TRI Coldwell Banker San Francisco real estate statistics - last week in review
Our office at
TRI Coldwell Banker at 1699 Van Ness in San Francisco is one of the premier offices in the City. We have some of the top agents selling real estate in the San Francisco Bay Area. As a result, our office posts some impressive numbers.
New listings are getting better, but continue to be fewer than pending sales. As we discussed this trend continues to deplete the already lean inventory.
1/31/07- 10 new listings (average price $1,115,600)
- 16 ratified sales (pending) (average ratified price $1,065,561 - 2 confidential)
- 4 closed sales (sold) (average closed price $1,459,125)
- 1 back on the market*
This is a new category brought about by a new ruling from the San Francisco Board of Realtors. In the past a Realtor could withdraw a property and enter it as a new listing on the same day to generate new interest on a home that had become stale on the market. This method was also used to lower the price of a home without showing it as reduced.
These practices caused complaints from various sources saying that they are deceptive (read our article from September 23) and that they skewed statistics. Therefore, the board has decided that a listing must now be withdrawn or expired from the market for 30 days before it can be relisted as a new listing. Otherwise it is considered "back on the market" and retains the same MLS listing number.
- Mick Orton
Focus on San Francisco Neighborhoods -SoMa
SoMa as described on the
SFResidence neighborhood guide:
"SOMA (South of Market) is a huge district, sprawling from the Embarcadero to Eleventh Street, between Market and Townsend. The neighborhood is a patchwork of warehouses, swanky nightspots, residential hotels, art spaces, loft apartments, furniture showrooms and the tenacious Internet companies that survived the tech market collapse. Although a lot of building has gone on in recent years, it is still not densely developed. You can walk several desolate blocks before suddenly finding a hopping restaurant."
SFGate says, "This former industrial zone is in a cultural renaissance, with museums, galleries and multimedia companies reviving the area. " Read more
here.
Other features include:
- What's it like?
- Sights and Culture
- Shopping
- Restaurants
- Nightlife
For more information on other neighborhoods and street maps visit our website.
- Mick Orton
Previous Neighborhoods:
Chinatown - Bernal Heights - Castro - Cow Hollow - Diamond Heights - Fisherman's Warf - Golden Gate Park - Haight - Hayes Valley - Lake Street - Laurel Heights - The Marina - Nob Hill - Noe Valley - North Beach - Outer Richmond - Pacific Heights - Potrero Hill - Russian Hill - Sacramento Street - St. Francis Wood - Sea Cliff - Sunset - Telegraph Hill - Western Addition
San Francisco Real Estate Market Update for 1/15 - 1/21/07
Read what Rick Turley, new President of Coldwell Banker, San Francisco/Peninsula said in his latest
weekly report:
Momentum continues to gather as inventory gets sold as fast as it comes on the market in most areas. Even some wall flower listings lingering from last year are being courted by genuinely interested buyers. Most offices report that they are seeing more buyer-controlled transactions, and that sales associates are working with significantly more buyers as well.
Listing inventory remains mostly steady, so these shoppers eagerly await new listings and a wider selection to appear on the market. 15 offices reported steady listing inventory while 9 reported increasing levels and 4 indicated that inventory was decreasing.
Over 450 houses were held open last weekend to large crowds with some first showing garnering 150 to 200 visitors, and more than 50 properties received multiple offers through all price points. One home received 44 offers - but the highest offer was $25k under the list price. Those large numbers of buyers out there are serious, but they’re still looking for bargains. Fortunately, sellers are increasingly willing to negotiate as 16 offices reported steady sales activity and 11 testified to increasing sales activity. One office reported sales activity as declining.
Even our usually nay-saying media is starting to take notice of a market that is showing signs of health with headlines containing words like “stabilization,” “increasing,” and “eases up.”
- Rick Turley
* For an e-mail alert when this report is updated, send a note to info@SFResidence.com with "weekly market report" in the subject line.
