September 2006

For the full report with charts & graphs, and our predictions for this year,
go to http://www.sandiegohomes4u.com/RealEstateTrends.htm

The following is a long newsletter with lots of information and great links. Take a few minutes to read it or save it in your favorites for later.

As many of you know, most of my business comes from repeat & referral clients.This allows me to spend less time prospecting for new business and more time helping my buyers & Sellers. Please do your friends and me a favor. When you hear of someone who is thinking of buying or selling, anywhere in the US, call me with his or her name and phone so I can give him or her the excellent service I provide, your referrals are the highest complement you can give me.

Coming to the market soon:
1253 Cinchona – Quiet Cul-Du-Sac with quick Hwy 78 access
Single Story Estate Sale (without Probate Court approval).
After the Estate sale, cleaning & painting, it will be offered between $450K & $490K
3 Br, 2 Ba, 1260 SqFt with 2 car garage on almost ¼ acre
http://sandiegohomes4u.com/Vista_Cinchona.htm

1512 Mallorca, Vista, 92081 – Asking $499K & $530K. Sought after Mallorca area of Shadowridge in a quiet cul-de-sac. The spacious downstairs master bedroom has a cozy fireplace. Luxurious, ecological bamboo wood floors throughout the first floor except newer carpet in master & upstairs. Bright, open floor plan. 3 Bedroom, Office/optional bedroom/media room, 2.5 Bath1651 SqFt, Built in 1990.
http://sandiegohomes4u.com/Vista_Mallorca.htm

3204 Shadow Tree,  Oceanside 92054
Asking $689,500 to $729,500.  Incredible opportunity to own an Executive Home by Granite Homes, one of the areas top builders. Six bedrooms or use some as office, gym and media rooms. Two bedrooms downstairs.  Home looks and shows like new.  Incredible tropical landscape.  No HOA or Mello Roos!!! This is a MUST SEE home. Click on the link for more info and a Virtual Tour.
http://sandiegohomes4u.com/Oceanside_Shadowtree.htm

145 Roper Ct., Encinitas 92024   Asking $649K to $677K. Sought after single story, 4 bedroom, Villanitas home on the corner a quiet cul-de-sac. No busy streets, road noise or power lines. Bright, open floor plan with vaulted ceilings.  Large yard with your own oversized spa to relax in.
http://sandiegohomes4u.com/Encinitas_Roper.htm

2112 Vuelta  La Costa 92009  Asking $599K  This is a wonderful upgraded, move-in ready home, in a quiet Cul-De-Sac. The home was remodeled with new kitchen cabinets and granite countertops. Upgraded tile roof, bath cabinets, and travertine floors. The home has an easy configuration to add a second story Master Suite. Relaxing spa with swim jets. It's actually big enough for 8.
http://sandiegohomes4u.com/Carlsbad_Vuelta.htm

You can also see all the Taylor Place listings which includes several Bank Owned Foreclosures at http://tinyurl.com/j3yh3 and http://tinyurl.com/heq5d
These links will be accessable till 9/27/06

Should you Buy Now or Wait?
That depends on your cash position.
For a full report, see my recent article at:
http://sandiegohomes4u.com/buy_now_or_wait.htm

Higher inventory in many areas is giving buyers time to look around. Buyers do not feel that they have to make an immediate decision on a property unless it is new on the market and/or priced right. The market is still gaining in price in some areas of San Diego, but not as much as in previous years. 51 San Diego communities had increases and 38 had decreases over May, 2005. Price increases are not expected to continue due to the double whammy of higher interest rates and the high inventory of unsold homes.

The key to future price increases is in the interest rate. We have had a wonderful long run of historically low interest rates. This has allowed prices to rise and yet the home payment has not kept pace with the price increases. The lenders are continually developing many new programs that allow buyers to get into homes that they would not have been able to buy previously.

New loan programs are being released: 40 or 50 year amortized loans, some with the first 10 years at interest only! Conforming loan guidelines are being increased to about $370K, which will help buyers in the lower price ranges or those with smaller down payments. Please contact me for a referral to a great lender.

Some sellers are offering some type of incentive to buy their property.  And, if they are not offering, we can still ask.  They will pay your closing costs or buy down the interest rate for 1 to 5 years.  These buy downs can work with almost any loan product if the buyer has at least 5% to 10% down.

Call me to get started now at 760-436-0087.

Here is what I can do for you, the buyer:
http://sandiegohomes4u.com/Home_Buyer_Services.htm

Please call me at 760-436-0087 or view available homes on my site at:
http://www.sandiegohomes4u.com/MLS_Search.htm

The market has slowed and the incredible appreciation we have seen over the past 5 years is gone. If you price your home in anticipation of 1-3% appreciation a month, it will be sitting there a long time. Market time is increasing. It has more than quadrupled in the last 2 years. Many sellers are reducing their prices in realization of the need to be competitive, in light of the increasing inventory. Buyer showings are down in many areas.

We are in a buyers market in most of the county. As it always is, the Buyer sets the price. The Seller just says “Yes” or “No”. Many Sellers have been saying “No” and the Buyers have said “We can wait”. The Buyers drove the market prices up with their multiple offers and they will drive the market down by sitting on the sidelines till prices drop.

Where we go from here depends on inventory levels and interest rates. Right now, inventory is up significantly, which gives buyers more time to compare your home to others. It is also causing the marketing time to increase by 58% over last year. A very few areas are going up in price and most are flat or going down in price.

Sellers have to price their properties right because buyers have time to compare. A property should be in top condition when it goes on the market. This is imperative, especially the front yard and the entrance. First impressions are critical. Contact me for “40 Free or inexpensive tips to make your home show better and put more money in your pocket”

Kenneth Harney had an interesting article about sellers getting stuck on a price and getting less than they could. That is currently possible in some areas of San Diego where the inventory is ahead of the buyers. www.signonsandiego.com/uniontrib/20050904/news_1h04harney.html