaps most, Buyers would never write a market price offer on their home.

Certainly, the law of unintended consequences is now in effect. It will take a little time for the residential real estate industry to settle in on a new set of standard practices.

At Coldwell Banker – Campbell Realtors the management team has over 50 years of experience. We are determined that the recent NAR Announcement and rule implementation shall not take the Dream of Home Ownership away from any of our clients.

Our greatest concern is that a future interpretation of the rule changes will negatively affect buyers using FHA & VA financing. Understand that we will be advocating for all of our low down payment clients in our discussions with the C.A.R. attorneys.

Rest assured, we are in consultation with our attorney and top attorneys at C.A.R.

It is my goal as the Broker of Record for Coldwell Banker-Campbell Realtors to minimize any negative aspects for home sellers which may result due to the rule changes announced by NAR.

I am available to speak with you on the telephone or we can meet in person at our oceanfront office to answer all of your questions via phone, text, or email: 714-336-0394 ~ Scot@Campbellrealtors.com

NOTE: The information contained in this Q&A is from the most accurate data sources as of March 17, 2024. It is possible and likely that bulletins & rulings from the California Department of Real Estate, Federal Department of Justice, and Federal Judges may clarify or change the landscape. We will issue further guidance as new information becomes available. We welcome your inquiries as to any changes, and it is recommended that you verify all aspects contained above as you move forward with your real estate transaction.

Advice for home owners • March 20, 2024

PRESS RELEASE FOR SELLER CLIENTS regarding NAR Settlement & Buyer Agent Commissions

by Scot Campbell

For immediate Release – March 16, 2024:

By Scot D. Campbell, Broker of Record ~ Coldwell Banker-Campbell Realtors, Huntington Beach, CA

The changes reflect the most significant modification of the rules of agency since the practice of Buyer Agency was introduced following the Easton V. Strassburger case in 1984.

The changes to the Multiple Listing Service were announced on March 15, 2024 and the rules will become effective in July 2024:

1) Agents are required to sign a written Buyer Representation Agreement with their Buyer Clients wherein compensation to be paid by the buyer is specified.

The NAR announcement has left many Home Sellers with questions and concerns:

Q: Will buyer representation agreements become mandatory under California law?

A: We don’t know whether there will be future proposed legislation that requires California licensees to use buyer representation agreements; however, it may become a practical necessity in order for Buyer Agents to get paid a commission.

Coldwell Banker-Campbell Realtors uses a one page Simple Buyer Representation Agreement along with the C.A.R. Standard Form BRBC (which specifies that the seller credit money from escrow to pay the Buyer Agent commission).

The Standard Form CBC (which specifies seller paid Buyer Agent commission might be used as an alternative especially for VA & FHA transactions… more on this later in this Q&A)

Q: What if a buyer doesn’t have enough money to pay for a buyer’s agent?

Q: Will this change how homes are bought and sold in California?

A: The answer is absolutely “Yes”. In many cases, Buyers will formally “hire” a Buyer Agent and the agent compensation will be agreed in writing before commencing the process of locating a home to purchase.

Q: Can a seller choose to offer “No Commission” to the Buyer’s Agent?

A: The answer is absolutely “Yes”. But, practically this has been the case for many years in our area. The California Regional Multiple Listing Service has maintained rules which allow an offer of compensation to the Buyer’s Agent of just “One Dollar”. Yet, sellers have very rarely offered a $1 commission because “little or no commission” was found NOT to be a sound marketing strategy for home sellers who wanted to generate as many showings and offers as possible.

Q: Can a seller choose to offer No Credit to the Buyer’s closing costs when an offer is submitted.

A: The answer is absolutely “Yes”. But, your Net Proceeds should be your primary consideration. The more money the buyer has available to use for the down payment, the higher the loan they can qualify for, and thus the more they can pay for your home. If you choose to not offer a credit for the Buyer to use to pay the Buyer’s Agent commission, you are in effect lowering the purchasing power of the buyer… which is not in your interest as a home seller. With no credit offered to pay the commission, some buyers may choose not to see your home.

