Preservation of Eichler Modern Home Architecture

Preservation of Eichler Modern Home Architecture



hello everyone I'm Debbie into heart jordana welcome to Valley homes on TV where you're watching this on channel 26 on monday wednesday and friday at six thirty p.m. and saturday and sunday at 9am welcome Todd hey Debbie good to see you good to see you too how's that how's the mortgage market it's been absolutely wild ride like the stock market actually um we might talk about that a little later in the show when we do or update but you know FEHB has made a decision here recently there's been some volatility in the stock market interest rates are great I want to hear all about it and first I want to hear about your guests that you brought today yeah I'm pleased to introduce spokes to Monique Lombard le yeah Monique welcome monique is with modern homes realty and her her expertise area of focus is on mid-century architecture so we invite her to come on and talk a little about the preservation of that I architect your style talking about what it is and why that's important so welcome you thank you so much for having me i really appreciate it and i really love when people in the industry are doing things with media and television i think it's very powerful to connect with the public this way so thank you for having me great well terrific well you know we'll start off we'll just get a chance to introduce you a little bit to the folks and wait a little bit about yourself modern homes realty is is your company with yeah i started modern homes realty three years ago it's our third year and we just specialize in eichler's mid-century modern architecture so we fix up the homes we preserve them we sell them and we market them properly to enthusiasts who love them okay and so your background prior to getting into yeah yeah yourself cheer up sure didn't great beer I it's interesting because I moved around a lot as a child so i was born in portland oregon moved around i lived in chicago pennsylvania i went to school college for broadcasting so I learned about media and creating films actually from that I produce three documentary films about mid-century modern architecture and from that I had a lot of people inquiring about the homes so I was always in sales and then kind of meshed the two so broadcasting and real estate together and then started my own company from that okay look good so tell us something about you know what it is about mid-century architecture there really captivates you yes yeah well you know I first you know about I claire's of water or mesenchyme we had a few transactions were there yeah yeah so mid-century modern architecture how I like to classify it is many people say it just homes built in the 50s and 60s that have that retro style well what does that mean well these homes usually have a flat roof they have an open floor plan they're all gloriam inside there's well some models have an atrium and then you walk into this beautifully open space looking at the backyard so well even though the homes are very small the backyard looking at it you feel like you're really in a you know a much bigger home feel like the square footage of the yard is actually your house so um it's just a really beautiful environment to be in and I love those home so much well what would you say at the characteristics of the home what what do people like the best about the style I think it's so unique when you drive up to them and you just see this flat roof looking home I mean they look very odd to certain people right but when you're in them and when you are looking up at the sky from the atrium you know you literally open the front door and you're in the atrium and it's that beautiful space of nature it's that indoor/outdoor living that I've never really experienced anywhere else and I think it's actually the epitome of California living that was kind of my next question is I mean it is the style really typical really it for California is it really regional here what are their influences are who influenced then that kind of design yes well they are to answer your question they are specific really to California and this climate however there are mid-century modern style homes everywhere I've had people write in from you know Wyoming and Virginia Montana you know everywhere but really what it is is they were influenced mostly by Frank Lloyd Wright okay so I clure had an experience where he was living in a Frank Lloyd Wright home in hillsboro it's called the bad that house and it's this usonian flat roof all redwood amazing house I I rented it for some time but he was so captured by that and was inspired by Frank Lloyd Wright wanting to make this design available for everyone that he just started cranking out homes after he lived there and he would do two hundred a year which is very impressive mmm at that time so what is it why why preserve it what why do I I think it's so important to preserve them because this is part of our history this is part of really the Bay Area its spirit these homes represent individuality equality eichler was the only person who the only developer allowing african-americans to buy homes asian people Hispanic people to purchase homes and not only are they such a beautiful design but that community spirit that was created here people pass them down you know in the families through generations because they're so special so that's why we want to preserve them good answer oh good so you talk about it you know about 200 homes a year or so that I clear produced yes is your give an idea of kind of what the inventory is I mean yeah whoa okay whoa it's so low that I so I had a lot of buyers that one of them that eichler build eleven thousand homes and a lot of imitators branched off the stones and brothers mackay homes they did hundreds of them also but the inventory is so low that I ended up going to the eichler family myself and I asked for the rights to the original eichler plans and I hired an architect and we fit them to code we've now started selling them so if you come across land in milpitas we would like to build tracks of them with the plans that i sell it's very important to not only keep these preserved but when we're not on the proactive side when we're when we're playing defense we need to do something proactively so we've just started building our own okay so um what are some important considerations or questions are so many interested in owning a home MidCentral yeah well most importantly where the heck are they people don't know where eichler's are once they find them they really need to find one that's available for sale so one thing that really why I started the company was I found out that real estate agents were marketing them just as lots on the MLS there was no category for Eichler so I went around crazy trying to petition