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  • For these thrifters, their rental is 99% secondhand goods and that’s ‘part of the fun’

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    After moving to Los Angeles from Palo Alto in 2023 with only a standing desk and a bed frame, Tess van Hulsen and Andrew Chait learned quickly how to furnish an empty rental without buying anything new.

    Because they love thrifting, decorating together was actually fun for them.

    In this series, we spotlight L.A. rentals with style. From perfect gallery walls to temporary decor hacks, these renters get creative, even in small spaces. And Angelenos need the inspiration: Most are renters.

    Two years later, their love of thrifting, antiquing, bargaining and restoring has turned their Westwood rental into a showcase of “secondhand treasures,” says Van Hulsen, 28, who works as a commercial contract specialist.

    “I have always liked things that have history and character and a story behind them,” she says. “Each piece represents a store we love, a lucky find or a successful haggle that ended with us carrying home something with history.”

    Two people sit at a table on the rooftop of their condo.

    Andrew Chait and Tess van Hulsen relax on their condo rooftop, sitting on patio furniture they bought in Venice through Facebook Marketplace.

    Chait, meanwhile, enjoys the thrill of searching and bargaining. He likes making deals, and even if he walks away, he still feels like he’s won.

    “I’m good at finding value, and Tess has the eye for style,” says Chait, 32, who works as a development director. “It’s something we really enjoy doing together.”

    At a time when many millennials and Gen Z shoppers enjoy hunting for deals on secondhand items, Van Hulsen and Chait also wanted to avoid “fast furniture, poorly built materials and disposable design,” according to Van Hulsen. For them, gently used pieces make their rental feel special.

    “People my age are taking an interest in having heirlooms and traditional items,” Van Hulsen says as she points to a silver-plated trinket tray that holds her jewelry. “I think it’s really fun to entertain and bring stuff out when guests come over. It makes the table look nice, and the platters are great for bringing food upstairs when we entertain on our rooftop patio.”

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    An assortment of vintage items sit on shelves in a china cabinet.

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    A silver punch bowl and candlesticks on a dresser underneath an artwork.

    1. An assortment of vintage items on display in a hutch the couple purchased at the Santa Monica Flea Market. 2. Brass angel candlesticks scored for $2 apiece at a Palo Alto garage sale flank a silver-plated punch bowl. The couple purchased the lithograph in Beverly Hills through Facebook Marketplace.

    Except for a few family heirlooms and some small dressers from IKEA and West Elm, nearly everything in their condo is thrifted.

    In the living room, an elegant cream-colored linen sofa from the Home Consignment Center is the main piece. On either side are striped linen armchairs, and a wooden coffee table from Facebook Marketplace completes the look, giving the room a relaxed coastal feel.

    A blue vintage ashtray rests on top of a Cezanne book next to a vintage ceramic container on top a chest.

    A vintage ashtray Van Hulsen found on Etsy rests on top of a Cezanne book scored at a Palm Springs estate sale.

    Blue and white vintage fine china items sit in display case.

    Dutch ceramic figurines and Asian ginger jars from various estate sales and thrift stores.

    Next to the 2-year-old sofa is an antique Tiger Oak hutch from the Santa Monica Antique and Vintage Market. It’s filled with their thrifted finds including silver champagne buckets, candlesticks, colorful Mexican ceramics and a tall rotating server from the Council Shop, a thrift store chain that supports low-income women and families in Los Angeles.

    “It’s dangerous living so close to the Council Shop,” Chait says of the nonprofit, which is within walking distance of the couple’s rental. “We probably walk down there every two weeks or so.”

    As the couple walks through their home, they reminisce about how each item has its own story.

    A decorative metal cup holds toothbrushes and toothpaste on top of a silver dish inside the restroom.

    In the bathroom, a mint julep cup that was given as a trophy at the 1964 Peacock Hill National Horse show holds toothpaste and toothbrushes.

    “I knew we wanted a neutral couch,” Van Hulsen says of the sofa that was originally on hold when they first saw it. “Luckily, it is modular, so my mother-in-law and I took it home in pieces in two cars.”

    The china cabinet was discounted to $60 at the Santa Monica Antique and Vintage Market because it was missing some glass pieces. “We purchased it from a father and son who were so nice,” says Chait. “Tess and I couldn’t fit it in our car, so they delivered it to us for $40.”

    Adds Van Hulsen: “It’s narrow and the perfect size.”

    In the dining room corner next to a table and eight chairs from the UCLA Thrift Shop that they had to pick up in two trips sits a charming oak dresser with carved floral details. “I found it on the street during bulky item pickup day in Palo Alto and brought it down during a holiday car ride back,” van Hulsen says.

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    A matted frame with illustrations of St. Martin's Church and St. James' Palace in London.

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    Wooden figurines depict men

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    A bronze duck holds a business card.

    1. A matted frame with illustrations of St. Martin’s Church and St. James’ Palace in London. 2. Chait’s collection of vintage mechanical banks. 3. A bronze duck paperweight.

    She also found a vintage print of Windsor Castle, now hanging in the entryway, on the street in Palo Alto. “That was the furthest thing we have thrifted,” she says.

    Many of the accessories in their penthouse such as a bright blue Kitchen Aid mixer (which can cost up to $699 new), coffee-table books and a decorative clam shell remind the couple of their favorite place: Palm Springs.

    “Palm Springs is our happy place,” Van Hulsen says. “We often go there for a night or a long weekend, and there’s a reliable string of antique stores there that we love: Sunny Dunes Antique Mall and the Antique Galleries. We keep extending our thrifting to Rancho Mirage — we love Victoria’s Attic Antiques and Collectibles — and La Quinta, and we also go to estate sales.”

    Tess van Hulsen and Andrew Chait play cards inside their rental condo.

    The couple play Phase 10 on the dining room table they purchased from the UCLA Thrift Shop.

    Now that they’re settled, it’s easy to forget how tough it was to find a rental near Chait’s new job in Santa Monica. “It was hard,” Van Hulsen says. “It was around Christmas, and there wasn’t a lot available.”

    “People were making deals and offering to pay more than the listed rent,” says Chait.

    Eventually, they found a bright two-bedroom, two-bath unit in Westwood with high ceilings, a loft and a rooftop patio. “We applied to two other places before we saw this one. It was worth waiting for,” van Hulsen says.

    Chait grew up in L.A. and spent 10 years in the Bay Area. He believes buying secondhand from strangers is a great way to get to know the city. “When I went to buy a wine fridge from someone yesterday, we ended up talking about surfing for half an hour,” Chait says. “It’s fun to meet new people and hear the stories behind what they’re selling. Plus, exploring new parts of L.A. is always interesting.”

    A small figure of a dog sits by other vintage cocktail items.

    A ceramic beagle rests next to two silver toothpick holders.

    For them, sticking to a budget is a way to get creative. Whether it’s silver platters or things left out on the street during bulky item pickup day, the couple is always searching for stylish, affordable finds.

    The result is a surprisingly cohesive look with jute rugs, light woods and striped linens creating a relaxed California coastal vibe with touches of Palm Springs and France. “My mom has always been a thrifter,” says Van Hulsen. “When we lived in London for four years, we collected all sorts of bits and baubles.”

    “From the beginning, Tess and Andrew’s relationship was stitched together through a shared love for the hunt,” her mother Dana McCue said in an email. “Their weekends away were never just about the destination, but about the ‘treasures’ hidden in dusty corners and the thrill of the ‘find.’ Today, their beautiful Westwood Penthouse serves as a living gallery of their love story. Each curated piece is more than just decor; it is a physical milestone that captures their journey from that first shared discovery to the life they have built together.”

    A bedroom with a white coverlet.

    The couple’s bed and side tables are among the new items in their condo.

    Though some couples who are making a home together for the first time prefer to buy new furniture, Van Hulsen and Chait have stuck with secondhand pieces except for their upholstered panel bed, which they purchased at Living Spaces. “That is our only big furniture purchase,” Chait says. “Things are so expensive, and so many things fall apart. And besides, we like the stories. That’s what we get excited about: the story, talking to people, imagining the life it had before.”

    They have a dresser from the Venice Canals that Tess squeezed into her Jeep Cherokee, etchings from an estate sale in Carmel, a lamp from the Guy on Motor at Venice in Palms and a vintage mirror from San Diego. “We have thrifted all over California,” says Van Hulsen.

    Silver platters are everywhere: on side tables, under cabinets and also under the bed. “Stubbing my toe on silver is not that bad of a life,” she adds, laughing.

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    A vintage soldier decanter.

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     A vintage case of Navy Cut cigarettes.

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    Legos, a Nintendo Game Boy and figuring sit on top of a Sony Playstation 4 console

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    A bronze woman rest next to other second hand items on a wooden cabinet.

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    Leather-bound books are sandwiched in between brass duck bookends.

    1. A vintage soldier decanter. 2. A vintage case of Navy Cut cigarettes from Palm Springs. 3. Legos, a Nintendo Game Boy and figurine sit on top of a Sony Playstation 4 console. 4. A bronze woman purchased in Laurel Canyon rests to other thrifted items in the dining room. 5. Leather-bound books are sandwiched in between brass duck bookends the couple found at an estate sale in Northern California.

    Sometimes things don’t go as planned. For example, Chait recently bought a Frigidaire wine refrigerator for $100 on Facebook Marketplace, but when he got it home, he saw it was too big for their space. (They’re still trying to make it work.) Van Hulsen adds: “I’ve gotten some coffee tables that I ended up flipping because they didn’t work in our space.”

    Making a cheap mistake isn’t a big deal when you can just resell the item online.

    Now that their condo is furnished, do they have a rule about not bringing in too much stuff?

     A picture of Tess van Hulsen and Andrew Chait sits next to a painting of Manhattan Beach on top of a bedside table.

    A photograph of the couple rests next to a painting of Manhattan Beach the couple found on Facebook Marketplace.

    “You’re looking at him,” Van Hulsen says, grinning at her fiancé.

    “You’re making me sound like the bad guy!” Chait says, laughing.

    “That’s part of the fun,” Van Hulsen says as she brings over a sterling silver ice cream scoop engraved with “There’s nothing wrong with me that ice cream can’t fix” in barely perceptible cursive.

    “We’re never really done,” Van Hulsen says. “It’s exciting to find new things and imagine how they’ll fit in our home.”

