Jeffrey Tung's Real Estate Blog » growing economy http://jefftung.net Realty World - Success Plans, Inc. Serving you since 1986 Mon, 30 Apr 2012 22:27:48 +0000 en hourly 1 http://wordpress.org/?v=3.3.2 More forclosures are coming http://jefftung.net/2012/04/02/more-forclosures-are-coming/ http://jefftung.net/2012/04/02/more-forclosures-are-coming/#comments Tue, 03 Apr 2012 01:48:41 +0000 Jeff Tung http://jtung.blogs.rwnetwork.com/?p=612 Home sales have declined in some areas and its due to high demand, low interest rates and a shortage of homes to buy.  This creates a change in the market place.  Not good for buyers but good for sellers.

Buyers around the bay area are going to be happy to see more homes on the market.  Currently homes that are under $400,000 are experiencing a seller’s market.  Most sellers are receiving multiple offers for their home.  Every home that I have made offers for my clients have had more then 1 offer.  One house in Hayward had 18 to 20 offers.  Another house in San Bruno had 6 offers. My listing in So. San Francisco received 2 offers above the asking price, right after my open house, and 1 was all cash.   My other listing in Pacifica received 8 offers, all over the asking price.  It’s like that all over the Bay Area.  It’s pretty discouraging for buyers today.

Maybe there is some relief coming soon.  There is a shadow inventory due to be release around summer.  I hope this will help the buyers that are trying to get into their home.

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]]> http://jefftung.net/2012/04/02/more-forclosures-are-coming/feed/ 0 Is the real estate market improving? http://jefftung.net/2012/03/20/is-the-real-estate-market-improving/ http://jefftung.net/2012/03/20/is-the-real-estate-market-improving/#comments Tue, 20 Mar 2012 23:47:45 +0000 Jeff Tung http://jtung.blogs.rwnetwork.com/?p=603 It seems like the market is improving.  Sales have been increasing and here are 8 areas that are showing signs of a recovery.

I have been experiencing a market that resembles the last seller’s market not a buyer’s market.  There is not a lot of inventory available for all of the buyers here in the Bay Area.  I have a property for sale in Pacifica, Ca, listed at $338k and received 6 offers and all above the list price.  I have been also representing buyers and making offers to purchase, but have been in bidding wars.   In San Mateo county, it would take approx. 4.1 months to sell all of the homes that are on the market compared to 4.5 months same time last year.  Where are all of the bank owned properties?

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]]> http://jefftung.net/2012/03/20/is-the-real-estate-market-improving/feed/ 4 How is your house doing? http://jefftung.net/2011/09/17/how-is-your-house-doing/ http://jefftung.net/2011/09/17/how-is-your-house-doing/#comments Sun, 18 Sep 2011 03:03:06 +0000 Jeff Tung http://jtung.blogs.rwnetwork.com/?p=546 In many areas in the nation, there are areas that are cheaper to buy a home then to rent.  You now can find a home for $100,000 in New York and through out the country including Hawaii. 

It may seem like some areas have not been affected by the economy but that is not true.   The properties that sell really quickly are usually the cream of the neighborhood.   

The Bay Area has been hit as well but not as bad as other areas.  It will be a while before we get out of this mess.

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]]> http://jefftung.net/2011/09/17/how-is-your-house-doing/feed/ 2 What will happen to interest rates? http://jefftung.net/2011/08/18/what-will-happen-to-interest-rates/ http://jefftung.net/2011/08/18/what-will-happen-to-interest-rates/#comments Thu, 18 Aug 2011 22:41:37 +0000 Jeff Tung http://jtung.blogs.rwnetwork.com/?p=534 With all of the budget problems we are going through, how will it affect interest rates?  Well according to NAR Chief Economist Lawrence Yun,  rates may increase however, there are other factors that could keep rates down. 

Right now  the rates have hit an all time low, 4.15%, and will stay low for another 2 years.  This is due to the faltering economy.  Although rates are at a all time low, sales of homes fell last month by 3.5% compared to the same time last year. 

This is an excellent time for buyers to purchase their home. 

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]]> http://jefftung.net/2011/08/18/what-will-happen-to-interest-rates/feed/ 0 How is Europe? http://jefftung.net/2011/06/06/how-is-europe/ http://jefftung.net/2011/06/06/how-is-europe/#comments Tue, 07 Jun 2011 00:41:33 +0000 Jeff Tung http://jtung.blogs.rwnetwork.com/?p=531 If you think we’re the only country facing problems, then you haven’t been paying attention to our other neighbors in Europe.  They are experiencing economical problems as well!!  In fact, their problems do help our country but it could be a sign of what can happen to the U.S.. 

If we can’t stop our spending and fix our current problems, we will be creating an economical monster for our children.  This beast will not be easily defeated.  As our problem debtors become larger (the beast), the REO housing inventory becomes larger, and will take more time to be sold off.    