Mortgage Weekly Update - Last Week in Review - Loan rates higher
Foster Weeks publishes a
weekly mortgage update which is updated every Monday morning.
...Well...like it or not, last week's economic news continued to rain on the parade for Bond prices and home loan rates. Most of the reports showed stronger than expected data and signs of a strong economy. This tends to be bad news for Bonds and home loan rates, as on the heels of good news, investors tend to pull money from safe-haven Bonds and inject them into Stocks, which have a better chance of profiting from a strong US economy. Overall, home loan rates worsened by about .125%.
Decent news on the housing front, as New Home Sales came in better than expectations, and while Existing Home Sales were slightly less than expected, both enjoyed improved paces of inventory. Looking at last year, 2006 represented the 3rd best existing home sale market on record. But the media is already putting a doom and gloom spin on the story, making a buzz about the steep drop from 2005 to 2006, and the fact that sales haven't fallen off this much year-over-year since the early 80's. But some important considerations: first, 2006 is coming off a record year in 2005, so to see a drop off in record levels is not unexpected. Second, the media is comparing the drop in year-over-year sales to the early 80's - but in 1982 the national unemployment rate was 9.7%...more than double the current unemployment rate. Many experts believe that we will look back at August 2006 as the bottom of the housing market.- Foster Weeks
Foreclosures and mortgage defaults top the news
Recently, top stories in reports from
California Association of Realtors deal with increasing mortgage defaults and foreclosures. CAR features the latest video updates about the real estate market so it would be a good idea to bookmark this page if you want
daily updates of market conditions.
- Mick Orton
Fractional real estate in San Francisco
A reader asks:I have seen the term fractional real estate used in newspaper articles, etc but do not quite understand it. Can you please explain what fractional real estate is?
Our reply:Fractional ownerships have been around awhile, particularly in vacation areas. Similar to time shares, developers have recently begun to offer these to San Francisco residents. The Ritz Carlton was one of the first to offer fractional ownerships to capitalize on the condominium market and owners who wanted to own something in the City, but didn't want the burden of owning a second home.
Carol Lloyd, of the San Francisco Chronicle, addressed the nuances of this type of ownership in her quirky January 26th
column. She likens this new real estate twist to a ordering a Starbuck's beverage:
Lately, developers have been innovating on the condo concept like it's a Starbucks beverage. Grande? Foam or no foam? Soy, 2 percent, caramel, peppermint, raspberry? Most of the new products -- like the fractional condominiums of the Ritz Carlton and the ultra-luxury condos planned for Rincon Hill -- capitalize on the abundant resources of the richest of the rich.
By introducing San Francisco to its first fractional condominiums, the Ritz Carlton Club and Residences (on sale now and slated to be finished in November) have discovered what one might consider an unlikely niche.
Sometimes referred to as high-end time shares, fractional condos allow people to buy a percentage of the property -- say, 1/12 -- which gives them access to the property one month out of the year.Unlike many of the negative articles that the San Francisco Chronicle publishes about the real estate market, this one does a good job of explaining the offering and is quite informative. There is also a site called
San Francisco New Developments which lists many of the current building projects going up in the City, some of them offering fractional ownerships.
- Mick Orton
Three simple steps to recognizing a STROKE!
Read and Learn! Sometimes symptoms of a stroke are difficult to identify. Unfortunately, the lack of awareness spells disaster. The stroke victim may suffer severe brain damage when people nearby fail to recognize the symptoms of a stroke. Now doctors say a bystander can recognize a stroke by asking three simple questions:
- Ask the individual to SMILE
- Ask the person to TALK to SPEAK A SIMPLE SENTENCE (Coherently) (I.e. . . It is sunny out today).
- Ask him or her to RAISE BOTH ARMS.
(NOTE : It has also been reported that another 'sign' of a stroke is this: Ask the person to 'stick' out their tongue. If the tongue is 'crooked', if it goes to one side or the other that is also an indication of a stroke. Though this is true, it may be harder to diagnose... better to stick to the first three suggestions.)