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    Lisa Boone

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  • Hours after taking office, NYC Mayor Mamdani targets landlords, moves to intervene in private bankruptcy case

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    NEWYou can now listen to Fox News articles!

    Sworn in at midnight and again hours later publicly, New York City Mayor Zohran Mamdani used his first day in office Thursday to hit the ground running with new executive orders targeting city landlords and housing development. And he said the city will take what he called “precedent-setting action” to intervene in a private landlord bankruptcy case he said was tied to 93 buildings.

    “Today is the start of a new era for New York City,” Mamdani said. “It is inauguration day. It is also the day that the rent is due.”

    Speaking at a Brooklyn apartment building, Mamdani framed the moves as an early test of whether city government will directly confront landlords over housing conditions and step into court cases that could determine whether tenants remain in their homes.

    Mamdani said New Yorkers who attended his inauguration were returning to apartments where, he said, “bad landlords do not make repairs,” rents rise and residents deal with issues like cockroaches and a lack of heat.

    ZOHRAN MAMDANI WILL BE FIRST MAYOR TO BE SWORN IN ON QURAN DURING NEW YORK CITY INAUGURATION

    New York City Mayor Zohran Mamdani announces his first executive orders Thursday. (Fox News/Pool)

    The mayor said the new administration “will not wait to deliver action” and “will stand up on behalf of the tenants of this city.”

    Mamdani announced three housing-related executive orders, starting with the revival of the Mayor’s Office to Protect Tenants, which he said will focus on resolving complaints and holding landlords accountable for hazardous conditions.

    “We will make sure that 311 violations are resolved,” Mamdani said, adding that the administration will hold “slumlords” accountable for “hazardous and dangerous threats” to tenant well-being.

    MAMDANI TAPS CONTROVERSIAL LAWYER WHO DEFENDED AL QAEDA TERRORIST FOR TOP ROLE: ‘POWERFUL ADVOCATE’

    NYC Mayor Zohran Mamdani delivers his inauguration address, Thursday, Jan. 1, 2026, outside City Hall.

    New York City Mayor Zohran Mamdani delivers his inaugural address Thursday outside City Hall. (Fox News/Pool)

    Mamdani said the second executive order creates a LIFT task force, or a land-inventory effort designed to leverage city-owned land and accelerate housing development. He said the task force will review city-owned properties and identify sites suitable for housing development no later than July 1.

    The third executive order creates a SPEED task force, which Mamdani said stands for Streamlining Procedures to Expedite Equitable Development. He said the task force will work to remove permitting barriers that slow housing construction. 

    Both task forces will be overseen by Deputy Mayor for Housing and Planning Lila Joseph, he said.

    “These are sweeping measures, but it is just the beginning of a comprehensive effort to champion the cause of tenants,” Mamdani said.

    FLASHBACK: INSIDE THE POLITICAL MOVEMENT THAT PUT A SOCIALIST IN CHARGE OF NEW YORK CITY

    New York City Mayoral Candidate Zohran Mamdani and New York City Mayor Eric Adams

    Zohran Mamdani attends the annual 9/11 Commemoration Ceremony Sept. 11, 2025, in New York City. (Michael M. Santiago/Getty Images)

    Earlier in the day, Mamdani signed executive order No. 1, which revoked all prior mayoral executive orders under former Mayor Eric Adams issued on or after Sept. 26, 2024, unless they were specifically reissued by Mamdani’s administration.

    Mamdani signed a second executive order setting the structure of his administration, including five deputy mayors and their oversight responsibilities.

    The mayor made the announcement at 85 Clarkson Ave., a rent-stabilized building he said is owned by Pinnacle Realty, which he described as a “notorious landlord.” 

    Mamdani said tenants in the building have dealt with issues, including roaches and a lack of heat.

    Mamdani said the building is one of 93 properties connect to the same landlord, and the portfolio is in bankruptcy proceedings.

    MAMDANI PICKS EDUCATOR WHO WORKED TO DISMANTLE GIFTED & TALENTED PROGRAM AS NYC SCHOOLS CHANCELLOR

    Zohran Mamdani

    New York City Mayor-elect Zohran Mamdani raises his right hand during his swearing-in ceremony at Old City Hall Station early Thursday. (Amir Hamja/The New York Times/Bloomberg via Getty Images)

    The mayor said the buildings will be auctioned to a different landlord he claimed ranks No. 6 on New York City’s worst landlord list, adding the buildings collectively have more than 5,000 open hazardous violations and 14,000 complaints.

    “This is an untenable situation,” Mamdani said. “So, today we are announcing that we will be taking action in the bankruptcy case and stepping in to represent the interests of the city and the interests of the tenants.”

    Mamdani said he directed his nominee for corporation counsel, Steve Banks, to take what he called “precedent-setting action” in the case.

    “We are a creditor and interested party,” Mamdani said, adding that the city is owed money and will fight for “safe and habitable homes” while working to “mitigate the significant risk of displacement” that tenants face.

    A tenant speaker at the event described unsafe conditions in Pinnacle buildings and said a section of hardwood floor in the speaker’s mother’s apartment had remained unrepaired for seven years.

    CLICK HERE TO DOWNLOAD THE FOX NEWS APP

    “When they filed for bankruptcy this spring, Pinnacle gambled on making our housing less affordable and our lives more miserable,” the speaker said.

    The mayor said the moves mark the start of a more aggressive use of executive power on housing issues, beginning on his first day in office.

    Mamdani’s office did not immediately respond to Fox News Digital’s request for comment.

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  • Woman opens Airbnb blinds—can’t cope with what she sees: “Really scared”

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    An Airbnb guest in Kelowna, British Columbia, says she and her friends were left horrified after making an unexpected discovery at the home they were staying in.

    When Jade, who did not share her surname, and her friends pulled back the drapes, they discovered something unusual—strands of hair pinned to the walls.

    “We noticed the hair as soon as we arrived, which was 11 p.m. on a Thursday evening,” Jade told Newsweek. “It was scary because we were five women alone. At first we were really scared but didn’t really feel we had options to leave since it was so late.”

    According to Jade, the host explained that the hair display had been left behind as part of a prank when the owner’s daughter once lived in the home with friends. “If you zoom in you can see they look like faces. It’s a ‘core memory,’ so they didn’t want to take it down,” she said.

    Pictures from the viral video where the women shared the unusual Airbnb detail.

    @jadenicole10/TikTok

    An Airbnb spokesperson told Newsweek: “Airbnb requires hosts to meet our ground rules on accuracy and cleanliness, and guests can contact us 24/7 in the rare event they encounter an issue. We are in contact with the guest to continue supporting them, and we are taking action to address this with the host.”

    Instead of removing the strands, Jade said the hosts offered paper and tape for the group to cover it up themselves. “They offered to give us paper and tape to cover it up but not take it down. I shared the TikTok so I could validate that it was super insane because the host clearly didn’t think so,” she said.

    She shared the moment on TikTok where it gained more than 2.3 million views, and people shared their reactions in the comments.

    One commenter quipped: “I’d add a lock of my own hair. Confuse whatever serial killer is keeping trophies.”

    Another wrote: “Um, Ma’am, is that a trophy wall? I’ve watched too much true crime for this.”

    Some users thought the strands resembled small faces with mustaches, pointing to shiny pink dots visible above the hair. Others joked that perhaps past guests had carried on the tradition without the owners realizing.

    This isn’t the first time an Airbnb has included something unusual. Earlier this week, a couple shared how they discovered a “hidden” door and “secret” third floor space in their vacation rental.

    While in 2024, a viral post shared the chilling note left in an Airbnb in the Appalachian mountains that prompted the poster to say they were “so scared right now.”

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  • In face of extreme heat, L.A. may require landlords to keep their rentals cool

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    Los Angeles landlords may soon be required to keep rental units cool — or at least make it possible for tenants to do so.

    County supervisors last month passed a law requiring landlords in unincorporated areas to provide a way to keep their rental units at 82 degrees or below. A measure introduced Wednesday in the Los Angeles City Council directs officials to draft language conforming to the same standards.

    That comes as climate change ratchets up the frequency and intensity of heat waves. Extreme heat already kills more people in the United States each year than any other weather-related event, according to the National Weather Service.

    Sustained indoor heat above 82 degrees has been linked to increased emergency-room visits, hospitalizations and deaths, according to a news release from Councilmembers Bob Blumenfield and Eunisses Hernandez, who introduced the measure along with Councilmember Adrin Nazarian.

    “It’s a health issue, first and foremost,” said Nazarian, who pointed out that the effects of extreme heat fall disproportionately on vulnerable populations like those who are chronically ill. Older residents are much more susceptible to dying from heat or related complications, he said. And poorer people are more likely to live in aging buildings without duct systems or air conditioning units. “It’s critical for us to take steps so that we’re protecting our residents.”

    The California Department of Housing and Community Development earlier this year urged lawmakers to adopt the 82-degree maximum temperature threshold statewide. State law already requires rental units to include equipment that can heat the unit to at least 70 degrees.

    “Why should cooling be any different?” asked Blumenfield, who represents the hottest part of the city — his 3rd District covers much of the southwestern San Fernando Valley. Last year Woodland Hills, where Blumenfield also lives, hit 121 degrees — the highest temperature ever recorded in Los Angeles. “We always have heat strokes go up and all sorts of health related issues happen when it gets really hot,” he said.

    The intention of the proposed measure is to hew as closely to the county regulations as possible, including provisions that provide flexibility to small landlords, Blumenfield said. For instance, the county rules allow landlords who own 10 or fewer units to meet the temperature requirement for just one room until 2032. And while the law took effect this month, it won’t be enforced until 2027.

    The measure will take some time to draft and be heard by various committees but could come up for a vote before the full council in a matter of months, Blumenfield said.

    If it passes, Los Angeles would join a growing list of cities that have adopted maximum temperature thresholds for rentals. In Phoenix, units with air conditioning must be able to maintain a temperature of 82 degrees or below. In Clark County, Nev., units must be able to stay at 85 degrees or cooler. In Palm Springs, units need to have air conditioning and be able to maintain 80 degrees. Dallas requires landlords to keep buildings at least 15 degrees cooler than the outside temperature but no higher than 85 degrees, and New Orleans requires units to be able to maintain a maximum temperature of 80 degrees in all bedrooms.

    The Apartment Assn. of Greater Los Angeles was adamantly opposed to the measure, saying it would drive up the cost of housing and ultimately lead to higher rents.