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]]> http://jefftung.net/2011/06/06/how-is-europe/feed/ 3 Prices have fallen again!!! http://jefftung.net/2011/05/20/prices-have-fallen-again/ http://jefftung.net/2011/05/20/prices-have-fallen-again/#comments Sat, 21 May 2011 01:10:57 +0000 Jeff Tung http://jtung.blogs.rwnetwork.com/?p=510 Although home sales have increased, the prices have decreased in 118 markets across the country.  Prices have declined approx. 7.5% in March from a year ago.  This is the eighth straight month of declining prices.  So what’s keeping the sales going?  I believe that the low interest rates and affordable prices are keeping sales alive. 

San Francisco is showing signs of recovery along with San Mateo county.  With gas prices continuing to rise, many buyers are moving back to big cities where they don’t have to use their car.  This may be one reason why San Francisco has been experiencing a brisk recovery.        

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]]> http://jefftung.net/2011/05/20/prices-have-fallen-again/feed/ 0 How are we doing??? http://jefftung.net/2011/05/13/how-are-we-doing/ http://jefftung.net/2011/05/13/how-are-we-doing/#comments Fri, 13 May 2011 23:56:49 +0000 Jeff Tung http://jtung.blogs.rwnetwork.com/?p=506 If our government continues to ignore our budget problems that we have today, we will be in the same credit classification as Greece.  Once we loose our credibility, things will be more expensive.  Something has to be done.  

Although our budget is operating at a 60 % deficit, home sales have increased and is on track to out perform last year.  This increase is fueled by homes being more affordable, historically low interest rates, and lower unemployment, according to Lawrence Yun, NAR Chief Economist.  April did show signs of  our economy improving but the housing industry is still fragile. 

Even though we have an increase in sales, the values of the homes have dropped 3% in the first quarter of 2011, which makes this decline the largest since 2008. 

With all this going on, it’s still a great time to make that investment in the “Great American Dream”.     

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]]> http://jefftung.net/2011/05/13/how-are-we-doing/feed/ 0 REO inventory All-Time High http://jefftung.net/2011/05/05/reo-inventory-all-time-high/ http://jefftung.net/2011/05/05/reo-inventory-all-time-high/#comments Thu, 05 May 2011 23:52:38 +0000 Jeff Tung http://jtung.blogs.rwnetwork.com/?p=502 Bank owned inventory nationally grew to a record high of 2.2 million in March and foreclosures starts increased by 33% month over month.  This may sound bad but foreclosure sales have increased and delinquencies are down by 11% which is the lowest since 2008. 

Pending sales have increased which is a good sign that the demand is strong and the inventory will decrease hopefully faster then any increase.  The U.S. is expected to add  at least 750,000 new households in 2011 which is a healthy demand.  A lot of these new homeowners are a result of lower home prices that are cheaper to buy then to rent, low interest rates, and more confidence in the recovery of the economy. 

“The good news is that recent home buyers are staying well within budget, leading to exceptionally low loan default rates among home buyers over the past two years,” Yun added.

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]]> http://jefftung.net/2011/05/05/reo-inventory-all-time-high/feed/ 0 Is the market recovering? http://jefftung.net/2011/04/22/is-the-market-recovering/ http://jefftung.net/2011/04/22/is-the-market-recovering/#comments Sat, 23 Apr 2011 00:03:33 +0000 Jeff Tung http://jtung.blogs.rwnetwork.com/?p=497 Home sales rose slightly last month.  This is the sixth month in a row that home sales have increased.  Lawrence Yun, NAR chief economist, says “We’re clearly on a recovery path”.  This is a good sign and sales should continue to increase. 

There are all types of buyers out taking advantage of the market.  First time buyers purchased 33% of homes sold in March and all cash buyers purchased 35% of the homes sold, for example.  With the market current market conditions, it makes more sense to purchase a property then renting.       

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]]> http://jefftung.net/2011/04/22/is-the-market-recovering/feed/ 0 Preserve Mortgage Interest Deduction http://jefftung.net/2011/04/02/preserve-mortgage-interest-deduction/ http://jefftung.net/2011/04/02/preserve-mortgage-interest-deduction/#comments Sun, 03 Apr 2011 00:03:55 +0000 Jeff Tung http://jtung.blogs.rwnetwork.com/?p=479 There are about 78,000 homes that are either vacant and for sale, or under construction.  This is an improvement and with a normal level of buying, the homes would sell in 2 1/2 months.  The study shows that there is a housing shortage brewing.  If this happens, then it would change the market to a seller’s market and buyers will have a hard time purchasing again.  The market today is still considered a buyer’s market and there are more bargain hunters out looking for deals.  More investors are also very active making all cash purchases.  There are 6 cities that are considered to be cheaper  then renting the same house.   All this may be  history if unemployment rises, which it is decreasing today, interest rates continue to rise and become non deductible.

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