A boom is coming – only question: How Soon?

housingboom

Inventory in San Diego is painfully low. Sales are headed up as are prices. How much pressure is on pricing based on lack of supply and increasing demand. Here are some numbers from CAR.:

LOS ANGELES (April 24) – California pending home sales posted higher for the third consecutive month in March, rising from both the previous month and year, the CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.) reported today.  Additionally, the share of distressed sales dropped for the second consecutive month, as equity sales typically increase with the start of the spring home buying season.

Pending home sales:

C.A.R.’s Pending Home Sales Index (PHSI)* rose from a revised 126.5 in February to 143.7 in March, based on signed contracts.  The March 2012 index was the highest since April 2009, when the PHSI was 146.9.  The index also was up from the 128.9 index recorded in March 2011, marking the eleventh consecutive month that pending sales were higher than the previous year.  Pending home sales are forward-looking indicators of future home sales activity, providing information on the future direction of the market.

Distressed housing market data:

• The share of equity sales – or non-distressed property sales – compared to total sales increased in March to 55.4, up from 51.1 percent in February.  Equity sales made up 50.2 percent of all sales in March 2011. • Meanwhile, the total share of all distressed property types sold statewide decreased in March to 44.6 percent, down from February’s 48.9 percent and from 49.8 percent in March 2011. • The share of short sales was down again in March.  Of the distressed properties sold statewide in March, 21.1 percent were short sales, down from February’s share of 23 percent but up from last March’s share of 20.1 percent. • The share of REO sales also declined in March to 23.1 percent, down from February’s 25.2 percent and down from the 29.4 percent recorded in March 2011.

If you are going to take advanatage, you are almostout of time. Call me now and I mean yesterday!

Also, if you need to short sell, time is running out. You need to complete it by Dec 31st. See previous posts and go to www.shortsaledignity.com

 

New Homes for Sale San Elijo Hills in San Marcos – just outside San Diego

San Elijo Hills - San Marco

I was showing new construction to a buyer recently and ran across an incredible community at San Elijo. Convenient to the 15, the 5 and the 78, this community appears to be an awesome lifestyle for all.  Retired?  Newly weds?  Single professional? Family? This neighborhood ( a true community anchored by a central marketplace ) appeals to all.

There are two builders right now D.R. Horton and Lennar. Lennar has Terraza and the less expensive Belmont both worth the stop! D.R.Horton has Altaire.  The models are incredible and worth perusing.

Certified New Home Specialist

I am a new construction fanatic and a CNHS (Certified New Home Specialist). If you are interested in looking in San Marcos, call me, I will take you on a tour of all the models at San Elijo. And…I am a serious negotiator and will get you an incredible deal over there (but you have to go with me – don’t worry, very friendly guy here). Call me at (619) 985-6528.

Feel free to check out the community and the floorplans, but…call me before you visit – your wallet will thank you in the end.

I am also a HAFA certified short sale specialist in case you know anyone with mortgage problems. Avoid foreclosure at all cost.  Check out www.shortsaledignity.com.

 

California leading the way! No not yet.

Want to move to West Virginia?

The chart below lays out the top 10  (the only 10) cities that have experienced a year over year increase since last August. California, although starting to fall in place is not there yet.

We do expect San Diego prices to start rising soon as the inventory is low enough to create an upward pressure on price.

Want to buy a house in West Virginia?

One thing is for sure, 2012 and 2013 will be very interesting years for the housing market. There are quite a few variables including interest rates, how lenders will handle REO’s and short sales, and what the government will do.

One thing is for sure right now though…the interest rates are the lowest in history and prices are the lowest in 5 years. Chances are prices will not be this low again in our lifetimes.

How can you take advantage? Use any investment money to purchase real estate. Buy a condo and rent it out. When you calculate the numbers, you can easily get a positive cash flow with as little as 20% down.

