John Occhi, ePRO, Hemet-San Jacinto CA Real Estate, 951-443-6259

market report: San Jacinto CA | 7/21/2009 - 8/20/2009 | CONVENTIONAL Sales and The Market

During the period between July 21^st, 2009 and August 20^th, 2009 there were 126 Single Family Residential Homes that closed escrow. My previous report in this series, market report UPDATE - San Jacinto CA Real Estate Data detailed the specifics of the market in overall terms. This segment of the San Jacinto Real Estate Market Report will look exclusively at the 21 of the 126 homes that closed escrow that were bought with CONVENTIONAL FINANCING- representing 16.67% of the entire market.

This information is to be considered useful, but please do not rely on it for any financial decisions without verifying the data for yourself. There are, of course, no guarantees to its accuracy.

This report covers both the 92582 and 92583 zip code - the only two zip codes in San Jacinto, CA which is located in the South West Riverside County area of the Inland Empire region of Southern California.

In the proceeding period (6/21/09 - 7/20/09), there were 25 CONVENTIONAL FINANCING transactions of the 110 that closed escrow; or 22.72% of all closed transactions. In this report the number of closed real estate transactions in San Jacinto, CA decreased to 21, representing only 19.09% of all real estate sold in the city from 7/21/09 through 8/20/09.

Back to the current period...

Homes sold with CONVENTIONAL FINANCING, on average for $138,271 which represented 108.51% of the List Price of $127,422. The median Sale Price was $132,000 and the median List Price of only $119,900. These homes being reviewed in this section of my report ranged in List Price from $61.900 to $169,800. The Sale Price ranged for $51,000 all the way to $190,000.

An important indicator to gauge the value of a home is the cost per square foot. In this case, the AVERAGE Cost, for homes purchased with CONVENTIONAL FINANCING reported in at $61.87 per square foot. The median value was slightly less per square foot at $60.34 (only a 2.5% difference). The median, of course, refers to the point where half of the values are above and half are below. In this case, we have one home that sold for a high of $97.86 per square foot. On the other end of the spectrum, homes started at only $41.26 per square foot. There were 2 single-family homes that sold for less than $50 a square foot. Of the 21 homes analyzed in this category, 14.29% of them (3) were sold for over $75 per square foot. Regardless if the prices are going up or not, the value in San Jacinto CA cannot be disputed!

The Average Lot size for the Average San Jacinto, CA home that sold, with CONVENTIONAL FINANCING, in this period was 7,90200 sq ft. The Average home was built in 1999. The average home has 4.1 Bedrooms, 2.43 baths and provided the homeowner with 2,234.86 square feet of living space

I always find the marketing data the most interesting. On Average, homes that sold CONVENTIONAL FINANCING only sat on the MLS for a total of 73.95 days with another 46.33 days in escrow before the title transferred to the new homebuyer. The number of photos posted to the MLS, on average was 7.00.

The reason for the nearly 47 DOM (Days on Market) had 5 homes posted to the MLS for over 180 days, 3 for over 232 days - with the longest at 269. There were 6 homes that closed escrow after being marketed for less than a week. The Median DOM was only 20.

There were 2 CONVENTIONAL LOAN Escrows that closed in 2 weeks or less and 4 that closed in 30 days or less. While the traditional escrow today is opened for 45 days, there 12 of the 21 (57.14%) took longer than that, with the longest clocking in at 84 days and another 4 that reached 60 days or more. While the Average Escrow with Conventional Financing Closed in 46.33 days The Median Days in Escrow took 49 days.

When it comes to buying San Jacinto Real Estate, Cash is King. When buyers, primarily investors, are not using cash for 100% of the purchase price the next strongest offer is with CONVENTIONAL FINANCING, which typically requires 25% cash into the deal. CONVENTIONAL FINANCING was used almost exclusively on Bank Owned Properties (REO). Of the 21 Closed Escrows during this period, 20 of them (95.24%) were sold directly by the bank with the last remainder being a Short Sale.

The last important stat that I'll look at for the AVERAGE SOLD HOME, financed with a CONVENTIONAL LOAN in San Jacinto CA from the period starting 7/21/2009 and ending 8/20/2009 is the number of pictures found in each MLS Listing. Of the 21 properties represented they each averaged 7 photos per MLS listing. Two of them had only one picture and only one listing had the maximum 20 that the MLS makes room for, while the median was 6 pictures per MLS Listing.


Do You Like this Report?

I hope that you find this snapshot interesting. This is data that is not readily available anywhere else. I spend hours each month downloading and analyzing the data based on what I feel is the most relevant. This way, when The Excellence in Real Estate Team and myself are representing a buyer we can provide factual data that applies to their personal situation and not rely on the general statistics that are published by numerous resources. If you want to watch market trends on a weekly basis - just visit the home page of my personal website - JohnOcchi.Com and subscribe to the report generated each Monday, compiled by Altos - great stuff when you get the report sent straight to your email box each week.

As is my pattern, I will generate a full series of articles based on this data where I get deep into it - looking at what is happening by both the different ways homes are financed (FHA, VA, CASH, etc) as well as the different types of transactions (Bank Owned, Short Sales, etc) that are taking place.