    It’s difficult to maintain a unit at 82 degrees without using an air conditioner, which can be costly to both landlords — who may need to upgrade buildings’ electrical service — and tenants, who must pay for utility bills, according to Daniel Yukelson, the group’s chief executive and executive director.

    “Any cooling device will be ineffective if too expensive to operate because renters cannot afford the electricity,” he wrote in an email. “It’s like prescribing medication with a co-pay that is too high for a patient to refill.”

    Yukelson also questioned whether the electrical grid can accommodate the additional load, saying that customers are already subjected to blackouts and brownouts during the summer.

    Nazarian and Blumenfield both pointed out that the law does not require air conditioning, and said units could be kept cool with other interventions, including cool roof technology and window tinting. The Los Angeles Department of Water and Power also offers rebates to help certain customers purchase air conditioners, Nazarian said.

    Grace Hut, assistant director of policy and advocacy for tenants’ rights group Strategic Actions for a Just Economy, said her organization has spoken with many renters whose landlords have actively prohibited them from installing air conditioner units. While she understands concerns about utility prices, tenants ultimately want to be able to choose for themselves whether or not to turn on an air conditioner and shoulder the higher electricity costs, she said.

    “On extreme heat days, access to air conditioning can be a matter of life and death, and they should have the option to use it,” she said.

    The city should also dedicate resources to enforcing the temperature-threshold rules and to helping tenants afford their utility bills to lessen the burden, she added.

    “Climate change is only going to continue to exacerbate this issue so it’s really important that we take action immediately,” she said.

    Last year was the warmest on record globally, and temperatures are projected to continue to rise. In 2022, a Times investigation revealed that heat probably caused about 3,900 deaths in California over the previous decade — six times the state’s official tally — and that the undercounting has contributed to a lack of urgency in confronting the crisis.

    Times staff writer Rebecca Ellis contributed to this report

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    Alex Wigglesworth

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  • $2.4 million for a rental: Rich tourists are already booking mega-mansions for the Olympics

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    Three years from now, millions of tourists will pour into L.A. for the 2028 Olympics. For most of them, a hotel room or Airbnb will suffice.

    Some require a more extravagant stay.

    Ten bedrooms. Twenty bathrooms. A private movie theater and infinity pool overlooking the city. A battalion of chefs, butlers and drivers catering to the smallest of whims.

    The Earth’s elite — not just the athletes, but the royals, oligarchs and uber-wealthy families coming to watch them — won’t be here for three summers. And the market for mega-mansion rentals is already getting competitive.

    “We’re getting five to 10 inquiries per week,” said Hank Stark, founder of LuxJB.

    (Carlin Stiehl / Los Angeles Times)

    “We’re getting five to 10 inquiries per week,” said Hank Stark, founder of ultra-luxury vacation rental company LuxJB. “There are only so many homes of this size in L.A., and people want to secure their spot as early as possible.”

    LuxJB owns 14 mansions around L.A., including in Beverly Hills, the Hollywood Hills and West Hollywood. Three of them have already been secured for the Olympics — not just for the last two weeks of July while the Games are taking place, but for most of the year.

    “If you’re an Olympic federation from a specific country, you’ll be here all year training athletes before the Games begin,” Stark said. “If you’re a major sports brand, you’ll want a presence in L.A. before and after July.”

    The crown jewel of LuxJB’s collection is a 39,000-square-foot behemoth complete with nine bedrooms, four kitchens, a gym, spa, movie theater, pickleball court, basketball court and a team of three maids. A client just rented it out from January to August 2028 for $300,000 per month.

    That’s $2.4 million total. Pre-paid.

    It’s an eye-popping price, but there’s a bit of savings to be found since LuxJB covers utilities. They run about $25,000 per month once you factor in heating the pool.

    The home is on the pricier end of LuxJB’s offerings, which start at $1,900 per night for smaller five-bedroom villas and $150,000 per month for larger mansions.

    A backyard and pool

    The backyard and pool of a LuxJB mansion.

    (Carlin Stiehl / Los Angeles Times)

    Stark said the rentals make sense for many. For example, a superstar athlete who travels with an entourage and wants some privacy.

    “You can’t put [Cristiano] Ronaldo in a hotel room surrounded by strangers. He’s the most valuable player in the world,” Stark said. “Plus, our place has a $6,000 zero-gravity massage chair.”

    LuxJB is currently fielding interest from two Olympic committees looking for a large enough place to hold news conferences and host media outlets, as well as U.S. companies wanting to book houses for their top brass.

    A gaming room

    The mansion’s downstairs gaming room.

    (Carlin Stiehl / Los Angeles Times)

    Stark said it’s common for companies to rent their mansions for months at a time, and far in advance. Studios rent them for red carpet season during the fall and spring to host celebrities nominated for Emmys, Grammys and Oscars. Nine of LuxJB’s 14 homes are already booked for next summer, when the 2026 World Cup brings a handful of major matches to L.A.

    But bookings three years out?

    “It’s rare,” Stark said. “But rentals are disappearing, especially after the [January] fires, when so many were leased to house victims long-term. So I don’t think demand will slow down any time soon.”

    The main reason why the market isn’t hotter is because there aren’t that many rooms or houses available yet. Most hotels don’t accept reservations more than a year in advance, and rental companies such as Airbnb and VRBO typically don’t accept bookings more than two years out.

    There’s a reason for such policies: A lot can change in three years. Homeowners can sell their homes, take them off the market, or die.

    Hank Stark

    “There are only so many homes of this size in L.A., and people want to secure their spot as early as possible,” Stark said.

    (Carlin Stiehl / Los Angeles Times)

    Stark doesn’t have to worry about major changes, since LuxJB owns its homes. But other luxury rental companies, such as the Nightfall Group, rent out homes on behalf of owners, so three years out can be a bit too soon for some.

    That hasn’t stopped the calls from coming, though.

    Nightfall founder Mokhtar Jabli said he has received a steady stream of inquiries since the company created a 2028 Olympics landing page on its site highlighting available rentals. They’ve already booked one: a 10,000-square-foot home with six bedrooms, 10 bathrooms, a movie theater and infinity pool in the Hollywood Hills.

    For the month of July 2028, the guest paid $160,000.

    “That house rents for around $110,000 during a typical year, but they paid a premium to book it so far in advance,” Jabli said.

    It came from a longtime client who knew which house they wanted and locked it in before it was blocked by a long-term lease. The owner typically doesn’t take bookings so far out but was willing to make an exception — as long as the guest was willing to pay more.

    Jabli said prices for Olympic bookings are around 40% higher than usual, but he expects that number will go up as the Games get closer.

    Nightfall has rentals in luxury markets across the globe, and around 100 in Los Angeles. Its homes typically start at $50,000 per month, but the company also offers concierge services, so the house is only the start. Jabli said some clients pay $500,000 per month for swanky add-ons such as private jets, yacht rentals, security guards, drivers, chefs and housekeepers.

    The company regularly hosts international athletes: soccer stars Ibrahima Konate from France and Amine Adli from Morocco, most recently. Jabli expects wealthy Olympic athletes in more lucrative sports, such as basketball or soccer, to book homes to share with their families rather than staying in the Olympic Village on UCLA’s campus.

    A master bathroom

    One of the bathrooms in a LuxJB mansion.

    (Carlin Stiehl / Los Angeles Times)

    Another factor in the Olympic rental market is Southern California’s uneven, sporadic enforcement of short-term rental regulations. Rules change from year to year and city to city, and a legal booking today could be outlawed by 2028.

    For example, on Aug. 5, Beverly Hills banned short-term rentals entirely, requiring initial leases to be at least 12 months. Los Angeles beefed up its Home-Sharing Ordinance in March, calling for increased fines and more staff to monitor violations. But the city’s scaled-back budget has put many of those enforcement plans on pause.

    It’s unclear whether exceptions will be made for the Olympics, when millions of visitors will descend on a region already starved for housing.

    Either way, the glut of deep-pocketed tourists should serve as a shot in the arm to a luxury market that has been waning since the COVID-19 pandemic. Homes will rent for thousands per day. Millions per year.

    “L.A. is going through a crisis, both in the high-end luxury rental business and beyond,” Jabli said. “Hopefully, 2028 brings it back to the L.A. we know.”

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    Jack Flemming

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  • Florida Realtors Relief Fund Offers $500K to Help Hurricane Victims

    Florida Realtors Relief Fund Offers $500K to Help Hurricane Victims

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    The Florida Realtors Relief Fund is offering $500,000 to help hurricane victims.

    The National Association of Realtors Realtors Relief Foundation announced a $500,000 grant to Florida Realtors to help Floridians with housing issues resulting from Hurricanes Milton and Helene.

    “So many people are struggling from the devastation caused by Hurricanes Milton and Helene in communities across our state,” says 2024 Florida Realtors® President Gia Arvin, broker-owner with Matchmaker Realty in Gainesville. “The crucial first step is often dealing with housing needs. Thanks to the National Association of Realtors’ (NAR) Realtors Relief Foundation and their generous donation to help Florida residents in the wake of these hurricanes, people can find the housing assistance they need to rebuild their homes and their lives.”

    As a result, Florida Realtors is handling two charitable relief programs: its Disaster Relief Fund that focuses on housing challenges within the Realtor family after a natural disaster, and these grants through NAR’s Realtors Relief Foundation funding that offers money to any Floridian impacted by the storms and facing-housing related needs. Check online for more information or to apply for RFF assistance.

    Qualifications for NAR-funded assistance through the Realtors Relief Foundation:

    • Monthly mortgage expense for the primary residence that was damaged during Hurricane Helene and/or Hurricane Milton in September/October 2024; or
    • Rental cost due to displacement from the primary residence resulting from Hurricane Helene and/or Hurricane Milton in September/October 2024.
    • Submit only one application if you were impacted by Hurricane Milton and Hurricane Helene.
    • Maximum grant amount per household is $1,000.

    RRF applications for Hurricane Helene and Hurricane Milton close April 2, 2025. Recipients must be full-time Florida residents and citizens of the United States, or legally admitted for residence in the U.S.

    This assistance is for housing relief only; other expenses including second mortgages (home equity lines or loans), clothing, appliances, equipment, and vehicles (purchase, rental or repair and/or mileage) are ineligible for reimbursement under this program.