If you want to take advantage of this opportunity of a lifetime in San Diego, call me at 619.985.6528 or visit the best property search in San Diego at AtHomeInSanDiego.com

One last thing for now….the current economic times have been difficult for many. If you are having mortgage challenges, don’t ignore them. They don’t go away by themselves. Check out my website at ShortSaleDignity.com .  There you will find my free book  Fighting Foreclosure. I can assist in San Diego but can also refer you to the best Certified Residential Specialist and short sale professional in your area.

CoreLogic August Home Price Index (year-over-year change)

State/district All single-family Excluding distressed sales
West Virginia 8.6% 10.7%
Wyoming 3.6% 2.4%
North Dakota 3.5% 4.2%
New York 3.2% 3.6%
Alaska 2.2% 3.1%
South Dakota 1.5% 0.6%
Washington, D.C. 1.3% 1%
Nebraska 1.1% 1.1%
Kansas 1% 3.7%
Indiana 0.8% 2.2%

Condo’s are IN – Here’s why!

The Egyptian - San Diego CA

The Egyptian - San Diego CA

Manyl home buyers are tired of all the responsibilities of owning a single family home. The dreams of  huge rambling rooms, spacious yards and seclusion no longer outweigh the alternatives. Many buyers, rather, are on the search for a home that will be easy to care for and will give them plenty of opportunities to be active and enjoy a social life and community activities.

From retirees ready for down-sizing to just marrieds to first time home buyers, condos offer a wealth of opportunity. Many condo communities come equipped with clubhouses,  gyms,  social meeting and gathering rooms and other common outdoor meeting areas. Outdoor pools and spas are commonplace. Others go above and beyond with organized mixers, dances, movie nights, and more!

Single homeowners are finding that condos can be a great alternative to Facebook and Twitter and the zillions of dating sites for socializing. They also can be a wonderful choice for older adults who are fully capable of caring for themselves, but wish to cut back on home maintenance.

Owning a condo typically means you no longer have to worry about mowing your lawn, maintaining landscaping, cleaning  or shoveling the snow from the sidewalks (or blowing the leaves  or dust if you live in more moderate climates), or making large-scale repairs. You pay a small fee each month (HOA fee) that pays for your portion of the upkeep. Your condo association should also have a reserve fund that is held for large repairs, such as roof replacement or building painting when the time comes.

Not all condo associations are exactly the same. Some cover water, hot water, trash, sewer, insurance ,cable  and many other things. Before you buy, be sure to check into how diligent the association is and exactly what your fee covers.  Are the reserves sufficient, how often  have they raised fees? Do they have any lawsuits pending?

When you set up a showing, (San Diego, call me 619.985.6528) be sure to check out ALL the amenities.

Condos generally come with an extensive set of rules and guidelines(CC&R’s). This means the condo government dictates what you can or can’t do to your home. They can prohibit improvements, pets, home-based businesses, and subletting. The positive side of these rules is that your condo community should stay uniform, updated, and in good order. If you have an issue with a neighbor, you can easily lodge a complaint, for each resident is responsible for complying with the rules. In addition, you can become a board member of your condo association and thus impact these rules and regulations.

There are a few things that are not so great about condo life…One primary negative is the overall lack of storage. Generally, you have no garage, (although many townhomes and rowhomes are exceptions), there usually is no attic, basement, or backyard storage shed to house those Christmas decorations and other seasonally stored items. Some condos do come with storage rooms or storage lockers though.

Another downside is the monthly HOA fees. For the entire time you own the condo, you will be expected to pay these fees. While these go towards upkeep and amenities, it is an added financial burden that one must consider on top of the purchase price. You can look at these fees as replacing some of the fees you would have as a homeowner (landscaping, pool maintenance, insurance, etc.) Additionally, you are still responsible to pay your monthly fees even after your condo is entirely paid off.

Finally, while owning a condo means you have many comparable homes on hand for pricing comparison, it also means you have lots of competition on hand for units that are just like the one you want if you are trying to find a “bargain”.

Condos can make for an incredible living environment . Be sure to do your due diligence when researching that community that is perfect  for you!

 

Visit my website at ShortSaledignity.com for a free Fighting Foreclosure guide

Feel free to comment!

