According to the California Association of REALTORS®:
LOS ANGELES (May 23) – Home sales increased 2.5 percent in April in California compared with the same period a year ago, while the median price of an existing home fell 32 percent, the CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.) reported today.
“Home sales registered a 2.5 percent year-to-year gain compared with April 2007, ending a 30-month string of year-to-year percentage decreases that began in October 2005,” said C.A.R. President William E. Brown. “This is not to say that the credit crunch that has contributed to the sales decline has disappeared. Both tighter underwriting standards and the ongoing effects of the credit/liquidity crunch continue to constrain sales.”
Closed escrow sales of existing, single-family detached homes in California totaled 366,720 in April at a seasonally adjusted annualized rate, according to information collected by C.A.R. from more than 90 local REALTOR® associations statewide. Statewide home resale activity increased 2.5 percent from the revised 357,640 sales pace recorded in April 2007.
The statewide sales figure represents what the total number of homes sold during 2008 would be if sales maintained the April pace throughout the year. It is adjusted to account for seasonal factors that typically influence home sales.
The median price of an existing, single-family detached home in California during April 2008 was $403,870, a 32 percent decrease from the revised $594,110 median for April 2007, C.A.R. reported. The April 2008 median price fell 2.6 percent compared with March’s revised $414,640 median price.
“Significant price declines are spurring home sales to bargain hunters and first-time buyers at the middle- and low-end of the market, especially in areas with a concentration of distressed properties,” said C.A.R. Vice President and Chief Economist Leslie Appleton-Young.
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A LITTLE PERSPECTIVE & OPINION:
While the mainstream media continues to report sluggish homes sales in California, the news that sales are actually up (albeit slightly) is perhaps a positive sign. Many attribute this to some foreclosures and short-sales moving into the "under-contract" mode as banks are slowly coming around to accepting less than list-price. This is very positive - in my humble opinion - despite the incredible standards lenders are holding buyers to in regards to originating loans.
Many folks hear about these teaser interest rates in ads and fail to realize that most of that applies to buyers looking for a conforming loan with near perfect credit and full documentation (verification of income & assets). Nearly 9 out of 10 loans that originated in the peak years of 2003-2005 were "stated income". That means they could literally state their income and everyone signed off. That is no longer the case.
There was a time when a lender could get an automated approval (just by entering your data in a computer) and presto: "Congratulations, You're Approved!" would spit out. Today that process has a few more checks & balances.
Now, most of the nearly 300 mainstream lenders that brokers could use in the past have dwindled to less than 50 today! So the guidelines are tougher, the appraisers are tighter, and Wall Street just aren't buying loans like they used to.
The median home in CA has also dropped to $403,870 - a whopping 32% drop from a year ago. Many experts predict we have even more foreclosures and short-sales to hit the market in the next few years as these ARMS make their scheduled adjustment. Many sellers (who counted on refinancing) are a bit out of luck and time. So troubled waters may still be ahead in California.
But hey, it's still a great time to buy - especially if you plan on staying in the market...While no one is proclaiming that we're back in 2005 just yet, I'll take whatever good news we can get!
As always, feel free to contact me anytime with questions or comments. Thanks for taking the time to check the blog out. Have a great day!
Chuck Denton (chuck@eracoastal.com)
(760) 908-8969
Wednesday, May 28, 2008
Tuesday, April 22, 2008
1st Annual "Surf Out Hunger" Food Drive
Now through June 12th, ERA Coastal Properties is sponsoring our food drive to help "Surf Out Hunger". We plan on making this an annual spring event...so this is the 1st Annual Surf Out Hunger food drive. Donations are usually down in the spring as we make plans for the summer. We want to help those in need as we can.
Everything we collect is going to the North County Food Bank (in San Marcos). We have been in contact with them and they are excited to be a part of our little event. Of course we need everyone's help.
So if you are in the San Diego area, we would be so appreciative of any donated items that can be dropped off at our office.
LOCATION:
731 South Highway 101, Suite 1P
Solana Beach, CA 92075
(858) 793-3600
Some Suggested items:
-Can goods (meats, fruits, vegetables, tuna)
-Dry goods (rice, cereal, instant potatoes, oatmeal)
-Beans (canned or dry)
-Pasta
-Peanut Butter/Jelly
-Breads
-Condiments
-Juice/water/coffee
-Toiletries
-Diapers/wipes
-Baby formula/food
If you don't live in the area and would like to donate, we welcome checks made out to: North County Food Bank or a grocery story gift card.