If you have made it this far, please leave a comment telling me what you like about this series and how you plan on using this data.

The Hemet - San Jacinto, CA real estate market has remained flat as the summer buying season came to an end.

This report wants to look back from the period covering August 21st through September 20th, 2009.

In particular we will look exclusively at the impact that bank owned homes have had on the market and how each of the four dominant finance types have an effect on the bank owned real estate transactions.

The four finance types, of course, are: Cash, Conventional - typically requiring 25% cash down by the borrower / investor, FHA which is predominately the first time home buyer market and requires a 3.5% down payment by the borrower and finally the VA Loan which limits the borrower from spending any more that $1 out of pocket for the home...including closing costs (which are often financed by the VA).

FINANCING TYPE

This chart shows that the largest percentage (43.48%) of closed transactions in San Jacinto, CA were with FHA Financing. The Cash Driven Investor market was approximatly 30% less in the number of close real estate transactions, in San Jacinto, CA during the period of 8/21 through 9/20/2009.

LIST PRICE vs. SOLD PRICE

The next chart tells an interesting story in that the investor who spots a great opportunity is not afraid to spend above list price to take advantage of the market while buyers who must rely on a more traditional finance relationship with a lender must be more concerned with the list price and the appraised value.

Bear in mind that this period is pre HVCC the new legistaltion that dictates changes in the appraisal process.

SIZE OF HOME BY FINANCING TYPE

In order to get a true feel for the market, it is important to see what type of financing is being yued for waht type of home. although all homes in this study ard detached singe family residences and do not include any condos or mobile homes, there is still a big differance. You'll see what I mean when you look at this next chart.

Do You Have a Cell Phone? Please Be Careful

I received a warning message from the local San Jacinto Chamber of Commerce. It was not clear if this incident that is being reported actually happened here in San Jacinto, CA or elsewhere. The information was posted as a warning to be careful with your cell phone.

Apparently a woman had her purse stolen and inside the purse was her cell phone along with her wallet that included all of her identification and credit cards.

It took about 20 minutes for her to report the incident to the police. When she was finished, thinking she had done the right thing, she called her husband, from a pay phone.

"Hubby" as he was labeled in the woman's cell phone asked why she was calling, that he had replied to her text with the PIN number for both the cards...and started to chastise her for not being able to keep them straight.

As soon as ‘Hubby' figured out that he had been gamed he immediately called the bank, only to find out that both accounts had already been wiped out.

The thief was able to navigate the contact list and text ‘hubby' for the pin number and clean out the bank accounts in less than 20 minutes.

MORAL OF THIS STORY

Clean up you contact list on your cell phone. Use name and not titles. Avoid names like Home, Honey, Hubby, Mom, Dad, Sweetheart and the like. I would also avoid give-a-way photos for picture caller ID. Treat your phone as if you are going to give it to the lowest slug in the human race and challenge them to steal from you.

ANOTHER REASON TO BE CAREFUL

Now, I'm not sure if this happened anywhere or not, but as I sit and contemplate the implications that this sort of crime can lead to, it gets very scary.

Lets say you have a picture of one of your girlfriends as pat of the photo ID in the contact list...and let's say the picture is very flattering. What would happen if the thief steals the phone and texts this person to meet them somewhere...especially if one of the parties is a real estate agent. I'll let your own mind wonder s to what the worst-case scenario might be.

Just please be careful with technology. It's not all innocent and precautions should be taken. If you receive a text message from a friend or family member to meet somewhere unusual, please CALL them back to confirm. At the very least, establish a secret password that you use to establish the legitimacy of the connection.

The more technology we introduce into our lives to make life easier and more fun, the easier and more fun thieves and bad people have attacking you...

At the risk of sounding redundant, PLEASE BE CAREFUL and Pass This Information on to Everyone You Care About...EVERYONE!

You Should Also Read: Do You Have a GPS? Please Be Careful

Do You Have a GPS? Please Be Careful

I received a warning message from the local San Jacinto Chamber of Commerce. It was not clear if this incident that is being reported actually happened here in San Jacinto, CA or elsewhere. The information was posted as a warning to be careful with a GPS system, particularly a mobile dash mounted type.

The story unfolds with a family attending a football game at the local high school and their car being broken into. When the family returned after an exciting 4^th Quarter, where the home team upset their cross-town rival in the last 2 minutes everyone was very pumped up and feeling pretty good...until they got to their car.

The car had been broken into and ransacked. Missing were a number of CD's, a few dollars in spare change, a pair of expensive sunglasses, the dash mounted GPS and the garage door opener.

The thieves took no time checking out the GPS for an entry called "HOME". They followed the turn-by-turn directions right to the vacant home and popped open the garage with the handy garage door opener and pulled right in, closing the door behind them.

The thieves now had complete access to the home and knew exactly how long before the victims returned home after the football game - without even taking into consideration the near hour that it took to report the crime to campus security and again to the local police.

Our victims' home was ransacked with expensive electronics, cameras, computers, jewelry, artifacts and even cash taken from the home.