If he or she has trouble with ANY ONE of these tasks, call 911 immediately!! And describe the symptoms to the dispatcher.
Verified by Snopes.com
First time San Francisco homebuyers may find this market suitable for jumping in!
According to the NATIONAL ASSOCIATION OF REALTORS® (NAR), first-time homebuyers accounted for 40 percent of homes purchased in 2005. This percentage may well increase, given current market conditions that have made buying a house more affordable for many people. These new homebuyers were previously priced out of the market when home prices spiraled upward faster than income levels.
With low interest rates and plenty of great homes to choose from, this is the ideal time to encourage first-time homebuyers to come off the sidelines and jump into the market.
©2007 Coldwell Banker Real Estate Corporation.
Problems with abnormally low appraisals while refinancing
This came from the Sunday, January 7th
SFGate column by Robert Bruss. To quote:
Q: I saw an item in your column about the abnormally low appraisal on a condo refinance. As I recall, the lender's appraiser estimated a value $157,000 below that of an independent appraiser.
I had a similar experience with a lender who claims to be the nation's largest. Because I have a 745 FICO score and good income, my qualifications for the refinanced mortgage were not at issue.
The appraiser hired by the lender told me she was expected to appraise at least 10 percent below market value. But I was so shocked by how she valued my home, despite three nearby sales within the last four months for at least $35,000 more each, I demanded a reappraisal. The lender refused.
So I refused to pay the appraiser her $450 fee. I then refinanced with another lender who used an honest appraiser. Are lenders now requiring low-ball appraisals on mortgage refinances?
Helene W.
Naperville, Ill.
A: Based on your experience and other readers who responded, it appears some mortgage lenders have become ultra-cautious about appraisals for mortgage refinances.
Although it is against appraisal rules for a lender to instruct appraisers to "hit the number" or lowball appraisals, it appears that is happening.
If enough borrowers like you refuse to accept low appraisals, lenders will stop their illegal tactics.
- SFGate
Class-B Rents Surge in San Francisco
Loopnet reported today in its e-mail newsletter that class B rents are surging in San Francisco. Although this pertains to commercial buildings, rising rents for office space usually means more businesses are opening. And more businesses means more jobs with more people coming to the Bay Area to fill those jobs. This in turn leads to more houses being sold to those coming to the area. Here's the report:
Asking rents for class-B buildings in San Francisco's financial district spiked 23% in Q4, according to a report by Colliers International. Class-B buildings, well-maintained buildings constructed before 1965, had an average asking rent of $31.47/sf during the fourth quarter of 2006, a 25% increase over the average seen during the first half of 2006. A handful of class-B buildings have commanded as much as $40/sf. Typically, asking rents for class-A buildings in San Francisco run about $40/sf. Sign up to get more information
here. Basic membership is FREE.
- Mick Orton
Things to do in San Francisco - Part 6 - Exploratorium
Yahoo Travel says, "Developed by physicist Frank Oppenheimer and opened in 1969, this innovative, interactive museum behind the Palace of Fine Arts is dedicated to art, science and human perception. The hands-on displays unveil the mysteries of science and language (trace hundreds of languages through family trees!). The exhibits present theories simply and succinctly. For a different kind of hands-on experience, check out the tactile dome, a labyrinth of different textures that explorers negotiate in the dark. Seminars on quirky subjects are offered on weekends."
- Mick Orton
TRI Coldwell Banker San Francisco real estate statistics - 1/24/07
Our office at
TRI Coldwell Banker at 1699 Van Ness in San Francisco is one of the premier offices in the City. We have some of the top agents selling real estate in the San Francisco Bay Area. As a result, our office posts some impressive numbers.