We're trying to advertise as much as we can for this cause. Hopefully this will continue to grow and be a positive influence for those in need. Thank you for your support!
Everything we collect is going to the North County Food Bank (in San Marcos). We have been in contact with them and they are excited to be a part of our little event. Of course we need everyone's help.
So if you are in the San Diego area, we would be so appreciative of any donated items that can be dropped off at our office.
LOCATION:
731 South Highway 101, Suite 1P
Solana Beach, CA 92075
(858) 793-3600
Some Suggested items:
-Can goods (meats, fruits, vegetables, tuna)
-Dry goods (rice, cereal, instant potatoes, oatmeal)
-Beans (canned or dry)
-Pasta
-Peanut Butter/Jelly
-Breads
-Condiments
-Juice/water/coffee
-Toiletries
-Diapers/wipes
-Baby formula/food
If you don't live in the area and would like to donate, we welcome checks made out to: North County Food Bank or a grocery story gift card.
We're trying to advertise as much as we can for this cause. Hopefully this will continue to grow and be a positive influence for those in need. Thank you for your support!
Use Your Mobile Phone to Retrieve Home Price for FREE!
For those who know me, I am a bit of a "techie"! This is a cool feature that has been around since last summer from a company called Housefront.
How many times are you driving around and see a house with no flyers and wondered - "How much is that house?" Perhaps you don't want to call the agent, so you drive on and wonder all day.
Well there is another option. Simply text the address, city, and state to: 46873 (spells out HOUSE) and hit SEND. You should receive a text message with the price, square footage, etc...how cool is that? And only standard text messaging fees (from your wireless carrier) applies.
The company has more than 100 million homes in their database (over 90% of the nation's listed inventory).
You can also go to Housefront.com to access more listing details, view home comparisons, check out aerial photos, see the home sales history, and more!
And it's FREE! Kind of cool.
How many times are you driving around and see a house with no flyers and wondered - "How much is that house?" Perhaps you don't want to call the agent, so you drive on and wonder all day.
Well there is another option. Simply text the address, city, and state to: 46873 (spells out HOUSE) and hit SEND. You should receive a text message with the price, square footage, etc...how cool is that? And only standard text messaging fees (from your wireless carrier) applies.
The company has more than 100 million homes in their database (over 90% of the nation's listed inventory).
You can also go to Housefront.com to access more listing details, view home comparisons, check out aerial photos, see the home sales history, and more!
And it's FREE! Kind of cool.
Down Market...Depends If You're Buying or Selling?
It's been a little while since I last posted. I have to say that as of the past few weeks, there has been a noticeable sputter of activity in the real estate market here. While we are nowhere near the mayhem of 2005, there seem to be a a few more buyers coming out of the woods. That's definitely a bit of good news!
The media is reporting that foreclosures in California are up a whooping 327% since 2007...averaging more than 500 a day. Some believe the nation's economy IS in a recession, others say it's headed that way. While we're in an election year, some of the "talk" has to be taken in context. But we also see things in our own world that may lead us to one conclusion or the other. Record high gas prices aren't helping matters!
Many experts do assert that the "loans-gone-wild" theory (of bad loans originated in '04/'05 resetting to higher rates) is merely working it's way through the system and it's not pretty.
Another BIG question many are contemplating is that will these dicey-loans begin to creep into mainstream home loans?
Default Notices mark the start of the foreclosure process. DataQuick reports that of the homeowners in "default", around 32% of those will be able to STOP the foreclosure process by selling, bringing their payments current, or working out some other plan with the lender. A year ago that figure was 52% emerging ok. So less folks are able to stop the foreclosure train before being run over.
While perhaps not the best news, it does provide an bristling opportunity to BUY. As the old saying goes, 'BUY low, SELL high'.
Historically, election years often see an improved economy (even slightly) before November...we'll see?
The media is reporting that foreclosures in California are up a whooping 327% since 2007...averaging more than 500 a day. Some believe the nation's economy IS in a recession, others say it's headed that way. While we're in an election year, some of the "talk" has to be taken in context. But we also see things in our own world that may lead us to one conclusion or the other. Record high gas prices aren't helping matters!
Many experts do assert that the "loans-gone-wild" theory (of bad loans originated in '04/'05 resetting to higher rates) is merely working it's way through the system and it's not pretty.
Another BIG question many are contemplating is that will these dicey-loans begin to creep into mainstream home loans?