THE MORAL OF THIS STORY

GPS is great for what it is intended but please don't label your locations with the obvious, such as home or work. If you do, then select the nearest major intersection as your destination. This way if you, or anyone else, want to use they system to find your way home the GPS will take you from where you are to within a few blocks of your home and you will be able to find your way easily from their. The thieves on the other hand will be stuck in the middle of an intersection trying to figure out what went wrong.


Please share this important information with everyone you know...pass it on...

You Should Also Read: Do You Have a Cell Phone? Please Be Careful

market report: San Jacinto CA | 7/21/2009 - 8/20/2009 | Cash Sales and The Market

During the period between July 21^st, 2009 and August 20^th, 2009 there were 126 Single Family Residential Homes that closed escrow. My previous report in this series, market report UPDATE - San Jacinto CA Real Estate Data detailed the specifics of the market in overall terms. This segment of the San Jacinto Real Estate Market Report will look exclusively at the 40 of the 126 homes that closed escrow that were bought with CASH - representing 30.95% of the entire market.

This information is to be considered useful, but please do not rely on it for any financial decisions without verifying the data for yourself. There are, of course, no guarantees to its accuracy.

This report covers both the 92582 and 92583 zip code - the only two zip codes in San Jacinto, CA which is located in the South West Riverside County area of the Inland Empire region of Southern California.

In the proceeding period (6/21/09 - 7/20/09), there were only 29 CASH transactions of the 110 that closed escrow; or 26.36% of all closed transactions. In this report the number of closed real estate transactions in San Jacinto, CA increased to 40, representing 30.95% of all real estate sold in the city from 7/21/09 through 8/20/09.

Back to the current period...

Homes sold with CASH, on average for $110,717 that represented 101.74% of the List Price of $108,829. The median Sale Price was $121,000 and the median List Price of only $114,900. These homes being reviewed in this section of my report ranged in List Price from $26.500 to $189,900. The Sale Price ranged for $27,100 all the way to $185,000.

An important indicator to gauge the value of a home is the cost per square foot. In this case, the AVERAGE Cost, for homes purchased with CASH has dropped to just $54.62 per square foot. The medium value was slightly less per square foot at $51.98 (nearly a 5% difference). The medium, of course, refers to the point where half of the values are above and half are below. In this case, we have one home that sold for a high of $86.94 per square foot. On the other end of the spectrum, homes started at only $31.37 per square foot. There were 5 single-family homes that sold for less than $36.01 a square foot and 15 total that came in under $50 a square foot. Of the 40 homes analyzed in this category, only 10% of them (4) were sold for over $75 per square foot. Regardless if the prices are going up or not, the value in San Jacinto CA cannot be disputed!

The Average Lot size for the Average San Jacinto, CA home that sold, for CASH, in this period was 7,600 sq ft. The Average home was built in 1991. The average home has 3.58 Bedrooms, 2.28 baths and provided the homeowner with 2,027 square feet of living space


I always find the marketing data the most interesting. On Average, homes that sold for CASH only sat on the MLS for a total of 32.35 days with another 22.93days in escrow before the title transferred to the new homebuyer. The number of photos posted to the MLS, on average was 6.88.

The reason for the nearly 33 DOM (Days on Market) had 3 homes posted to the MLS for over 100 days - with the longest at 180. There were 11 homes that closed escrow after being marketed for less than a week. The Medium DOM was only 8.

There were 7 CASH Escrows that closed in 2 weeks or less and only 10 that took over 30 days with the longest being only 40 days. The Medium Days in Escrow was only 22 days.

CASH is the preferred weapon of choice when battling for REO's in the San Jacinto Real Estate market. 34 of the 40 closed Cash Transactions were for bank owned homes in San Jacinto, CA. 3 Each were for Short Sales and good old fashioned Standards Sales.

The final stat that I'll look at for the AVERAGE SOLD HOME in San Jacinto CA from the period starting 7/21/2009 and ending 8/20/2009 is the number of pictures found in each MLS Listing. It should be noted that it is a MLS Violation NOT to have at least 1 picture posted. So why does it not surprise me that there was 8 listings with only the mandatory 1 photo. What also is no surprise is that the homes that did not have sufficient photos to properly represent a property sold for 59 cents less, per square foot than the Average Home.

Do You Like this Report?

I hope that you find this snapshot interesting. This is data that is not readily available anywhere else. I spend hours each month downloading and analyzing the data based on what I feel is the most relevant. This way, when The Excellence in Real Estate Team and myself are representing a buyer we can provide factual data that applies to their personal situation and not rely on the general statistics that are published by numerous resources. If you want to watch market trends on a weekly basis - just visit the home page of my personal website - JohnOcchi.Com and subscribe to the report generated each Monday, compiled by Altos - great stuff when you get the report sent straight to your email box each week.

As is my pattern, I will generate a full series of articles based on this data where I get deep into it - looking at what is happening by both the different ways homes are financed (FHA, VA, CASH, etc) as well as the different types of transactions (Bank Owned, Short Sales, etc) that are taking place.

If you have made it this far, please leave a comment telling me what you like about this series and how you plan on using this data.