What’s in The Shaker today:

• 🥶 Chill Affects Home Sales

• 📉 Rents Dip Amid Supply Surge

• ⛔️ Beverly Hills Building Ban

• 👀 Airbnb to Long-Term: A Shift

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Chill Affects Home Sales

The brutal winter across America, with storms and subzero temperatures, is keeping potential homebuyers and sellers on the sidelines, despite dropping mortgage rates.

• Mortgage-purchase applications and new listings saw an 8% increase, but the cold weather has dampened what could have been a more significant rise in housing market activity.

• In regions unaccustomed to severe cold, like Texas, Tennessee, and Georgia, the extreme weather has particularly impacted real estate activities, with agents and buyers facing unusual challenges.

• In Houston, generators have become a must-have for home buyers post-2021 power crisis, influencing purchasing decisions and property values.

Rents Dip Amid Supply Surge

Rental prices are expected to continue their downward trend due to an influx of new apartment constructions, offering some relief to renters feeling the pinch.

• Nationwide rental prices saw a slight decrease in December, with a promising outlook for further reductions as new apartments enter the market.

• Realtordotcom's chief economist anticipates this trend to persist, potentially allowing renters' incomes to catch up with housing costs.

• Despite recent declines, rents remain 22% higher than pre-pandemic levels, maintaining pressure on affordability.

Beverly Hills Building Ban

Beverly Hills faces a building permit moratorium due to its failure to meet state affordable housing requirements, affecting even the city's most affluent residents' renovation plans.

• Los Angeles Superior Court Judge Curtis A. Kin ruled to temporarily suspend Beverly Hills' ability to issue new building permits, impacting renovations like pools and kitchens in luxury homes.

• The lawsuit by Californians for Homeownership claims Beverly Hills is overdue in developing a compliant Housing Element, with the city required to plan for over 3,000 new affordable housing units.

• Real estate professionals warn the ruling could severely impact local residents and the economy, as many homeowners in Beverly Hills look to customize their properties extensively.

Airbnb to Long-Term: A Shift

Ursula Lauriston, a Google strategist and real estate investor, transitioned from Airbnb rentals to long-term leases, finding the latter more sustainable and less hassle-prone.

• Lauriston initially rented out rooms in her Washington, DC home on Airbnb, earning up to $3,000 a month, but faced challenges with guest behavior and Airbnb's policies.

• After moving to San Francisco and disliking it, she sold her DC property and invested in a home in Richmond, Virginia, preferring the stability and ease of long-term rentals.

• She advises those considering Airbnb to thoroughly research and prepare for the intensive work involved, emphasizing the importance of quality properties in good locations for long-term investment.

How was today's shake?

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