to get an idler category under the MLS we finally got one so that really is the main question is where do I find one when they find one there are so many questions like where do I get the doorknobs the original doorknobs where are the fixtures you know who does the foam roof for the the house how do I fix the radiant heat the Mons Ralph Lauren right so this is a slam yes yes it's slab on grade so people want to know how do i maintain these so that's very important to know we try to educate Wow what to do that was a lot that goes into that yeah so it sounds like there's maybe a whole cottage industry then around eichler's is that you know that the support structure that goes into that as well yeah other challenges of folks have and they own or looking at Highclere yes many challenges so for people that really really get it those buyers that are in tune and educated they're looking for original eichler's that's what everybody calls in and wants something original but when you have an original eichler you do have a lot of things that you have to fix you have to keep them up a lot of people want to know should I keep the cork flooring should I keep the Formica in the kitchens and the bathrooms no many times the the countertops were very low yes how do we like you're doing a classic car yes yes it's so enjoyable though because these homes are really this blank canvas for buyers to do their artistic expression so that's a it's very fun and it's very important for them to know how to keep them up so do you work as a consultant for them is that part of your business yes to bridge that gap yeah information so I act as a consultant after we have a sale or after marketing a home I've hired different people that are specialists on our team so we have an architect designer someone who does landscape design for people that don't know how to do that yeah awesome so um in and closing if you can encapsulate you know just one thing that you like the best event just one thing what is it that that you that you like about working with this type of home in this type of architecture for me growing up and moving around so much I love through bringing someone to an idler and showing them this type of living I feel like we're bonded for a very long time and we're bonded because we're saving something really beautiful it means something so much to these people that grew up in the home and part of this just it's a part of history it really is it's a sort of saving something and then having that feeling that I'm you know having a purpose to keep it there and it'll always it'll always be there great that's great well Monique thank you very much for you happy before we get off the air would you let folks know where they could reach you if they're interested she'd be more information about eichler's and on your mailing list investor you can go to modern homes realty com also if you want to check out the Eichler film i produced it's just on my youtube page under monique lombard le terrific thank you well thank you for coming in you know thanks for sharing with us your enthusiasm for this shows terrific thanks so much for thank you thank you thank you so much all of us want to make a 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well it was actually through the milpitas Chamber of Commerce community breakfast here you did Larry stone our county tax assessor was the speaker oh true and he talked a little bit about the local economy and if I could share a few tickets with yeah that'd be great yeah Larry's always interesting he very interested so the one major factor is rents rents have risen by eleven percent over last year and in fact a one-bedroom apartment in Santa Clara County averages at 2381 dollars can you imagine well that's amazing um annual medium income in Santa Clara Valley is only a hundred and fifteen thousand so it's very expensive to live here homeownership is at its lowest percentage since 1937 Gen X Gen Y and the Millennials are the most mobile population and they prefer renting over owning which I think we're seeing that then of course as they marry and have families and that's when they kind of plant their feet and give them their roots going schools are the most important indicator of property value and vacancy for industrial rates are at two-point-eight percent concerns for 2016 in this valley are gridlocked traffic issues cyber crimes have increased the income the wealth gap has widened the upfront in front oh well infrastructure is uses deteriorating like the roads and pipes and we're seeing that of course here on LPS and then immigration reform those are he points out to be one of the top concerns for 2016 so let's talk we have had a rocky start to the stock market we have and in San Jose Mercury yesterday was why global Wolves won't mean us recession talk about what's going on with the economy well yes like you said the stock market since about the end of December and here in the early part of 2016 has been very very rocky a lot of that was precipitated with a market correction in China and lost some confidence in that market and so there was a rapid sell-off in China the Chinese government put in place some artificial stops they actually stopped trading on a couple of occasions we had a big bump with thousand point decrease back in September of last year so it just it almost feels like that again yeah we had we had that correction at that point you know then the market kind of shook that off and moved along and now we've had this yet again in China and so some of those other concerns have been international concerns as well in terms of you know debt crisis in in Greece in other parts of the world and so we are much more interconnected sort of global economy now so what happens in China what happens in Europe you know impacts us as well and impacts not only our portfolios as we look at retirement plans and our investment in our savings but also impacts was happening with mortgages as well how about the falling gas prices do you think that has some effect it does it does I mean it makes some of our day-to-day sort of expenses a little more affordable but I think one of the other concerns about that is that going to be deflationary in nature which means the value of things dropping as opposed to increasing and so typically with an expanding economy you'll see actually inflation as a part as a piece or a component of an economy that is expanding that's a healthy thing it can be a helmet yeah hyperinflation like we had back in the late 70s and early 80's is a bad thing but a little bit of inflation is good in fact the Fed has been looking at inflation with the target rate of about two percent okay and you know we just have not been there yet even over the over the last number of years now big piece of news for folks they've heard the Federal Reserve