Chic vs. Geek: Underwater Properties

With climate change heating up and sea levels predicted to rise, are California buyers setting themselves up for trouble by investing in beachfront homes?

CHIC (PEARL)

As the old saying goes, location is the name of the game in real estate, and that’s especially true here in the Bay Area, with long stretches of ocean and bayfront property constantly in high demand and fetching high prices. But coastal properties selling today could be the victims of flooding and sea level rise related to climate change before the end of a 30-year mortgage agreement. It’s clear from this report that homebuyers understand the risk of going underwater — literally. The question is how you measure the risk against the reward.

GEEK (KEVIN)

Did you know that about 20,000 properties in California alone could face routine flooding within the next generation? You’d think that would be enough to scare buyers away. But we’ve come a long way with technology to mitigate the impacts, like reinforced seawalls and flood control systems, and banks are still willing to finance and insure homes at risk from sea level rise. So the market for coastal properties has remained relatively stable. That could change if floods, fires, and other natural disasters become more regular occurrences.

Geek's Number Talk: Sheltering in place

Soaring housing prices, rising interest rates, and low property taxes. All of this and more are giving long-time homeowners reasons to stay put.

Chic vs. Geek: Year of the Water Tiger

Happy Lunar New Year! Today marks the beginning of the Year of the Tiger, more specifically, the Water Tiger. So what can we expect from the year ahead?

CHIC (PEARL)

According to the Chinese zodiac, people born under one of the 12 signs tend to emulate the characteristics of that animal, which is why those born in the Year of the Tiger are said to be natural, assertive, and generous leaders. They’re thrillseekers with a courageous streak, but they’re also short tempered.

GEEK (KEVIN)

As you might expect, the tiger sign comes with great strength, and for the Water Tiger, this strength is grounded in their interpersonal relationships, especially among family. If you’re looking for a loyal friend who will stick with you no matter what, look no further than someone born in the Year of the Tiger!

Geek's Number Talk: Buying Power Outage

We all experienced the slow uptick of inflation and rising interest rates in 2021, but homebuyers may have felt the squeeze most acutely, losing an average of $25,000 in buying power, at least according to economists who crunch these numbers for a living. Learn more from our friends at The Balance.

Chic vs. Geek: What to avoid after you sign

So you’ve applied for a home mortgage loan. Want to know what to do – and what not to do – next? We’ve got a few tips to share.

CHIC (PEARL)

Consistency is the name of the game. Be sure to discuss any changes in income, assets, or credit with your lender so you don’t jeopardize your application. Don’t change your bank account, don’t apply for a new credit card or close any credit accounts, and definitely don’t co-sign any loans.

GEEK (KEVIN)

The banks are always watching because money never sleeps. So the best plan is full transparency. Avoid making any large purchases like a car or a major appliance. And if you receive a cash windfall, don’t deposit it into your bank account before contacting your bank or lender.