With San Diego real estate moving in an upwardly direction over the past couple of months recent interest rates could slow home buying activity. Home buyers in San Diego have been, in some areas of the county, fighting over homes that come up for sale. Many San Diego home buyers have offers in on short sales and jump all over the bank owned REO foreclosures the day they hit the market. Unfortunately the bank owned REO’s already have offers on them the day they come up for sale and sometime even before they show up in the MLS.
This has many home buyers frustrated and wondering what they have to do to get a house or condo in today’s San Diego Real Estate Market. Another issue that has been waiting to rear its ugly head is interest rates. When interest rates rise home buyers see their purchasing power reduced. Keep in mind when interest rates go up the monthly payment for a homebuyer also goes up and sometimes more than what they are comfortable with. Many times the lender will have to reduce the purchase price of what the homebuyer can qualify for.
This scenario can also have a real negative effect on the real estate market in general. If a home buyer wanting to buy a home has had a certain purchase price and monthly payment in mind for a certain size and quality of home and then they’re told that they can’t buy the same home at the same monthly payment, many of them will decide not to buy. Some will wait for the homes that they were recently able to buy at a certain price range to come down into the loan amount of what the comfortable monthly payment is that they had already had their hearts set on. Some of them won’t be able to afford the same home they thought they could buy and won’t settle for less of a home now. These factors could show a decline in demand and then a decline in home prices. We’ll have to wait and see. Oh, and don’t forget about the foreclosures to keep the median home price in San Diego from gaining too much ground. There are a few years of that left.
If you need help buying a home or condo in the San Diego area make sure you contact us we’re your San Diego Realtor.
Ashlon Langley Writer and Director of The Car a 1970’s film starring James Brolin was interviewed on Shameful Cinema. I write many Blog posts about San Diego and San Diego Real Estate and after reading the Ashlon interview about this 1970 movie I thought I would deviate and write about something out of the ordinary. I like the 1970’s low budget movies without all of the special effects and outspoken actors of today’s Hollywood. Ashlon responding to a question from the interviewer Andy about the car design he said;
Ashlon: The under-cranking was reminiscent of the Adams Family and The Munsters television series, making that quality silly to me. However, the design is choice! I love that one of the confusing points for the cops in the movie is that they can’t tell what make or model the beast is. And… it has no tags! If only they could get a license plate, the bungling cops could stop all the mayhem, yeah right!
I wrote about this movie and this interview because things are also reminiscent of the 1970’s even though it’s 2009. We are now like in the early 70’s in a recession and inflation is due to rise. America has taken a hit in the pride department due to the media’s constant attack on the good things America stands for and good things the United States does for so many around the world. The 70’s brought about the 80’s and the economy started gaining ground again and Americans had a lot of good things to feel good about. Watch The Car if you can and read the Ashlon interview. It’s truly entertaining.
If you need help buying a home, condo, Bank Owned REO, Foreclosure or Short Sale in the San Diego area including Chula Vista make sure you contact us we’re your San Diego Realtor.
South Bay San Diego has been and continues to be a very hard place to buy a home. It has one of the highest amounts of REO AKA Bank Owned Foreclosures and Short Sales in San Diego County. Chula Vista Real Estate, especially homes priced $300,000 and under, is a very popular price range. I have written well over 100 offers with several clients in the South Bay and have had only 2 accepted. My clients also write good fair offers on the properties they are interested in buying.
Most of the homes in the South Bay are short sales and can stay on the market for many months and sometimes over a year. To a buyer or non savvy real estate agent, this makes it looks like there are lots of homes for sale in the MLS and on sites like Realtor.com and Trulia. The truth is that most of the homes are short sales with many offers on them and no answer in site from the bank on what they’ll accept for a sale price. Some short sales I have had offers in on have had well over 20 offers rivaling some of the REO listings with the highest I’ve seen have well over 40 offers. This market can leave many home buyers discouraged.
