Irvine California Homes
Let's learn more of Irvine, CA.
Demographics : The average income in Irvine, CA is shy of $91,000, different sources claim the income to be as high as $112,000 per year, not including K1's, and other business income. The median home value is $784,500. Irvine, CA. is the 11th most richest City in Southern California.
Irvine Market Statistics for Sellers: For price ranges between $3,000,000 and $7,500,000 there are $76M worth of listings in the area that are active, under contract, pending, new or active. The average year built is 2011. The average lot size per home in this price range is 9,353 sq.ft. The actual sq.ft of the home is 5,072. Average list fee is 2.75%- which means we provide sellers in this area an average savings of nearly 1.75%- totaling over $600K in potential savings in this area alone, this also means sellers can sell for lower prices and not worry about having to sell at the highest amount due to high commissions. Lower priced commission that's full service may offer the seller more flexibility in accepting an offer thats slightly lower with yielding the same or more profit. At Hope St. We create massive value for sellers, and for buyers alike.
Weather : The high temperature is nearly 66°F year round, with a low-average temperature of 52°F.
About Irvine, CA. Irvine, CA has various industries that standout from many other cities in the Orange County, and California in general. The City of Irvine, hosts many industries including Professional, Scientific, and Technical Services, Manufacturing, Education Services, Utilities, Real Estate and Rental Leasing, and Finance and Insurance- over 120,000 employees derive from these sectors alone.
The Safest City in the United States.
Irvine, Ca is located in Orange County, CA. It's considered one of the safest city in the United States. The crime rate in Irvine is 56 per 100,000- which is much lower than both the national average of almost 400, and California as a whole of almost 450 per 100,000. Irvine, has consistently ranked 1st for the 13th consecutive year based on FBI statistics for violent crimes. Irvine, CA. boasts "Best City to Live in" for the third consecutive year by the Orange County Register. The chances of being in a crime are extremely low when considered cities of the same population. This city is one of the most ideals for raising families and kids. There's a strong community bond that seems to be different from other communities. It's really magical to witness kids playing in the streets with various kids from all walks of life.
To you an idea of the location- it's about five to seven minute drive south of John Wayne Airport. It's closest city neighbors are Tustin to the west, north west, also lies Santa Ana- to the southwest, you have Costa Mesa, the east of Irvine, Ca lies Lake Forest, to the south east, Aliso Viejo- Laguna Woods, and Mission Viejo. To the South, you have Crystal Cove State Park, San Joaquin Hills, Newport Coast, and to the southwest you have Santa Ana Heights.
Rent Cost in Irvine, CA. The average price for a studio is $2,760, for a 1 bedroom, 1 bath unit, the market rent would be $2,895, and $3,395 for a two bedroom, two bathroom unit. For a 3 bedroom, the unit would surpass $4,000 monthly. When compared to an average house valued at $750,000 with 10% down- This price increased close to 20% based on data collected in 2020. If you live in Irvine, CA. Let's see what a $4,000 rent payment translates into a purchase price and eventually mortgage payment.
Rent = Mortgage Payment
Let's consider the following purchase scenario of $995,000 Purchase Price.
- 15% Down or roughly $149,250
- 85% loan to value
- 700+ FICO
- Loan Amount will be $845,750
- Taxes will be 1.25% or $1,036 per month
- Hazard/Fire Insurance will b $65 per month
- Assumption: Credit and Employment are strong enough for 100% lender credits
- Principal & Interest Payment and Mortgage Insurance will be $3,868.28
- PITI+MI or Principal Taxes. Insurance and Mortgage Insurance will be $4,969
- Lender credit of $12,000 from Hope Street Funding to be applied for closing cost.
- 1% refunded to the buyer towards closing credits from Hope St. for appliances, moving related expenses- anything really.
- Income needed to qualify would be $9,938 with zero debt. Annual Gross Income needed: at least $119,256 to service all debt.
- Income needed to qualify would be $12,938 with $1,500 debt. Annual Gross Income needed: at least $155,256 to service all debt.
Without doing any further calculations, and paying $969 more or roughly 25% more rent- you are able to afford a $995,000 property. This figure, we can always optimize to meet, and or payment options for you.
In surrounding markets, let's say you rent in Irvine, but you want to live in Lake Forest or Mission Viejo or Laguna Beach, the price is most likely to increase by a minimum of $30% in the next 3 years, which means that in 3 years, the value of the home would jump to $1,293,500. The difference is a nice nest egg for you and your family. Not buying could cost you a loss of $298K.
If you are interested in touring homes in the Irvine, CA. market, feel free to connect with us directly. We currently have a waitlist to serve clients (sellers and buyers)- please join the list now.
Rent a Resort is it worth it?
It's a gorgeous development but with high cost to renters year round. $4,000 x 12 = $48,000 when a fully amortized loan will cost you (including taxes and insurance will be $59,628 per year.) One asset appreciates, and the other doesn't. Which asset do you think will be worth $1.2M in three years, and which asset will cost you an additional $144,000 with a zero increase to your net worth?
Let us look at the rent of a typical 3 bedroom house, with a standard COLA (or Cost of Living Adjustment) each year for the next 3 years. Let's see what the cost of the rent really is with Inflation factored in.
Healthy Food Options in Irvine, CA.
There are several whole foods throughout the city, wether your buying a $1.5M home, or a $50M home, you'll have access to one of these stores within a 5 minute drive. They are everywhere- incase you'd like to actually drive to the store- as most people just buy online these days.
There are a lot of restaurant options in the city, if you're from out of town. From authentic tikka Masala, to shakshuka- you'll have many options, as Irvine is very diverse. Lot's of engineers from India, and other parts of Asia/Europe live in Irvine, and with great talent, they bring great food and culture to the city.
Activities in Irvine, CA
You name it, you it's here. You can enjoy:
- Cycling (Most roads/streets have dedicated bike lanes)
- Mountain Biking
- Running/Walking (Trails are everywhere)
- Trail Running
- Kids activities (baseball, football, soccer, rugby, chess, computer programming, knitting, you name it, there's a class for it)
- Local Facebook Groups/Meets
- Movies at the Park
- Local Concerts
- Home Schooled Groups
- Business Networking Events
Rent Cost
Let's us look at the rent factor one more time for a rental in this in this city- assuming you wanted to buy in Irvine, or in the cities surrounding Irvine and owning is in the horizon. Lets assume your rent is $4,200 per month. In 5 Years, you could pay $278,492.
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