SanFrancisco: New Condos Sell Briskly
High-profile condominium projects are selling steadily in San Francisco.
Sales have risen 18.7 percent from June 2007 to June 2008, according to research firm DataQuick Information Systems.
The median price, however, fell 32.5 percent during that time to $399,000.On average, sales teams are placing about four units per month into contract, meaning buyers have submitted nonrefundable deposits, according to the Mark Co.'s August San Francisco Market Overview.
That’s about the historic average, though only around half the rate during the real estate boom, says Alan Mark, president of the San Francisco real estate marketing and research firm
.At the current rate of sales, 15 of the 35 condo projects now selling in San Francisco would be filled by the end of the year. Five more would be complete by the end of the first quarter, leaving 15 open projects and very little scheduled to come onto the market in 2009.
Sunday, August 10, 2008
Wednesday, August 6, 2008
Getting a Mortgage Tougher for Buyers
Difficulty in landing a mortgage is keeping many buyers out of the market.
At the peak of the housing boom, about 20 percent of the mortgage market was subprime, and nearly 20 percent was "Alt-A loans” or "A-minus" loans, typically offered those with good credit but with high debt-to-loan ratios or little or no proof of income. Both categories are now nearly extinct.
That means about 40 percent of the residential mortgage market has all but disappeared, according to David Olson of Wholesale Access Mortgage Research and Consulting."The underwriting has really tightened up," Olson says, "Before, if you could fog a mirror, you got a loan. Now, that's not the case.
"Nationwide, practitioners say they are encountering more potential buyers who can’t get financing. "Buyers come in with confidence, and once they have talked with a lending practitioner, it's like they've been hit over the head with a ton of bricks," says Dean Moss, an agent at Keller Williams Fox and Associates Realty in Chicago.
A study conducted using data from a Reno, Nev., multiple listing service, found that about 30 percent of sales haven’t closed after 90 days. Practitioner Guy Johnson, who analyzed the data, suggests that buyers stay on top of their loans, checking in with their lender frequently to make sure the loan for which they’ve been approved is still the same.
"A loan commitment letter," he adds, "isn't really as solid as it once was."
At the peak of the housing boom, about 20 percent of the mortgage market was subprime, and nearly 20 percent was "Alt-A loans” or "A-minus" loans, typically offered those with good credit but with high debt-to-loan ratios or little or no proof of income. Both categories are now nearly extinct.
That means about 40 percent of the residential mortgage market has all but disappeared, according to David Olson of Wholesale Access Mortgage Research and Consulting."The underwriting has really tightened up," Olson says, "Before, if you could fog a mirror, you got a loan. Now, that's not the case.
"Nationwide, practitioners say they are encountering more potential buyers who can’t get financing. "Buyers come in with confidence, and once they have talked with a lending practitioner, it's like they've been hit over the head with a ton of bricks," says Dean Moss, an agent at Keller Williams Fox and Associates Realty in Chicago.
A study conducted using data from a Reno, Nev., multiple listing service, found that about 30 percent of sales haven’t closed after 90 days. Practitioner Guy Johnson, who analyzed the data, suggests that buyers stay on top of their loans, checking in with their lender frequently to make sure the loan for which they’ve been approved is still the same.
"A loan commitment letter," he adds, "isn't really as solid as it once was."
Sunday, August 3, 2008
Thursday, July 17, 2008
San Francisco- MOST WALKABLE CITY
San Francisco, New York and Boston are the United States' most walkable cities, according to new rankings from a website that evaluates how easy it is to live in the nation's cities and neighborhoods without a car.
Walkscore.com, which uses an algorithm to identify those neighborhoods boasting the most amenities per person, published its ranking on Thursday and deemed San Francisco the most walkable city, with a "Walk Score" of 86 out of 100.
The ultimate goal is to see the site's scores included in property listings, said Mike Mathieu, founder of the company that created the site's software.
"What we see is someone calling up a broker and saying 'I want three bedrooms, two baths, a walkability score of 85, what've you got?"' Mathieu said.
Type an address, and the site generates a map showing the nearby grocery stores, cafes, movie theaters, schools and parks.
New York received a score of 83, Boston a score of 79.
Scores greater than 70 indicate neighborhoods where it's possible to get by without owning a car, while scores greater than 90 qualify communities as a "Walker's Paradise."
