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Monday, July 03, 2006

San Diego County home prices take a tumble

SignOnSanDiego.com > News > Business -- San Diego County home prices take a tumble: "By Roger M. Showley
UNION-TRIBUNE STAFF WRITER
11:45 a.m. June 13, 2006
SAN DIEGO – San Diego County's home prices took their biggest tumble for any spring on record last month, DataQuick Information Systems reported Tuesday.
The median price of all homes sold in May was $490,000, down $15,000 from April, although it was still slightly higher than a year ago.
Snapshot: Home/condo sales May '05– May '06


Sales slowed for the 23rd straight month on a year-over-year basis, reaching 4,217 transactions in new and existing homes and condos.
Local real estate agents reported about seven months' worth of unsold inventory, but argued that the pace of activity reflects a normal market rather than a crash. "

Thursday, June 29, 2006

Global property cycle's peaked, Morgan Stanley says - MarketWatch

Global property cycle's peaked, Morgan Stanley says - MarketWatch: "Growing evidence of real-estate 'bust'
Fallout for consumers and corporate profits, eonomist says
E-mail | Print | | Disable live quotes By Chris Oliver, MarketWatch
Last Update: 6:47 AM ET Jun 29, 2006


HONG KONG (MarketWatch) -- Evidence is mounting that the global property cycle is turning down, as rising interest rates and heightened inflationary pressures combine to put the brakes on demand for real estate, according to a Morgan Stanley report.
The shift ushers in an end to what's been a six-year rally during which the twin forces of globalization and financial innovation fed an upturn in the property cycle that became a worldwide phenomenon, said economist Andy Xie, in an Asia Pacific strategy report released Thursday.
'Due to deflation shocks, global inflation has been low, which allowed major central banks to keep interest rates very low, in turn fueling property,' Xie said. 'As inflation picks up simultaneously around the world, interest rates are rising everywhere, and the property boom is turning into a bust.'

Monday, June 26, 2006

Interest Rates Move Up!

The chart below shows how Mortgage Bond prices have been progressively worsening, which in turn means home loan rates have been rising. But you can see how they are now hitting a tough technical "floor" of support that may help them gain some ground higher and bring improvement to home loan rates. Because Bonds tend to rise in price when negative economic news hits, the heavy news week ahead will provide some opportunity for that to happen.


Bob Schwartz is a Certified Residential
Specialist, San Diego real estate broker co-owner of websitetrafficbuilders, an Internet search engine optimization firm specializing in domain name registration & Internet domain website hosting Bob is an expert witness for major San Diego law firms, and directs a multi-state high traffic network of legal directory sites. You can also apply for free, web site awards that add credibility (and a link back) to your site, visit:web site award today.

Saturday, June 24, 2006

Payment Shock in Store For ARM Borrowers, More Foreclosures in Future? - NationalRealtyNews.com

Payment Shock in Store For ARM Borrowers, More Foreclosures in Future? - NationalRealtyNews.com: "Payment Shock in Store For ARM Borrowers, More Foreclosures in Future?
Thursday, June 22, 2006 - By Staff Writer, National Realty News

STUART, FL - Many borrowers who mortgaged their homes with adjustable rate mortgages while rates were at historic lows will soon be in store for a payment shock and the economy overall will certainly feel the effects. Some experts say prepare for a rise in delinquency rates and foreclosures.

Bankrate.com reports that over the next 18 months, more than $1 trillion of adjustable-rate mortgages will be hitting their first reset date. Assuming the average loan amount is $200,000, that amounts to 500,000 mortgages. The typical homeowner will be forced to seriously readjust their monthly budget when they go from paying on an interest only loan or a loan with a low starting rate to one that now requires playing catch up on the principal. Many borrowers will simply not be prepared for a sudden change that may require them to pay double more than they paid the previous month for their mortgage. Industry experts say this will fuel another year of increases in mortgage delinquency rates and foreclosures.

The effects will be evident in the economy overall, as well. That consumer who is suddenly paying more for their mortgage - and who is already feeling the heat due to high fuel prices - is most likely forced to cut back on spending money elsewhere - especially for consumer products and services. "
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Thursday, June 22, 2006

BUILDER CONFIDENCE FALLS TO LOWEST POINT SINCE APRIL 1995

The confidence level of the nation's home builders continues to decline in 2006, falling this month to its lowest reading since April 1995, according to the National Association of Home Builders (NAHB)/Wells Fargo Housing Market Index (HMI). The seasonally adjusted HMI stands at 42, down four points from May's revised reading of 46. An HMI above 50 indicates that more builders view sales conditions as good versus poor. According to NAHB, declining demand from investors, rising mortgage interest rates, and continued affordability issues all contributed to the decrease in builders' outlook for the new home market.

All three HMI components declined in June. The component measuring sales expectations declined five points to 50, while the components gauging current single-family sales and buyer traffic decreased to 47 and 29, respectively. Home builder confidence edged down across the nation in June, and in the West builder confidence declined one point to a seasonally adjusted HMI of 61.
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Wednesday, June 21, 2006

Smart money is leaving the real estate market

Rockford's Newspaper Rock River Times | rockford illinois news information: "Dr. Christopher Thornberg, a member of the forecast staff, told a blog called The Housing Panic: “Actually, what we are seeing is a very typical slowdown in the market so far—there is nothing particularly soft about it (the landing in bubble markets). The claim is that because unit sales are falling but prices are still going up, that this is an unusual slowing. The fact is that most breaking markets start with activity, and it takes three to four quarters for that to take all the wind out of price appreciation. How hard it will be, remains to be seen.”"
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Tuesday, June 20, 2006

CA Foreclosures way UP!

Foreclosures Continue to Rise in Southern California, Says Default Research: "Real estate bubble continues to deflate in Southern California, expert says

RISMEDIA, June 20, 2006—The number of foreclosures escalated throughout Southern California, with a rise of 29.09% since January 2006, according to Default Research (www.defaultresearch.com), the rapidly growing real estate research company for foreclosure properties.

While Riverside had the highest increase of 56.45%, San Diego County had an increase of 49%, followed by Los Angeles up 16.2%.
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Thursday, June 15, 2006

Inflation Outlook Likely to Push Rates Still Higher

Inflation Outlook Likely to Push Rates Still Higher
Wednesday, June 14, 2006 - By Staff Writer, The Originator Times
Click to Review

STUART, FL – Mortgage professionals everywhere have been wondering if interest rates will continue to rise and whether the Fed will hike short-term rates for the 17th consecutive time on June 29.
Looking at this week’s key economic briefings and results, all signs points to yes. The Fed will likely increase short-term rates by a quarter of a point. Anticipating this action, the bond market is apt to similarly push long-term mortgage rates higher. "
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Saturday, June 03, 2006

Bubble Trouble? What to make of all the real estate trend news

Bubble Trouble? What to make of all the real estate trend news: "On a basic level, the real estate experts can't really quibble about the basic facts: Many once-hot markets are showing signs of a cold front this summer. The Federal Reserve Board is expected to raise interest rates again to ward off inflation, and banks have begun to curb their promiscuous dispensing of risky, low-down loans. These factors will contribute to making real estate less appealing to many investors. Sure, people still need to live in houses, but the people who need to pour extra dollars somewhere may take a breather from speculative acrobatics to search for other investment circuses. (Can you say 'oil futures' three times fast?) "
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DQNews - California Press Release

DQNews - California Press Release: "California April Home Sales
May 2006
A total of 47,250 new and resale houses and condos were sold statewide last month. That's down 13.3 percent from 54,500 for March and down 22.4 percent from a revised 60,900 for April 2005. Last year's April was the strongest April in DataQuick's statistics, which go back to 1988.
The median price paid for a home last month was $468,000. That was down 0.4 percent from a revised $470,000 for March, a record, and up 10.4 percent from $424,000 for April a year ago. California April Home Sales
May 18, 2006
A total of 47,250 new and resale houses and condos were sold statewide last month. That's down 13.3 percent from 54,500 for March and down 22.4 percent from a revised 60,900 for April 2005. Last year's April was the strongest April in DataQuick's statistics, which go back to 1988.
The median price paid for a home last month was $468,000. That was down 0.4 percent from a revised $470,000 for March, a record, and up 10.4 percent from $424,000 for April a year ago. "
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Sunday, May 21, 2006

Cooling Housing Mkt. - Fed Chief

Housing Cool-Down Is 'Orderly,' Fed Chief Says: "Housing Cool-Down Is 'Orderly,' Fed Chief SaysBy Tomoeh Murakami TseWashington Post Staff WriterFriday, May 19, 2006; Page D01Confirming what home buyers suspected and real estate sales figures have indicated for months, Federal Reserve Chairman Ben S. Bernanke said yesterday that the U.S. housing market was showing clear signs of cooling off.

Bernanke said the slowdown is 'moderate' and 'orderly' and pointed to the overall strength of the economy

Economist Dean Baker of the Center for Economic Policy and Research expressed concern that rising interest rates were squeezing homeowners who took out interest-only and adjustable-rate mortgages. Even when interest rates were at historically low levels, Baker said, stretched buyers were taking out exotic loans to get into pricey homes.