    Type of assistance offered to qualified applicants:

    • Monthly mortgage expense for the primary residence that was damaged during Hurricane Helene and/or Hurricane Milton in September/October 2024; or
    • Rental cost due to displacement from the primary residence resulting from Hurricane Helene and/or Hurricane Milton in September/October 2024. Relief assistance is limited to a maximum of $1,000 per household.

    All grants are contingent upon the availability of funds. As a result, aid will be provided on a first-come, first-serve basis.

    For more info, including how to apply and the applications for assistance, go to the Florida Realtors website.

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  • Colorado AG claims landlords are colluding to raise rents. What does that mean for Denver renters?

    Colorado AG claims landlords are colluding to raise rents. What does that mean for Denver renters?

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    An “Apartment for Rent” sign in the window of a building in Denver’s Speer neighborhood. April 27, 2023.

    Kevin J. Beaty/Denverite

    Are Colorado landlords agreeing to artificially raise rents?

    That’s what Colorado’s Attorney General Phil Weiser thinks. On Friday his office joined a number of other states and the U.S. Justice Department in a lawsuit against RealPage Inc., a software company that uses confidential data from landlords to suggest rent prices.

    Thousands of Denver apartment units — maybe even yours — are owned by companies that use RealPage.

    So, how does price-fixing work? 

    In a normal economy, companies compete for customers by offering the best value for their prices. But collusion happens when companies come together and agree to all raise prices together, forcing consumers to pay more. It’s illegal.

    In this case, landlords aren’t all meeting in a room and agreeing to raise rents. Instead, they submit their confidential vacancy and pricing data to RealPage individually, and the algorithm spits out suggested prices.

    That could be price-fixing, Weiser alleges. 

    He claims RealPage has pushed landlords to end lease perks like rent discounts, and can use information about vacancies to help landlords strategically pull rentals off the market, driving up rents.

    “Half of renters in Colorado spend more than 30% of their income on housing costs,” wrote Weiser in a statement Friday. “Renters should benefit from healthy competition between landlords to find an apartment that fits their budget and needs. But RealPage’s software and market dominance have enabled collusion between landlords to fix rents, set the number of apartment available in the market, and harm renters by forcing them to pay rents above competitive levels.”

    Denverite has reached out to RealPage for comment. The company has generally defended its software as a way to help businesses make decisions.

    What does that mean for Denver renters?

    It’s no secret that high rent levels are a problem in Denver. Affordability and housing are top issues for Denverites, and nonprofit leaders say the high cost of rent is driving up homelessness.

    According to a June report from the corporate watchdog group Accountable.US, the six largest publicly traded apartment companies have all faced lawsuits across the country over their use of RealPage.

    The report says those six companies — Mid-America Apartments, AvalonBay Communities, Equity Residential, Essex Property Trust, Camden Property Trust and UDR — owned nearly 6,000 units in Denver as of March.

    Coincidentally, Accountable.US says the landlords saw a combined $300 million in profits, nationwide, in the first quarter of 2024.

    And that’s just the largest landlords. In April, Denverite reported on high rents and poor living conditions at an apartment complex in Englewood owned by Bell Partners, Inc., a company that has been sued by the Washington, D.C. attorney general over claims of price-fixing through RealPage.

    The Bell Cherry Hills Apartments in Englewood. March 20, 2024.
    Kevin J. Beaty/Denverite

    Does the lawsuit mean rents will come down?

    It’s unclear. Weiser’s lawsuit asks courts to end anticompetitive agreements with RealPage and its customers around sharing sensitive information. It also wants to end what Weiser calls an “illegal monopoly” over this type of software. Currently, the company has about 80 percent of the market for this type of software, according to Weiser.

    “[Housing] is a necessity, much like the other necessities that the public has been comfortable with regulating under antitrust statutes for a very long time and has broad public support, for utilities, for Xcel, for water, things like that,” said Jason Legg a lawyer with Justice for the People Legal Center who has worked on a number of cases involving renters’ rights.

    But lawsuits can take a while, and this emerging technology raises new questions for the courts.

    Earlier this year, a judge dismissed a case involving Las Vegas companies using a RealPage tool. Part of the judge’s reasoning was that the owners were using a third-party software company, RealPage, rather than coordinating directly.

    Legg supports Weiser’s lawsuit, and wants to see the attorney general take action on other fronts, like junk fees that drive up rents.

    “It’s been a culture of the Wild West, in our opinion, and it’s great to see the attorney general stepping in here,” he said. “I hope that the AG doesn’t stop here in being active to ensure that this necessity, like water and electricity and others, are accessible and available to everyone in Colorado.”

    In the meantime, some Colorado state legislators have tried to take on “rent algorithms” with changes to state law. But a bill that would have limited landlords’ use of companies like RealPage died during the legislative session, due to disagreements between legislators, as well as lobbying for real-estate tech companies.

    Work for a company that uses RealPage and want to chat? Drop us a line at [email protected].

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  • Proposed legislation on short-term rentals in Saratoga Springs

    Proposed legislation on short-term rentals in Saratoga Springs

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    SARATOGA SPRINGS, N.Y. (NEWS10) — A public hearing will be held on Tuesday, February 20 at 6 p.m. at Saratoga Springs City Hall regarding short-term residential rentals in the City. The proposed legislation looks to regulate short-term rental uses in the city.

    Under the new legislation, for short-term residential rental properties, only owner-occupied properties will be eligible for short-term rentals and require valid inspection and permit records from the city fire department and accounts office. It would also require compliance with occupancy limits and property maintenance codes and mandate registration of all short-term rentals with the City.

    The new legislation would require all short-term rental owners to have a revocable permit before renting out their property. Applicants must provide proof of ownership, comply with safety standards, pay applicable fees, and submit a detailed application including information, property details, insurance, and inspection reports.

    The proposed legislation can be viewed in full below.

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    Michael Mahar

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  • Rents are finally falling — but not in Orange County. People are feeling the pain

    Rents are finally falling — but not in Orange County. People are feeling the pain

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    While rents in Los Angeles and many other parts of the U.S. have dropped or stabilized in recent years, Orange County tenants have seen no such relief, with rents that have either spiked or held firm since the start of the pandemic.

    The changes reflect a national trend, according to experts. Demand for housing in urban centers including Los Angeles dropped as people flocked to suburbs such as Orange County’s after the pandemic struck because many office staffers were allowed to work remotely.

    Los Angeles County cities including Burbank, Long Beach, L.A., Santa Monica and West Hollywood have recorded median rent prices that are 3% to 5% lower than they were this time last year, according to data from the rental site ApartmentList.com.

    But prices are moving in the opposite direction in Orange County. Overall rents in L.A. County are down 2.6% over last year, while Orange County prices are up 2.2%, according to Apartment List.

    As rents in the U.S. are down 1% overall from last year, “denser urban areas have seen much slower rent growth,” and rentals in outlying and suburban areas have “sustained a pretty strong upwelling of demand” since the COVID-19 pandemic began, said Rob Warnock, a researcher at Apartment List.

    But since the pandemic started, rents have fluctuated in L.A. County, dropping 7% in 2020 only to rebound 15% in 2021, and then rising modestly in 2022 before dropping in 2023.

    In Orange County, prices never dropped — not even in 2020, though they remained flat. In 2021, they skyrocketed 22% before leveling out in 2022 and increasing modestly in 2023, according to Apartment List.

    María Alejandra Barboza, a community tenant counselor in Anaheim and Santa Ana, said that her friends and neighbors are being squeezed by the increases.

    Barboza, 56, sees rents continuing to dominate people’s budgets as salaries fail to keep up.

    In Anaheim, the median rent for a one-bedroom unit was nearly $2,000 in February, according to data from Apartment List. That was up 1.2% from the same month last year.

    In Santa Ana, rents were comparable, and up 1.6% over a year ago.

    When Barboza recently visited a friend’s home, she was impressed by new kitchen cabinets. Her friend explained that the cabinets were part of a renovation triggered by the sale of her building.

    The new owner made the family move out for a month while continuing to pay rent, according to Barboza.

    “They were not given any compensation,” she said. Upon returning after a month away, the family found their rent had increased from $1,460 to $3,200 — more than doubling.

    She heard similar stories from others who had already been forced out of the building by higher rents.

    “We continually see the displacement of entire families,” Barboza said, adding that stories of housing loss are a constant in her community.

    California has always had high demand for housing in major cities, said Hanna Grichanik, a financial advisor in Los Angeles.

    Her clients are seeing rent increases slow down, though not disappear entirely, she said.

    “L.A.’s always been a very inflated market, and it could be that other places are catching up” as density increases elsewhere, she theorized.

    Santa Clarita is a notable outlier in Los Angeles County, with the median one-bedroom apartment renting for just over $2,000 and prices up almost 4% over last February.

    Grichanik tells her clients that there is “room to negotiate with your landlords,” who “don’t want to have turnover — that’s costly for them.”

    She acknowledges that the typical goal of allocating 30% of income to rent “probably works in Nebraska, New Mexico, but it’s very hard for people in California.”

    Back in Orange County, advocates seek to protect tenants however they can as prices go up.

    David Levy, a housing specialist at the Fair Housing Council of Orange County, praised California’s Tenant Protection Act of 2019, which requires just cause to terminate a rental agreement. Causes include failure to pay, breach of terms, nuisances and criminal activities. The law also caps rent increases for certain tenants at 10%, or at 5% above the annual change in cost of living, whichever is lower.

    But Levy believes lawmakers can do more to protect tenants.

    Santa Ana is the only city in Orange County with its own rent-control law, he said, so most cities rely on the statewide rules.

    Since the end of August, landlords in Los Angeles and Orange counties have been capped at 8.8% rent increases annually in applicable units.

    While he appreciates the cap, “even an 8.8% increase is a hard hit for some people,” Levy said.

    Barboza, the community tenant counselor, continues to press legislators for a solution and to help those around her.

    “Many people in the community do not know what their rights are and how to defend them, in the face of frequent abuse,” she said.

    Barboza has heard countless stories of lives disrupted by the lack of affordable housing in Orange County.

    When rent gets too high for them, she said, people are not only forced to leave their homes, but “children have to leave their schools” and “parents are separated from their source of income.”

    In Barboza’s community, she said, “the greed of a few negatively impacts the lives of many.”

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    Terry Castleman

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  • Is your rental home flooded? What tenants can do to fix the damage

    Is your rental home flooded? What tenants can do to fix the damage

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    As soon as the floodwaters subside in Southern California, many tenants will start the daunting task of assessing what’s been damaged or lost in their rental homes or apartments.

