June 2023 Real Estate Newsletter

Can I get Fire Insurance for my home?

 Good question in California. State Farm was the most recent insurance carrier to stop accepting homeowner insurance applications in CA. (citing the growing risk of fire damage and the rising cost to rebuild). This being said, there are other insurance carriers that do offer homeowners insurance (ask me if you need one). The main item of contention lies in if your home is in a specific Fire Zone. It’s getting more and more difficult to get fire insurance if a home is ‘in’ one of these predetermined zones. We address this before a home goes on the market by ordering the Natural Hazard Disclosure Statement (NHD) up front.

Are Rising Rates Hurting the Housing Market? 

For now, No! We are still in a housing shortage, but this may be temporary. One of the Federal Reserves (The Fed) job’s is to control inflation and their main tool (favorite tool) is manipulating interest rates. Raising interest slows inflation AND the economy. The trick is to ‘slow’ the economy and not ‘kill’ the economy. I still like the wait and see approach. The Fed has been raising rates for over a year now. I think there is a lagging affect that hasn’t been fully felt yet. I know it’s a difficult job and most people wouldn’t want it (Fed Chair Powell probably feels like he’s in a fish bowl. Everyone is looking at him and asking questions and there’s nowhere to go). But, just because there is a meeting scheduled doesn’t mean they ‘have to’ raise rates. If the Fed continues to raise interest rates, we will see several things. 1. More housing inventory. 2.) More job loss. 3.) Reduced consumer spending. I say hold the line and wait and see.

Info from The Old Farmer’s Almanac:

1) June is named for the Roman goddess Juno, patroness of marriage and well-being of women.

2) At almanac.com/homemade-bug-sprays-stay-bite-free you can get a recipe for making several bug repellents.

If you have any questions regarding this information or any real estate related matter, feel free to call, text or email me, I’m always here for you. As always, I am never too busy for your referrals.

Take care and be safe out there.


Ron Hier

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