Baker said a rising inventory of homes in the Washington region could fuel a double-digit price decline if interest rates climb higher. Condo prices could fall by as much as 30 percent, and prices of single-family homes could drop by as much as 15 percent, he said.
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Inside Bay Area - Bay Area real estate sales hit 5-year low

Inside Bay Area - Bay Area real estate sales hit 5-year low: "Bay Area real estate sales hit 5-year low
By Eve Mitchell, BUSINESS WRITER



Sundays — the days when many real estate professionals set up open houses — have been a lot quieter lately for Daniel Joe, a Redwood City-based Realtor.
Call it one of the hidden signs of the slowing real estate market, which last month saw the lowest level of Bay Area home sales in five years, according to a report Thursday from DataQuick Information Systems. It started last spring, when sales dropped off as the number of homes on the market began to rise and so did interest rates. Now sales are sliding, interest rates are even higher and prices are increasing at a lower rate.
When the housing market was hot, so was attendance by prospective buyers at open houses. Not so in today's cooling market.
'I don't see a whole bunch of people walking through the properties all at one time,' said Joe, who works at Realty World Hirsch & Associates in Redwood
City.
The Bay Area median price did reach a new record in April, DataQuick said. But the new peak of $628,000 is not that much to get excited about, given that sales volume dropped 25.1 percent from a year ago.
Some 8,358 new and resale condominiums changed hands in the Bay Area last month — the slowest April since 2001 when 7,193 homes were sold, and a 14.2 percent decline from March. " >Bob Schwartz, CRS, GRI, is a Certified Residential Specialist
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http://www.Brokerforyou.com
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Wednesday, May 17, 2006

Five Year Low for Home Sales

May 16, 2006
La Jolla,CA----Home sales in Southern California decelerated in April to their slowest pace since 2001, the result of higher mortgage interest rates and less buyer urgency. Prices rose at a single-digit appreciation rate for the first time in more than four years, a real estate information service reported.

A total of 24,748 new and resale homes sold in Los Angeles, Riverside, San Diego, Ventura, San Bernardino and Orange counties in April. That was down 16.1 percent from 29,509 in March and down 21.3 percent from 31,431 in April last year.

The year-over-year sales decline was the steepest since April 1995, when home purchases slowed 24.0 percent. Last month's sales count was the lowest for any April since 24,120 homes were sold in April 2001. DataQuick's statistics, which go back to 1988, show an average April for the nineteen years saw 23,660 sales.

"March and April have shown us that the boom phase of this cycle is behind us, so now it's just a question of how the cycle ends. Right now it looks like changes in the real estate market are happening gradually. But there's a lot of uncertainty among analysts regarding the effect of higher interest rates and how fast the economy is generating demand in regional markets," said Marshall Prentice, DataQuick president.

San Diego downtown real estate agent.

Monday, May 15, 2006

Southern California real estate

DQNews - Southern California Press Release: "Southland passes half million mark
April 18, 2006
La Jolla,CA----The median price paid for a Southern California home passed $500,000 for the first time last month as sales continued to decline, the result of higher mortgage interest rates and a real estate cycle that has passed its frenzy phase, a real estate information service reported.
The median price paid for a home in Los Angeles, Riverside, San Diego, Ventura, San Bernardino and Orange counties was $501,000 last month. That was up 4.4 percent from $480,000 in February and up 14.1 percent from $439,000 for March a year ago, according to DataQuick Information Systems.
The regional year-over-year increase in median has varied from 12.9 percent to 17.0 percent the last 12 months. Last month's increase ranged from 5.7 percent in San Diego County to 23.2 percent in San Bernardino County.
'We still expect the annual increase in median to go down into the single digits sometime this summer. San Diego County is still the market furthest along in this cycle. Price increases there have been below ten percent the last eleven months,' said Marshall Prentice, DataQuick president.
A total of 29,509 new and resale Southland homes were sold last month. That was up 48.2 percent from 19,905 in February and down 9.7 percent from 32,674 for March last year.
An increase from February to March is normal for the season. Sales have declined on a year-over-year basis the last 4 months. "
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Sunday, May 14, 2006

Unmaking the Myths

Unmaking the Myths: Weekend - Yahoo! Finance: " Real Estate
Unmaking the Myths
FORTUNE on CNNMoney.com
By Shawn Tully

Real estate survival guide: The sudden shift in the nation's housing markets is exploding some long-held beliefs. Here's the conventional wisdom you should ignore.

NEW YORK - The sudden shift in the nation's housing markets is exploding some long-held beliefs. The first is that a scarcity of buildable land on the coasts keeps a cap on supply and prevents prices from falling.

But high prices inevitably work their magic, encouraging more people to sell existing homes and sparking new construction. Sure enough, prices are already tumbling in Boston, where a swarm of downtown condos is swelling the number of properties for sale and punishing the price of all housing.

A second myth is that today's big homebuilders learned their lesson in past downturns and now launch projects only when they have firm buyers lined up. But housing starts are still running at near-record levels of some two million units a year.


Go to CNNMoney.com to see which markets are hot and which are not.


Big builders, notably D.R. Horton and Pulte Homes, are starting 20 percent to 30 percent of their units on spec, without signing up buyers in advance. Risky move.

A third tenet holds that home values never drop in areas where employment is rising. But today some of the hardest-hit regions rank among the strongest job machines, notably Northern Virginia and San Diego. The reason: Young buyers filling those jobs can't afford the houses for sale.
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Wednesday, May 03, 2006

Cash Out Refinance Transactions at Highest Level in 15 years

McLEAN, VA – In the first quarter of 2006, 88 percent of Freddie Mac-owned loans that were refinanced resulted in new mortgages with loan amounts that were at least five percent higher than the original mortgage balances, according to Freddie Mac’s quarterly refinance review. This percentage is up from the fourth quarter of 2005, when the share of refinanced loans that took cash out was a revised 81 percent, and is the highest since the third quarter of 1990

“Refinancing activity still remains very strong, even with higher interest rates,” said Amy Crews Cutts, Freddie Mac deputy chief economist. “Total mortgage originations were down in the first quarter by an estimated 24 percent.
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Tuesday, May 02, 2006

San Diego Foreclosures Up 60%!



First-quarter foreclosure activity in the state jumped to its highest level in two years, including a nearly 60 percent rise in San Diego County, a real estate information service reported Tuesday.

"A number of factors are driving defaults higher," said Marshall Prentice, president of La Jolla-based DataQuick. "The main one right now is that home values are rising more slowly than they have been the past couple of years, which makes it more difficult for homeowners to sell their homes and pay off the lender."

According to DataQuick, lenders sent 18,668 default notices to California homeowners in the first three months of the year. That's a 23.4 percent increase over the previous quarter and a 28.7 percent jump over the same period last year.

In San Diego County, lenders sent 1,533 default notices in the first quarter, a 59.7 percent jump over the same quarter of 2005, when 960 notices were sent.

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Wednesday, April 26, 2006

SignOnSanDiego.com > News > Business -- County building permits fall 41%

SignOnSanDiego.com > News > Business -- County building permits fall 41%: "Housing output on pace to be lowest in 10 years
By Roger M. Showley
UNION-TRIBUNE STAFF WRITER
April 26, 2006
San Diego County builders took out 41 percent fewer housing permits in the first three months of the year compared with the same period last year, putting the area on track to have the lowest output of new housing in 10 years, the Construction Industry Research Board reported yesterday. "
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Prices Up - Sales DOWN

Central Valley Business Times: "California home sales plunge as prices jump

LOS ANGELES
April 25, 2006 11:27am


• Prices up 13 percent; sales down 15 percent statewide
• Prices up 8 percent, sales down 24 percent in Central Valley

The median price of an existing home in California increased 13 percent in March to an all-time high of $561,350 in California, according to figures compiled by the California Association of Realtors.
But as prices were headed upward, sales were headed down, plunging 15.1 percent compared with the same period a year ago.
The real estate market in the Central Valley was not in step with the state as a whole.
The California Association of Realtors says the median price rose just 8.1 percent to $350,930 while sales dropped 24 percent compared to March 2005."

The median number of days it took to sell a single-family home was 44 days last month, compared with 30 days for the same period a year ago.


In a separate report covering more localized statistics generated by the Realtors and DataQuick Information Systems, a La Jolla real estate information company, 89.8 percent or 369 of 411 cities and communities showed an increase in their respective median home prices from a year ago.
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Friday, April 21, 2006

Interest Only Mortgages - The Way to go???

The popularity of fixed-rate interest-only mortgages is skyrocketing.These loans, in which the borrower pays nothing toward the principal and can feel confident the payment will remain level, typically for the first 10 or 15 years, were virtually unknown two years ago. They now account for 8 percent of all new residential mortgages, according to UBS AG, a financial services firm.U.S. Bancorp, Quicken Loans Inc., GMAC Mortgage, and Bank of America Corp. are among the lenders offering the product. The downside for buyers is that they build no equity in the property beyond its increasing value. And the monthly payment will rise precipitously once a borrower begins repaying principal.
Source: The Wall Street Journal, Ruth Simon (04/19/2006)
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Wednesday, April 19, 2006

San Diego home sale fall 17.4%

For March 2006, The number of homes sold continued to drop across Southern California -- with the exception of Riverside County, which saw a 6 percent increase in home sales.

In San Diego County, there were 4,146 home sales last month. That represents a 17.4 percent drop from the 5,018 sales in March 2005.Across Southern California -- including Los Angeles, Orange, San Diego, Riverside, San Bernardino and Ventura counties -- there were 29,509 home sales last month, down 9.7 percent from March 2005, when 32,674 homes were sold.

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Tuesday, April 18, 2006

San Diego 67% - Overpriced!

From a CNN article published 4-7-06 and a Local Market Monitor calculation the following California cities were shown to be overvalued as to their equilibrium value -- what the typical house should sell for!

San Diego CA - 67% - Overpriced
San Jose CA - 62% - Overpriced
San Francisco-Oakland CA - 53% - Overpriced
Sacramento CA - 57% - Overpriced
Riverside-San Bernardino CA - 63% - Overpriced
Los Angeles-Anaheim CA - 56% - Overpriced
Fresno CA - 51% - Overpriced
Santa Barbara-Santa Maria CA - 83% - Overpriced

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Friday, April 14, 2006

Hot to Cool/Soft

Red-Hot Housing Markets Cooling Down(April 12, 2006) -- Housing that last year was selling in a matter of hours — Florida coastline condos, townhouses in Washington, D.C., and desert haciendas in Arizona — are now languishing on the market.Home sales have declined 20 percent in Florida, according to the Florida Association of REALTORS®. And in California, sales dropped 15 percent. Sales were off by 19 percent in Washington. D.C., and down 25 percent around Phoenix. Experts blame a number of factors, including a sell-off among investors, worsening affordability due to soaring property prices and rising interest rates. In Florida, last year’s active hurricane season discouraged some buyers.But economists note that while sales in some markets are weaker, they aren't collapsing — just settling into a normal market pace. Inventories are rising but not to an alarming level, and demand for homes is actually posting gains in cities where prices are still considered bargains, such as Indianapolis and Houston.Source: The Wall Street Journal, by Michael Corkery (04/12/06)
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Thursday, April 13, 2006

Mortgage Rates Move Up

McLEAN, VA -- Freddie Mac released the results of its Primary Mortgage Market SurveySM in which the 30-year fixed-rate mortgage (FRM) averaged 6.49 percent, with an average 0.6 point, for the week ending April 13, 2006, up from last week’s average of 6.43 percent. Last year at this time, the 30-year FRM averaged 5.91 percent. The 30-year FRM has not been higher since the week ending July 12, 2002, when it averaged 6.54 percent.