And…by the way….If you are having even the slightest hint of mortgage problems,go get my free bookFighting Foreclosure.

I am a Certified Residential Specialist serving all of San Diego County in Southern California. Please contact me if you have any real estate questions at all. I can refer you to a Certified Residential Specialist and a short sale expert in your area.

Too many opinions too sort out!

renews

When you are reading real estate news, make sure you are reading about your local market.  There are huge differences between what is happening in San Diego and Miami for instance.

That said, there are too many expert opinions right now so  you will hve to do your homework.

Many feel that San Diego is past the bottom , but on a real flat path for a year or two.  Most of the economists in San Diego talk about a real bright future but are uncertain when it will begin. Unemployment is holding the housing market back. There are many upside down mortgages in San Diego and nobody wants to sell at the current price level.

However, many rich people are coming over from Mexico to avoid the drug wars, there is really no more property on which to build in San Diego and , there is currently virtually no construction in the county. It appears San Diego is poised for price increases. Once the prices start to rise, and people begin to enter the sales market, the growth spurt will begin.  Over the next five years, my bet is we see growth of  between 25 and 40% (total…not oer year!). This will get us back to the levels of 2005 and 2006 by the end of 2016.

Properties are very affordable and interest rates have taken another little turn downward. Buy something now so in 10 years you won’t be saying ” if only I had”.

Feel free to call me at 619.985.6528

also – anyone in a little bit of mortgage trouble visit www.knowyouroptions-sd.com

 

There is still time! We won’t be saying this in another 6 months!

housing prices

We are beginning to see more and more stories along these lines. It may be your last chance to buy at or near the bottom!  Interest rates are still at historic lows. The ship will be sailing soon!!

This article is from From MoneyNews.com

New-Home Sales Surge 11 Percent but Pace Is Far From Healthy Level

Monday, 25 Apr 2011 10:07 AM

 More people bought new homes in March, giving the battered industry a small lift after the worst winter for sales in almost a half-century.

New-home sales rose 11 percent last month from February to a seasonally adjusted rate of 300,000 homes, the Commerce Department said Monday. That follows three straight monthly declines. Still, the pace remains far below the 700,000 homes a year that economists view as healthy.

Sales of new homes fell last year for the fifth consecutive year and the market is showing no signs of rebounding. Economists say it could take years before sales return to a healthy pace.

The median price of a new home rose nearly 3 percent from February to $213,800. New-home prices are about 34 percent higher than the median price for re-sales. That’s more than twice the markup in healthy housing markets.

Builders are struggling to compete with a record number of foreclosures, which have forced down the price of re-sales and made them more of a bargain. The disparity has dragged on the economy. New homes represent a fraction of sales but they have an out-sized impact on the broader economy. Each new home creates an average of three jobs for a year and $90,000 in taxes, according to the National Association of Home Builders.

“New housing prices look much less attractive compared to cheap existing stock,” said Yelena Shulyatyeva, an analyst with BNP Paribas. “As such, new housing demand will likely remain depressed throughout this year and next.”

Many builders are waiting for the glut of foreclosures and other distressed properties to be cleared before stepping up construction. But with 1.2 million foreclosures forecast this year nationwide, according to foreclosure tracker RealtyTrac Inc., a turnaround isn’t expected for years.

“You can’t put lipstick on this pig,” said Diane Swonk, chief economist at Mesirow Financial. “The new housing market remains weak no matter how the data is cut.”

High unemployment, tight credit and a lingering fear that prices will fall further have kept people from making home purchases.

The seasonally adjusted number of new homes for sale in the United States is the fewest since the summer of 1967, when there were 110 million fewer people in the country.

Requests for building permits, a gauge of future construction, sank in the winter to their lowest level in more than 50 years. They recovered somewhat in March, but that improvement was spurred by a more than 28 percent jump in permits for apartment and condo buildings.