The rumor of the second wave of foreclosures, which is not a rumor, is on the way with the hole in the dam already gushing water and the collapse of the dam imminent. But why are the asset managers representing the banks not unloading these toxic assets faster. This is a good question and is talked about often among real estate agents and REO agents like me. The most logical and most likely among people in the know is waiting for the administration. That’s right, it’s believed by some that the banks are waiting to see if Obama will buy back the toxic assets with your tax dollars. If the banks sell the REO’s now they won’t get money from Washington. If the bank sells now they will take the loss on the home which is $100,000 or $200,000 or much more. If they wait for another bailout by Big Brother they can get the money from us “you and me” and not take a loss. Would you wait? Of course this is just talk who knows if it’s really true or going to happen.
In the mean time if you’re buying a home in South Bay San Diego be patient and don’t get discouraged. Buying a home will take time and should be considered and adventure like life itself.
If you need help buying a home or condo in the San Diego area make sure you contact us we’re your San Diego Realtor.
May 2009 - The Mortgage Reform and Anti Predatory Lending Act HR1728 passed on Thursday May 7, 2009. The House of Representatives passed the bill by a vote of 300 to 114 and is said to protect homeowners from questionable and predatory lending practices that were partially responsible for the record home foreclosures and financial crisis.
This Mortgage Reform and Anti Predatory Lending Act sets up rules to ensure that lenders make loans that mortgage borrowers can afford to pay back. The act also bans prepayment penalties on ARMs Adjustable Rate Mortgages that are the real culprit loans in the foreclosure mess. This bill will also hold accountable the secondary mortgage market for following the same rules. One lawmaker said, “The message is simple. Lenders can’t give loans to people who can’t afford them. And borrowers have to tell the truth about their finances when they apply for a loan.” Not to be disagreeing with the administration of hope but isn’t this just common sense?
Nancy Pelosi the Democratic House Speaker said, “The simple fact is that our laws and enforcement efforts did not keep pace with the complexities of a global economy and a financial industry where the greed of some trumped common sense. Insisting on responsible borrowing and lending and ensuring that borrowers enter into mortgages they can repay or refinance will help families protect their most valuable asset — their home — and guard against another financial and housing market meltdown.” I would have to ask Nancy why she didn’t do something about it, she was a lawmaker at the time and there were many economists warning the government about this.
Many San Diego home owners and potential home buyers know the facts about the San Diego housing market and its foreclosure mess. This act, although very important for protecting potential home buyers when getting a mortgage comes in way too late. The damage is already done. I think if anyone dropped the ball it was the U.S. Government and there lack of proper legislation to protect home buyers and the greed that’s within the system itself. Isn’t that what we elect them for? It’s very interesting to see where all of the elected officials got their campaign contributions, the banks and companies now getting all of our future tax dollars in the form of a so called bailout? What a joke.
If you need help buying a home or condo in the San Diego area make sure you contact us we’re your San Diego Realtor.
The Freddie Mac acting CFO David Kellermann 41 years old was found dead in his home in an apparent suicide. His wife found him in the basement Wednesday morning in Fairfax Virginia. Freddie Mac established by the US Congress in 1970 to back affordable home loans to Americans is in the middle of the mortgage meltdown. David Kellermann was hired on at Freddie Mac in 1992 and rose to the position of Acting CFO of the crumbling mortgage giant.
Our prayers go out to his family.
If you need help buying a home or condo in the San Diego area make sure you contact us we’re your San Diego Realtor.
There are many foreclosures because of the Foreclosure Moratorium that are waiting to be put on the market for sale by banks, asset managers and REO agents. The foreclosure moratorium here in San Diego County as well as most areas of the United States has kept homeowners in their homes through the 2008 holidays and then extended into 2009. Now that we’re well into 2009 there are many wondering why hasn’t the banks released the foreclosures. Many of them are vacant and the buyers are looking for new foreclosures to buy. In fact there are so many buyers here in San Diego they are starting to get discouraged in some San Diego markets and price ranges on the lack of inventory. There are also multiple offers on many homes sometimes exceeding 30 offers.
