Peter Nielsen

The recent REDC (Real Estate Dissolution Corp) auction near San Francisco left a lot of homes without new owners, to they are holding an online only auction to see if they can sell the remainder. There are homes that will be auctioned in the following counties, among others: Alameda (Oakland), Amador, Contra Costa, El Dorado, Lake, Sacramento, Solano and Somona. Nothing in Marin County, but if you are willing to own property a couple hour's drive away, there could be some bargains here. You can find details at http://www.auction.com/auction_details_online.php?auctionID=H-094PO. Homes can be previewed before Wednesday. If you'd like to get in to see any of these homes, you can contact me:

Peter Nielsen, Area Pro Realty, Peter@MarinRealtyExperts.com 415-472-6243.

The Marin Independent Journal reported today that the median price paid for a single family home in June 2009 was $800,000. This compares to a median price of $775,000 that I had reported for the quarter ended in June. Agents were quoted in this article that there is increasing activity in the $1-3 million range, which has been pretty moribund so far this year. You can view the IJ article at http://www.marinij.com/marinnews/ci_12851651 and you can read my Q2-2009 report at www.MarinRealtyExperts.com.

Peter Nielsen, Peter@MarinRealtyExperts.com

A friend of mine asked if I could help her get rid of a timeshare that she bought into about 3 years ago. Actually, it's not a timeshare, but a Vacation Resort Club membership with Tredwest WorldMark, which has since been acquired by Wyndham Resorts. Instead of owning a particular unit is a specific location, here you receive 12,000 points each year which you can use to stay for 7 days in any 2 bedroom fully furnished condo in any resort around the world. She bought into it with her husband ( I believe at a cost of about $25,000) to be paid off in monthly installments. Now that they are divorced, she wants to give this membership to someone that wants to step into it and take over her payments. Once paid off, you can keep your memberhip indefinitely by paying a maintenance fee of $155 per quarter.

Payments are $284/month until the remaining principal of approximately $12,000 is paid off. She has not made payments since January, so is in arrears by $2014. To take over her membership would therefore require that someone pay this amount to "catch up" on payments, and then make the monthly and quarterly payments. It sounds like this could be a good deal for someone that wants to buy into such a vacation resort club, getting in for perhaps 1/2 the price that it would normally cost. This is an opportunity to vacation at very nice resorts around the world.

Do you know of anyone that might be interested? If so, contact Peter@MarinRealtyExperts.com and I will put you in touch with the resort member to work out the details.

The Big Picture:
There have been some dramatic changes in the Marin market within the past 3 months compared witha significant shift in the market. Sales for homes priced under $750,000 have seen the most activity, comprising 56% of all sales, turning this segment from a Balanced Market to a Seller's Market, which we haven't seen in any segment for many quarters. Balance has also been restored to the ratio of condos to single family homes, with condo sales representing a more traditional 28% of all sales. The number of distressed properties (short sales and foreclosures) listed on the MLS has dropped to 120, from 163, which is helping to stabilize prices. Overall, this is a much improved picture from the first quarter, as buyers seem to be coming off the sidelines and getting back into the game.

Prices:
The median price for a single family residence in Marin in Q2-2009 was $775,000, down 29% from the same quarter a year ago but up 9% from the previous quarter. The median price for a condo was $357,000, down 24% from the same quarter a year ago but up 37% from the previous quarter.

Inventory and Time on Market:
As of July 6, 2009, there were 1,080 residential properties on the market in Marin, down from the same quarter last year when there were 1,160 homes on the market. The median time it takes to sell has dropped from 80 to 65 days on market. With 563 homes having sold this quarter, the time it would take to sell the current "inventory" has dropped to 6 months from the previous 10 months.

Buyers or Sellers Market?
It's generally considered a Buyers Market when less than 25% of listings are in escrow, a Balanced Market when 25-40% are in escrow, and a Sellers Market when more than 40% are in escrow. By this measure, it has changed from a Balanced Market to a Seller's Market for homes priced less than $750,000 (45% are in escrow). It remains a Buyer's Market for homes priced between $750,000 - $1,750,000 (20% are in escrow). And it remains a Buyer's Market for homes priced more than $1,750,000 (only 8% are in escrow).

For a complete report, including prices by town, click here: www.MarinRealtyExperts.com/Current_Market_Report.

Peter Nielsen, Peter@MarinRealtyExperts.com, 415-472-6243

It must be true that good things come in 3's. On Friday, I reported on the sale of a home I had listed in San Anselmo that closed escrow.

Monday I had another transacion close. It was a short sale in which I represented the buyers. They are a young family, first time buyers, that purchased an almost new (4-year old) 3BR/2.5BA home in San Rafael for $540,000 with $12,000 credit from the seller to cover their closing costs. The obtained FHA financing with only 3.5% down payment. With the credit from the seller, plus the $8,000 tax rebate, they purchased pretty much for zero down. It had sold when new for $762,000 in 2005.

On Tuesday, escrow closed on a home listed for $975,000 in San Rafael. This was a 5BR+office home that sold for $962,500 with conventional financing, which I had co-listed with another agent.

Now to work on my next three...