Q: Without a clear offer of compensation from the seller or published credit amount, is it likely that some agents will make “less effort” to sell my home?

A: The answer is an absolute “Yes” for Buyer Agents representing VA Loan Buyers (if they feel there is no way to close the transaction and get paid). Buyers using VA financing are not allowed to pay any commission to the Buyer’s Agent. And, many FHA Buyers simply do not have the funds to pay a Buyer Agent commission. This is a very legitimate concern for home sellers and has been the subject of several calls I received today.

We are working to get clear guidance from our attorney now. Although it may not be allowed by NAR rules for the seller to offer compensation to the Buyer Agent through the Realtor MLS, it appears that a separately published written offer by the Seller to compensate the Buyer’s Agent is allowed by law (and common sense). Certainly, a seller who wishes to pay a Buyer Agent (legally an independent contractor) for their services should be allowed to do so for VA, FHA, and any other transaction for that matter.

Q: In order to better motivate agents who represent buyers to show & sell my home, is there another way that a seller can publish an offer of compensation to the Buyer’s Agent once the new NAR rules go into effect?

A: The answer is most certainly “Yes”. A simple blog post on our brokerage website could be a very effective mechanism for publishing the seller’s written pledge to pay the Buyer Agent commission.

When asked by a Buyer Agent about commission, the agent could simply refer them to the published blog post which will have the commission document. The California Association of Realtors already has a form for this purpose, and it can be added as an addendum to the Residential Purchase Agreement.

Certainly, the Buyer Agents who work with VA, FHA, and other low downpayment buyers will be comforted & incentivized by the fact that know they will be paid a commission at close of escrow for a job well done (even if lending rules or available buyer funds do not allow them to get paid a commission by the buyer).

Q: If I offer to pay a Buyer Agent commission and the Buyer demands the majority of the commission be credited to them in escrow, I am concerned I will not get the good service I am paying for… How can I be certain that the Buyer’s Agent is going to get all the commission I paid through escrow?

A: We are verifying this with our attorney. For now, we believe the answer is “Yes”. The blog post that contained the offer to pay the Buyer Agent commission could be conditional on all funds being paid to the Buyer Agent brokerage.

Q: If a Buyer and Buyer’s Agent have entered into a Representation Agreement, what is the mechanism for the Buyer Agent Commission to be paid?

A: The California Association of Realtors has already created a form for this purpose. The form is an addendum to the residential purchase agreement, and it indicates the amount or percentage of the purchase price that the seller will CREDIT to the Buyer through escrow. The Buyer Agent is then compensated by the Buyer through escrow as per the terms of their signed Buyer Representation Agreement.

Q: Is there a way that sellers can publish a CREDIT to the Buyer through escrow so that the Buyer can pay the Buyer Agent’s commission once the MLS system no longer publishes the commission payable to the Buyer’s Agent?

A: Yes, it may be possible for us as your listing agent to publish a blog post which includes the buyer credit addendum already filled out. The form would indicate the amount of the credit you are willing to pay at close of escrow. When asked by a Buyer’s Agent about the amount of the credit you are willing to pay, I could simply refer Buyer Agents to the blog post which would have a downloadable document they can add to the Residential Purchase Agreement. The Buyer’s Agent is going to be keen to learn whether the credit is sufficient to pay the agreed commission in the Buyer Representation Agreement because the buyer is certain to ask.

Q: How large of a commission should be offered to the Buyer’s Agent (if no Buyer Representation Agreement has been signed or as the seller you wish to dictate how much the Buyer Agent is paid)?

A: Commissions are negotiable by law. Just as we have been doing since before yesterday’s NAR announcement, our Seller Clients decide how much commission should be offered to the Buyer’s Agent.