(Reporting by Helen Chernikoff)
Walkscore.com, which uses an algorithm to identify those neighborhoods boasting the most amenities per person, published its ranking on Thursday and deemed San Francisco the most walkable city, with a "Walk Score" of 86 out of 100.
The ultimate goal is to see the site's scores included in property listings, said Mike Mathieu, founder of the company that created the site's software.
"What we see is someone calling up a broker and saying 'I want three bedrooms, two baths, a walkability score of 85, what've you got?"' Mathieu said.
Type an address, and the site generates a map showing the nearby grocery stores, cafes, movie theaters, schools and parks.
New York received a score of 83, Boston a score of 79.
Scores greater than 70 indicate neighborhoods where it's possible to get by without owning a car, while scores greater than 90 qualify communities as a "Walker's Paradise."
(Reporting by Helen Chernikoff)
Wednesday, July 16, 2008
Home Buyers Hopeful About Market
An online survey of potential home buyers found that 44 percent believe the real estate market will improve once the new president takes office.
In the meantime, 81 percent say they remain nervous about the current market.
Respondents cite a variety of barriers to buying a home: 28 percent say they are stymied by the cost of a down payment; 20 percent are concerned about their income level, and 31 percent (39 percent in the West) say home prices are still too high.
Practical reasons motivate these potential buyers. A quarter say they need more space; 17 percent have gotten married, had a baby or experienced some other life-stage change, while 9 percent want to downsize.
Seventy-eight percent say they are willing to save or earn extra money for the down payment and are willing to compromise on amenities in their new home to make it more affordable.
In the meantime, 81 percent say they remain nervous about the current market.
Respondents cite a variety of barriers to buying a home: 28 percent say they are stymied by the cost of a down payment; 20 percent are concerned about their income level, and 31 percent (39 percent in the West) say home prices are still too high.
Practical reasons motivate these potential buyers. A quarter say they need more space; 17 percent have gotten married, had a baby or experienced some other life-stage change, while 9 percent want to downsize.
Seventy-eight percent say they are willing to save or earn extra money for the down payment and are willing to compromise on amenities in their new home to make it more affordable.
Tuesday, July 15, 2008
Top 10 Cities to Buy a Home
Financially, at least, the best places to buy houses are those where buying costs less than renting, tax incentives are attractive, and there’s an opportunity to build equity.
Forbes magazine surveyed the 40 largest metropolitan area housing metrics looking for cities where home prices have appreciated over the last two years. It also measured vacancy rates. And it gave extra points to cities where rents are significantly higher than a buyer would pay for the same home.
Texas dominated the magazine’s list because of its healthy job market and growing tax revenues.
Here are the 10 cities that topped Forbes’ best-places-to-buy list:
1-Houston
2-Austin, Texas
3-St. Louis
4-Philadelphia
5-San Antonio, Texas
6-Dallas
7-Charlotte, N.C.
8-San Francisco
9-Jacksonville, Fla.
10-Atlanta
Forbes magazine surveyed the 40 largest metropolitan area housing metrics looking for cities where home prices have appreciated over the last two years. It also measured vacancy rates. And it gave extra points to cities where rents are significantly higher than a buyer would pay for the same home.
Texas dominated the magazine’s list because of its healthy job market and growing tax revenues.
Here are the 10 cities that topped Forbes’ best-places-to-buy list:
1-Houston
2-Austin, Texas
3-St. Louis
4-Philadelphia
5-San Antonio, Texas
6-Dallas
7-Charlotte, N.C.
8-San Francisco
9-Jacksonville, Fla.
10-Atlanta
Friday, July 11, 2008
Freddie Mac- interest rates
Mortgage Rates Rise, Fall This Week
Freddie Mac reports a slight jump in the 30-year fixed mortgage rate to 6.37 percent during the week ended July 10, from 6.35 percent the prior week.
The five-year adjustable mortgage rate also moved up, climbing to 5.82 percent from 5.78 percent.
However, the 15-year fixed rate fell to 5.91 percent from 5.92 percent; and the one-year ARM was unchanged at 5.17 percent.
Freddie Mac reports a slight jump in the 30-year fixed mortgage rate to 6.37 percent during the week ended July 10, from 6.35 percent the prior week.
The five-year adjustable mortgage rate also moved up, climbing to 5.82 percent from 5.78 percent.
However, the 15-year fixed rate fell to 5.91 percent from 5.92 percent; and the one-year ARM was unchanged at 5.17 percent.
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