Default Notices mark the start of the foreclosure process. DataQuick reports that of the homeowners in "default", around 32% of those will be able to STOP the foreclosure process by selling, bringing their payments current, or working out some other plan with the lender. A year ago that figure was 52% emerging ok. So less folks are able to stop the foreclosure train before being run over.
While perhaps not the best news, it does provide an bristling opportunity to BUY. As the old saying goes, 'BUY low, SELL high'.
Historically, election years often see an improved economy (even slightly) before November...we'll see?
Tuesday, January 15, 2008
GREAT Time for BUYERS in San Diego County!!!
HomeDex™ Key Points
December 2007 Data
NORTH COUNTY
1. The median price for all home sales – attached and detached – decreased by approximately 9%, from $527,000 in November to $485,000 in December.
a. Detached home prices fell 3.4%, from November to December, from $589,000 to $569,000.
b. Year-over-year median price of detached homes decreased 8.96% from the December 2006 price of $625,000.
c. Attached home prices increased during December by 3.35%, from $343,000 in November to $355,000.
d. Year over price of attached homes was down 6.58% from $380,000 in December 2006.
2. The median days-on-market for single-family detached homes in North County rose from 65 to 66 days between November and December. The average days-on-market for single family detached homes in North County fell from 82 in November to 79 in December.
3. The number of North County single-family detached homes sold rose decreased 1.14% last month from 440 in November to 435 in December. Year over number of North County single family detached homes sold declined 34% from the 660 detached homes sold in December 2006.
ENTIRE COUNTY
1. The median price for detached homes fell 6.13% from $529,450 in November to $497,000 in December.
2. The median price for attached homes decreased 4.56% $340,000 to $324,000. The median price of detached homes in North County decreased and attached homes experienced moderate increases in median price in December, while days-on-market decreased slightly in detached homes and increased in attached homes this month. Changes in the mortgage markets will work to stabilize interest rates and restore confidence in potential buyers, with the House of Representatives passing a bill to forgive the tax liability on short sales.
The present market conditions are ideal for buyers. Interest rates remain comparable to 40-year lows and the inventories becoming higher than has been the case in the recent past. First time buyers have a great opportunity to get into home ownership.
The current condition of the housing market needs to be kept in perspective. House values rose 88 percent on a national average – higher in California – over the past decade. The number of U.S. households is expected to increase 15 percent over the next decade, creating a continued high demand for housing.
Even with the lower appreciation levels in home prices, there will be a strong investment incentive to buy homes in North San Diego County, especially considering that a home is not like other investment assets.
Source: North San Diego County Association of REALTORS
December 2007 Data
NORTH COUNTY
1. The median price for all home sales – attached and detached – decreased by approximately 9%, from $527,000 in November to $485,000 in December.
a. Detached home prices fell 3.4%, from November to December, from $589,000 to $569,000.
b. Year-over-year median price of detached homes decreased 8.96% from the December 2006 price of $625,000.
c. Attached home prices increased during December by 3.35%, from $343,000 in November to $355,000.
d. Year over price of attached homes was down 6.58% from $380,000 in December 2006.
2. The median days-on-market for single-family detached homes in North County rose from 65 to 66 days between November and December. The average days-on-market for single family detached homes in North County fell from 82 in November to 79 in December.
3. The number of North County single-family detached homes sold rose decreased 1.14% last month from 440 in November to 435 in December. Year over number of North County single family detached homes sold declined 34% from the 660 detached homes sold in December 2006.
ENTIRE COUNTY
1. The median price for detached homes fell 6.13% from $529,450 in November to $497,000 in December.
2. The median price for attached homes decreased 4.56% $340,000 to $324,000. The median price of detached homes in North County decreased and attached homes experienced moderate increases in median price in December, while days-on-market decreased slightly in detached homes and increased in attached homes this month. Changes in the mortgage markets will work to stabilize interest rates and restore confidence in potential buyers, with the House of Representatives passing a bill to forgive the tax liability on short sales.
The present market conditions are ideal for buyers. Interest rates remain comparable to 40-year lows and the inventories becoming higher than has been the case in the recent past. First time buyers have a great opportunity to get into home ownership.
The current condition of the housing market needs to be kept in perspective. House values rose 88 percent on a national average – higher in California – over the past decade. The number of U.S. households is expected to increase 15 percent over the next decade, creating a continued high demand for housing.
Even with the lower appreciation levels in home prices, there will be a strong investment incentive to buy homes in North San Diego County, especially considering that a home is not like other investment assets.
Source: North San Diego County Association of REALTORS
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