Some say the foreclosures are being held off the market because the banks are waiting to see if the Obama administration will subsidize the banks for their toxic assets. If that’s the case one of two things will happen the government “our tax dollars and our kids and grandkids tax dollars” will bailout the banks once again and then the foreclosures will come onto the San Diego market or the administration wont bail them out and the foreclosures will come on the market. Either way if this is the hold up let’s make a decision already because my buyers are getting real tired of waiting.
The word here in San Diego is that there are buyers galore and not enough homes for sale in some areas and some price ranges. Mostly first time home buyer price ranges. The inventory is filled with REO’s that are heavily damaged and needing lots of work or short sales with many offers and slow moving negotiators at banks. I HOPE by summer the Obama administration will CHANGE what’s going on.
If you need help buying a home or condo in the San Diego area make sure you contact us we’re your San Diego Realtor.
This San Diego REO has a great built in pool with spa. Bank owned San Diego REO that has it all including 5 bedroom and 4 bathrooms. Tile, wood & carpet flooring thru out, tiled fireplace in family room, ceilings fans, blinds & overhead lighting. Large, open kitchen has island with vegetable sink, lots of cabinet space, and black countertops. Great loft upstairs perfect for den, office/computer room, TV room or play area. Big backyard has pool and spa with built in, covered BBQ & a fire pit.
$366,900 in South Bay San Diego. Visit our San Diego Foreclosure Search page for all San Diego REO’s for sale.
If you need help buying a home or condo in the San Diego area make sure you contact us we’re your San Diego Realtor.
San Diego REO – South Bay San Diego REO Video – 3 story Bank Owned REO with ocean, downtown and Coronado Island views. This San Diego REO is in great condition with some really spectacular upgrades. Tile floor downstairs that is laid diagonally. Living room in entry has high ceilings and is very dramatic. The kitchen in the REO home is huge and has dark wood cabinets and granite countertops. Downstairs bedroom with private entry and full bath downstairs. Second floor has 3 bedrooms and laundry room. All bedrooms have Berber carpet and painted nicely. Master bedroom has private deck with dramatic ocean views to the San Diego coastline. This REO home has 3 stories. Top floor is a huge open area for office, game room, theater or whatever you want. Don’t miss this San Diego REO……….
$ 384,900 4 bedroom 3 bath 2,776 Square Feet built in 2005.
If you need help buying a home or condo in the San Diego area make sure you contact us we’re your San Diego Realtor.
San Diego Bank Owned REO Foreclosure with Ocean and Downtown San Diego Views! Beautiful 3 story home with many upgrades. Elegant stone flooring, gorgeous wood flooring and carpet, built in shelving in family room, and wood blinds. Huge kitchen has cherry wood cabinets and stainless steel appliances. THIRD FLOOR has HUGE loft with amazing views of the ocean and downtown San Diego. Large backyard has flagstone patio and more views. Reay to buy a San Diego Foreclosure – were ready to help.
If you need help buying a home or condo in the San Diego area make sure you contact us we’re your San Diego Realtor.
San Diego REO for Sale – Bank owned REO property in South San Diego that has it all! Spacious 5 Bedroom 4 Bathroom home offers stone flooring and carpet thru out, tiled fireplace in family room, ceiling fans, blinds and overhead lighting. Large open kitchen has island with vegetable sink, lots of cabinet space and black countertops. Great loft upstairs perfect for den, office, computer room, TV room or play area. Big backyard has pool and spa, built in covered BBQ and a fire pit. WOW! Home is close to schools and freeways. This San Diego REO home won’t last long!
If you need help buying a home or condo in the San Diego area make sure you contact us we’re your San Diego Realtor.
San Diego have been, in some areas of the county, fighting over homes that come up for sale. Many San Diego home buyers have offers in on short sales and jump all over the bank owned REO foreclosures the day they hit the market. Unfortunately the bank owned REO’s already have offers on them the day they come up for sale and sometime even before they show up in the MLS.