Board has increased interest rates in December at their last meeting they increase what's known as a Fed Funds rate which is the overnight rate that member banks members of the Federal Reserve Board charge each other to to lend money on a short-term basis that then impacts things like credit card loans lines of credit those sort of things that are adjustable-rate nature a lot of folks think well now mortgage rates have gone up pause right there so there's an article in The Mercury should you wait on rates mm-hmm so how does that factor in how would you advise somebody looking at interest rates right now well I think we've talked about the time on the show before is the concept of a tug of war for investment dollars right we're between stock market and bond markets all right where investors can be in cash does this those are the three options we can for investment stock market typically is going to be higher risk for him perhaps higher reward though as well a little bit when the economy is expanding and things are going well and humming along the stock market really is where funds will go to when there's uncertainty or the economy is slowing then the safety of a bond which good bond provides a set rate of return right in a mortgage we actually get our mortgage money from a type of bond I mortgage-backed security all right so that instruments traded in the bond market and when the stock market is having challenges when we're seeing declines in the stock market then the bond market doesn't have to pay as higher rate of return to attract this same dollar investment okay and we see interest rates then we'll come back as a result so the feds action really raising the interest rates just slightly oftentimes that's a break on economic expansion because now it's more expensive for short-term borrowing which includes business loans sometimes lines of credit for businesses but obviously the feds must have thought the economy was pretty healthy they were they were reading the tea leaves that yes there were some strength in the economy thought they could that it could handle an increase in rates but again the interconnectedness of our economy the global nature of it you know the surprise of what happened in China has impacted you know all of our markets as well and so we'll have to keep a watch on that yeah so at this point so three days from now absolutely see where those so your question about you know radium you know so if the economy in the stock market continued to falter we can see really good rental rates today we're gonna be for conforming loan in the high threes 9.75 8 am-5 yeah who would want to wait right well exactly i mean rates are absolutely fantastic and so as he has a great time if you haven't done a mortgage check up in a while to do that or if you're thinking about buying a home it helps with the affordability as well as a good time to check into that good advice good advice how about some numbers we we missed one month so I like to report at November so here's some statistics for the milpitas housing market in November of 2014 we had a single-family average home price of eight hundred and two thousand and a medium price of seven hundred and ninety two thousand and that is expanded to in November 2015 to eight hundred and sixty three thousand for average price and medium price of 840 now we had found those numbers some of over 900,000 you remember so it's not you know when you take when they when the MLS takes all the houses and does a median price you could have some high sales low stemming it it just you have to look at month after month and kind of look over the full year to really see that the price change you defined that there could be some seasonal affective that as well be there could be because we're talking about November's we're entering into holiday season oh there's there's less less comparable setlist sales right in transactions so we'll be seeing more of that coming although the inventory is very low right now I checked milpitas yesterday they're only 13 homes for sale in the whole city of alpena that's if an entire see it for the whole city that's long Todd that's very low so we're hope we're hopeful that the inventory will pick up here and these buyers that have been on the fence and needed to get in and you'll be seeing more open house activities and stuff coming through sir condos condos and townhomes they kind of set continue to amaze me because we again have such a plethora of new building of town homes but average sales price in November 2014 is 580 1000 million price was 582 and that jumped to November 2015 to six hundred and twenty four thousand for akan average price and 640 2004 townhome price I remember the days we were talking about how long how many years we've been doing this show but Elrond says something like seven or eight years I can't imagine that much time has passed but I remember we were reporting out condos were down to what 250 300 if you remember our numbers that I recall that and that was a handful years ago when you're real years and I just can't imagine how they doubled almost tripled in price so we should have bought 10 or 20 did you know I wish I had you'd be good to have a crystal ball right this easy in hindsight to say that yeah but people often times you know yes when is the best time to buy a home you know it really is is when you're ready to do that right and with the huge increase in rents I mean it now still makes a lot of sense to jump in yeah absolutely not your feet in Bible as I do that in sort of analysis with folks now who are renting you know Arsene big increases in their rents as we do those numbers for many of them were finding that their cost of ownership actually is comparable in some cases is less than what their cost is to read tax benefits absolutely just to have a place to raise your family and get in a good school or or yeah you know and just be in a place where you can just stay as long as you want well the other thing that people don't think about sometimes as a benefit when you buy a home you've really locked in your housing costs right if you have a 30-year fixed rate loan you know what your mortgage payments going to be no one's going to come and raise your rent right and so there's some stability with that is there as a real benefit for people always been the cornerstone of the American dream absolutely well folks thank you for watching valley homes on TV todd contact information uh yeah t fleshner at opus advisors and we'll get that up on the screen so we get the spelling great and you can email me at jordano DJ at AOL com Debbie Giordano so terrific well thanks for joining us folks happy 2016 and I look forward to bringing any more about what's happening in and around the milpitas community thank you very much

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