Proposition 19 vs 13−Confusion Continues to Abound

Many people feel Proposition 19 was “snuck in” or that voters didn’t fully realize what they were agreeing to. Ever since it passed, there’s been a lot of confusion and frustration. The takeaway is that it’s essential to really understand what’s on the ballot before casting a vote.

The part that confuses most people is who Prop 19 actually impacts. The truth is, it mainly affects people who inherit a home but don’t plan to live in it themselves.

How Prop 19 Works for Inherited Homes

  1. If You Move In
    • If you inherit a family home and make it your primary residence, you can keep the low property tax base your parent or grandparent had.
    • But there’s a limit: if the market value is more than $1 million higher than the old taxable value, the amount above that gets added to your new tax base.
    • Example: If the old taxable value was $300,000 and the home is worth $1.6M when transferred, the new taxable value becomes $600,000. Unaffordable? Remember, these inherited homes typically come with no mortgage payment.
  2. If You Rent It Out
    • If you inherit a property and don’t live in it (for example, you turn it into a rental), it’s reassessed at full market value. That means you lose the lower tax base your parent or grandparent had.

Why the change? It comes down to trade-offs. Prop 19 gave homeowners a valuable new benefit: the ability to transfer their low property tax base to any location in California when they move. However, to offset the cost, the state decided that heirs who use inherited property as an investment—not as a primary home—should pay property taxes based on today’s market value.

Put simply, if you live in the home, you retain most of the old exclusionary tax break. If you turn it into an income property, the state treats it like any other investment. While it may feel harsh, the intent was to make the system fairer by ensuring investors pay their share, while still protecting families who truly keep the home as their residence.

Prop 13 vs. Prop 19: Key Differences

FeatureProposition 13 (1978)Proposition 19 (2020)
Property Tax RateCapped at 1% of assessed valueStill capped at 1% (Prop 19 did not change this)
Annual IncreasesAssessed value can rise max 2% per yearSame 2% cap applies
Reassessment TriggerReassessed at market value when sold or newly builtSame rule applies
Parent-to-Child / Grandparent-to-Grandchild TransfersHeirs could keep the low tax base on homes (and sometimes rentals) without limitsHeirs can keep the low tax base only if they move in and use it as their primary residence. If rented out, reassessed at market value
Value Limit for Inherited HomesNo value limit; heirs kept original tax base regardless of property’s market valueTax base is kept only up to $1 million above the original assessed value (adjusted for inflation). Anything over is added to the tax base
Moving Low Tax Base to a New HomeOnly allowed for people 55+ or disabled, and only within the same county (or limited counties)Homeowners 55+, disabled, or wildfire victims can transfer their low tax base anywhere in California up to 3 times
Overall GoalKeep property taxes stable and predictable for long-term ownersExpand portability of tax savings for older/disabled homeowners, while limiting tax breaks on inherited investment properties

Drew and Christine Morgan are experienced REALTORS and NOTARY PUBLIC located in Belmont, CA, where they own and operate MORGANHOMES, Inc. They have assisted buyers and sellers in their community for over 30 years. Drew and Christine have received the coveted Diamond award, ranking among the top 50 agents nationwide and the top 3 in Northern California by RE/MAX. To contact them, please call (650) 508.1441 or emailinfo@morganhomes.com.

For all you need to know about Belmont, subscribe to this blog right here. You can also follow us on Facebook and on X.

This article provides educational information and is intended for informational purposes only. It should not be considered real estate, tax, insurance, or legal advice; it cannot replace advice tailored to your situation. It’s always best to seek guidance from a professional familiar with your scenario.

BROKER | MANAGER | NOTARY

Summer’s Still Cooking: New Openings + Local Events to Enjoy

While everyone’s busy sighing about summer “ending,” here’s a fun fact: we’ve only just passed the astronomical halfway mark—summer technically lasts until September 22nd!  So let’s not pack it up just yet. Sure, it’s been the chilliest summer since 1965, but that hasn’t stopped stores from going full throttle on Halloween candy and pumpkin décor already. 

But before you trade your sandals for sweaters, why not make the most of the second half of summer or beyond? After all, our Indian Summers last well into October now.

From food festivals to live music and family-friendly outings on the Mid-Peninsula, there’s still plenty of sunshine left to enjoy.

