San Diego Real Estate & Mortgage Loans | Robert T. Boyer, Ph.D. | VA Home Loan

Some days you just have to make yourself a target. Today is one of those days.

I don't know about you, but I never quite got the concept of inclusionary housing. What exactly is the point of a developer trying to create an upscale neighborhood only to be forced to include a certain percentage of low income housing (or pay substantial penalties). There are very different belief systems in the two types of people and the social engineering of forcing the mixture is not necessarily a good thing.

Apparently the Oceanside City Council has decided that this mandate never really worked for them and have just recently voded to eliminate it, (according to http://blog.biasandiego.org/) stating that the

"current program is ineffective, punitive, and impedes job creation. The twenty-year-old mandate requires builders to either include low income housing in their projects or pay what Councilman Jerry Kern and others called a ‘housing tax' in excess of $10,000 for every home built."

"The BIA and other home building representatives testified that the housing tax makes potential projects economically infeasible forcing them to delay construction and preventing job creation. A majority of the council agreed pointing out that construction activity in Oceanside is at historic lows and unemployment remains in double digits."

It sounds like the council is planning on removing this "stick" and replace it with some "carrots". They intend to replace the current program with a series of incentives and regulatory reforms that will make the low income housing more economically feasible to build. All TBD.

La Jolla real estate. What a great collection of beautiful properties. I have been visiting open houses in La Jolla this last month, introducing myself to the area agents and most have been appreciative of the statistics and loan scenarios I have provided for their listings. There are a lot of La Jolla homes for sale. Below is a snapshot of the current inventory in La Jolla, CA, broken down by price range.

Green are condos and red are single family homes. For the most part, it is a strong buyer's market in La Jolla right now, with the small exception of condos in the $300-350K price range or single family homes in the $800-900K price range. In these cases, the sellers are clearly in charge.

La Jolla sellers should put their property on the market immediately to catch the spring and summer buyers because, well, if everything on the market were to sell at the same rate as last year, then it could take that long to find the right buyer.

The Rancho Bernardo, CA 92128 real estate market is reasonable to strong for detached homes. It is a strong seller's market for 62% of the detached homes and reasonable for most of the rest.

The market behavior is mixed for attached homes (e.g., condos / townhomes). For homes under $350,000 (about 85% of the attached home market), it is smoking hot. Above $350K, it is a buyer's market or tepid at best.

How long a home stays on the market is also dependent on price range. All but the cheapest condos should "fly off the shelves" in 60-days on average. For detached homes, the time on market varies substantially, from as little as one month for just over five months (ignoring the single unit which stayed on the market for 297 days).

If your home is listed for sale with an average level of competitiveness (pricing, location, & condition), then you should expect average results. To sell faster, try to improve on the price or condition.

I went to a 2+ day seminar a couple of weeks ago, put on by a company called The Career Compass. I just needed to take a moment and give them credit for an excellent and energetic presentation. I heartily recommend them for anyone in California who needs their CE. And for that matter, for anyone who wants some new ideas for improving their real estate business, regardless of whether or not you need the credits

Rates Best in 40 Years - Consider a Refinance
If your interest rate is above 5.125% and you think you will stay in your home 3+ years, then refinance now to save hundreds of dollars every month. Interest rates are hovering around their lowest in 40 years - about 4.375% for < $417,000 and 4.75% up to $697,500. Rates and terms change daily. Call Robert Boyer (858) 442-1322 to refinance.

Manipulate the Markets: Sell High - Buy Low
If you want more and you own a condo under $350,000 or a home in any price range, then sell and move up. It is a hot seller's market for your sale at top dollar and you will be looking at a much weaker, buyer's market for your purchase at a discount. To find out what you can afford, call Robert Boyer (858) 442-1322 now.

First Time Home Buyers Target End of Year Holidays
The best time of year for buyers is during the fall and winter holidays when the housing market is weakest. Let us help you target the end of the year holidays to get your offer accepted before prices make their annual jump in the first part of the year and most importantly before interest rates start to rise. To find out what you can afford, call Robert Boyer (858) 442-1322.

Mira Mesa Real Estate Market is Up Overall
Home prices are up 6% as we enter the fall / winter slowdown.
Condo prices are down 4% with substantially fewer sales.

How to interprete the data on the chart. When people talk about it being a buyer's market or a seller's market they are referring to how many homes are listed for sale compared to how many homes sold over the course of the prior 12-months. From there, you can calculate how many months it would take to sell everything that is currently listed.

I use less-than-4-months of inventory as a seller's market and above 7-months as a buyer's market and refer to the middle as a neutral market or normal market. What you see in the above chart is that it is a hot seller's market for condos under $350,000, with an excess of inventory in the $350-500K range. It is a mostly a hot seller's market for homes in all price ranges (in Mira Mesa).

If you are selling a condo in that $350-500K range, you should expect it to take quite a while to get your home sold - with average pricing. Most people would prefer a home in that price range. If you want to beat the statistics, then you are going to need to price aggressively - to make your home seem like the steal it is and be very flexible when negotiating the terms. (Doesn't mean you have to be a doormat though.)