CA Home Sales & Prices

California home sales and price edge up from July.

California home sales edged up 1.8 percent in August compared with July, but were down 14.9 percent from August 2009, C.A.R. reported today. The statewide median home price also increased 1.2 percent from July and was up 8.6 percent from a year ago.

“Buyers who are holding out should consider the opportunities in today’s market,” said C.A.R. President Steve Goddard. “Favorable home prices and interest rates at or near historic lows make housing affordability the best in recent memory. Anyone who is in a position to buy a home should do so before either of these key factors rise.”

The statewide median home price posted its 10th consecutive year-over-year gain in August. The median price of an existing, single-family detached home sold in California during August 2010 was $318,660, an 8.6 percent increase from the revised $293,400 median price recorded in August 2009, C.A.R. reported. The August 2010 median price was up 1.2 percent compared with July’s $314,850 median price.

“The housing market is transitioning from the conclusion of the housing tax credits as is evidenced by stronger home sales in the higher-price range and weaker sales in entry-level homes and condominiums, which are typically favored by first-time home buyers,” said C.A.R. Vice President and Chief Economist Leslie Appleton-Young. “As a result of the strength in the upper-end market and inventory levels that are higher but still lean by average, we’re seeing home prices holding steady.”

Sacramento County Sales Data

Latest Market Values for Sacramento.
July data is still being compiled.

Prices are dipping as expected due to the expired tax credits. Prices and interest rates are keeping the sales up. Some areas are still experiencing slight price increases due to competition. I'm expecting a normal lull this winter in activity but rates might start to edge up.

Source: C.A.R. Research and Economics Department

Median Price Jun-10: $196,215

Median Price May-10: $191,428

Median Price Jun-09: $182,400

Price Chg from Prior Mo May-10: $4,787 - 2.5%

Price Chg from Prior Yr Jun-09: $13,816 - 7.6%

Sales Chg from Prior Mo May-10: 3.5%

Sales Chg from Prior Yr Jun-09: 1.7%

Please call me if I can be of further help.

Rates to remain STEADY

Fed Won’t Change Rate Until 2012 on Labor Woes

June 23 (Bloomberg) -- The U.S. Federal Reserve will keep its key rate unchanged until 2012 because of high unemployment and low inflation, said Edward McKelvey, senior U.S. economist at Goldman Sachs Group Inc. in New York.
Goldman predicts no rate change until 2012 “because the unemployment rate is very high, because inflation is well below the Fed’s objective, and is actually drifting down,” McKelvey said in an interview with Bloomberg Television’s “Inside Track” program today. “They’re really missing on both their targets and there’s no reason to raise rates at this point.”
Fed officials, who are likely to repeat the commitment to an “extended period” of low interest rates in a Washington meeting today, are contending with joblessness that’s still close to a 26-year high. Rising foreclosures and a drop in new home sales are threatening to harm the recovery.
Weaker home sales are “the reflection of an extreme excess supply in the industry which has been apparent for several years and will persist for a while,” McKelvey said. “As long as that’s the case it’s hard to forecast significant improvement.”


- Posted using BlogPress from my iPhone

Hello Neighbors,
I just wanted to pass along some statistics.
Jim, our Broker and owner of Neighborly conducted a specific search today and here are his results. -----

I did a quick search for a client today, using some very high level criteria:

- 2000 to 2500 square feet
- $220,000 to $300,000
- 3 to 4 bedrooms
- 2 to 3 bathrooms
- 1990 or newer construction
- Single and Two stories
- Rocklin, Roseville, Granite Bay.

The results?

Not much fun.


77 homes came up in the search.
Of those 77:

- 70 are short sales!
- 1 is a HUD / HomeSteps home
- 1 is bank owned (a foreclosure)
- the other 5 are in a variety of different statuses.

Over 90% of these homes are in Short Sale status.


Buyers - THANK YOU for sticking with us as we continue to work through the short sale offer and escrow processes.

Pending Home Sales

Wow! The tax incentives have caused a flurry of Pending Home Sales in the Sacramento Metro area. Check out the graph... You have to be in contract no later than tomorrow (4.30.10) and escrow closed by June 30 to take advantage of the Fed's tax incentive.

Cheers!

Kev
- Posted using BlogPress from my iPhone

Rates are Moving Up!

Federal Mortgage Buy Back Program Ends - Interest Rates Are Moving Up

March 31st was the last day of the Federal program to buy mortgage backed securities. That is the program that has been removing the bad loan debt from the market at an enormous rate. It’s been going for well over a year now, and we know it’s been keeping mortgage interest rates artificially low.

Yesterday was the first day without this program in effect, and guess what?

We are already seeing rates jump. Yesterday they went up a quarter of a point.

Overnight? Some rates aren’t even available now. A few days ago, a client could buy down a rate to the low 4 percents. Now? We can’t even get access to those low 4 percent rates. Buying down will get you into the mid or high 4 percents.

Hmmmm.....

While movement on any day is expected, the move by the Fed in general is signaling that interest rates are going up.

While we have all expected this, to what degree they will change (go up) is anyone’s guess.

Buyers? Be alert.

Re-financing? Get busy.


Kev
- Posted using BlogPress from my iPhone

Fair Oaks Trend

Inventory is half of what it was a year ago....there's about a 5 month inventory of homes in Fair Oaks.
Sales Prices may be coming down but Sold Prices are moving up. Average Sales Price was $378K, Average Sold Price was $345K. Last year at this time Average Sales Price was $458K, Average Sold Price was $270K.


Kev
- Posted using BlogPress from my iPhone