Here are some fun things to do and some new restaurants to check out that have recently opened or will open soon!

 Mid-Peninsula Summer Fun: Still Plenty to Do!

 Foodie Favorites

San Carlos Art & Wine Fair (October) – Sip, stroll, and snack your way down Laurel Street while sampling local wines and bites. Perfect excuse to “research” your next favorite vintage. 
Redwood City Taco Fest – Tacos, tequila, and live bands. Enough said. So many taquerias to seek out and try 

 Music & Nightlife

Music on the Square – Redwood City – Free Friday night concerts downtown. Bring a blanket, grab dinner nearby, and dance under the stars. 
Burlingame Summer Beats – Local bands turning Burlingame Avenue into one big block party. Family- and stroller-friendly!

 Family Fun

San Mateo Movie Night (September)–

Enjoy a night under the stars and watch a movie outdoors! 

Movies in the Park – Belmont – Free outdoor films at Twin Pines Park. Pack a picnic, spread a blanket, and let the kids run wild before the movie starts. 

 New Flavors on the Peninsula

Amara – Belmont

Mediterranean comfort meets Peninsula charm. The saffron-marinated roast chicken is already becoming a local favorite. Perfect for Belmont homeowners looking to show off their neighborhood’s food scene.

Rasa – Burlingame

Back with a Michelin star and a refreshed, contemporary Indian menu. Its return is putting Burlingame back on the fine-dining map—just steps from Broadway Avenue homes.

Café Vivant – Menlo Park OPENING SOON)

A one-of-a-kind restaurant built around heritage-breed chickens raised on a Pescadero farm. Pair dinner with a visit to Somm Cellars next door for wine tastings and coffee. Great addition for downtown Menlo Park residents.

Loretta – Menlo Park  (NOW OPEN)

An upscale cocktail lounge opening downtown. Perfect for post-open-house happy hours.

Robotic Food Truck – Foster City

A high-tech spin on dining—this concept started as a food truck and is evolving into a permanent spot. A great talking point for Foster City’s growing innovation hub.

Which Pays More? Comparing San Francisco MSA and San Mateo–Redwood City Housing Returns

SFMSA va MSAD

Bay Area Housing Showdown: San Francisco Metro vs. the Peninsula

Until recently, the famous Case-Shiller housing reports lumped the entire Bay Area into the San Francisco MSA—covering Alameda, San Francisco, Marin, San Mateo, and Contra Costa. That broad view smoothed out some of the ups and downs, but it also mixed fast-growing markets with slower ones.

As the population pushed past 2.5 million, analysts carved out a new sub-market: the San Mateo–Redwood City Division, which focuses more on the Peninsula. While this still includes some underperformers (like Daly City and South San Francisco), it’s a welcome step toward highlighting mid-Peninsula dynamics.

So how do the two compare?
If you had invested in 1990, the San Francisco MSA would have returned about 8% more than the Peninsula division. But here’s the twist—those extra gains came with more volatility. The Peninsula, while slightly behind in raw returns, offered a smoother ride.

Growth Since 1990

  • San Francisco MSA (metro-wide)
    • Total Growth: +381%
    • CAGR: ~4.6% annually
  • San Mateo–Redwood City Division
    • Total Growth: +344%
    • CAGR: ~4.3% annually

🔑 Insight: The metro-wide San Francisco market slightly outperformed the Peninsula Division in both cumulative growth and annualized return.

SFMSA vs MSAD

📊 Volatility & Cycles

  • San Francisco MSA
    • Bigger swings during the dot-com bust (2000–2002) and 2008 housing crash.
    • More dramatic rebounds in the tech booms (2012–2022).
    • Essentially more “leveraged to tech cycles.”
  • San Mateo–Redwood City Division
    • Tracks very closely but with slightly milder peaks and troughs.
    • The Peninsula benefits from strong fundamentals (jobs, income, schools) but didn’t surge quite as aggressively in the big runups.

🏆 Which is the Better Investment?

  • San Francisco MSA (metro-wide):
    Better for maximum long-term appreciation, but you need tolerance for volatility.
  • San Mateo–Redwood City Division:
    Slightly lower growth, but steadier and less extreme in downturns. Likely better if you prioritize stability and resilience over maximum upside.