New-home sales rose in most regions of the country last month. Sales jumped nearly 67 percent in the Northeast, which was hit hard by wintry weather; by almost 26 percent in the West, which saw a surge in buying three months ago because of a Jan. 1 deadline for a California state tax credit; and by nearly 13 percent in the Midwest. Sales fell 0.6 percent in the South, which accounts for the nation’s biggest home-sale market.

Given the pace of new-home sales, it would take more than 7 months to clear them off the market. Economists say a six-month supply of homes is healthy.

Also catch our marketing blog at www.Incomefaucet.com

Not a Good time to buy real estate in San Diego?…guess again!

housing

Right now is one of the most incredible times in our history to buy a home in San Diego. The market has really changed over the last year or two.

Although inventory is not at killer highs, the market is still favoring buyers. The San Diego housing market is now seeing more and more anxious sellers who will go to great lengths to make a sale. As prices creep up, more ned more of those who have been waiting a few years to sell will put their homes on the market.It has been a long time since the number of homes listed reached the current level especially non REO’s and short sales.It has been even longer since sellers were willing to so much for a buyer and make the concessions they are making now. Prices seem to have leveled out or are on a slowly upward path in the San Diego market with some areas doing better than others. The correction appears to be finishing up and prices are expected to beginning rising at moderate levels shortly. No one knows how long this buyers market will last. But, there is very very little construction in San Diego county, and nobody’s making more land.

Mortgage rates are still near all-time lows. If you are thinking of buying but are putting it off to wait until prices start climbing, you may miss the best buyers market of the decade (or many decades). Owning the real estate in which you live has and always been and will always be the best investment that you can make.

Here is my main website to search the San Diego market and to contact me. Also if you or anyone you know is having mortgage problems, check out our website  for all your options.

If you do any internet marketing, please check out our blog at IncomeFaucet.com.

Today I am featuring Escala in Mission Valley. Want to know all about it? Visit Escala here!

 

Feel free to call at 619.985.6528. Thanks

Alan

 

Foreclosures still around?

foreclosure

The short answer is yes. And….they are on the rise. There is still quite alot of activity in the foreclosure area, primarily due to the slowdown caused by the Robo-signing incident.

I’ve attached a summary of where the acivity is in San Diego County.  Chula Vista,Spring Valley,Mira mesa, El Cajon, Lakeside, Santee, San marcos, Escondido, Oceanside are where you’ll find most of them. Here is the link to the report

This article was in Sign On San Diego and is a good read on foreclosures.  If you or anyone you know are having mortgage issues, send them over to http://www.knowyouroptions-sd.com .  We are short sale experts and will gladly review all of your options.

A great article on San Diego redevelopment.

brown
This article by David King of the San Diego News Room spells out all of the issues on this hot topic.I myself was wondering where the next million go. Read on and feel free to comment on this article. I enjoyed it and it is really something anyone living in San Diego and especially selling real estate should understand.Environment and Resources – Land
BY David King   

Gateway Family Apartments brings 42 units of affordable housing in the Barrio Logan Redevelopment Project Area.

The fiscal debate over redevelopment is often mischaracterized as a choice between funding schools or subsidizing sports stadiums.  In fact, Jerry Brown’s proposal to scrap redevelopment agencies is just the latest attempted budgetary confiscation from America’s most fiscally irresponsible city—Sacramento.

Redevelopment provides monetary incentives to spur development to the great physical and monetary benefit of cities.  However, a government that repeals its own economic subsidy is bound to create unintended consequences—witness the changes to the Internal Revenue Code limiting deductions for passive real estate losses and the ensuing real estate crash and S&L bailout two decades ago.

The focus on redevelopment will remain budgetary, but one of the biggest reasons to keep redevelopment is to allow growth in a way that causes the least impact on our environment.

Redevelopment stimulates construction in areas that are already environmentally impacted and reduces development in open space.  Redevelopment is good for the environment.  Eliminating redevelopment in California could cause immense harm to California’s environment or stifle an already troubled real estate development industry so badly as to add further suffering in our stagnant economy.

