June 2005 Newsletter Headlines

 

California median home price tops $500,000.
San Diego median home price sets new record.
The year-over-year median price increase lowest in five years.
Home prices are much more competitive in the lower ranges of each area.
Some areas still experiencing shortages of homes, especially beach areas.
Existing inventory increasing in most other areas.
New record for total listings for sale!

For the full report with charts & graphs, and our predictions for this year,
go to http://dennissmith.rereport.com/market_reports

Real Estate is a huge business nationwide. We can track the numbers on a National, Regional, Statewide, City or local area basis. The big trends are important, but prices are very local when it comes to an individual buyer or seller. What is happening in this part of the city and even this subdivision is more important that the larger picture.

It goes back to the old adage: There are 3 things that determine the value of a home: Location, Location and Location. Prices on specific properties are determined by what is happening in a relatively small geographic area. If there is a high number of listings and a low demand, prices will remain relatively flat or even go down. Conversely, low inventory and high demand will cause prices to go up. This is evident in houses and condos throughout the county. That is why I am here to help. I have all the data on all the areas of the county to help you make the best decision, buying or selling.

Local News for Buyers
The inventory has increased from last year so it is easier to find the right home. Multiple offers are still showing up on some new listings if they are priced correctly, or in areas with a shortage of homes for sale.
Number of re-sale houses & condos available in San Diego County is increasing:

Higher inventory in a many areas is giving buyers time to look around. Buyers do not have to make an immediate decision on a property unless it is new on the market and priced right. The market is still gaining in price but not as much as in pervious years.

The key to future price increases is in the interest rate. We have had a wonderful long run of historically low interest rates. This has allowed prices to rise and yet the home payment has remained relatively level. The lenders are continually developing many new programs that allow buyers to get into homes that they would not have been able to buy previously.

That equates to a buying opportunity.
Call me to get started now at 760-436-0087.

Here is what I can do for you, the buyer:
http://sandiegohomes4u.com/Home_Buyer_Services.htm

Please call me or see my site at:
http://www.sandiegohomes4u.com/MLS_Search.htm

Should you Buy Now or Wait? That depends on your cash position.
For a full report, see my recent article at:
http://sandiegohomes4u.com/buy_now_or_wait.htm

Local News for Sellers
The market has slowed and the incredible appreciation we have seen over the past two years appears to have leveled off. If you price your home in anticipation of 2-3% appreciation a month, it will be sitting there a long time. Market time is increasing. We have reached the highest amount of listings in almost a decade for San Diego County. By the time you read this, it will be over 11,000 available houses and condos. In comparison, at the bottom of the last Real Estate market in 1995, we had 19,300 listings. It was a strong buyers market. We are still a long way from that. Traditionally, we see a marked increase in listings in June. School is out and people want to sell and move during the summer.

We are about even between a buyers and a sellers market. It is expected to stay that way as long as interest rates climb slowly and stay below 7%.

Where we go from here depends on inventory levels and interest rates. Right now, inventory is up, which gives buyers more time to compare your home to others. It is also causing the marketing time to increase by 50% over last year. Some areas are going up in price and a few are flat or going down in price.

Call me to discuss:

Our Guarantees to You

Please see the Sellers Handbook at
http://sandiegohomes4u.com/WelcomeHomeSeller.htm
It also gives you information on my personal philosophy and what others say about my service.
It shows you how I aggressively advertise and promote your property.

This Month's Real Estate Articles
Click on the link to view this additional newsletter full of interesting and useful information that you will enjoy whether you are a buyer, seller, homeowner, or renter.

This month's issue includes topics such as:

Plus much more advice and information.

Daily Real Estate News NEW!

Daily Consumer News and Advice section of my Newsletter & Web Site

 

HOME SALES FORECAST TO SET RECORD IN 2005
David Lereah, NAR's chief economist, said long-term interest rates look very favorable.
http://www.rismedia.com/index.php/article/articleview/10582/1/1/

Lower-than-expected mortgage interest rates will push home sales to a fifth consecutive record in 2005, according to the latest forecast by the National Association of Realtors.

David Lereah, NAR’s chief economist, said long-term interest rates look very favorable. “Not only have mortgage interest rates declined, but an expected rise in the second half of the year will be slower than in earlier projections,” he said. “As a result, we now expect to set records for both existing and new-home sales this year.”

Lereah said the 30-year fixed-rate mortgage should rise slowly to only 6.1 percent in the fourth quarter, and reach 6.5 percent by the end of 2006. Last week, Freddie Mac reported the 30-year fixed rate dropped to 5.62 percent.

Existing-home sales are forecast to rise 1.6 percent to a total of 6.89 million this year from a record 6.78 million in 2004, while new-home sales are seen to grow by 3.2 percent to 1.24 million in 2005. At the same time, housing starts are projected to increase 3.4 percent to just over 2.02 million units, the highest level since 1973.

The national median existing-home price for all housing types is expected to rise 8.8 percent in 2005 to $201,500, while the typical new-home price should increase 5.7 percent to $233,600.

Other Information
SECRET CODES TO BYPASS VOICE MAIL - AND GET A HUMAN!
www.quickbase.com

This one is worth keeping near the phone! These clever folks have built a growing list of secret codes to get you out of the sometimes endless and always frustrating maze of clicks you encounter every day trying to reach and talk to a real person on the phone.

This great place provides by the bypass codes to get you past the phone mazes of just about all of the major banks, cell and phone companies, credit card companies, PC manufacturer support lines, shippers such as FedEx and UPS plus many more. The codes can be sorted and searched in a number of ways and contains the company name and phone number plus the short cut to by pass the insanity and go directly to a human being!

This one is a keeper

Free Real Estate Reports
We have over 20 free reports on buying, selling and more.  To view, click on the link above.

 

BUY OR SELL A HOME WITH ME, USE OUR MOVING TRUCK FREE!
FOR LIFE!
If you have EVER bought or sold a home with us...you can still use it too!
Our Truck is also available for use by Non-Profit & Community Groups.
See a picture on the web site at www.SanDiegoHomes4u.com/home.htm
Some restrictions will apply. Please contact us for more information, or to reserve the truck's use.

Nationwide Realtor Referral Service
Please contact me today if you, or someone you know, wants to buy or sell any home, anywhere.
I have a great network of top Buyers or Sellers agents, Nationwide.

I can help you with New Construction & Condo Conversions
The builder states that I must accompany you on your 1st visit to the development and before you register online, or I can not help you.  Builders make no exceptions to that rule.  There are many advantages to my assistance and it does not cost you anything.  Even if you are just curious, call us first.  We love to show model homes too.

Please, feel welcome to forward this information on to anyone who may be interested.

Thanks for reading,

Sunshine Smith, Realtor
Dennis Smith, SRES, ABR, e-PRO, Realtor

760-436-0087 or toll free at 888-668-9053