Welcome to The HomeReach.com Outlook, the weekly San Diego real estate update, exclusively for FOX San Diego. We bring you the latest local housing trends and real estate news affecting home owners and home prices across the County.
I am pleased to announce that for the 5th straight month, San Diego has seen positive growth in home sales, as compared to the same time last year. Single Family Home sales increased 5% and sales of condos, townhomes, and other attached homes increased 7%, compared to the same time last year. Another important indicator of a housing recovery is the amount of time a home spends sitting on the market before selling, and that number is down 25% from last year, meaning homes are being absorbed at a faster rate.
Home sales have received a boost from government incentives like the $8,000 tax credit for first time home buyers, radically affordable mortgage rates, FHA programs, and countless of down payment assistance programs. Then we add to that depressed home prices, which have remained mostly flat since July, and with the stock market up over 50% since the bottom, investors on the sidelines have taken this as a sign of local economic stabilization, the first sign to a housing recovery.
View San Diego Foreclosures by Area
As for inventory, foreclosure listings have all but dried up. This is largely due to the government ordered moratorium on foreclosures which was supposed to last 90 days, but was extended another 90 days, and was lifted mid-September. The idea was to place a temporary freeze on foreclosure proceedings to give home owners some breathing room, and give them a chance to refinance or consider other options. Thousands of homes have been saved from foreclosure, but even still, banks own a lot of property right now that they haven’t released, most of which will be trickled out slowly to keep housing prices in check.
It is important to note that home trends can best be studied when applied to a localized focus area, like La Jolla, Chula Vista, or Downtown San Diego specifically. In each of these submarkets, trends, inventories, and foreclosure rates vary. HomeReach.com hires agents that specialize in specific areas. Feel free to contact one of our agents to get a better idea of trends in your neighborhood. Meet A HomeReach Agent.
Stay tuned for new editions of The HomeReach.com Outlook for updated and fresh weekly San Diego Real Estate market updates and news.
Until next time, remember, at HomeReach.com, Sharing Is Caring.
David Tal,
Broker/REALTOR®/President
When buying a home let the buyer beware. You need to dig beyond the preliminary title report. When purchasing a foreclosed home be cautious of whose house it is and who you are dealing with. You want to be certain that you are dealing with all the owners, as well as with the actual owners. An endless amount of people are gaining access to foreclosed and vacant homes, acting as if they are the owners. Unsuspecting and trusting buyers and tenants are being left with nothing; having deposits, option payments and rental payments stolen. It is always a good idea to check the record title to confirm that the parties who claim to own the property actually do. A careful review of the PTR will reveal any devastating claims. When it comes to monetary liens they are often recorded against a property. The buyer needs to disapprove of all monetary liens and require that the property be free and clear of liens by the close of escrow. Keep a watchful eye when it comes to transferring of property. Make sure documentation is clear that escaped assessments are the responsibility of the seller to pay, unless the parties have negotiated otherwise. 