Making Sense in Today’s San Diego Real Estate Market
Posted by Linda Schechner | Visited 164 times, 1 so far today | Leave A Comment »
Many of us are confused by what we are reading and hearing about the Real Estate market. What do we make out of the statistics that we read and what is really happening?
When we see sales statistics in the paper, they are reporting on only that month’s sales so when we see an average sale price, it is only what has been sold that month. Also, if only be a few houses have actually closed in a particular month, it can create a misleading statistic.
Right now prices that are being reported reflect many first time buyers that are taking advantage of low interest rates, and higher conforming loan limits at Fannie Mae and Freddie Mac. They are also taking advantage of their bargaining power with sellers and banks to obtain housing. First time buyers are always a driving force to move the housing market, as this allows the step up buyers to move up.
Even borrowers with adjustable mortgages are in better shape, thanks to Fed rate cuts. Some adjustable loan borrowers might actually see their resets produce lower payments. As a result, home owners are not pressured to sell their homes at this time. This is causing many areas to have low inventories of homes on the market.
We really do not have a generic market. What we have are pockets of homes that may be short sales or are in foreclosure. Some areas have more than their share of distressed homes, while other areas are hardly affected.
Remember, the only market that counts, is what is going on in your neighborhood.
If you have any questions, or want additional information about your neighborhood, please give me a call, or drop me an e-mail.
Phone: (760) 415-7083 E-Mail Lindacbr@aol.com