👉 In short:

  • Metro (SFMSA) = higher growth, higher volatility.
  • Peninsula (Division) = steadier, still strong, but slightly less aggressive growth.

Here’s the investment scenario analysis (1990 → 2025) for a $500,000 purchase in each market:

  • San Francisco MSA (metro-wide):
    $500,000     → ~$2.40 million
  • San Mateo–Redwood City Division (Peninsula):
    $500,000     → ~$2.22 million

📊 Our Interpretation

  • Both markets delivered excellent long-term gains.
  • The metro-wide San Francisco market outperformed by about $186,000 over 35 years.
  • The Peninsula provided nearly the same wealth-building power but with slightly smoother cycles.

👉 In other words, investing in the SF metro as a whole yielded ~8% more wealth by 2025, but the Peninsula may have offered a calmer ride with fewer sharp downturns.

* Note that The MSAD is also a part of the larger MSA data−So in effect the Peninsula market helped the numbers in the San Francisco MSA market.

Drew and Christine Morgan are experienced REALTORS and NOTARY PUBLIC located in Belmont, CA, where they own and operate MORGANHOMES, Inc. They have assisted buyers and sellers in their community for over 30 years. Drew and Christine have received the coveted Diamond award and ranked among the top 50 agents nationwide and the top 3 in Northern California by RE/MAX. To contact them, please call (650) 508.1441 or emailinfo@morganhomes.com.

For all you need to know about Belmont, subscribe to this blog right here. You can also follow us on Facebook and on Twitter.

This article provides educational information and is intended for informational purposes only. It should not be considered real estate, tax, insurance, or legal advice; it cannot replace advice tailored to your situation. It’s always best to seek guidance from a professional familiar with your scenario.

BROKER | MANAGER | NOTARY

San Mateo County Housing Stays Hot, But Inventory Surge Signals Shift

Here’s a clear breakdown of what’s happening in the San Mateo County (SMC) housing market from 2024 to 2025 based on data from the MLS for Q1.

Key Highlights:

  • New Listings: Up 16.7% — more sellers are entering the market.
  • Homes Sold: Barely up (+2.6%) — demand is steady but not surging with the new supply. This increases the Inventor levels as buyers are uncertain about the economic future.
  • Inventory: Up a big 57.8% — supply has increased significantly. Bidding wars are waning. This will slow the rate of home appreciation.
  • Average Days on Market (DOM): Down 11.1% (from 27 to 24 days) — homes are selling slightly faster despite higher inventory, suggesting continued demand.

Prices & Valuation:

  • Average Sale Price: Up 6.7% ($2.44M ➡️ $2.61M) — strong upward pressure on prices.
  • Median Sale Price: Up 4.7% ($1.91M ➡️ $2M) — supporting the trend that the broader market, not just luxury homes, is appreciating.
  • Median $/SqFt: Up 3% — price growth per square foot is solid but more moderate, suggesting that larger homes might be contributing to the higher overall sale prices.
  • % List Price Received: Up from 104% ➡️ 107% — buyers are paying even more over asking, indicating competitive offers remain.

Volume & Sizes:

  • Total Sale Volume: Up 9.4%—Higher prices and slightly more sales have lifted the total dollar volume since sales only increased 2.6%.
  • Average Home Size: Up 2.5% (2055 to 2107 sqft) — larger homes selling might be nudging up average prices. If the average home price went up 6.7 % but 2.5% of that was due to larger homes selling, a YOY average sale price percentage would be reduced to 4.2%.

Market Dynamics:

  • Months of Inventory: Up 57.1% (from 1.4 to 2.2 months) — still a seller’s market (under 3 months), but it’s becoming more balanced due to buyer jitters.

Summary Insight:

The SMC housing market in 2025 looks like it’s in a hot but slightly more balanced phase:

  • Supply has risen sharply, but demand is keeping pace (homes are selling faster, prices are up, and bidding is competitive, just not as much so).
  • The increase in larger home sales might be boosting both the average sale price and the sales volume.
  • Inventory is building, which could give buyers slightly more leverage in the coming months if the trend continues.
  • Fed. interest rates remained unchanged.

Commentary: With all the uncertainty around tariffs, buyers are taking the classic “wait-and-see” approach — emphasis on the wait. One thing they’re sure of? Their stock portfolios took a hit… but hey, it’s only a loss if they cash out to buy that house, right? Yet another reason to stay on the sidelines a little longer and let the dust (and the Dow) settle.