Look at the numbers below and you can see that the number of ratified sales continues to outnumber the new listings. If this trend keeps up, inventories shrink. As this happens, we should begin to see more and more people competing for new homes by participating in multiple offer situations; this is what we are beginning to see. Once again market conditions show that low supply and high demand drives prices up. Watch and see what happens as the year rolls on.
Here are the numbers for this week:
11/08/06- 2 new listings (average price $758,500)
- 11 ratified sales (pending) (average ratified price $1,423,125 - 1 confidential)
- 9 closed sales (sold) (average closed price $1,031,556)
- Mick Orton
As Sellers Get More Flexible, Buyers Get a Break
David Lereah, chief economist for National Association of Realtors, was very optimistic for 2007 in his recent
article, "As Sellers Get More Flexible, Buyers Get a Break". In it he says what we were saying all last year... that there was no "bubble bursting" in San Francisco real estate, though there was a market correction. Sales were down, but there were not significant price reductions.
To quote:
...Let’s be clear, though. The sky never did actually fall in 2006— or, to use that phrase that the media love, there were no “bubbles” bursting. But air did come out of some inflated balloons. According to our National Association of REALTORS® latest estimates for last year, existing home sales were down 8.2 percent from a year earlier. Similarly, new home sales were down 17.4 percent and housing starts were down 12.5 percent. Our nation’s housing sector suffered a contraction, inhibiting overall GDP growth.But 2007 is a new year and with it brings a cautious confidence and hopefulness. Home sales appear to have bottomed out, having reached a cyclical low in September of last year. And in recent months, home sales are inching up, not down. Existing-home sales experienced two consecutive monthly, albeit modest, gains from September to November. Inventories have stabilized, with the nation’s months’ supply hovering around 7.3 months since July of last year...Read the entire article
here.
- Mick Orton
San Francisco Real Estate Market Update for 1/8 - 1/14/07
Recently, Avram Goldman stepped down as President to take a position with GMAC. Read what
Rick Turley, new President of Coldwell Banker, San Francisco/Peninsula said in his latest
weekly report:
Freezing temperatures and a three-day weekend didn’t keep savvy buyers away from our 436 open houses held last week. In fact, 16 of our offices report increased open house activity with comments ranging from “open house attendance is growing,” to “the best weekend in months,” and even “attendance continues to rock at open houses…record crowds.” If these are all buyers who buy, then “cautiously optimistic” is the buzz-phrase of the week.
According to DataQuick studies released this week, average sold prices for December ’06 were up by 3.5% over the previous year. This, in combination with tightened inventory levels in most areas, means that now really is the time to buy before prices increase further. The savvy buyers are recognizing this and are out there looking.
We normally see a flock of new listings this time of year as many sellers have held their properties off the market during the holidays. As of the first three weeks of 2007, however, we are not seeing the increase in inventories. This may play well for sellers as fewer properties available means prices should hold up well. Still, listing inventory remains fairly healthy with 11 offices reporting increasing levels, 10 reporting steady levels and 7 reported as decreasing.
Many potential buyers may still be waiting for lower prices (and warmer weather) but sales activity is increasing in 6 offices and steady in 17 offices while reported as decreasing in only 5 offices. Multiple offers are seeing a jump as well with at least 20 being reported - one of them a serious fixer that received 6 offers.
- Rick Turley* For an e-mail alert when this report is updated, send a note to info@SFResidence.com with "weekly market report" in the subject line.
Mortgage Weekly Update - Last Week in Review -
Foster Weeks does a weekly mortgage update.
- Mick Orton===================================
"Last week's economic news should have been enough to make bonds and home loan rates ...move... but they didn't... a flurry of stronger than expected economic reports hit the wires, indicating a resilient economy. Strong economic news usually spells good things for US businesses - which tends to push money out of Bonds and into the Stock market. We also know that strong economic data can point to higher inflation, which is the arch enemy of bonds. So when money flows out of the Bond market, the value of Bonds fall - and since home loan rates are tied to Bonds, this in turn causes home loan rates to rise.