    As of late Monday, authorities just in Los Angeles County responded to more than 300 mudslides, with 35 homes or buildings damaged by debris flows, including five that were deemed unsafe to enter.

    If you were given evacuation orders, do not return to your home until the order has been lifted by the local authorities or the city.

    Once you’re able to safely return to your rental and assess the damage, there are two things you should know.

    First, damage to the rental property is not your responsibility, it’s the landlord’s. Getting your landlord to fix the damage, though, can be a challenge.

    “Unfortunately, too much of this is a burden of the tenant to hold the landlord accountable,” said Larry Gross, executive director of the Coalition for Economic Survival.

    Second, although a renters insurance policy can help under certain circumstances, it will not cover flood damage to your personal property.

    Renters insurance reimburses you for damage to your belongings, including losses caused by some — but not all — natural disasters. The natural disasters that are not covered by rental insurance include floods, mudflows, sinkholes and earthquakes.

    Janet Ruiz, communications director for the Insurance Information Institute, said flood damage is defined as losses caused by water that rises from the ground up. However, if water comes into your home from above — for example, when wind damages the roof or a window and rain cascades in — there is a possibility of coverage.

    A water pipe that bursts and floods your dwelling is the other type of water damage that is covered by a renter’s policy, Ruiz said.

    If your furniture, clothes, and computer are floating in a pool of floodwater in your living room, chances are good that you’ll have to pay out of pocket to replace them.

    Your renters policy may still come in handy if you’re forced to move by the storms. Depending on the extent of the damage, a dwelling can be deemed uninhabitable. Your insurance might be able to cover the costs associated with temporary relocation; contact your insurance provider to find out.

    Ruiz said most policies will pay for your additional living expenses when you are displaced from your home by a covered loss (such as damage caused by the wind) and need temporary shelter. Keep all your receipts to document your expenditures.

    How to get your landlord to make repairs

    Landlords have the responsibility to meet the habitability requirement for rental properties, meaning every rental unit must be maintained in a safe living condition. Part of the requirement is to provide “effective waterproofing and weather protection to the roof and exterior walls, including unbroken windows and doors.”

    When a storm has damaged a rental — for example, high winds knock down a tree that lands and caves in a roof or rain has caused a roof leak — the landlord must fix it. State law also requires landlords to make sure their properties are free of dampness and visible mold.

    Because of the legal requirements, it may be easy to get your landlord to fix flood damage right away. But most Californians don’t carry flood insurance, so the costs faced by your landlord could deter a speedy response.

    Also, when a storm of this magnitude barrels through the state, contractors are usually overwhelmed with requests for repairs. A landlord who is trying in good faith to fix a rental might be stuck waiting until they can get a professional to do the work.

    “Unfortunately,” Gross said, “there are too many [situations] where it’s not [repaired quickly] and of course it also depends on the severity of the situation.”

    If a landlord doesn’t repair the damage in a reasonable time frame, a renter in the city of Los Angeles can file a complaint with the city’s housing department. This will prompt a visit by a code enforcement officer.

    Landlords are also responsible when damage to the rental causes harm to the renter’s personal property. If your landlord won’t comply with your request for repairs, replacement or reimbursement, that can be a case for small claims court as well.

    Gross doesn’t advise withholding your rent to try to get the landlord to fix damage to your rental, although you have that option. Doing so, Gross said, could lead the landlord to seek to evict you.

    The Coalition for Economic Survival is one of several local organizations that can help renters understand their rights and advise them what can be done if a prickly landlord isn’t helpful. Here’s a list of some of the others.

    • Tenants Together is a statewide coalition of local tenant organizations, that offers resources and a directory to find an organization near you.
    • Basta, which has offices in Los Angeles and Long Beach, helps residents with habitability problems, among other services.
    • The Housing Rights Center serves Los Angeles County and has a housing rights hotline — 800-477-5977 — available from 8:30 a.m. to 5 p.m.
    • The Legal Aid Foundation of Los Angeles has an online tenant small claims resource library.
    • Tenants of California‘s members can advise renters on habitability issues.
    • Stay Housed LA can provide free legal help to certain Los Angeles County residents. Check the group’s website for a list of eligible ZIP Codes.
    • Santa Monicans for Renters’ Rights has volunteers who can answer questions or offer a referral to a resource who can help.

    What if my car has been damaged?

    Flood damage to cars, including flooding from a storm surge, is covered if you have “comprehensive coverage,” also known as “other than collision” coverage, as part of your auto insurance. Comprehensive coverage is optional with a standard auto policy.

    Ruiz said most people who took out a car loan to buy their vehicle will have comprehensive coverage because loan companies require it.

    Some people with older cars do not elect to have the coverage, however. That’s because, “at the end of the day, you only get the value of the vehicle,” she said.

    What else can renters with flood damage do?

    You might not be able to get reimbursed for your lost items at the moment, but you can deduct the amount you lost on your state and federal tax returns.

    To help in the future, renters can apply for flood insurance to protect their personal belongings through FEMA’s National Flood Insurance program. For renters, the program covers up to $100,000 in damage to the contents of a unit.

    The National Flood Insurance Program is available to anyone living in one of the 24,000 participating U.S. communities or in a flood-prone area. You can see whether your community is part of the program by checking the “community status report” on the program website.

    If your community is in the program, you can obtain a flood policy from a participating insurer. The National Flood Insurance program offers a list on its website.

    The policy won’t go into effect, however, until 30 days after it’s purchased.

    You can also reach out to private insurers to see if they offer their own version of flood insurance. But there aren’t many that do, Ruiz said, so your best bet is to stick with the National Flood Insurance Program.

    Staff writer Grace Toohey contributed to this report.

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    Karen Garcia

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  • U.K. stocks break three-day losing streak

    U.K. stocks break three-day losing streak

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    U.K. stocks rose Thursday, as the FTSE 100 Index FTSE 100 Index closed up 0.19% at 7,483.58.

    Among FTSE 100 constituents, technical services company Intertek Group PLC Intertek Group PLC saw the largest increase Thursday, as shares climbed 3.42%.

    Shares of air freight firm International Distribution Services PLC International Distribution…

    Master your money.

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  • Airbnb Host Goes Viral After Allegedly Charging Guests A Cleaning Fee & Giving ‘Checkout’ Chores

    Airbnb Host Goes Viral After Allegedly Charging Guests A Cleaning Fee & Giving ‘Checkout’ Chores

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    An Airbnb host in San Antonio, Texas, has gone viral after a recent guest highlighted the home’s alleged “checkout” chore list and hefty cleaning fee.

    RELATED: Family Sues Airbnb And Rental Owner After Toddler Dies From Fentanyl Exposure

    More Details Regarding The Airbnb Guest’s Alleged Experience

    A 32-year-old man who only wished to be identified as Brandon spoke with Newsweek for an interview published on Thursday, November 2. During the conversation, Brandon explained that he’s a graduate student based in Houston, Texas.

    He, his wife, and two kids had vacationed in San Antonio between October 13 and October 15. The family chose to stay in an Airbnb.

    “[We] rented the Airbnb because the total cost for a house with three bedrooms was cheaper than three hotel rooms,” Brandon explained to the outlet.

    The Airbnb’s cost also included a $165 cleaning fee, Newsweek confirmed. This only exacerbated the “particularly irritating” experience that Brandon and his family encountered when they were met with a “chores list” upon checkout.

    According to a post uploaded by Brandon on Reddit, the list informed the family to: “Strip all white linens from beds and leave them on bedroom floor. Leave comforter on bed. Start a load of all white towels (use bleach). Wash and put away all dishes and glasses. Remove all food from refrigerator. Remove all trash from bathrooms and kitchen and replace bags. Place trash in brown bin in garage. Leave all floors how you found them, clean and clutter-free. Clean with Swiffer if needed.”

    Additionally, the list encouraged the family to check for left-behind belongings and “lock all windows and doors.”

    Brandon titled his Reddit post, “Airbnb is getting out of hand.” Then, he shared his thoughts in the post’s caption.

    “We paid a $150 cleaning fee for them to give us these checkout instructions. I’m surprised they didn’t want us to stick around to dry the towels and remake the beds.”

    Airbnb Releases A Statement Regarding “Checkout Instructions”

    Airbnb has since shared a statement with Newsweek touching on guest experience and the hosts’ use of “checkout instructions.”

    “We want guests to have the best possible experience on Airbnb, which is why we ask hosts to ensure checkout instructions are visible to guests prior to booking. We regularly share guidance with hosts on this topic, and repeated low ratings may lead to removal.”

    According to Newsweek, Airbnb implemented “transparent checkout instructions” earlier this year. This means that checkout instructions are displayed on Airbnb listing pages for guests to view before they book and confirm their stay.

    However, a Q&A forum on the Airbnb website seems to suggest that adding check-in and checkout instructions to an Airbnb listing is still more of an option for Airbnb hosts rather than a requirement. Additionally, the website adds that usual checkout suggestions are locking up, cleaning dirty dishes, taking out the trash, and other similar requests.

    Newsweek does not share whether Brandon expressed noticing the checkout instructions before booking the San Antonio Airbnb. However, Brandon did inform the outlet that “the house was not really well-maintained,” featured broken pool sticks, and “a very uncomfortable mattress.”

    Additionally, Brandon admitted that he’s unsure whether his wife left a review for the Airbnb hosts. However, he does know that the hosts were “happy”  to have him and his family “back.”

    “…Despite the fact that we did not complete the list — we did not put away dishes or run the washing machine,” Brandon told Newsweek.

    Social Media Reacts

    One user, @Sam_GT3 wrote.

    “Meanwhile you can absolutely abuse a hotel room for $150 a night and they’ll thank you for your stay”

    Reddit user @Law3W added.

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    Jadriena Solomon

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  • Built-to-Rent Housing Filling In Gaps Between Major Metros

    Built-to-Rent Housing Filling In Gaps Between Major Metros

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    The pattern shows up in many areas of the country: development activity fills in between two metropolitan areas, typically along one or more highways that connect them. Orlando to Tampa along I-4 is another prime example, and there are dozens more around the country.