The average for the 15-year FRM this week is 6.14 percent, with an average 0.5 point, up from last week’s average of 6.10 percent. A year ago, the 15-year FRM averaged 5.46 percent. The 15-year FRM has not been higher since the week ending June 13, 2002, when it averaged 6.17 percent.
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Buying a House - MSN Real Estate

Buying a House - MSN Real Estate: "Las Vegas: What goes up must come down. Fortune lists Las Vegas dead last in its list of 100 metro markets for housing appreciation in the next two years, predicting a two-year combined decrease in housing values of nearly 13%. Local Market Monitor reported a 33% increase in appreciation between 2003 and 2004, and then a 14% increase by the third quarter of 2005, evidence that prices have begun to cool.
'Las Vegas is a very interesting market,' Winzer says. 'A lot of people moved in, but construction has kept up with the pace. For a long time until recently, I didn't consider it an overpriced market. I don't think the price increases will last. There's really not an inability to produce new homes out there if there is a demand for it.'" Latest new real estate sites still
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Wednesday, April 12, 2006

Application Volume Drops - OriginatorTimes.com

Application Volume Drops - OriginatorTimes.com: "WASHINGTON, D.C. - The Mortgage Bankers Association released its Weekly Mortgage Applications Survey for the week ending April 7. The Market Composite Index, a measure of mortgage loan application volume, was 579.4, a decrease of 5.5 percent on a seasonally adjusted basis from 612.8 one week earlier. On an unadjusted basis, the Index decreased 5.1 percent compared with the previous week and was down 14.7 percent compared with the same week one year earlier.

The seasonally-adjusted Purchase Index decreased by 4.7 percent to 417.7 from 438.2 the previous week whereas the Refinance Index decreased by 6.6 percent to 1532.4 from 1640.8 one week earlier. Other seasonally adjusted index activity includes the Conventional Index, which decreased 5.0 percent to 854.9 from 900.3 the previous week, and the Government Index, which decreased 10.2 percent to 120.0 from 133.6 the previous week."
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Monday, April 10, 2006

Rising inventory of unsold homes points to a cooling of the market

Rising inventory of unsold homes points to a cooling of the market: "Rising inventory of unsold homes points to a cooling of the market
Kathleen Pender
Sunday, April 9, 2006

In another sign that the real estate market is cooling -- but not collapsing -- the inventory of unsold homes in California is roughly double what it was a year ago.
Inventory is calculated by dividing the number of homes for sale in a region by the number of homes that have closed escrow in the past month. It tells you how many months it would take hypothetically to sell all the homes on the market.
Statewide, the inventory of unsold single-family homes in February was 6.7 months, up from 3.2 months in February of last year.
'For the better part of 2005, it was in the 3- to 3.5-month range,' says Robert Kleinhenz, deputy chief economist with the California Association of Realtors. 'We saw a rather dramatic increase at the state level beginning in January of this year and continuing in February.'
Inventories are generally higher in Southern than in Northern California. "

Friday, April 07, 2006

Mortage Rates Jump

The average 30-year fixed mortgage rate jumped to 6.43 percent from 6.35 percent during the week ended April 6, according to Freddie Mac.Interest on 15-year fixed loans edged up to 6.10 percent from 6 percent over the same period. Meanwhile, the one-year adjustable mortgage rate rose to 5.57 percent from 5.51 percent; and the five-year hybrid ARM surged to 6.11 percent from 6.02 percent. Source: The Wall Street Journal (04/07/06)
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Monday, April 03, 2006

Housing Bubble Trouble - CBS News

Housing Bubble Trouble - CBS News: "If something can't go on forever, it won't.'
Herb Stein

With new home sales down 10.5 percent in February, and with home prices declining for the fourth month in a row, it's high time for a sober look at the consequences of a major housing correction. The Federal Reserve, Wall Street economists, and other observers of the U.S. economy are closely watching the housing market because it has been a key driver of economic growth over the past several years.

Roughly a quarter of the jobs created since the 2001 recession have been in construction, real estate, and mortgage finance. Even more important, consumers have withdrawn $2.5 trillion in equity from their homes during this time, spending as much as half of it and thus making a huge contribution to the growth the U.S. economy has enjoyed in recent years (consumer spending accounts for two-thirds of GDP).

But consumers cannot keep spending more than they make. Eventually, home prices will flatten, the flood of 'cash out' refinancings will become a trickle, and consumer spending will slow, as will job creation in housing-related industries. The big question is this: Will the housing sector experience a soft landing and slow the economy or a hard landing that pushes us into recession? "
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Friday, March 24, 2006

MSN Money - Associated Press Business News: Stocks Up As Housing Data Eases Rate Fears

MSN Money - Associated Press Business News: Stocks Up As Housing Data Eases Rate Fears: "The latest report on the housing sector showed new home sales tumbling 10.5 percent in February, according to the Commerce Department -- the biggest one-month drop in nine years. With slowing housing demand, Wall Street felt that would make it easier for the Fed to stop raising rates soon."
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Wednesday, March 22, 2006

Housing bubble Implosion - Double Digit Decline


By Bob Schwartz, CRS, GRI ©2006 www.brokerforyou.com All rights reserved.
Could this be a preview for the already soft San Diego real estate marke?

Shanghai’s housing market into double digit decline! The LA Times ran a story on March 4th.on the bust of the Shanghai, China, real estate market.

In one of the world’s hottest housing markets, the last three years saw a doubling of prices. Things are now so bad now that thousands of real estate offices have closed, many homeowners have loan amounts that are greater than their properties resale value, recent buyers are fighting with developers to rescind their purchases, and banks are awaiting a wave of mortgage defaults.
Morgan Stanley's chief Asia economist said “Shanghai's housing slump is only going to worsen and imperil a significant part of the Chinese economy”. About the property now under construction, this same economist said "They'll remain empty for years!”

The similarities to our hot US bubble markets, makes me believe this is preview of what we are already starting to experience (though at a much slower pace).
The first signs of trouble in our real estate markets were very subtle and only picked up, or acknowledged, by very few real estate (http://www.brokerforyou.com/blogger/index.html ) professionals. Since mid 2005 the red flags have been quite obvious to even the layperson. Yet, the forever optimistic ‘it’s always a good time to buy’ industry line is embraced by the mass media (they certainly do not want to lose their immense source of real estate advertising revenue) and the naive general public.

In San Diego in particular and most other major metropolitan real estate markets, it’s quite acceptable to acknowledge and embrace the double digit real estate appreciation of the past. Yet, even the thought of depreciation of real estate is looked on with the same disbelief and distain as if a child molester moved in next door.

There is a proven saying in our stock market: “You can never go broke taking a profit.” In many US markets, seasoned investors can still turn a profit. However, if Shanghai’s real estate market is any indication of what awaits the hot US markets…..the window of opportunity is closing very fast!

AbOUT THE AUTHOR Bob Schwartz, is a Certified Residential Specialist, and a CA licensed San Diego real estate broker with. Bob has over 27 years of residential real estate experience, authored a number of published articles and served as an expert witness for San Diego lawyers. You can contact Bob via his highly popular San Diego real estate website.---This work is protected under copyright and may not be published in other works without express written permission from Promotions Unlimited or the following procedures are implemented: Please feel free to publish this article (as long as no changes are made (all hyper-links to remain and not be modified in any way) and the author's name and site URL's are retained) in your ezine, newsletter, offline publication or website. A copy would be appreciated at seo711@gamil.com

Friday, March 17, 2006

San Diego Real Estate Bubble - Down thru 2010

Top San Diego Mortgage Broker - Opinion on our real estate market

Waaay too many "investors" were in the market, many of whom have no investing experience, nor the cash reserves to handle vacancies or repairs. i think the downtown condo market will get really really soft (maybe 30%+ decrease in prices over the next few years) due to this very reason.

Mortgage money has become way too easy. many MANY clients took out arms and interest only loans (i saw one estimate that 81% of loans in sd county in 05). in addition, many of the loans were "stated income" loans. this is because the people WOULD NOT QUALIFY if they had to based on actual reported income.

The actual amount of $$ spent out of pocket (down payment and closing costs) was LESS in 2004 than in 1998. this is because in 1998, many 1st time home buyers used fha loans, and still made a 3% down payment and paid some or all of their own cloisng costs. in 2004, most 1st time buyers were 0 down, stated income.
i believe (and we are starting to see it) that lenders will tighten their guidelines on credit score, etc. this combined with increasing interest rates will take buyers out of the market.

Market sentiment has changed. buyers are no longer worried about getting in "now" before prices get out of reach. buyers are aware that if they wait, they may have more to choose from, and potentially at lower prices.

Ultimately, two things drive purchasers of property for investment.

#1 is cash flow and #2 is appreciation. The "smart money" has not been buying investment prop in sd for a couple of years or more. Obviously the idea of buying a property in sd county as a rental and receiving a positive cash flow is unlikely as is the idea of any great level of appreciation over the next few years.

Two things also drive the purchasers of property for primary residence.

#1 is income. household income in sd county went from about 56k in 2000 to 60 k in 2005. not exactly a formula that would translate to a doubling of home prices (can you say "speculation" anyone?).