The Risk Reward? Buy now while prices are climbing a little and bidding wars are catching their breath — or wait with the crowd for “more certain times” and join the stampede when the bidding starts up full throttle again.

Drew and Christine Morgan are experienced REALTORS and NOTARY PUBLIC located in Belmont, CA, where they own and operate MORGANHOMES, Inc. They have assisted buyers and sellers in their community for over 30 years. Drew and Christine have received the coveted Diamond award and ranked among the top 50 agents nationwide and the top 3 in Northern California by RE/MAX. To contact them, please call (650) 508.1441 or emailinfo@morganhomes.com.

For all you need to know about Belmont, subscribe to this blog right here. You can also follow us on Facebook and on Twitter.

This article provides educational information and is intended for informational purposes only. It should not be considered real estate, tax, insurance, or legal advice; it cannot replace advice tailored to your situation. It’s always best to seek guidance from a professional familiar with your scenario.

BROKER | MANAGER | NOTARY

Choosing Between a Real Estate Broker and a Salesperson:— A Crucial Decision

It is a sobering fact that more than half of the California REALTORS® operating within the industry hold only a salesperson license. In our local context, this percentage is even more pronounced.

But why should you prioritize the selection of a real estate Broker over a salesperson?

FREQUENTLY UNASKED QUESTIONS

The rationale is straightforward; you wouldn’t entrust a surgical procedure to a nurse when a seasoned, specialized surgeon is at your disposal. Nor would you hire a law clerk for your counsel when an experienced trial lawyer is available. The same principle applies here.

A significant number of newcomers to the real estate profession opt for a salesperson license, and a majority never advance beyond that point. Why, you may ask? The reason is clear: it’s challenging, and it takes time and hard work—and a salesperson can operate as a salesperson while working under the guidance and supervision of a broker.

The distinctions between what a salesperson can undertake and what a Broker is empowered to do are substantial. For example, Brokers possess the authority to arrange loans and serve as escrow agents, a privilege withheld from salespersons.

Importantly, Brokers operate independently and are not beholden to another Broker, having satisfied the enhanced experience and educational requisites.

The capacity of your agent to manage escrow or facilitate loans may not always be a critical concern for you, but the knowledge and education mandated to handle such responsibilities are non-negotiable.

It is noteworthy that Brokers must complete three times the educational requirements at the college level compared to salespersons and accumulate years of practical experience before even becoming eligible to sit for the Broker’s examination—an assessment that boasts a dauntingly low pass rate of 51%. This additional education proves invaluable to you when navigating intricate transactions and liaising with less seasoned sales agents.

This is a clear demonstration of how we distinguish ourselves from the competition. The choice between a real estate Broker and a salesperson is not merely a decision; it’s a pivotal choice that can significantly impact your real estate endeavors.

Choose wisely.

San Mateo County Housing Market: Rising Demand, Shrinking Supply, and Hidden Value Gains

San Mateo County Housing Market Snapshot: A Mixed Bag of Growth and Decline

The Q3 2024 housing market in San Mateo County reveals notable shifts compared to the same quarter in 2023. While total sales volume and median sale prices increased, other key indicators suggest tightening market dynamics.

Sales Surge Amid Reduced Inventory: The number of homes sold increased by 7.7%, rising from 902 to 977, likely due to strong demand despite the dropping number of new listings. This is reflected in the lower inventory levels—the inventory of homes that haven’t sold by the end of a month.

Pricing Trends Show Hidden Results: 

Median sale prices grew by 4.5%, reaching $1,908,700. At the same time, the cost per square foot climbed 5.2% to $1,149.

Smaller Lots, Bigger Gains

In Q3 2024, lot sizes shrank 24.7% (15,606 to 12,514 sq. ft.), and home sizes dropped 4.7% (to 2,012 sq. ft.). These shifts skew the reported appreciation, as smaller homes on smaller lots sold for 5.2% more. Adjusting for size differences and price per square foot ($60.00), the true median price appreciation is closer to 15.1% year-over-year.