    From New Braunfels to San Marcos, as well as closer-in suburbs, the stretch between Austin and San Antonio is starting to fill in, providing young families and singles with an alternative to home ownership. The map below, featuring data from CoStar and supplemented by original research by Hunter Housing Economics, shows the built-to rent (”BTR”) units that have already been built, as well as those that are under construction and proposed in that stretch. BTR housing fills the heretofore unserved set of households who want a suburban place with a yard or some small patch of private outdoor space, but who cannot afford (or choose not to buy) a single-family home.

    A large proportion of the BTR developments now completing units in areas like San Marcos and New Braunfels are single-family detached homes, and as one gets closer to the larger cities of Austin or San Antonio, one finds more townhomes and more of the “horizontal apartment” style (also referred to by the more palatable “cottages”), which gives tenants a better living experience than typical apartments, in that they offer a ground-floor entry and usually a fully-detached home, with windows on four sides, and a small backyard. This type of rental product is just starting to take off, being met by strong demand from singles, couples, retirees, and people who own dogs. (The advantage for dog owners is that they can let the dog out the back door instead of putting them on a leash and walking them down corridors and/or elevators to get outside).

    Like the cottages, built-to-rent townhomes tend to get developed closer to the major cities. Townhomes typically offer more square footage, but also more shared walls, and are commonly found in “infill” types of locations. There is evidence of market support farther away from the major metros, as long as they are in good proximity to schools and shopping. Areas south of Austin like Buda and Kyle are experiencing strong population and household growth, amplified by a continued migration of Californians looking for a lower-tax environment and lower cost of living in general. New schools are popping up there, which appeal to the new residents. Rent concessions that has been in effect a year back are now being removed, boosting effective rents. Family demand is under-served in this region. Consequently, rents on new townhomes or duplexes in this area can be as high as $2,600 per month for 3-bedroom units and $3,000 per month for 4-bedroom units, if they include well thought-out floorplans and better features and amenities than the existing homes in the area. The cost to own similar units is close to $3,200 per month.

    There is a significant rent premium over individually-owned rental homes, particularly homes that are not in a master-planned community. Research by Hunter

    Housing Economics this year quantified the premium in the southern U.S. as $265 per month. On a percentage basis, renters are willing to pay 13.3% more for a newly built rental townhome than one that is not new, according to the survey results. The premium over a rental apartment meanwhile came in at 24.3%.

    In the area north of San Antonio, BTR projects such as Pradera, Village at Vickory Grove, Eschelon at Monterrey Village, and Springs at Alamo Ranch have performed well. Rents in this area can get up to $2,500 per month.

    Another example of this pattern of “filling in” between major cities is in Florida, along the I-4 corridor between Tampa and Orlando. This map shows the built-for-rent

    developments that already exist in Tampa, extending mostly northward right now. From the other direction, spilling out of Orlando, there have been some BTR projects in Kissimmee and St. Cloud, due south of Orlando, and also to the west, mostly near Interstate-4.

    Built-to-rent development activity is slowing now, and we will certainly see a sharp reduction in BTR starts next year, due to a shortage of capital. Developers who are planning projects to enter the market in 2025/2026 are likely to find a smaller number of projects opening up around them. Some of our clients are getting into position to pick up what might emerge as “distressed” BTR projects next year, when it is expected that some investors who tied up land will find themselves financially unable to close on the purchase. The lack of capital in this space could represent an opportunity for well-capitalized investors to pick up a contract or otherwise get into a deal that is not currently available. Next year should be an interesting one for BTR investors and developers.

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    Brad Hunter, Contributor

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  • Wall Street’s Q3 expectations have been all over the place. Now, a swing to profit growth is ‘likely’ — with a bigger rebound next year

    Wall Street’s Q3 expectations have been all over the place. Now, a swing to profit growth is ‘likely’ — with a bigger rebound next year

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    Wall Street spent much of this year getting more tepid on third-quarter corporate profits, with expectations for subdued growth giving way to expectations for a slight decline.

    But after results from a handful of companies soundly beat estimates in recent days, one analyst who tracks the ebbs and flows of earnings data says at least a slight profit gain for the quarter is more likely — with potentially double-digit percentage growth next year.

    FactSet Senior Earnings Analyst John Butters, in a report out Friday, said that of the 32 companies in the S&P 500 Index
    SPX
    that reported third-quarter results through Friday, 84% have reported per-share profits that were above Wall Street’s expectations, and he said they were beating those expectations by a greater degree than usual.

    The index collectively, so far, was putting up a third-quarter earnings growth rate of 0.4% — compared to estimates on Oct. 6 for a 0.3% decline. Most companies, he said, tend to turn in earnings results that beat estimates.

    “Based on the average improvement in the earnings growth rate during the earnings season, the index will likely report year-over-year growth in earnings or more than 0.4% for Q3,” he said.

    That assessment follows quarterly results from big companies like JPMorgan Chase & Co. and Delta Air Lines, Inc.. Both the bank and the airline reported better-than-expected profits. JPMorgan
    JPM,
    +1.50%

    Chief Executive Jamie Dimon said U.S. consumers and businesses “generally remain healthy,” despite thinning pandemic-era savings, while Delta
    DAL,
    -2.99%

    pointed to enduring “robust” travel demand.

    More broadly, the quarter will be a look at how customers are faring amid still-high prices, an approaching holiday season and borrowing costs that could stay higher for longer. Recession pessimism has shown signs of easing. But Citigroup Inc.’s chief financial officer, Mark Mason, said on Friday that the bank expected a soft economic landing with a “mild recession” in the first half of 2024. However, he said such an outcome was “hard to call,” amid a strong job market.

    Financial forecasts tend to fluctuate as analysts digest real-life financial data. For now, they expect S&P 500 index earnings growth of 7.6% for the fourth quarter, and 0.9% for 2023 overall, according to FactSet. Next year, at the moment, looks better, with expected earnings growth of 12.2%.

    This week in earnings

    More names from the financial sector will report in the week ahead, following results from JPMorgan, Citigroup
    C,
    -0.24%

    and Wells Fargo & Co.
    WFC,
    +3.07%
    .
    Reports from Morgan Stanley
    MS,
    -0.03%

    and Goldman Sachs Group Inc.
    GS,
    -0.18%

    will offer more context on deal-making and market sentiment, while earnings from credit-card giants Discover Financial Services
    DFS,
    -1.47%

    and American Express
    AXP,
    -0.12%

    will get more granular on customer spending.

    More airlines, like United Airlines Holdings Inc.
    UAL,
    -2.76%

    and American Airlines Group Inc.
    AAL,
    -2.82%
    ,
    will also report, providing more detail on whether revenge travel still has any life left. Earnings are also due from Johnson & Johnson
    JNJ,
    +0.33%

    and AT&T Inc.
    T,
    -0.62%
    .

    In total 55 S&P 500 companies total will report quarterly results this week, including five from the Dow, according to FactSet.

    The call to put on your calendar

    Has Netflix become a utility? Hollywood’s writers will start returning to work, while talks with actors and studios have stalled. But the TV-and-film production limbo hasn’t been the only headache for streaming platform Netflix Inc., which reports quarterly results on Wednesday. The company will report amid greater pressure to boost profits, as the entertainment industry tries to find its footing in the streaming era. Ahead of the results, Wolfe Research analyst Peter Supino recently expressed concern that Netflix’s
    NFLX,
    -1.53%

    ad-supported plan was slow to catch on with viewers. Bernstein analysts likened the company to a mature, durable “utility.” But they also compared the stock to a long-running TV show that, while still good, might be starting to bore its audience. Executives will be hoping for better a better reception from investors.

    The number to watch

    Tesla margins: When EV maker Tesla Inc. reports results on Wednesday, it will be “all about margins,” Deepwater Asset Management’s Gene Munster said in note recently. Those results, and the focus on margins, will follow price cuts, and questions over profit growth and enthusiasm for Tesla’s
    TSLA,
    -2.99%

    new Cybertruck. And Morgan Stanley analyst Adam Jonas, in a research note, said the year ahead could be “volatile.”

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  • Ford, Microsoft, Delta, Walgreens, Birkenstock, and More Stock Market Movers

    Ford, Microsoft, Delta, Walgreens, Birkenstock, and More Stock Market Movers

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    Stock futures posted modest gains Thursday ahead of a report likely to show that U.S. inflation fell in September as gasoline price growth slowed and used-car costs declined.

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  • These 20 stocks in the S&P 500 are expected to soar after rising interest rates have pushed down valuations

    These 20 stocks in the S&P 500 are expected to soar after rising interest rates have pushed down valuations

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    Two things investors can be sure about: Nothing lasts forever and the stock market always overreacts. The spiking of yields on long-term U.S. Treasury securities has been breathtaking, and it has led to remarkable declines for some sectors and possible bargains for contrarian investors who can commit for the long term.

    First we will show how the sectors of the S&P 500

    have performed. Then we will look at price-to-earnings valuations for the sectors and compare them to long-term averages. Then we will screen the entire index for companies trading below their long-term forward P/E valuation averages and narrow the list to companies most favored by analysts.

    Here are total returns, with dividends reinvested, for the 11 sectors of the S&P 500, with broad indexes below. The sectors are sorted by ascending total returns this year through Monday.

    Sector or index

    2023 return

    2022 return

    Return since end of 2021

    1 week return

    1 month return

    Utilities

    -18.4%

    1.6%

    -17.2%

    -11.1%

    -9.6%

    Real Estate

    -7.1%

    -26.1%

    -31.4%

    -3.0%

    -8.8%

    Consumer Staples

    -5.4%

    -0.6%

    -6.0%

    -2.2%

    -4.4%

    Healthcare

    -4.2%

    -2.0%

    -6.1%

    -1.7%

    -3.3%

    Financials

    -2.5%

    -10.5%

    -12.7%

    -2.5%

    -4.7%

    Materials

    1.3%

    -12.3%

    -11.2%

    -1.9%

    -7.0%

    Industrials

    3.5%

    -5.5%

    -2.1%

    -1.8%

    -7.3%

    Energy

    4.0%

    65.7%

    72.4%

    -1.9%

    -1.4%

    Consumer Discretionary

    27.0%

    -37.0%

    -20.0%

    -0.6%

    -5.2%

    Information Technology

    36.5%

    -28.2%

    -2.0%

    0.8%

    -5.9%

    Communication Services

    42.5%

    -39.9%

    -14.3%

    1.1%

    -1.3%

    S&P 500
    13.1%

    -18.1%

    -7.4%

    -1.1%

    -4.9%

    DJ Industrial Average
    2.5%

    -6.9%

    -4.5%

    -1.7%

    -4.0%

    Nasdaq Composite Index
    COMP
    28.0%

    -32.5%

    -13.7%

    0.3%

    -5.1%

    Nasdaq-100 Index
    36.5%

    -32.4%

    -7.7%

    0.5%

    -4.2%

    Source: FactSet

    Returns for 2022 are also included, along with those since the end of 2021. Last year’s weakest sector, communications services, has been this year’s strongest performer. This sector includes Alphabet Inc.
    GOOGL
    and Meta Platforms Inc.
    META,
    which have returned 52% and 155% this year, respectively, but are still down since the end of 2021. To the right are returns for the past week and month through Monday.