In fact, based on 60k annual income, you have monthly income of $5,000 a month. Prudent underwriting guidelines would dictate that no more than a 3rd or so if gross monthly income go to housing. If we push this to even 40%, we are talking about a 2000 monthly house payment. try getting a payment like that (including taxes and ins) on the "typical" 600k house in sd. It doesn't take a rocket scientist to see the writing on the wall.

#2 thing is the comparable rental market. If a renter is paying $1,500 a month for rent, and can buy a prop for a $2,000 month payment, it can be justified with a Fed income tax write off and so on. However, right now, avg rents are $1,500 or less and avg payments for the "median" 600k house on even an int only arm (with no neg am) are well over $3,000 even with a 10% down payment (that most 1st time home buyers do not have).

No soft landing in my opinion. I think that prices will erode through at least 2010. if lending rules are not eased (esp for very high ltv loans) we could see a TON for foreclosures.
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Track San Diego MLS data & view recent downtown San Diego real estate sales to see the trends developing. Try for free to market you property at San Diego for sale by owner.

Thursday, March 16, 2006

Real Estate bubble - Fed says...Let Them Slide!

Fed won't act to preserve high home prices!

The Federal Reserve has no intention of preserving all of the recent gains in home price values, said Federal Reserve board governor Donald Kohn on Thursday."If real estate prices begin to erode, homeowners should not expect to see all the gains of recent years preserved by monetary policy actions,' Kohn said in a speech prepared for delivery to a European Central Bank forum in Frankfurt, Germany."The same consideration apply to homeowners: All else being equal, interest rates are higher now than they would be were real estate valuations less lofty; and if real estate prices begin to erode. Homeowners should not expect to see all the gains of recent years preserved by monetary policy actions," Kohn said.

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Tuesday, March 14, 2006

San Diego Foreclosures Up 34.5%

There were 14,999 default notices to California homeowners during the October-to-December period. That was up 19.0 percent from 12,606 for the third quarter, and up 15.6 percent from 12,978 for 2004's fourth quarter, according to DataQuick Information Systems.

In San Diego the increase in default activity was 34.5% great than the fourth quarter of 2004.
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New Home Sales Fall

The National Association of Home Builders reported at the end of February that "sales of new single-family homes fell 5 percent to a seasonally adjusted annual rate of 1.233 million units in January following upward revisions to the November and December rates.The January sales rate was 3.3 percent above a year ago."
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Friday, March 10, 2006

San Diego Housing Market - Real Estate Bubble

Long-term Mortgage Rates Highest Since September 2003

McLEAN, VA -- Freddie Mac (NYSE:FRE) today released the results of its Primary Mortgage Market SurveySM (PMMSSM) in which the 30-year fixed-rate mortgage (FRM) averaged 6.37 percent, with an average 0.6 point, for the week ending March 9, 2006, up from last week's average of 6.24 percent. Last year at this time, the 30-year FRM averaged 5.85 percent. The 30-year FRM has not been higher since September 5, 2003, when it was 6.43 percent.
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Thursday, March 09, 2006

Evidence of a California Housing Bubble - Page 5 | Piggington's Econo-Almanac | Southern California Housing Bubble News and Analysis

Evidence of a California Housing Bubble - Page 5 Piggington's Econo-Almanac Southern California Housing Bubble News and Analysis: "When prices are high only because market participants expect prices to go even higher, that's called a bubble. And Californians have bought into this bubble with great enthusiasm. Consider the following statistics, all from 2004:
80% of San Diego mortgages were adjustable-rate, meaning that many borrowers were speculating that their salaries or home equity would increase faster than their mortgage interest payments. (San Diego Union-Tribune)
47% of San Diego mortgages were interest-only, meaning that many borrowers were speculating that their salaries or home equity would increase faster than their mortgage interest payments and the eventual addition of mortgage principal payments. (Business Week)
27% of San Diego mortgages involved no down payment, meaning that many borrowers could (and did) use ultra-low rate interest only ARMs with no money down in order to afford far more house than their incomes would typically allow. (San Diego Union-Tribune)
37% of San Diego condo conversion buyers were investors, meaning that, given the comparitively low rents discussed above, the only possibility of these people not losing money is for condo prices to rise enough to cover the current negative cash flow. (San Diego Union-Tribune)
A poll of Los Angeles homebuyers indicated that the buyers expected, on average, that their new homes would increase in value by 22% per year for the next 10 years. (The Economist) "
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Wednesday, March 08, 2006

The Big Picture: Riskiest Housing Markets? (PMI Market Risk Index)

The Big Picture: Riskiest Housing Markets? (PMI Market Risk Index): "Interesting (if understated) article in WSJ yesterday about the PMI U.S. Market Risk Index report; The PMI Index suggested that about 'half of the 50 markets are overvalued by 10% or more, the report said. Only 11 markets are undervalued.'
Recall that I have been saying that Housing is an extended asset class, and not a bubble. That makes overvalued regions vulnerable to a pullback, as opposed to a full blown crash.
Here's the Ubiq-cerpt:�
Home prices in some of the nation's largest markets are poised for a fall, according to a study that says homes are overvalued in many cities.
The PMI U.S. Market Risk Index report, released yesterday, named Boston, San Diego, Long Island, N.Y., Santa Ana, Calif., and Oakland, Calif., as the markets facing the biggest risk of a price correction. The index showed these markets have a more than 50% chance of experiencing price declines during the next two years. New York City ranked 14th, with a 33% chance . . .
The markets facing the biggest potential correction are Los Angeles, Sacramento and Riverside, Calif., where prices are estimated to be overvalued by 33.7%, 31.3% and 30.7% respectively, the report said. New York City's prices are 16.3% overvalued, according to PMI."
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Tuesday, March 07, 2006

Real Risky Real Estate -The Big Players - Tell The Truth

Countrywide Mortgage CEO Angelo Mozilo believes that the "housing market officially turned south in January," according to Banc Investment Daily, and that some overheated markets may see prices plunge by up to 40 percent. Mozilo mentioned Las Vegas as one of those risky markets.
PLUS

The Associated Press reported .... “The five-year housing boom is indeed over, judging from growing statistical evidence and the performance of some of the nation’s leading builders, and the slowdown is already rippling through the economy. Explanations for the recent cooling-off vary.”

Please be sure to visit our Del Mar Encinitas real estate site. Also, a new site we are developing is: San Diego dentist Be sure to have a look.

Tuesday, February 28, 2006

San Diego real estate investors . . . Don’t ignore the Facts!

San Diego real estate investors . . . Don’t ignore the Facts!
Or ‘Know when to fold them’
By Bob Schwartz, CRS, GRI ©2006 http://www.brokerforyou.com/ All rights reserved.

The Commerce Department reported Monday that sales of new single-family homes dropped by 5 percent to a seasonally adjusted annual rate of 1.233 million units last month.
More importantly, this is the second time in three months that housing sales have dropped! This 5 percent drop was under the 7 percent November drop.
Another important fact that this report showed was a 5.2 month supply of new homes in January. This is up 2.5 percent from the December ’05 figures and an astounding 20 percent from the same figures one year ago (January ’05)!

AbOUT THE AUTHOR Bob Schwartz, is a Certified Residential Specialist, and a CA licensed San Diego real estate broker with. Bob has over 27 years of residential real estate experience, authored a number of published articles and served as an expert witness for San Diego lawyers. You can contact Bob via his highly popular San Diego real estate website.---This work is protected under copyright and may not be published in other works without express written permission from Promotions Unlimited or the following procedures are implemented: Please feel free to publish this article (as long as no changes are made (all hyper-links to remain and not be modified in any way) and the author's name and site URL's are retained) in your ezine, newsletter, offline publication or website. A copy would be appreciated at seo711@gamil.com

San Diego real estate...real estate bubble is delflating

Carefully read the excerpt below as another major news organization reports the FACTS! …..

By Chris Isidore, CNNMoney.com senior writerFebruary 24, 2006: 2:49 PM ESTNEW YORK (CNNMoney.com) - Home builders are growing concerned about an increasing number of cancelled new home orders, which experts say could be a sign of an underlying weakness in the recent run in home prices.
Specifically, the cancelled orders could be the latest warning sign that buyers who were turning to real estate as an investment, rather than for their own housing needs, are shifting out of real estate. And that could mean that in many hot markets, the air is about to come out of over-inflated real home prices overall.

AbOUT THE AUTHOR Bob Schwartz, is a Certified Residential Specialist, and a CA licensed San Diego real estate broker with. Bob has over 27 years of residential real estate experience, authored a number of published articles and served as an expert witness for San Diego lawyers. You can contact Bob via his highly popular San Diego real estate website.---This work is protected under copyright and may not be published in other works without express written permission from Promotions Unlimited or the following procedures are implemented: Please feel free to publish this article (as long as no changes are made (all hyper-links to remain and not be modified in any way) and the author's name and site URL's are retained) in your ezine, newsletter, offline publication or website. A copy would be appreciated at seo711@gamil.com

Friday, February 17, 2006

San Diego Real Estate Bubble - The Ride Down!

San Diego Home Sales Dive!


San Diego home sales took the largest drop ever recorded in January 2006! Sales were off 31% from December 2005! This was the lowest monthly sales since January 1998, when these records were first tracked!
From January 2005 the loss was 26.8%, and marked the seventh month in a row where home sales were lower than the year before.Also, the sales price to list price ratio for single-family homes has also continued to fall.
For well over 18 months now I’ve been predicting a deflation cycle in San Diego. Now as the hard facts are actually showing up the ‘industry’ has changed strategy from pooh-poohing the coming fall to now predicting a ‘short term softening’ of our market.
Believe what you will, but after a ten year spectacular ride up, with the last five years actually doubling most home values, do you really believe the down side will be over in a few months?
Our last down cycle in San Diego ran from approximately 1990 to 1995. My prediction for San Diego real estate is that the downward cycle has only begun. Be sure to fasten your seatbelt.

