According to Realty Trac, “A total of 340,740 California properties received a foreclosure filing in the first half of 2010, the nation’s highest total but down 15 percent from the previous six months and down nearly 13 percent from the first six months of 2009.”
It is encouraging to know that the foreclosures are on a decline, however is the real estate market going to survive the next wave of REOs? I think it will as long as the interest rates stay at today’s levels, unemployment declines, and the demand for housing remains strong.
The San Francisco market is a great example. Although the hardest hit areas in San Francisco, are in the lower and medium priced homes, the home sales have increased and spurred on the sales of the more expensive areas of the city. It is expected to continue for the rest of the 2010.
I believe San Francisco and San Mateo counties’ prices have stabilized in most areas and may stay at this level until something happens with the projected increase of interest rates and foreclosures, defaulting homeowners and unemployment. Based on a study by Homegain, it is not surprising to see that homeowners and agents have different views about the market place.
FHA loans have been around for a long time, however, it is more popular these days then ever before. Borrowers can qualify for a loan with as little as 3.5% of the sales price. Here are some things to know about these types of loans. With the way the economy is today, these programs can help you.
Great news!! Congress has finally approved a extension for those of you who have been in escrow since April 30th.
Since we have been in this recession for a while now, what’s your feeling about the results from all of the government bail outs? Some areas have seen some improvement but some have not. There have been some many different programs that have been implemented to help everybody, but is it really working or are we digging a big whole, deficit, for our future generations to pay?
Even though the federal tax credit may not make a come back, there are lots of reasons why it is still a great time to purchase a property.
One of the most important factor that affects most buyers is interest rates. As the rate gets higher, the amount of money a person can qualify for would be less. Interest rates have been really low historically speaking and with the problems we are facing today, the rates will go back up. I don’t think interest rates will ever be lower then what they are today. 30 years ago, I thought I would never see rates as low as they are today. We could see rates as high as 18%, just like it was in 1981, or even more.
With all the talk about more foreclosures and short sales coming in record numbers, you might have thought about buying a home instead of renting. There are a few things to consider when you do make the purchase. Although home ownership offers a lot of benefits, (i.e. tax shelter, appreciation, etc.), it may not be a good time for you now.
Last month San Francisco’s sales price for median priced homes have increased by 11.6% from the same month the previous year. During the month, 188 single family homes were sold and 284 homes were pending. This is an increase of 27% in sales from April 2009 and 33% increase in pending properties during the same period. This is a good sign that we might be on the right track to recovery. Property values are better but they still have a long way to what they were a few years ago. This is still a good time to buy something. Prices are still very attractive, however some prices in some areas are so attractive that it is generating multiple offer situations.
Where did the year go!!!! The holidays are just around the corner and it’s time to look back and think about next year. This year has been better then last year in terms of the market. Property values have gone down so low that it has spurred a lot of buyers to purchase instead of renting. Some areas have decreased in price to what it use to be 10 years ago. The market seems to be stabilizing and the government is trying a bunch of stuff to help.
The home buyers
tax credit has been extended to April of 2010 and it has expanded the credit to existing owners too.
There is a HUD credit counseling
website, that is designed to help people that are having a hard time with their payments.
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