In addition to pulling a cruel hoax upon California’s cities—upending cities’ plans for growth and future budgets— Brown’s changes to redevelopment would cause more development on virgin land, eliminating habitat, causing more traffic, air pollution and water pollution.   The impacts upon our environment would last far longer than any temporary budget plugs.

Take the city of San Diego for example.  Certain neighborhoods are nearly free from undesirable environmental impacts—count the number of gas stations next time you drive through La Jolla.  Wealthier communities are more pristine because they fight any and all development, particularly by abusing environmental litigation.

Try to build a student facility on an ugly median across from UCSD.  Meet the community opposition armed with the California Environmental Quality Act.  No matter how meritless their purported environmental impacts, the resulting delays and costs will kill projects.  Want to build a condo on the corner of 6th and Upas—one that would block the views of a neighboring condo?  No matter how baseless and trumped up the environmental challenges, this type of project will be litigated until bankruptcy.

San Diego’s City of Villages concept was based upon mixed-use communities where people could walk to work.  No matter how environmentally beneficial this planning would be, the addition of a biotech facility becomes impossible when it meets opposition so adamant about protecting the environment (read: the number of cars driving through a neighborhood) that they can scare the local school district to bring trumped-up environmental claims.

San Diego’s less affluent communities are the past and present home to industry, bearing the use and storage of toxic substances.  The homes are not the only part of these neighborhoods which are “blighted”—so is the soil.

Developing on such land is like tap dancing across a minefield.  Without redevelopment, builders would avoid projects built upon land bearing every environmental risk and requiring inordinate replacement of infrastructure.

So where can we build homes and offices for the next million people who will call San Diego home?  One must build far enough from the well-funded NIMBYs and the legacy pollution of past industrial sites.

Stand upon a crest at Torrey Pines state reserve.  Look west and find inspiration in the beautiful coast.  Look east and witness unrepentant land rape.  Drive down the 56 and try to count the number of homes molded with the same stucco shell.

Eliminating redevelopment means that the next million San Diegans will live in homes carved into the rolling hills of open space.  Eliminating redevelopment means that blighted neighborhoods will remain toxic hotspots for longer, and more San Diegans will drive to work–and drive farther.

More storm water runoff will carry their brake pad residue, motor oil and fertilizer into our ocean, spoiling our coastline—this region’s most valuable asset.  Paradoxically, without redevelopment, our economy and environment will suffer so badly that the next million people might not move to San Diego.


David King is the founder of the San Diego Newsroom and The King Law Group. The opinions expressed are his own.

Having mortgage troubles?  visit http://www.knowyouroptions-sd.com

My internet marketing blog is at  http://www.incomefaucet.com  visit if you need some freevisitors to your website.

 

Want another chance? Missed the last opportunity?

jan2011housingrodeo-8

January resulted in another slip in the average price per sq foot sold in San Diego County . So…if you haven’t made your home purchase or your investment purchase…you still have time. Interest rates are up modestly but are still right at 5% and the rates on 5,7,and 10 year adjustables (no not the “garbage” products of a few years ago) are in the upper 3′s and low 4′s.

Now is the time to jump on in.  Property in San Diego will be on another pretty steep incline within the next few years. Take a look, how many cranes do you see around town?  Any new developments??

All of the builders are gone – new permits are soooo low. Nothing new in sight.  Buy it up now while you can. Returns look very promising! And…. where will San Diego build single family homes?   No where – there is just no more land. Anyway, I’ve included a chart for you which I believe will start heading North very soon.So -  go get one now!.

Please call me if you have any questions. 619.985.6528.  If you or anyone you know is having a problem paying the mortgage, check out my website at  www.knowyouroptions-sd.com

Our Team’s real estate site where you can search the MLS is located at www.AtHomeInSD

Please feel free to post your responses here.  If you are serious about blogging, read this article at IncomeFaucet.com

And finally for today, I will gladly assist you with any of your real estate needs here in San Diego County and my parternership office in Gilbert Arizona  (www.charleneSpillum.com) and I have a group of Certified Residential specialists all over the country to assist you.

Call me now! 619.985.6528 . ‘Til the next time   – Alan