ABOUT THE AUTHOR Bob Schwartz, is a Certified Residential Specialist, and a CA licensed San Diego real estate broker with. Bob has over 27 years of residential real estate experience, authored a number of published articles and served as an expert witness for San Diego lawyers. You can contact Bob via e-mail at bob@brokerforyou.com or visit his highly popular San Diego real estate website.

---This work is protected under copyright and may not be published in other works without express written permission from Promotions Unlimited or the following procedures are implemented: Please feel free to publish this article (as long as no changes are made (all hyper-links to remain and not be modified in any way) and the author's name and site URL's are retained) in your ezine, newsletter, offline publication or website. A copy would be appreciated at seo711@gamil.com

Wednesday, February 08, 2006

Pending Home Sales Index Down

Wednesday, February 01, 2006

WASHINGTON,D.C. – Pending home sales continue to according to the National Association of Realtors®.

The Pending Home Sales Index,* based on contracts signed in December, was down 3.0 percent to a level of 116.4 from 120.0 in November, and is 5.5 percent below December 2004. Pending sales have trended steadily down from a record index of 129.2 last August

The index in the West fell 8.1 percent to 117.1 in December and was 11.8 percent lower than a year ago.



ABOUT THE AUTHOR Bob Schwartz, is a Certified Residential Specialist, and a CA licensed San Diego real estate broker with. Bob has over 27 years of residential real estate experience, authored a number of published articles and served as an expert witness for San Diego lawyers. You can contact Bob via e-mail at bob@brokerforyou.com or visit his highly popular San Diego real estate website. ------------ This work is protected under copyright and may not be published in other works without express written permission from Promotions Unlimited or the following procedures are implemented: Please feel free to publish this article (as long as no changes are made (all hyper-links to remain and not be modified in any way) and the author's name and site URL's are retained) in your ezine, newsletter, offline publication or website. A copy would be appreciated at bob@websitetrafficbuilders.com

Monday, January 30, 2006

San Diego Housing Market - Real Estate Bubble

San Diego Housing Market - Oh, It's Just Back to 'Normal' …Yea, Right!

By Bob Schwartz, CRS, GRI ©2006 www.brokerforyou.com All rights reserved.

"It's just back to normal', "Just a seasonal slow-down', "A normal minor adjustment', "A great time to buy, with a much wider selection', "A cooling market'", "A soft landing", "A slight tapering off" etc. Yes, these P.C. phrases are now replacing the "We should have a strong market for the foreseeable future" industry line prevalent just a few short months ago.

The sad fact is people are still in self-denial here. We're "special" because of our weather. We are known as America's Finest City after all. It's still common to hear someone say, "If you don't buy now, you're going to get priced out of the market!"

Talk about your irrational exuberance in the Southern California real estate market. In a 2004 summer poll in the LA area, residents believed prices would continue to go up by more than 20% a year for another decade!

What will be the industry P.C. phrases we'll be hearing in about six to nine months? "It may well go as: "This home is a great buy, why just nine months ago you would have paid $25,000+ more…what a great savings." Naturally, you would be talking to a buyer. For a seller (who has owned for some years) you might say: "Well, you are still making a profit. Who could have even known that the market would have turned down so fast?" For the downtown high-rise buyer who though they got a real deal on the final phase of their Gas Lamp digs, a real estate agent may be saying: "Well, because the resale value is actually below your 100% interest only trust deed, you really should consult a real estate attorney and/or meet with your lender to propose they accept your deed in lieu of foreclosure".

Are you reading this and thinking I'm way off base? Here are a few recent headlines:

National Association of Realtors reports, in part: Total existing-home sales - including single-family, town homes, condominiums and co-ops - were down 5.7 percent in December from November.

Time Magazine reports that 'Vegas Condos Go Cold."

The Washington Post reports "Real estate groups in the Washington area have also reported declines to varying degrees."

"The bloom is definitely off the housing rose. Housing peaked last summer and has been weakening ever since," said Mark Zandi, chief economist at Moody's Economy.com.

New York City Mayor Michael Bloomberg recently said the real estate market was slowing "dramatically" and only a "miracle" could stop soaring mortgage rates from eating into housing prices. "The real estate market is slowing down dramatically and we're going to have a problem down the road," Bloomberg said.

"If people who want to sell their houses have to wait a longer time before someone comes along and buys it, it would be a miracle if prices didn't start to go down," he said.

'The market has definitely peaked,' said Jack Kyser, chief economist with the L.A. County Economic Development Corp. 'The fever has broken and now the question people are asking themselves is if there is a crash ahead.'"

This is my own opinion on a realistic view of what lies ahead as far as the San Diego real estate market: A multi-year depreciation that could easily take 30% off the highs which reached this market's peak during the summer of 2005! Plus, I foresee headlines, maybe even national, announcing how the San Diego high-rise downtown boom has turned into a foreclosure city!

As a realistic San Diego Realtor, I provide these facts to my sellers. If their property is not generating meaningful activity within the first month of being listed, it would be prudent to consider a revised marketing plan similar to what many San Diego real estate developers are doing. This would be a combination of value-range reduction as well as agent and buyer incentives to position the property as the best total value for the area.

I think as Realtors we must adapt and not deny. To otherwise will have a dramatic impact on your financial health and community reputation

ABOUT THE AUTHOR Bob Schwartz, is a Certified Residential Specialist, and a CA licensed real estate broker with www.Brokerforyou.com. Bob has over 27 years of residential real estate experience, authored a number of published articles and served as an expert witness for San Diego lawyers. You can contact Bob via e-mail at bob@brokerforyou.com or visit his highly popular San Diego real estate website at: http://www.brokerforyou.com
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This work is protected under copyright and may not be published in other works without express written permission from Promotions Unlimited or the following procedures are implemented: Please feel free to publish this article (as long as no changes are made (all hyper-links to remain and not be modified in any way) and the author's name and site URL's are retained) in your ezine, newsletter, offline publication or website. A copy would be appreciated at bob@websitetrafficbuilders.com

Monday, January 02, 2006

San Diego Housing Market - The Hidden Time Bombs

San Diego Housing Market - The Hidden Time Bombs
By Bob Schwartz, CRS, GRI ©2005 www.brokerforyou.com All rights reserved.

Nothing down, variable interest rate, EZ qualification, stated income.These are the common lending terms that many believe have kept our super-heated market going. As the stories of fast home appreciation proliferate, the desire to get into our local housing market by those who hesitated in the past, have escalated.

This is typical of any bull market, be it the stock or housing market. The paradigm changes this time. There is a huge increase in zero down and adjustable rate loans being pushed on poor credit risk borrowers and first time buyers (below market start/qualifying), as well as move up buyers being induced to purchase homes that otherwise are far beyond normal qualifying loan guidelines!

The majority of the new adjustable loans have artificially low start rates for the first year or two, interest only payment terms, and are indexed to volatile interest rate indexes. This is setting the stage for a huge decline in home values.

One local major lender recently stated that they had no fixed rate purchase loans in process; all their new purchase loans were adjustable! Further, over 50% of their new purchase loans were zero down! Combine this with the popular 'stated income' loans and it's easy to see how these policies have kept our market propped up. (A stated income loan basically means if the buyer has good credit, the amount of their stated income is NOT verified for qualification purposes.)

While a huge housing value decline seems unnatural to many, this phenomenon was last seen locally in the mid-90's! At that time, an approximate 20% housing depreciation took many by surprise. The easy loan practices today, the double digit housing appreciation of the past few years, and irrational enthusiasm, clearly signals another approaching decline in the San Diego housing market!

How bad could such a decline be? A number of local lenders state that the majority of their loans for the past few years were zero down, adjustable loans. With the slow but steady rise in interest rates, San Diego real estate could be facing a decline in housing values that could dim the 20% decline of the mid-90's!

By any measure, our local San Diego real estate market is more at risk than any time in recent memory.

Though housing bubbles may last far beyond anyone's expectations, now may well be a time to reconsider any new purchase. Purchasing one's first home is not something one should try to time or tie into projections on the local housing trend. Just be cautious! Stay well within your normal qualification ratios. Except under certain conditions, avoid E/Z qualification and adjustable, zero down loans. Start out modestly with a smaller home or condominium that you can easily afford.

No one can predict the future trend of any major market with certainty. However, caution is advised in San Diego housing as the multitude sing the siren song of never ending double digit housing appreciation.

ABOUT THE AUTHORBob Schwartz, is a Certified Residential Specialist, CA licensed real estate broker with www.Brokerforyou.com. Bob has over 27 years of residential real estate experience, authored a number of published articles and served as an expert witness for San Diego legal firms. You can contact Bob via e-mail at bob@brokerforyou.com or visit his highly popular San Diego real estate website at: http://www.brokerforyou.com

This work is protected under copyright and may not be published in other works without express written permission from Promotions Unlimited or the following procedures are implemented: Please feel free to publish this article (as long as no changes are made (all hyper-links to remain and not be modified in any way) and the author's name and site URL's are retained) in your ezine, newsletter, offline publication or website. A copy would be appreciated at bob@websitetrafficbuilders.com

Thursday, December 29, 2005

San Diego Holiday Bowl 2005


The San Diego Holiday Bowl started life in 1978 as a way for the Western Athletic Conference to feature a bowl game with its champion. It's undergone many sponsors including Sea World, Culligan and Plymouth. It's now sponsored by Pacific Life. Since Bringham Young University was the champion of the Western Athletic Conference most years, it became commonly referred to as the BYU Bowl.The times have changed and so have the conference affiliations. The Holiday Bowl now features the 2nd place PAC10 team and the third place Big 12 team. This year the PAC10 representative is Oregon and the Big 12 representative is Oklahoma. Oregon had a superb year with only one loss, and would have been in contention for a national championship had it not been for USC. Oklahoma had what can kindly be called a rebuilding year for them.The Holiday Bowl is played in Qualcomm Stadium, which is also host to the San Diego Chargers. When configured for football, Qualcomm's capacity is over 70,000 fans. The 2005 Holiday Bowl is sold out.Port of San Diego Big Bay Balloon ParadeGame day begins with the Port of San Diego Big Bay Balloon Parade. The parade is recognized as "America's Largest Balloon Parade". San Diego residents along with thousands of Pacific Life Holiday Bowl visitors will enjoy massive inflatables, numbering more than any other parade in the nation, colorful floats, unique drill teams, heart-pounding marching bands, and even racing wiener dogs!© Copyright 2005 Promotions Unlimited - domain registration - web hosting - search engine optimization