The amount you choose to offer affects your net proceeds… and it also affects the actions of the Buyer Agents (who voluntarily spend time trying to procure a purchaser for your home). So, the amount offered should be consistent with your goals for your net proceeds and at the same time be part of the overall marketing strategy for the property which seeks to get as many buyers to the home as possible to procure multiple offers.

Q: How large of a credit to the Buyer’s Closing Costs should be offered in the addendum (if the Buyer has signed a Representation Agreement with their Buyer Agent).

A: Just as Commissions are negotiable by law, the credit you elect to offer the Buyer for Closing Costs is negotiable. The amount you choose to offer affects your net proceeds, and this decision also affects the actions of the Buyer Agents who spend their time trying to procure someone to purchase your home. Finally, the credit amount may also determine the maximum amount buyers can afford to pay for your home. The amount offered should balance all of these concerns.

Ultimately the Buyer Agent commission or credit amount offered should be carefully considered and consistent with your goals for both net proceeds… and as a successful component of the overall marketing strategy. For our seller clients, it is always our intent to maximize:

1) The number of qualified buyers coming to see the property

2) The number of offers submitted by buyers

3) The sale price & net proceeds (based on the seller’s desired terms)

Certainly, the law of unintended consequences is now in effect. It will take a little time for the residential real estate industry to find a new set of standard practices.

We are in consultation with our attorney and top attorneys at C.A.R.

It is my goal as the Broker of Record for Coldwell Banker-Campbell Realtors to minimize any negative aspects for home sellers which may result due to the rule changes announced by NAR.

I am available to speak with you on the telephone or we can meet in person at our oceanfront office to answer all of your questions via phone, text, or email: 714-336-0394 ~ Scot@Campbellrealtors.com

Community News • March 12, 2024

FREE Shred Event – Saturday April 6 2024 – 10AM-2PM

by Scot Campbell

Come to our office via 18th Street (driving on 18th Street toward PCH from Walnut Avenue), or from Pacific Coast Highway (driving from the 17th Street), turn right on 18th Street. There may be a line of cars lined up on PCH.

When you arrive to the parking lot, follow the line of vehicles. Your boxes will be unloaded from the back of your car and placed into a rolling bin which will be shredded on site by the Pro-Shred Security truck.

It is best to arrive early… in some years we have filled up the trucks to capacity before the end of the event.

You are certainly welcome to tell your friends, family, and co-workers about the event.

Our goal is to help as many people in the community as we can with the secure shredding of their old financial and medical documents.

Oh by the way… if you know anyone thinking of Buying or Selling real estate, I am here to help.

Scot Campbell, Broker ~ Coldwell Banker-Campbell Realtors

Mobile/Text: 714-336-0394 eMail: Scot@CampbellRealtors.com

Advice for home buyers • Advice for home owners • February 18, 2024

The Luxury TREND Report 2024

by Scot Campbell

The Coldwell Banker Global Luxury TRENDS Report for 2024 has been published.

It is filled with insights on luxury markets in the United States and internationally.

Enjoy the reading!

Advice for home owners • February 16, 2024

10 Year Huntington Beach Real Estate Market Summary

by Scot Campbell

My observations of Huntington Beach real estate market conditions allow me to provide valuable insights to home buyers & sellers.

If you have a minute, allow me to point out the trends and conditions that drove the real estate market over the last 10 years.

Days of Supply is defined as the number of days it would take to sell every home presently on the market at the current rate of sales if no new listings came on the market.

It is the metric which provides the best indication of the overall strength of the real estate market, and I have been tracking it closely for many years.

When Days of Supply is “high”, this means that there are a lot of homes on the market relative to the number of homes selling. We consider a level 120 or greater to be a Strong Buyer’s Market.
When Days of Supply is “low”, this means that there are few homes on the market relative to the number of homes selling. We consider a level of 60 or below to be a Strong Seller’s Market.

Take a look at the below graph. I will walk you through market conditions from 2014 to February 2024.