"Here's a rundown of the headlines...the inflation measuring Consumer and Producer Price Indexes (CPI and PPI) both were hotter than expected, showing some lingering inflation in the economy; Housing Starts and Building Permits were both reported as better than anticipated; Initial Jobless Claims were lower than expected, indicating a strong labor market; the Philadelphia Fed Manufacturing Index was higher than estimated; and to top off the week, the Consumer Sentiment Index came in very strong - a three year high! But a closer look at the inflation numbers showed that prices are only increasing at a slightly higher pace than desired by the Fed, which keeps inflation as a concern, but not a reason to panic.
"Whew! With all this strong economic news, it's surprising that Bond prices and home loan rates just stood there." Read the current report
here.
- Foster Weeks
Focus on San Francisco Neighborhoods - Sunset
The
Sunset as described on the
SFResidence neighborhood guide:
"The Outer, Central & Inner Sunset operates like a city within a city with its tidy streets, excellent schools, and family owned businesses. The fogginess of this district hasn't discouraged the 40,000 students, young professionals, and middle-class families from nesting and/or embracing this quiet and mellow suburb."
SFGate says, "Despite gentrification and fog, it retains the laid-back feeling of a small town -- one that just happens to have a funky edge, an intriguing ethnic mix and great restaurants." Read more
here.
Other features include:
- Best time to go
- Sights and Culture
- Food & Drink
- Shopping
- Nightlife
For more information on other neighborhoods and street maps visit our website.
- Mick Orton
Previous Neighborhoods:
Chinatown - Bernal Heights - Castro - Cow Hollow - Diamond Heights - Fisherman's Warf - Golden Gate Park - Haight - Hayes Valley - Lake Street - Laurel Heights - The Marina - Nob Hill - Noe Valley - North Beach - Outer Richmond - Pacific Heights - Potrero Hill - Russian Hill - Sacramento Street - St. Francis Wood - Sea Cliff - Telegraph Hill - Western Addition
Towing questions - rules for condominiums
From the Davis-Stirling newsletter put out by
ADAMS & KESSLER LLP regarding towing rules for condominiums:
QUESTION: Do fire lanes require signage?
ANSWER: Fire lanes must be
properly marked. If the fire lane is not on public streets, i.e., it is association controlled, the board can tow vehicles without further notice and without specifically authorizing each tow (provided the association has complied with all statutory requirements).
QUESTION: Can residents tow cars that are parked in their assigned spaces?
ANSWER: The statute appears to preclude residents from towing cars without first giving 96-hours notice since owners don't have contractual relationships with towing companies and have not posted signs at the entrances. However, residents could contact the association and the association may tow the car (provided the association has complied with the
new statute).
QUESTION: Can an association demand a copy of an owner's drivers license?
ANSWER: If the association's streets are private, it can require proof that drivers are licensed to drive. Associations can also suspend driving privileges on its streets for driving infractions (if provided for in the Rules & Regulations).
QUESTION: Some of us own scooters. Previous boards let us park our scooters in a portion of the garage that doesn't interfere with foot traffic. The new board wants to charge for scooter parking. Is that legal?
ANSWER: Boards often charge rent to owners who want a storage room or a parking space for their exclusive use. However, open (unassigned) parking for bicycles and scooters in designated areas is usually provided without charge. A user fee for non-exclusive parking would probably fall under
Civ.Code §1366.1. Such fees may not exceed the amount necessary to defray the costs for which they are levied, i.e., they may not be treated as revenue streams for the association.
QUESTION: We don't have signs at our entrances. What if vehicles are not staying the full 96 hours hours but return at a later time?
ANSWER: By moving their cars around, violators can avoid being towed but that does not exempt them from fines. The violation notice on the windshield that the vehicle will be towed if not moved can also serve as a notice of fine. The board still needs to hold a
hearing before levying the fine.