Monday, November 14, 2005

Interest Rates Up - Home Values Down

We have Entered an Interesting Real Estate and Lending Market Rates are up and property values are flattening- even down in some areas. So we have reluctant borrowers who dream of low 5% mortgage rates, and reluctant sellers, who cling to the hope that pre-July 2005 prices will return sometime soon. While these sellers hold out for higher sales prices, more inventory comes in to play while mortgage rates continue to climb and values flatten even more. This is not a healthy situation, and it is compounded by the fear of Inflation and uncertainty in the stock market. To view the entire San Diego MLS active real estate for sale, visit:
http://www.brokerforyou.com

Thursday, November 03, 2005

Double Wammy- Fed Funds Rate and Prime Rate to Increase


After 12 rate increases by the Fed, it does appear that the real reason behind the Fed action is to apply the brakes on inflation. The Fed seems confident that economic growth is on track but wary that costlier energy could "fuel" dangerous inflation. From all reports it is working. All types of borrowing will cost more. On the "Sunny-Side" savers will shortly see a bump in the meager interest they are receiving as deposit interest runs opposite to loan rates.
The Federal reserve today raised the Fed Funds Rate 1/4% to 4.0% The federal funds rate is the rate banks charge each other for overnight loans to comply with the Fed's reserve requirements. By buying or selling Treasurys in the market, the Fed can set the interest rate and influence the price of credit. Th ePrime Rate, that many members understand will shortly be raised the same amount.

What Does It Mean To You?

Adjustable Rate Mortgages
ARMs have the most one for one relationship with the Fed Funds rate -- they are usually indexed against the one-year Treasuries which are tied closely to the Fed Funds Rate. Every borrower will feel the pain when these rates go up
Some borrowers who recently got an ARM may know that their rate can only go up a maximum 2 points
If interest rates go up two percentage points on a $216,000 mortgage ( About the average in the U.S.) Borrowers could be on the tab for $269 more a month.

Fixed Rate Mortgages
The Fed plans deliberate future increases also meaning fixed mortgage rates may continue their rise.
If Mortgage rates go up 1 Point, the above $216,000 loan would cost $140 more per month (5.4% vs 6.4%

Lines of Credit Tied To Home Equity
These loans are mostly always tied to the Prime rate so expect a rise in the very near future.

Home Equity Loans
These loans are ties to the equity in the home and are pegged to one-year treasury yields or the prime, which move in lockstep with the Fed rate.

If you are in the process of borrowing now—It may pay to LOCK IN THE RATE TODAY as the full effect may not hit for a few more weeks. After that look to pay about $100 more per month on $100K loan. Be sure to visit our top rated San Diego real estate website at:
http://www.brokerforyou.com

Friday, October 21, 2005

California Tenants - NO MORE 60-DAY NOTICE TO TERMINATE TENANCY

The 60-day notice of termination requirement for month-to-month tenancies will be repealed at the end of this year. Effective January 1, 2006, residential landlords and property managers may give a 30-day Notice to Terminate to their month-to-month tenants (unless rent control or subsidized housing rules apply.
The 60-day rule was originally enacted in 2002 as a pilot project to help tenants who purportedly needed more time than the allotted 30 days to make new housing arrangements in a tight rental market. However, others said that length of time is too long for evicting problematic tenants. Many landlords and property managers prefer using a general 30-day notice to terminate, rather than the alternative 3-day notice to perform covenant or quit which may require litigation of issues such as noise, nuisances, or illegal activities by the tenant. Waiting 60 days rather than 30 days under those circumstances places an undue burden on landlords, property managers, and other tenants in the building. Please be sure to visit our Del Mar Encinitas real estate site. Also, a new site we are developing is: San Diego dentist Be sure to have a look.

Thursday, October 20, 2005

National Association of Realtors FORECASTS STRONG HOUSING MARKET TO CONTINUE

With the demand for housing continuing to increase, U.S. home sales are expected to reach record levels by the end of 2005, according to NAR's most recent forecast. Existing home sales in the U.S. are anticipated to rise 4.2 percent to 7.07 million units, while new home sales should reach 1.29 million units, a 7.1 percent increase from 2004. Additionally, total housing starts are expected to reach the highest level recorded since 1973 with a total of 2.04 million units. The added demand for housing stemming from the aftermath of Hurricane Katrina has pushed NAR's sales forecast even higher, according to the report."Short-term momentum is very strong, and our Pending Home Sales Index just set a record," said NAR Chief Economist David Lereah. "In addition to the housing needs of hurricane victims, we may be seeing some 'fence jumping' from homebuyers who are getting into the market before interests rates increase.Be sure to visit: San Diego Del Mar real estate, my San Diego for Sale by Owner real estate site.

Monday, October 17, 2005

Limit on Real Estate Tax Deductions?

Last week, the President’s Advisory Panel on Tax Reform informally agreed that tax law should limit the home mortgage interest deduction to the interest paid on the first $300,000 or $350,000 of a mortgage. This is especially significant here in San Diego where mortgages are generally larger and where State lawmakers may follow any new Fed changes with new state taxes. The panel will issue its final recommendations on November 1. The panel is suggesting a transition period during which current homeowners could take advantage of laws as they existed when they bought their homes. Be sure to visit: San Diego real estate website, my San Diego for Sale by Owner real estate site and the new San Diego cosmetic surgery doctors directory.

Friday, October 14, 2005

Mortgage Interest Rates Pass 6%

(October 14, 2005) -- Freddie Mac reports a jump in the 30-year home loan rate to 6.03 percent from 5.98 percent during the past week, marking a six-month high. The one-year adjustable mortgage rate rose as well, climbing to a more than three-year high of 4.85 percent from 4.77 percent last week. Mortgage rates will continue to move upward due to soaring energy prices and concerns about inflation, making it more difficult for first-time buyers to achieve homeownership and less rewarding for adjustable-rate borrowers to switch to fixed-rate products. Freddie Mac chief economist Frank Nothaft believes the 30-year mortgage rate will hit 6.4 percent next year.
For the best in San Diego real estate websites, please visit: San Diego real estate - San Diego downtown condos - Costal Del Mar La Jolla real estate - San Diego for sale by owner. Also, for any legal assistance, visit San Diego attorneys Directory. Another new San Diego site is all about web site awards. Add a little prestige & additional creditability to your web site ( if it qualifies) with one of these excellent web awards. Their newest is a very cool blog award. Visit the site at: www.web-site-award-winning.com

Bush has successfully sold Louisiana back to the French

BATON ROUGE, LA. - The White House announced today that President Bush has successfully sold the state of Louisiana back to the French at more than double its original selling price of $11,250,000. "This is a bold step forward for America," said Bush. "And America will be stronger and better as a result. I stand here today in unity with French Prime Minister Jacques Chirac, who was so kind to accept my offer of Louisiana in exchange for 25 million dollars cash." The state, ravaged by Hurricane Katrina, will cost hundreds of billions of dollars to rebuild. "Jack understands full well that this one's a 'fixer upper,'" said Bush. "He and the French people are quite prepared to pump out all that water, and make Louisiana a decent place to live again. And they've got a lot of work to do. But Jack's assured me, if it's not right, they're going to fix it." The move has been met with incredulity from the beleaguered residents of Louisiana.
"Shuba-pie!" said New Orleans resident Willis Babineaux.
"Frafer-perly yum kom drabby sham!"
However, President Bush's decision has been widely lauded by Republicans.
"This is an unexpected but brilliant move by the President," said Senate Majority Leader Bill Frist. "Instead of spending billions and billions, and billions of dollars rebuilding the state of Louisiana, we've just made 25 million dollars in pure profit.
""This is indeed a smart move," commented Fox News analyst Brit Hume. "Not only have we stopped the flooding in our own budget, we've made money on the deal. Plus, when the god-awful French are done fixing it up, we can easily invade and take it back again."
The money gained from "'The Louisiana Refund' is expected to be immediately pumped into the rebuilding of Iraq. .
Please be sure to visit our Del Mar Encinitas real estate site. Also, a new site we are developing is: San Diego dentist Be sure to have a look.

Monday, October 10, 2005

Rates Up - Sales Down!

Prime is currently at 6.75%. Here’s how the Prime Rate has moved in the last five years:



So, rates are going up, gas is up, heating oil is up....real estate sales are moving DOWN!
Two new San Diego based sites of interest are: San Diego Vacation Attraction Tours and

Thursday, October 06, 2005

SENIORS RELY ON HOUSING WEALTH - What will Happen in a Down Mkt?

Seniors are increasingly reliant on housing wealth as a source of retirement savings, leading to a growing number of "house rich, income poor" households, according to a recent study by Harvard University's Joint Center for Housing Studies. After a decade of rising home values, residential real estate now represents the largest single asset class owned by seniors, while only 21.1 percent of households headed by individuals aged 65 and older own publicly traded stocks.Though homeownership boosts seniors' wealth accumulations, many retired people face unmanageable mortgage debt. Nearly 27 percent of seniors have not paid off their mortgages, and mortgage debt accounted for 70 percent of the total debt for homeowners aged 65 and older. According to the Center's study, seniors should take precautions when relying heavily on home equity for their retirement savings.

One solution is to develop new financial instruments, such as equity partners that purchase a share of the future interest in a home, to help seniors overcome financial burdens during retirement, according to the report.