From 2014 through 2018, the market saw a general strengthening as shown by the light purple regression line. The mean level of Days of Supply fell from 80 (Balanced Market) to 50 (Strong Seller’s Market).
The pink oval shows the Days of Supply peaked at 125 (Buyer’s Market) on January 10, 2019 due to a combination of the elimination of the Mortgage Interest Tax Deduction and an increase in mortgage rates to 4.94% in November 2018.
From February 2019 to February 2020 (just prior to CV-19) the light purple regression line shows market conditions improved rapidly with the level of Days of Supply falling to just 40 (Strong Seller’s Market).
At the inception of the CV-19 shut down, the dark red oval shows Days of Supply spiked at 126; however, as interest rates fell and consumers looked to relocate during the pandemic, the Days of Supply plummeted back to 40 (Strong Seller’s Market).
From July 2020 to May 2022 the green oval shows the Days of Supply hovered between 18 and 38… this was the strongest seller’s market on record. Most likely the strongest imbalance between supply and demand which will ever be seen in our lifetimes. Huntington Beach was seen as an ideal remote work location, interest rates were low, and government stimulus programs put billions of dollars into the economy. Just about every home had multiple offers, and many sold for thousands of dollars above the asking price.
Then… in the Spring of 2022 mortgage interest rates went up over two percent! From June 2022 to February 2023, the dark green oval shows the Days of Supply into the 60 to 97 range. It was a Buyer’s Market in the $2 Million+ price segments and balanced market conditions down into the $800,000 to $1,200,000 range. Mortgage rates rose steadily spiking to 7.08% in November of 2022, and then dropped to 6.13% by February 2023.
These low rates in the Spring of 2023, allowed the Days of Supply to fall back to the 35 to 55 range (Strong Seller’s Market) range March and August, see Yellow Circle.
Then mortgage rates began rising once again and peaked just over 8% in October 2023. The aqua blue circle shows the Days of Supply responded as expected reaching 78 on January 18, 2024.
Favorable inflation reports and a pause in the increase of interest rates by the Federal Reserve in November 2023 resulted in mortgage rates plunging over 150 basis points. The result was an increase in buyer purchasing power and activity. Predictably, the Days of Supply dropped back to 48 on February 1, 2024 (Strong Seller’s Market).

Here is what we know from the fluctuations in Days of Supply and Home Price Appreciation when the metric hits highs & lows:

When Days of Supply reaches the 90 range, we see home prices softening (falling in some cases). And, when the Days of Supply falls well below the 60 mark, we observe home prices increasing. When Days of Supply was between 18 and 40, we saw double digit home price appreciation, multiple offers, and homes being bid up well above asking prices.

None of us has a crystal ball, and Days of Supply varies in both price segments and within neighborhoods for a variety of reasons. The ability of your Realtor to do an ongoing analysis of Days of Supply in your neighborhood should be a very strong consideration in who you select to market your home.

Knowing which way the market is trending while selecting a list price or reviewing offers is essential for home sellers looking to maximize their equity.

If you are having thoughts about selling your home or investment property, I can be reached at 714-336-0394

Community News • February 15, 2024

Stunning Seagate Waterfront Townhome

by Scot Campbell

16123 Saint Croix is a stunning waterfront townhome on the Lagoon in the Seagate community in Huntington Harbour.

CLICK HERE to see the Full Realtor MLS listing & photographs.

CLICK HERE to see the walk-thru 3D tour.

It is one of very few units with an oversize front window offering an abundance of light. The unique location offers views of the deepwater in the front rooms, and lagoon view from the kitchen, dining room, living room, patio, and master suite.

This home was completely remodeled and now features an “open floor plan” that spans the entire first floor. New kitchen cabinets, giant kitchen island, granite slab counters, stainless appliances, travertine flooring, dual pane windows, step down living room with warm fireplace. Additional upgrades include: Recessed lights, custom rod iron banister, wood floors in upper hall and secondary bedrooms.