    On Monday, the S&P 500 Utilities sector had its worst one-day performance since 2020, with a 4.7% decline. Investors were reacting to the jump in long-term interest rates.

    Here is a link to the U.S. Treasury Department’s summary of the daily yield curve across maturities for Treasury securities.

    The yield on 10-year U.S. Treasury notes

    jumped 10 basis points in only one day to 4.69% on Monday. A month earlier the 10-year yield was only 4.27%. Also on Monday, the yield on 20-year Treasury bonds

    rose to 5.00% from 4.92% on Friday. It was up from 4.56% a month earlier.

    Market Extra: Bond investors feel the heat as popular fixed-income ETF suffers lowest close since 2007

    The Treasury yield curve is still inverted, with 3-month T-bills

    yielding 5.62% on Monday, but that was up only slightly from a month earlier. An inverted yield curve has traditionally signaled that bond investors expect a recession within a year and a lowering of interest rates by the Federal Reserve. Demand for bonds pushes their prices down. But the reverse has happened over recent days, with the selling of longer-term Treasury securities pushing yields up rapidly.

    Another way to illustrate the phenomenon is to look at how the Federal Reserve has shifted the U.S. money supply. Odeon Capital analyst Dick Bove wrote in a note to clients on Friday that “the Federal Reserve has not deviated from its policy to defeat inflation by tightening monetary policy,” as it has shrunk its balance sheet (mostly Treasury securities) to $8.1 trillion from $9 trillion in March 2022. He added: “The M2 money supply was $21.8 trillion in March 2022; today it is $20.8 trillion. You cannot get tighter than these numbers indicate.”

    Then on Tuesday, Bove illustrated the Fed’s tightening and the movement of the 10-year yield with two charts:


    Odeon Capital Group, Bloomberg

    Bove said he believes the bond market has gotten it wrong, with the inverted yield curve reflecting expectations of rate cuts next year. If he is correct, investors can expect longer-term yields to keep shooting up and a normalization of the yield curve.

    This has set up a brutal environment for utility stocks, which are typically desired by investors who are seeking dividend income. In a market in which you can receive a yield of 5.5% with little risk over the short term, and in which you can lock in a long-term yield of about 5%, why take a risk in the stock market? And if you believe that the core inflation rate of 3.7% makes a 5% yield seem paltry, keep in mind that not all investors think the same way. Many worry less about the inflation rate because large components of official inflation calculations, such as home prices and car prices, don’t affect everyone every year.

    We cannot know when this current selloff of longer-term bonds will end, or how much of an effect it will have on the stock market. But sharp declines in the stock market can set up attractive price points for investors looking to go in for the long haul.

    Screening for lower valuations and high ratings

    A combination of rising earnings estimates and price declines could shed light on potential buying opportunities, based on forward price-to-earnings ratios.

    Let’s look at the sectors again, in the same order, this time to show their forward P/E ratios, based on weighted rolling 12-month consensus estimates for earnings per share among analysts polled by FactSet:

    Sector or index

    Current P/E to 5-year average

    Current P/E to 10-year average

    Current P/E to 15-year average

    Forward P/E

    5-year average P/E

    10-year average P/E

    15-year average P/E

    Utilities

    82%

    86%

    95%

    14.99

    18.30

    17.40

    15.82

    Real Estate

    76%

    80%

    81%

    15.19

    19.86

    18.89

    18.72

    Consumer Staples

    93%

    96%

    105%

    18.61

    19.92

    19.30

    17.64

    Healthcare

    103%

    104%

    115%

    16.99

    16.46

    16.34

    14.72

    Financials

    88%

    92%

    97%

    12.90

    14.65

    14.08

    13.26

    Materials

    100%

    103%

    111%

    16.91

    16.98

    16.42

    15.27

    Industrials

    88%

    96%

    105%

    17.38

    19.84

    18.16

    16.56

    Energy

    106%

    63%

    73%

    11.78

    11.17

    18.80

    16.23

    Consumer Discretionary

    79%

    95%

    109%

    24.09

    30.41

    25.39

    22.10

    Information Technology

    109%

    130%

    146%

    24.20

    22.17

    18.55

    16.54

    Communication Services

    86%

    86%

    94%

    16.41

    19.09

    19.00

    17.43

    S&P 500
    94%

    101%

    112%

    17.94

    19.01

    17.76

    16.04

    DJ Industrial Average
    93%

    98%

    107%

    16.25

    17.49

    16.54

    15.17

    Nasdaq Composite Index
    92%

    102%

    102%

    24.62

    26.71

    24.18

    24.18

    Nasdaq-100 Index
    97%

    110%

    126%

    24.40

    25.23

    22.14

    19.43

    There is a limit to how many columns we can show in the table. The S&P 500’s forward P/E ratio is now 17.94, compared with 16.79 at the end of 2022 and 21.53 at the end of 2021. The benchmark index’s P/E is above its 10- and 15-year average levels but below the five-year average.

    If we compare the current sector P/E numbers to 5-, 10- and 15-year averages, we can see that the current levels are below all three averages for four sectors: utilities, real estate, financials and communications services. The first three face obvious difficulties as they adjust to the rising-rate environment, while the real-estate sector reels from continuing low usage rates for office buildings, from the change in behavior brought about by the COVID-19 pandemic.

    Your own opinions, along with the pricing for some sectors, might drive some investment choices.

    A broader screen of the S&P 500 might point to companies for you to research further.

    We narrowed the S&P 500 as follows:

    • Current forward P/E below 5-, 10- and 15-year average valuations. For stocks with negative earnings-per-share estimates for the next 12 months, there is no forward P/E ratio so they were excluded. For stocks listed for less than 15 years, we required at least a 5-year average P/E for comparison. This brought the list down to 138 companies.

    • “Buy” or equivalent ratings from at least two-thirds of analysts: 41 companies.

    Here are the 20 companies that passed the screen, for which analysts’ price targets imply the highest upside potential over the next 12 months.

    There is too much data for one table, so first we will show the P/E information:

    Company

    Ticker

    Current P/E to 5-year average

    Current P/E to 10-year average

    Current P/E to 15-year average

    SolarEdge Technologies Inc.

    SEDG 89%

    N/A

    N/A

    AES Corp.

    AES 66%

    75%

    90%

    Insulet Corp.

    PODD 18%

    N/A

    N/A

    United Airlines Holdings Inc.

    UAL 42%

    50%

    N/A

    Alaska Air Group Inc.

    ALK 51%

    57%

    N/A

    Tapestry Inc.

    TPR 39%

    49%

    70%

    Albemarle Corp.

    ALB 39%

    50%

    73%

    Delta Air Lines Inc.

    DAL 60%

    63%

    21%

    Alexandria Real Estate Equities Inc.

    ARE 59%

    68%

    N/A

    Las Vegas Sands Corp.

    LVS 96%

    78%

    53%

    Paycom Software Inc.

    PAYC 61%

    N/A

    N/A

    PayPal Holdings Inc.

    PYPL 33%

    N/A

    N/A

    SBA Communications Corp. Class A

    SBAC 27%

    N/A

    N/A

    Advanced Micro Devices Inc.

    AMD 58%

    39%

    N/A

    LKQ Corp.

    LKQ 92%

    44%

    78%

    Charles Schwab Corp.

    SCHW 75%

    54%

    73%

    PulteGroup Inc.

    PHM 94%

    47%

    N/A

    Lamb Weston Holdings Inc.

    LW 71%

    N/A

    N/A

    News Corp Class A

    NWSA 93%

    73%

    N/A

    CVS Health Corp.

    CVS 75%

    61%

    67%

    Source: FactSet

    Click on the tickers for more about each company or index.

    Click here for Tomi Kilgore’s detailed guide to the wealth of information available for free on the MarketWatch quote page.

    News Corp
    NWSA
    is on the list. The company owns Dow Jones, which in turn owns MarketWatch.

    Here’s the list again, with ratings and consensus price-target information:

    Company

    Ticker

    Share “buy” ratings

    Oct. 2 price

    Consensus price target

    Implied 12-month upside potential

    SolarEdge Technologies Inc.

    SEDG 74%

    $122.56

    $268.77

    119%

    AES Corp.

    AES 79%

    $14.16

    $25.60

    81%

    Insulet Corp.

    PODD 68%

    $165.04

    $279.00

    69%

    United Airlines Holdings Inc.

    UAL 71%

    $41.62

    $69.52

    67%

    Alaska Air Group Inc.

    ALK 87%

    $36.83

    $61.31

    66%

    Tapestry Inc.

    TPR 75%

    $28.58

    $46.21

    62%

    Albemarle Corp.

    ALB 81%

    $162.41

    $259.95

    60%

    Delta Air Lines Inc.

    DAL 95%

    $36.45

    $58.11

    59%

    Alexandria Real Estate Equities Inc.

    ARE 100%

    $98.18

    $149.45

    52%

    Las Vegas Sands Corp.

    LVS 72%

    $45.70

    $68.15

    49%

    Paycom Software Inc.

    PAYC 77%

    $260.04

    $384.89

    48%

    PayPal Holdings Inc.

    PYPL 69%

    $58.56

    $86.38

    48%

    SBA Communications Corp. Class A

    SBAC 68%

    $198.24

    $276.69

    40%

    Advanced Micro Devices Inc.

    AMD 74%

    $103.27

    $143.07

    39%

    LKQ Corp.

    LKQ 82%

    $49.13

    $67.13

    37%

    Charles Schwab Corp.

    SCHW 77%

    $53.55

    $72.67

    36%

    PulteGroup Inc.

    PHM 81%

    $73.22

    $98.60

    35%

    Lamb Weston Holdings Inc.