For the best in San Diego real estate websites, please visit: San Diego real estate - San Diego downtown condos - Costal Del Mar La Jolla real estate - San Diego for sale by owner. Also, for any legal assistance, visit San Diego attorneys Directory. Another new San Diego site is all about web site awards. Add a little prestige & additional creditability to your web site ( if it qualifies) with one of these excellent web awards. Their newest is a very cool blog award. Visit the site at: www.web-site-award-winning.com

Monday, October 03, 2005

Real Estate Reinance Loophole?

In a recent case brought before the United States Tax Court (Hurley 2005-125), the court ruled that the points paid for refinancing a property were tax deductible due to certain criteria being met by the Hurley’s. The case was brought to the Tax Court with the argument that the points paid for the home loan allowed the Hurley’s to obtain a lower rate, which resulted in a lower home loan payment. The monthly payment savings were in turn used for improvements to the property, including a new roof, carpet, and other repairs. Being that the Hurley’s provided documented proof of the improvements, the court ruled in their favor and allowed the points to be deducted from the Hurley’s taxes…all in the year the loan was refinanced.
It is important to note that if you pay points to refinance a personal property, the points are only tax deductible if the refinance creates a lower home loan payment and the savings will be used for improvements to the property; or if the refinance transaction is being done to purchase an additional property. And as always, consult your mortgage and tax professional regarding your own specific situation to ensure that you meet the criteria needed for a deduction of this type.

For the best in San Diego real estate websites, please visit: San Diego real estate - San Diego downtown condos - Costal Del Mar La Jolla real estate - San Diego for sale by owner. Also, for any legal assistance, visit San Diego attorneys Directory. Another new San Diego site is all about web site awards. Add a little prestige & additional creditability to your web site ( if it qualifies) with one of these excellent web awards. Their newest is a very cool blog award. Visit the site at: www.web-site-award-winning.com

Monday, September 26, 2005

Real Estate & Interest Rates

RATES ON THE MOVE!

Fed Day came and went without much fanfare. Chairman Greenspan and his inflation-fighting friends at the Fed decided to hike up the Fed Funds Rate by another .25%, although the decision was not unanimous. More importantly, the commentary was fairly tame with no shockers for the market to absorb. Greenspan said that although the aftermath of Hurricane Katrina will be highly costly and inflationary, the long-term look at the economy shows that inflation is still “contained”. Sounds like you can bank on a few more hikes before Uncle Al turns over the keys to his successor…likely to be Fed Governor Ben Bernanke.
Although Mortgage Bonds and home loan rates had a bit of improvement early in the week, Friday saw them worsen right back to where they started as China announced they would allow further floating of their currency, the Yuan, against the US Dollar. Why? A few months back, China announced that they would no longer peg the Yuan to the US Dollar, and would instead allow it to float within a “limited range”. The breaking news that China will allow the Yuan to float even further from the Dollar means that China does not have to purchase as many US denominated securities – like Bonds – to keep the US Dollar at higher levels, which would in turn keep the Chinese Yuan stronger. Less buying is always bad news for prices…so Bonds and home loan rates took a turn for the worse on the news.

For the best in San Diego real estate websites, please visit: San Diego real estate - San Diego downtown condos - Costal Del Mar La Jolla real estate - San Diego for sale by owner. Also, for any legal assistance, visit San Diego attorneys Directory. Another new San Diego site is all about web site awards. Add a little prestige & additional creditability to your web site ( if it qualifies) with one of these excellent web awards. Their newest is a very cool blog award. Visit the site at: www.web-site-award-winning.com

Friday, September 23, 2005

Real Estate - Landscapes: What's Outside Can Grow Home Price

Making outdoor improvements
is one of the most effective ways for homeowners to drive up the price of their
house, as lawn and garden landscaping typically boosts sale prices by 7 to 15
percent. By contrast, homeowners recover just 80 to 90 percent of their
investment on interior upgrades.



The National Gardening Association reports that homeowners spent $36.8 billion
on lawns and gardens last year, of which $11.4 billion was spent on landscaping.




The dizzying array of landscaping options can bewilder homeowners, so it is
important to keep function in mind when designing a landscaping plan. Aging
simulations also help alert homeowners to issues that could arise over time,
such as a tree growing to obstruct a view or becoming out of proportion with the
house. Given that many homeowners might not have an eye for outdoor design,
enlisting the aid of professionals might be the way to go.



For smaller-scale projects with minimal engineering requirements, landscape
designers--who require no certification and often arrive at the field from a
variety of design backgrounds--may be sufficient. Landscape architects are
better suited to larger projects, as they all hold four-year degrees in the
field and have passed the Landscape Architect Registration Exam as well as
completed a substantial apprenticeship.



The difference in qualifications is reflected in their fees, as designers
typically earn $50 to $100 per hour; while architects command between $150 and
$250 per hour.


For the best in San Diego real estate websites, please visit:

San Diego real estate
- San Diego downtown condos - Costal Del Mar La Jolla real estate -
San Diego for sale by owner. Also, for any legal assistance, visit San Diego attorneys Directory.
Another new San Diego site is all about web site awards.
Add a little prestige & additional creditability to your web site ( if it qualifies) with one of these
excellent web awards. Their newest is a very cool blog award. Visit the site at:
www.web-site-award-winning.com

Source: Washington Times (09/16/05); MacDonald, Jay

Mortgage Rates Move Up!

San Diego real estate

(September 23, 2005) -- The average for rates on 30-year, fixed-rate mortgages rose this week to 5.80 percent, up from 5.74 percent last week. Industry observers say the increase comes in response to Federal Reserve's decision this week to hike short-term interest rates.

It is the second week in a row that mortgage rates have increased. "Mortgage rates look like they are right back on track where the Fed wants them, which is gradually rising," says Freddie Mac chief economist Frank Nothaft.

Rates on 15-year fixed mortgages averaged 5.37 percent, up from 5.32 percent last week. One-year adjustable rate mortgages rose slightly to 4.48 percent, while five-year hybrid adjustable rate mortgages increased to 5.31 percent.
For the best in San Diego real estate websites, please visit: San Diego real estate - San Diego downtown condos - Costal Del Mar La Jolla real estate - San Diego for sale by owner. Also, for any legal assistance, visit San Diego attorneys Directory. Another new San Diego site is all about web site awards. Add a little prestige & additional creditability to your web site ( if it qualifies) with one of these excellent web awards. Their newest is a very cool blog award. Visit the site at: www.web-site-award-winning.com

Downtown San Diego Real Estate

Downtown San Diego Real Estate

Our link to all active San Diego MLS downtown condos is now working. We hope to have the recent sold data operations shortly. As far as we know, we will be the only San Diego downtown real estate site displaying recent sold data.

Thursday, September 22, 2005

California Real Estate Market Cools? California Association of Realtors predicts ....

The rate of home price appreciation will moderate next year following four years of steep increases, while sales in 2006 will decline slightly from this year's record pace, according to C.A.R.'s "2006 Housing Market Forecast" released today. The forecast was presented during the C.A.R. Centennial REALTOR® EXPO, running from Sept. 20 - 22 at the San Diego Convention Center.The median home price in California will increase 10 percent to $575,500 in 2006 compared with a projected median of $523,150 this year, while sales for 2006 are projected to reach 630,610 units, falling 2 percent compared with 2005. The double-digit gain in the median price of a home, which California has experienced for most of the past five years, will again be fueled by the continuing shortage of housing across much of the state, according to C.A.R. economists. California typically gains nearly 250,000 new households, yet only will build about 200,000 new housing units this year, creating a shortfall of about 50,000 units."The economic fundamentals at both the state and national level continue to support a strong housing market in the Golden State for the foreseeable future," said C.A.R. Vice President and Chief Economist Leslie Appleton-Young. "However, we also expect that the wave of new loan products that have flooded the market over the past several years have injected a higher level of risk into the market, while affordability barriers to homeownership will continue to push residents inland and even out of state."
The above is the official industry line. My take is California real estate is on the verge of a 20 to 40% DROP IN VALUE! For the best in San Diego real estate websites, please visit: San Diego real estate - San Diego downtown condos - Costal Del Mar La Jolla real estate - San Diego for sale by owner. Also, for any legal assistance, visit San Diego attorneys Directory. Another new San Diego site is all about web site awards. Add a little prestige & additional creditability to your web site ( if it qualifies) with one of these excellent web awards. Their newest is a very cool blog award. Visit the site at: www.web-site-award-winning.com

Monday, September 19, 2005

California real estate - Tenants Notice change

California Tenants -  NO MORE 60-DAY NOTICE TO TERMINATE TENANCY
The 60-day notice of termination requirement for month-to-month tenancies will be repealed at the end of this year. Effective January 1, 2006, residential landlords and property managers may give a 30-day Notice to Terminate to their month-to-month tenants (unless rent control or subsidized housing rules apply.
The 60-day rule was originally enacted in 2002 as a pilot project to help tenants who purportedly needed more time than the allotted 30 days to make new housing arrangements in a tight rental market. However, others said that length of time is too long for evicting problematic tenants. Many landlords and property managers prefer using a general 30-day notice to terminate, rather than the alternative 3-day notice to perform covenant or quit which may require litigation of issues such as noise, nuisances, or illegal activities by the tenant. Waiting 60 days rather than 30 days under those circumstances places an undue burden on landlords, property managers, and other tenants in the building. Please be sure to visit our Del Mar Encinitas real estate site.  Also, a new site we are developing is: San Diego dentist  Be sure to have a look.

Real Estate - Dreamer vs. Optimist

A Federal Reserve Survey found that non-traditional mortgages now account for “more than a quarter of new business at a third of the nation's largest home lenders.” Picture the economy and the housing market in two years. If you think it will be as good or better than we’ve seen in the last 3 years, you have taken the term “optimist” to a new level. Be sure to visit our newest San Diego downtown condominiums real estate site. We will not onlt be showing properties listed for sale, but, actual recent closed sales as well!