The primary bedroom has an amazing view that must be seen, multiple closets, and remodeled bath. The powder room & hall bath are also remodeled. Additional conveniences include upstairs laundry and 2 car private garage.

The Seagate community has a spacious clubhouse, tennis & pickle ball courts, pool, spa, and many social opportunities including a yacht club. Buying in Seagate offers the opportunity to join the Huntington Harbour lifestyle where the climate is wonderful and all the recreational activities you enjoy are right out the front door:

Surfing, kite boarding, beach fun, bike riding, strolls on the sand, golf, parks, and schools are all nearby… Other unique activities in the area include paddle boarding, kayaking, fishing, and boating.

There is a Boat Slip are available to rent if you purchase this townhouse… ask for details!

Friends and family are eager to visit homeowners in Huntington Harbour and Huntington Beach to watch the holiday boat parade, 4th of July Parade/Fireworks, Pacific Air Show, and US Open of Surfing!

CLICK HERE to see the Full Realtor MLS listing & photographs.

CLICK HERE to see the walk-thru 3D tour.

This home has one of the most relaxing and quiet locations in the area, yet it is just a short drive to Harbour View Elementary School, restaurants & shopping at the Harbour Mall.

If you ride your bike down Warner Avenue to Bolsa Chica Beach, it is possible to ride along the sand all the way to Newport Beach!

For more information, contact the listing agent for 16123 Saint Croix, Huntington Beach, CA: Scot Campbell 714-336-0394

Community News • February 2, 2024

New Modern Home with Guest House (ADU) JUST LISTED in Huntington Beach

by Scot Campbell

Welcome to 17241 & 17245 Lynn Lane in the Los Patos (near Brightwater) custom home area of Huntington Beach.

CLICK HERE to see the Full Listing & Photographs.

CLICK HERE to see the Walk-Thru 3D Tour

This Modern Luxury Quality Home + Guest House was just completed and it is ideal for a multi-generational household or for owners who like to entertain out of town guests comfortably for extended time periods!

It is nestled in a very quiet neighborhood of custom homes on oversize homesites.

The main house is 4 Bedrooms, 4.5 Baths (4626 SqFt) and the Guest House (Legal ADU) is 2 Bedrooms, 2.5 Baths (1001 SqFt).

The house & ADU have separate meters for all utilities and there is a four car garage and 3 car driveway.

The design, finishes, and ambiance is impossible to describe… this property must be experienced “in person”.

CLICK HERE to see the Full Listing & Photographs.

CLICK HERE to see the Walk-Thru 3D Tour

Come join the Huntington Beach lifestyle where the climate is wonderful and all the recreational activities you enjoy are right out the front door:

Surfing, kite boarding, beach fun, bike riding, strolls on the sand, golf, parks, and schools are all nearby.

Just a few blocks away is Huntington Harbour which offers paddle boarding, kayaking, and marinas to keep your yacht or rent a Duffy boat for a harbour cruise.

Friends and family are eager to visit homeowners in Huntington Beach to watch the 4th of July Parade/Fireworks, Pacific Air Show, and US Open of Surfing!

This home has one of the most relaxing and quiet locations in the area, yet it is just a short stroll to Harbour View Elementary School, restaurants & shopping at the Harbour Mall.

If you ride your bike down Warner Avenue to Bolsa Chica Beach, it is possible to ride along the sand all the way to Newport Beach! The Home Automation system built into this home offers convenience and livability that you will truely enjoy. Come take a look before it is sold!

CLICK HERE to see the Full Listing & Photographs.

CLICK HERE to see the Walk-Thru 3D Tour

Questions?

The home is listed for $5,250,000

Scot Campbell from Coldwell Banker-Campbell Realtors is the listing agent.

He can be reached via cell/text at 714-336-0394 or email at SdCampbellRealtor@gmail.com