30-Year Mortgage Rates Rise to 9-Week High

News of a second consecutive monthly increase in home construction, along with other favorable economic reports, helped push rates on 30-year mortgages to an average of 6.23 percent this week — the highest level in nine weeks, according to analysts.

A week ago, 30-year fixed loans averaged 6.21 percent, according to mortgage finance giant Freddie Mac. The improving performance of the economy means the Federal Reserve will be less likely to cut interest rates any time soon. [tags] mortgage rates, loan rates, home loans, interest rates [/tags]  downtown San Diego condos

San Diego Real Estate Buyer Incentives

Below is a typical advertisement mailed to San Diego real estate agents. I've hidden the project name and cut off the address and exterior/interior photos. I have also pointed out with red circles and arrows the huge incentives offered to move unsold inventory.

The average agent co-op commission is 2%.  Just two years ago it was hard to find any new construction where they were offering any commission! Now, the highest I've seen is 6%! On the top left of the ad below, you'll notice they are offering 5% commission!

For buyers it's even better, with HOA dues paid for one year and a $10,000 incentive on a $319,900 sale! Keep in mind, this is NOT an isolated example, but quite the norm here in San Diego real estate sales.

Are these great opportunities? They very well may be if our market turns around this spring. If not, many of today's 'great buys' could be worth a lot less a year from now! [tags] San Diego condos, San Diego real estate, real estate market, California real estate, home sales, San Diego housing, real estate bubble [/tags]    San Diego condos