Sunday, September 18, 2005

San Diego - Cooling Real Estate Market

The post below was from Fox6 a local TV station in San Diego.
The article's ending question shows that the general public still does not get the fact that the real estate market has turned! By December or January the question will be "How much further down will the real estate market go?" With over 27 years in residential real estate, my best guess for San Diego is 20 to 40 DROP!

For the best info on the San Diego real estate market, be sure to visit:
San Diego real estate broker
Downtown San Diego condos
San Diego for sale by owner
San Diego real estate costal
For anyone needing legal assistance in real estate or other matters:
San Diego lawyers & attorneys Directory
For upscale home audio and visual equipment:
San Diego home theather
Lastly, best developing new San Diego site:
San Diego plastic surgery doctors
++++++++++++++++++++++++++++++++++++++++
Cooling Real Estate Market
A modest 2.1 percent rise in housing prices in San Diego County over the past year may foreshadow a weakening real-estate market in the rest of Southern California.
Median prices in Los Angeles County rose 21.4 percent, 13.6 percent in Orange County and 16.2 percent in Riverside County, according to La Jolla-based DataQuick Information Systems.
The number of homes sold in San Diego County in August declined 3.6 percent compared to the same month last year, and homes took longer to sell, DataQuick analyst John Karevoll said.
"They're due for a decline in appreciation rate," he said, referring to home prices elsewhere."It's just that San Diego is anywhere from six months to a year ahead of the rest of the region."
The year-over-year rate of appreciation in San Diego County was lowest since April 1999, when the median price of a single-family home stood at $196,000.
The median price last month was $493,000, compared to $483,000 in August 2004.
"San Diego is the county that is kind of the furthest off into this uncharted statistical territory, so everybody's wondering what will happen locally," Karevoll said.
"The big question there is, will prices decline significantly or will they flatten out?"

Thursday, September 15, 2005

California Real Estate Update

California real estate information

Calif. median home price - July 05: $540,900 (Source: C.A.R.)

Calif. affordability index - July 05: 16 percent (Source: C.A.R.)

Calif. highest median home price by C.A.R. region July 05:Santa Barbara So. Coast $1,325,000 (Source: C.A.R.)

Calif. lowest median home price by C.A.R. region July 05:High Desert $298,950 (Source: C.A.R.)

Mortgage rates - week ending 9/8:30-yr. fixed: 5.71%; Fees/points: 0.6%15-yr. fixed: 5.30%; Fees/points: 0.6%1-yr. adjustable: 4.45%; Fees/points: 0.7%(Source: Freddie Mac)
Downtown San Diego condos

New San Diego web sites:
San Diego dentist
San Diego plastic surgery
San Diego cosmetic surgery

Monday, September 12, 2005

Real Estate - Interest rates & the San Diego Market


The Fed - Rates
& REAL ESTATE

By
Bob Schwartz, CRS, GRI
©2005 www.downtown-san-diego-real-estate.com


Two important measures of inflation will be released this week. The
producer price index (measures prices at the wholesale level) will be released
on Tuesday, and on Thursday, the consumer price index (CPI) numbers for August
will be released. The Fed meets tomorrow (Tues.) and will boost the Federal
Funds rate .25 if it believes that rising energy costs will cause overall prices
to increase. Alternatively, if the Fed thinks Katrina and energy costs will
simply slow down the economy, it will probably pause in its systematic rate
hikes. My guess is that the Fed will bump rates .25 as a conservative move.

With the San Diego real estate market already having entered a major reversal, continued rate
hikes will only accelerate the trend. It's still hard to discern by the layperson, but soon all the

San Diego real estate
talk will be about price depreciation vs. the just concluded multi-year double digit housing appreciation.


Copyright 2005 Promotions Unlimited. All rights reserved.

ABOUT THE AUTHOR
Bob Schwartz, is a activeSan Diego real estate broker and certified residential
specialist
with over 27 years experience in residential real estate. Bob is a
published author with real estate articles appearing in local & nation real
estate publications. Bob is also a expert witness in real estate litigation
matters for a number of
San Diego legal firms. Bob's background as a committee member of the
San Diego Association of Realtors, local homeowners president and co-owner of a
San Diego real estate management company specializing in San Diego condominium management gives Bob in-depth insights into the San Diego real estate market. Bob's main San
Diego real estate site is:
www.brokerforyou.com and bob can be emailed at: bob@brokerforyou.com


Friday, September 09, 2005

Whose real estate website is it anyway?

Whose real estate website is it anyway?


By Bob Schwartz, CRS, GRI ©2005 Promotions Unlimited All rights reserved.

Everyone knows the Internet is like the Wild West. There are schemes, scams and suckers out there is cyberspace. How does one take advantage of the real opportunities while avoiding the pitfalls?
The simple answer is to be careful; be very careful! Most important, investigate & verify. Below are some common Internet scams perpetrated on real estate agents:

Big agency or sole practioner, you should have a website. Your website should be promoted in your ads, on your letterhead, and on business cards. The critical components of a proper real estate website are your own top level domain name, a properly designed site and dependable hosting for your site.

A. Purchase your own top level domain name. For example, a top level domain is www.brokerforyou.com . Domains such as www.brokerforyou.com.com/bob-schwartz.htm , and www.brokerforyou.com /ca/bob-schwartz.htm are an examples of sub-domains. Sub-domains are part of top-level domains and are sometimes offered free as an enticement to purchase other services. The problem with sub-domains is that you are not the owner of the domain and any advertising or promotion you do for the subdomain, mostly benefits the top-level domain. The same can also be true for “free” domain package deals. The proper way to secure a top level is to first check availability, and then register the name (URL) for at least three to five years!
In the big picture, the registration fee for your domain is very inexpensive. Typically, a five year domain registration will run approximately $5.95 to $9.95 per year depending on the suffix you choose. Many still believe that a .com is the only way to go, but a few of the other choices are: .info, .us, .net, .org, .biz, .ws, .name & .tv.
So, if that must have .com domain has all ready been registered, you should check it’s availability with some of the other available suffixes. The down side here is that some people may remember your catchy domain name, and automatically assume it is .com when it is really .info. This could cause the .com domain to receive some of your traffic, and possibly new clients because of this common assumption.
To search available domain names, secure a domain or even set up reliable and inexpensive hosting, visit www.websitetrafficbuilders.com
The bottom line is that most “free” domain deals are worth what you pay for them!

B. Domain Hosting – Now that you have your own domain name you need a place to host it. First check for an uptime guarantee. I suggest you do NOT even consider a hosting plan that does not guarantee at least 99.9% uptime! The cost here depends on a number of factors the most important of which are the amount of space you need for your site and some extra for future growth, monthly data transfer, statistics package for analyzing your site’s traffic, the number of email accounts available, and if you want a dedicated IP.
I would recommend for most single practices and small firms a basic package that provides approximate 2 GB of disk space, 200 GB data transfer, five email accounts and a good statistics package. The cost for such a plan should typically run about $5.50 per month when paid on a yearly basis.

C. Website Design – Again, the cost greatly depends on the site’s size requirements and design features. For the vast majority of single practitioners and small firms, the cost here should run approximately $400 to $600.
Site Maintenance – This should be very minimal for most. Contact your local Junior college for affordable assistance or if you are a hands-on person, look into Microsoft’s FrontPage. This is a very popular program with probably any feature you’ll need. Knowledge of HTML, the basic programming language of Internet websites, is not necessary.

Copyright 2005 Promotions Unlimited. All rights reserved.

ABOUT THE AUTHOR

Bob Schwartz, is the founder of Promotions Unlimited (search engine optimization) a Internet legal directory (CA, TX & Las Vegas) publisher and search engine placement technology analyst. You can contact Bob via e-mail at bob@websitetrafficbuilders.com or visit his San Diego legal directory at: www.sandiegolawyerforyou.com

Friday, September 02, 2005

Legal Blawg - San Francisco Lawyers & Attorneys

I also write a blawg. Actually, it's more of a collection of InternetTech tips/observations to inform legal (actually most regular sites as well) web site owners how to achieve improved search engine standings while avoiding the many Internet scams.

My blawg legaladvice library site. is still very much a work in progress. My legal directorySan Francisco lawyers - attorneys Directory site is the newer of our 15 legal directory sites that cover California, Texas and Las Vegas.
Please visit and check them out if you have the time.

MORE IMPORTANTLY . . .I have been watching the news about Hurricane Katrina as I am sure you have been too. My heart goes out to these people and I pray they get the assitance they need as fast as humanly possible.What makes me sick are the emails I have been receiving over the past few days from people "claiming" to help. Maybe they are sincere maybe not. I don't know.
-------------------------------------------------------------
If You Want To Help The Hurricane Efforts
-------------------------------------------------------------
Here's two links to legitimate organizations to donate you money to if you want to help.
FEMA - http://www.fema.govRed Cross - http://www.redcross.orgFeel free to pass this message on to someone else.

Help someone and donate what you can today.

Sunday, August 28, 2005

San Diego market has turned


The
San Diego real estate
market
...


After FIVE YEARS of super-heated market, a BIG down-turn has started!



Many are not aware, but from about 1990 to 1997 the average home in

San Diego home
lost 20% of its value!



For the last few months the

San Diego CA real
estate market
has taken a turn down. Homes for sale are DOUBLE
what they were a year ago. Market times are almost double also.



Ask price reductions are becoming the norm. Sure, the self-serving insiders' say
it's just a slow down or return to the norm.



But, with an average 20% appreciation in

San Diego real estate

for the last five years, plus the EZ qualification 100% adjustable mortgages, I
believe we are in for at least a 40% drop. But, San Diego will not be alone in
our real estate drop. There are many other US markets where home values have
gone up 50% plus percent over the last five years. Just as EZ as values
increased, they will drop. Plus, with the crazy 'if you have a heart beat--you
qualify' loans, the downside looks like once started it will move down fast as
many 100% buyer find the have higher loan balances than their home's value!



If anyone wants to view the current San Diego real estate activity here are a few top sites:

www.brokerforyou.com


www.downtown-san-diego-real-estate.com