Morro Bay, CA

These beautiful coastal communities are still struggling to overcome economic issues and begin a real estate rebound. Looking at single-family homes, condos, and PUDs, prices have drifted downward since the first of the year. Price per square foot has gone from $337 to $262 at the end of November.

Prices on for sale versus sold homes have been somewehat erratic. For sale prices have maintained an average in the low to mid $700,000 range, while sold home prices have jumped from $554,000 to $429,000 to $639,000, finally ending up at $452,000 at the end of November.

The big improvement, however, has been in the inventory of available homes for sale. This has dropped from a high of 12.3 months in January to about 7.5 at the end of November, signaling that the extreme buyers' market is easing off a bit. However, the situation won't really change until the inventory is below 5 months . . . a sign that a sellers' market is just around the corner.

There has been a large number of REOs and short sales to be absorbed, and with slow sales, this is taking a long time. The large gap between asking price and selling price indicates that sellers still are not biting the bullet and lowering prices to match the market, which also serves to slow sales. Hopefully, spring will see more activity in the local real estate market in Morro Bay and Cayucos.

It's okay to say "Merry Christmas"! With our anti-Christian media being fueled so strongly by enemy forces, the basic fundamentals of our faith are constantly being challenged. Children no longer take a "Christmas break" and in many schools are NOT allowed to share why they celebrate Christmas.

Sadly, Christmas is under attack like never before, as store clerks are told to say "Happy Holidays" so they won't offend non-Christians. Did you know that you have the RIGHT to say "Merry Christmas" and it's a positive message!

Buttons and stickers available now for a nominal donation at https://store.afa.net/c-23-merry-christmas-buttons-and-glossy-stickers.aspx -

Order before the holidays so you have plenty of time to spread the good news message!

The post office "agrees that their agency does not have a sustainable business model" and may default on a pension plan payment due next month. Read below for the full article...

"Postal Service may default on a $5.5 billion trust fund payment" by Paul Courson

Washington (CNN) -- The U.S. Postal Service does not have the money to meet an obligation to a retiree health care trust fund coming due at the end of the month, but if there's a default, officials promise no interruption in the mail, the payroll or payments to suppliers.

Commenting in response to a New York Times article Monday suggesting that the Postal Service may have to shut down within months, spokeswoman Yvonne Yoerger said there's "nothing actually new in the Postal Service's position."

"We are required to make this $5.5 billion payment into the future retiree health benefits fund and probably won't be able to make it when it comes due September 30th."

The fund was mandated by a 2006 postal reform act that postal officials today believe does not match the reality of declining revenues and a smaller work force. Tuesday, congressional lawmakers will address the matter in a hearing on postal operations.

Yoerger said at that hearing, Postmaster General Patrick Donahoe will insist that the fund be re-scaled from the days when there were 900,000 people on the payroll. The mandated funding level has not changed in the years since then, although the Postal Service has trimmed 250,000 jobs.

She said "the fact is, no other government agency and few corporations in the private sector are required to fund retiree health benefits 75 years out."

The newspaper quoted U.S. Sen. Thomas Carper, D-Delaware, as saying the financial problems are so dire the Postal Service may close this year.

Yoerger agrees that her agency does not have a sustainable business model but stopped short of saying a shutdown is possible. One answer is to adjust those mandated payments.

"We want to have the pre-funding mandate eliminated and have the money already paid into it used for those purposes" of covering health care benefits for future retirees. She said, "We've overpaid into our retirement funds, and we'd like some of those overpayments refunded and used for future funding."

She acknowledged the basis for the advance payments were mandated in 2006 because lawmakers wanted assurances that the Postal Service could cover benefits for its future pensioners.

In addition to relief from the future retiree payment mandate, Yoerger said the proposed business plan of the Postal Service would include a combination of closing post offices, expanding joint ventures with private industry and changes in how often you get the mail.

"Right now we are required to deliver six days a week," she said, "if it can go to five days a week, as proposed, we could better match the declining volume of mail."

For more info about this article:

http://www.cnn.com/2011/US/09/05/postal.default/index.html?iref=NS1