    LW 100%

    $92.23

    $123.50

    34%

    News Corp Class A

    NWSA 78%

    $20.00

    $26.42

    32%

    CVS Health Corp.

    CVS 77%

    $69.69

    $90.88

    30%

    Source: FactSet

    A year may actually be a short period for a long-term investor, but 12-month price targets are the norm for analysts working for brokerage companies.

    Don’t miss: This fund shows that industry expertise can help you make a lot of money in the stock market

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  • Renter converted Murrieta home into marijuana grow house, destroyed interior, owner says – Medical Marijuana Program Connection

    Renter converted Murrieta home into marijuana grow house, destroyed interior, owner says – Medical Marijuana Program Connection

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    MURRIETA, Calif. (KABC) — For three years, neighbors in the Mahogany Hills community in Murrieta had no idea a criminal enterprise was operating in their neighborhood.

    “I figured they worked night time jobs. Never really saw them during the day. They would come and go at night,” said neighbor Josh Kegley.

    Then two weeks ago, an electrical fire sent smoke billowing out of the rental home across from Kegley’s home.

    “The fire department crashed through the front door and found something very shocking. They found the house was converted into a cannabis farm,” said attorney John Tiedt.

    USDA Certified Organic Tinctures and salves

    The once-beautiful home that touted marble floors and surfaces throughout was destroyed by the tenants who rented the home.

    “It was a couple that purported to be employed. They had $25,000 in the bank, they seemed to be very credible to the management company,” said Tiedt.

    Tiedt represents the property owner in a possible lawsuit against the property management company. He says the couple’s identification and bank statements were fakes – but had the property management company verified their employment it would have been caught.

    “At this point, we’re investigating that very carefully. It seems to me that the management company never checked the inside or looked into or inquired of the tenants what they were doing with the house,” said Tiedt.

    The grow house is not just a concern for the property owner who will have to shell out thousands of dollars for repairs, but also for neighbors worried about their…

    Original Author Link click here to read complete story..

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  • The nation’s biggest banks are gearing up for more consumer struggles ahead

    The nation’s biggest banks are gearing up for more consumer struggles ahead

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    JPMorgan Chase & Co. Chief Executive Jamie Dimon on Friday said the U.S. economy was basically doing OK, even if customers were spending “a little more slowly.”

    But with rivals like Bank of America Corp., Goldman Sachs Group Inc. and American Express Co. set to report quarterly results this week, recession agita still prevails.

    For evidence, look no further than JPMorgan’s
    JPM,
    +0.60%

    own quarterly results. The bank’s second-quarter profit blew past expectations, but it set aside $2.9 billion during the second quarter to cover potentially bad loans, amid concerns that more consumers could run into more difficulty paying their bills on time as higher prices manage to stick at stores.

    That figure was well up from $1.1 billion in the same quarter last year, although still far below the billions it stowed away when the pandemic first hit. Similarly, Wells Fargo & Co.
    WFC,
    -0.34%

    on Friday set aside $1.7 billion for loan losses in this year’s second quarter, nearly triple what it was a year ago.

    The figures underscore the anxiety over the second half of this year, when many economists expect the economy to tilt into a recession. However, for the 500 companies in the S&P 500 index, Wall Street analysts still expect profit growth.

    Any downturn could be exacerbated by the pressure investors have put on companies, potentially via more layoffs and money-saving technology, to keep prices high and cut costs to replicate the abnormally large profit-margin gains they put up in 2021 and 2022. Businesses have indeed kept prices high, at least for many basic necessities, in an effort to cover their own higher costs and to pad profits.

    When Bank of America
    BAC,
    -1.89%

    reports this week, the results will narrow the lens on lending and spending in the U.S. Results from Morgan Stanley
    MS,
    -0.50%

    and Goldman Sachs
    GS,
    -0.76%

    will fill in the gaps on trading and deal-making. American Express
    AXP,
    -0.49%

    will give a more detailed breakdown of what consumers are still spending their money on, after Delta Air Lines Inc.
    DAL,
    -2.35%

    — which has a partnership with AmEx — said that travel demand remained “robust.”

    Banks shoveled more money into their reserve stockpiles in 2020 to bulk up against the pandemic’s shutdown of the economy. A year later, they started releasing those funds as the economy reopened and recovered. FactSet expects the broader banking sector to plump up its cash cushion during this year’s second quarter to account for more late loan payments or potential defaults.

    In a report on Friday, FactSet said the 15 banking-industry companies in the S&P 500 Index tracked by the firm were on pace to set aside $9.9 billion to cover losses from souring loans in the second quarter. That’s more than double the amount set aside a year ago. And if that $9.9 billion figure, based on actual and projected financial figures, ends up as the actual figure at the end of the quarter, it would mark the highest since the beginning of the pandemic and the third highest in five years, according to FactSet data.

    “The U.S. economy continues to be resilient,” Dimon said in a statement on Friday. “Consumer balance sheets remain healthy, and consumers are spending, albeit a little more slowly. Labor markets have softened somewhat, but job growth remains strong.”

    However, he noted difficulties in JPMorgan’s investment banking segment. And he said consumer savings were slowly eroding as inflation endures.

    As the nation’s biggest bank, JPMorgan has flexed its financial muscle this year, swallowing up First Republic after that bank got into trouble. But as it consolidates power and influence, building thicker armor against shocks to the economy, its financial results might not always reflect the struggles of its smaller rivals, where difficulties are likely felt more acutely. Analysts at Raymond James said that while JPMorgan remained a “best in breed” bank, its outlook pointed to “heightened challenges for smaller banks.”

    See also: Jamie Dimon says U.S. consumers are in ‘good shape.’ This evidence may prove otherwise.

    This week in earnings

    For the week ahead, 60 S&P 500 companies, including five from the Dow, will report quarterly results, according to FactSet. Two big oil companies, Halliburton Co.
    HAL,
    -2.28%

    and Baker Hughes Co.,
    BKR,
    -0.95%

    will report, as oil prices fall from levels seen last year. Results from two transportation giants — trucking company J.B. Hunt Transport Services
    JBHT,
    -0.42%

    and railroad operator CSX Corp.
    CSX,
    -0.27%

    — will also be a proxy for how much people are buying things and having them shipped. United Airlines Holdings Inc.
    UAL,
    -3.42%

    and American Airlines Group
    AAL,
    -1.68%

    will also report.

    The call to put on your calendar

    Netflix results: Hollywood shutdown, ‘slow-growth’ expectations. Hollywood’s writers — and now its actors — have gone on strike, and Netflix Inc.
    NFLX,
    -1.88%

    reports second-quarter results on Wednesday. The streaming platform will likely face questions over how much content it has left in the tank, as the strike upends studio-production schedules and leaves viewers with vast expanses of reruns. Still, Macquarie analyst Tim Nollen said that the production standstill “may ironically drive even more viewers to streaming services.”

    The writers and actors argue that the studio industry — increasingly consolidated, increasingly publicly traded, increasingly oriented around a handful of film franchises — has profited immensely while skimping on things benefits and streaming residuals. But after a decade-long rise, and a recent shift in investor focus from subscriber growth to profit growth, Netflix has emerged as one of the biggest production powerhouses in the business. And after years of flooding customers with new films and shows, it’s trying to squeeze out sales via more boring ways: things like a password-sharing crackdown and ads.

    Daniel Morgan, senior portfolio at Synovus Trust Co., said Netflix still faced a plenty of streaming competition amid “muted” subscriber growth. But Wedbush analyst Michael Pachter said investors should look at Netflix as a profitable, albeit more mature company.

    “We think Netflix is well-positioned in this murky environment as streamers are shifting strategy, and should be valued as an immensely profitable, slow-growth company,” Pachter said in a research note on Friday.

    “Even while the ad-supported tier is not yet directly accretive (we think it will be accretive over time), the ad-tier should continue to reduce churn and draw new subscribers to the service,” he continued.

    The number to watch

    Tesla sales. Electric-vehicle maker Tesla Inc. also reports second-quarter results on Wednesday. And like streaming, some analysts say the fervor for EVs has faded.

    However, they also said that Tesla
    TSLA,
    +1.25%

    had so far been immune from the malaise. And even though Elon Musk remains preoccupied with Twitter — which now faces competition from Meta Platforms Inc.’s
    META,
    -1.45%

    Threads — Tesla’s second-quarter deliveries were far above expectations. Sales are expected to be big. And one analyst said that price cuts, which Tesla has used to capture more of the auto market in China, were likely “fairly minimal” during the second quarter. But some analysts wondered what the blowout delivery figures would mean for margins. And the industry, broadly, has increasingly tested the patience of profit-minded investors.

    “We’ve now seen a market where demand is constrained, capital has been tighter, and there is less tolerance for EV related losses,” Barclays analysts said in a note last week, adding that there was a “step back from EV euphoria.”

    Claudia Assis contributed reporting.

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  • Delta Air Lines stock surges to 2-year high after earnings beat, raised outlook

    Delta Air Lines stock surges to 2-year high after earnings beat, raised outlook

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    Shares of Delta Air Lines Inc. surged toward a more-than two-year high Thursday, after the air carrier reported second-quarter profit and revenue that rose above forecast, and boosted its full-year outlook citing continued “robust” travel demand.

    Delta
    DAL,
    -1.46%

    said net income more than doubled to $1.83 billion, or $2.84 a share, from $735 million, or $1.15 a share, in the year-ago period.

    Excluding nonrecurring items, adjusted earnings per share of $2.68 beat the FactSet consensus of $2.40.

    Revenue grew 12.7% to $15.78 billion, well above the FactSet consensus of $14.44 billion,

    For 2023, the company raised its EPS guidance range to $6 to $7 from $5 to $6, and increased its outlook for free cash flow to $3 billion from $2 billion.

    The stock jumped 3.5% in premarket trading, putting it on track to open at the highest price seen during regular-sessions hours since April 2021.

    “Consumer demand for air travel remains robust,” said Chief Executive Ed Bastian.

    Traffic increased 18.0% to 60.80 billion revenue passenger miles while capacity grew 17.1% to 68.99 billion available seat miles. Load factor improved one percentage point to 88%, to beat the FactSet consensus of 87.2%.

    The stock has run up 42.1% over the past three months through Wednesday, while the U.S. Global Jets exchange-traded fund
    JETS,
    -0.81%

    has climbed 22.1% and the S&P 500 index
    SPX,
    +0.74%

    has gained 9.3%.

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