Price Per Square Foot Climbs Nearly 9% The average price per square foot rose sharply, jumping 8.8% from $865 to $949. This uptick underscores rising property values and increased buyer competition. Higher demand, coupled with limited supply, is driving prices higher on a per-square-foot basis, a clear sign of a strengthening market. If inventory constraints remain, expect this trend to persist.

Faster Sales, Fewer Days on Market: Homes sold quicker in 2024, with the average days on market (DOM) dropping from 24 to 23 days, a minuscule 4.3% improvement. This indicates continued competition for available homes.

Strong Pricing Power: Sellers continued to receive more than asking prices, with the percentage of list price received improving to 105%, up 1%.

Total Sales Volume Climbs: The market saw a 5.9% increase in sales volume, reaching $2.35 billion, signaling robust overall growth.

Tighter Months of Inventory: The months of inventory dropped to 1.6, reflecting a 12.5% tightening, signaling a shift toward a stronger seller’s market.

In summary, Q3 2024 shows an increasingly competitive market with rising demand and constrained supply. While buyers face higher prices and smaller lots, sellers benefit from faster sales and strong pricing power. If inventory remains low, expect continued price pressures.

Drew and Christine Morgan are experienced REALTORS and NOTARY PUBLIC located in Belmont, CA, where they own and operate MORGANHOMES, Inc. They have assisted buyers and sellers in their community for over 30 years. Drew and Christine have received the coveted Diamond award and ranked among the top 50 agents nationwide and the top 3 in Northern California by RE/MAX. To contact them, please call (650) 508.1441 or email info@morganhomes.com.

For all you need to know about Belmont, subscribe to this blog right here. You can also follow us on Facebook and on Twitter.

This article provides educational information and is intended for informational purposes only. It should not be considered real estate, tax, insurance, or legal advice, and it cannot replace advice tailored to your specific situation. It’s always best to seek guidance from a professional who is familiar with your scenario.

BROKER | OWNER | NOTARY

Thanksgiving Throwback: Surprising Feast Facts & Festive Inspiration

If you’re like us, you might recall learning about the history of Thanksgiving way back in Kindergarten. 

Fast forward some 60 years, and those cherished facts might be a little hazy. 

So, we decided to brush up on the story behind the traditional feast and uncover some fascinating tidbits to share.

Before you gather around the table for that delicious annual spread—only to slip into a cozy post-turkey nap thanks to its famed tryptophan—take a moment to enjoy a little Thanksgiving trivia. Who knows? These fun facts might help sidestep a lively political debate or even smooth over a spirited sibling rivalry.

So, dig in and discover what was really on the menu at the first Thanksgiving. It just might inspire you to add a new twist to your own holiday traditions!

Wishing you and your family a warm and wonderful Thanksgiving celebration!

P.S. Don’t miss our annual treat—check out the incredible pumpkin pie & self-basting turkey recipes below!

True gratitude goes beyond acknowledging what we have—it’s about cherishing the people, moments, and lessons that shape our lives. This Thanksgiving, may we not only give thanks but also give back, spreading kindness and love to those around us.

If you’re looking to add a cornucopia of fresh flavors to your Thanksgiving table, we’ve got you covered! We’re sharing two of our all-time favorite dishes that are sure to impress your guests and become instant classics in your holiday lineup.

Click here for Michael Symon’s Self-Basting Turkey Recipe

And here’s our favorite upside-down pumpking Pie Recipe

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Drew and Christine Morgan are experienced REALTORS and NOTARY PUBLIC located in Belmont, CA where the own an operate MORGANHOMES, Inc.. They have been assisting buyers and sellers in their community for over 30 years. Drew and Christine have received the coveted Diamond award and ranked among the top 50 agents nationwide and the top 3 in Northern California by RE/MAX. To contact them, please call (650) 508.1441 or email info@morganhomes.com.

For all you need to know about Belmont, subscribe to this blog right here. You can also follow us on Facebook and on Twitter.

This article provides educational information and is intended for informational purposes only. It should not be considered real estate, tax, insurance, or legal advice, and it cannot replace advice tailored to your specific situation. It’s always best to seek guidance from a professional who is familiar with your scenario.

BROKER | MANAGER | NOTARY

Real Estate Boom: San Mateo and Belmont See Surge in Home Prices and Sales in 2024

“We’re seeing the strongest market conditions since the beginning of 2022…”

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