- Adrian J. Adams, Esq* To subscribe to our weekly newsletter go to the bottom of our homepage, fill in your e-mail address and press the "enter" button.
Question about gains and principal residence
This came from the Sunday, January 7th
SFGate column by
Robert Bruss. To quote:
Q: I sold my principal residence in January 2006 with a capital gain of about $400,000. The same day, I bought another house using the profit as a down payment. I was single until April 2006. Mine was the only name on the title to the house that was sold. But my partner (now wife) and I had been splitting the mortgage payments for more than 24 months. It was our primary residence for more than two years before the sale. Can we file jointly and receive $500,000 capital gains tax deduction?
Tim C. - San JoseA: You can file a joint tax return because you are now married. But that won't help you increase your Internal Revenue Code 121 principal-residence-sale tax exemption above $250,000. The fact you bought another house is irrelevant.
You are entitled to a $250,000 home-sale tax exemption under IRC 121 because you owned and occupied your principal residence more than 24 months during the last 60 months before its sale.
However, your partner who also occupied the primary residence cannot qualify for a $250,000 exemption, although she paid half of the mortgage payments, because she was not married to you at the time and her name was not on the title.
- SFGate
Making home improvements pay
Realtor Magazine released its 2006 report in December showing which remodeling projects have the best return for the investment. There is a lot of great FREE information in PDF format for different cities showing the best results for that area.
To quote: Of the top 10 projects nationally measured by cost recouped at resale, seven — including the top three — are replacement projects. An upscale fiber cement siding replacement returned 88 percent of the investment. Midrange vinyl siding replacement was second at 87.2 percent, and midrange wood window replacement edged out minor kitchen remodeling for third at 85.2 percent. Only roofing replacement finished outside the top 10 projects, at 73.9 percent for a midrange job, and 72.9 percent for an upscale one.Energy efficiency in the face of high fuel prices could be a logical reason why replacement projects are high-value performers. But Charlie Gindele, president of Dial One Window Replacement Specialists, in Santa Ana, Calif., calls that a rationalization. “The thing that motivates people, by and large, is the aesthetics,” he says.To read the full report, click
here.
- Mick Orton
Once again, San Francisco Chronicle discusses Days On Market
We previously addressed the issue of "re-listing" properties to give them a fresh chance at the market. In our September 23, 2006 article we discussed the Realtors' point of view and is worth reading. Though it does specifically address the act of pulling a property and putting it back on at a lower price to avoid the "reduced" stigma the arguement is very much the same.
The January 7th
SFGate article deals with the Days on Market aspect of this same topic and has the provocative title "New life for old listings -- savvy or shady?".
To quote, "...In those ancient days of 1997, when few homes remained on the market for more than a couple of weeks, a listing with a DOM of, say, 21, suggested that the bidding wars might have passed this one by and maybe the seller would be willing to accept an offer just over the asking price..." and goes on to talk about the practice of "re-listing" as being misleading.
Decide for yourself. As far as Realtors go, we feel this practice serves the sellers' best interests for which they have a fiduciary responsibilty.
- Mick Orton
TRI Coldwell Banker San Francisco real estate statistics - last week in review
Our office at
TRI Coldwell Banker at 1699 Van Ness in San Francisco is one of the premier offices in the City. We have some of the top agents selling real estate in the San Francisco Bay Area. As a result, our office posts some impressive numbers.
The past week was lackluster with very little sales activity. Here are the numbers:
1/17/07
7 new listings (average listing price $1,383,284)
2 ratified sales (pending) (average ratified price $954,500)
3 closed sales (sold) (average sales price $2,120,000)
- Mick Orton
Turning your personal residence to rental can be a super tax break!
First American Exchange recently sent us a great tax saving tip of turning the home you own outright into a rental property if you are so inclined. Here's what they say:
"...Did you know that you can avoid paying tax on more than $500,000 of gain on your home? Many people are aware of the advantages of Internal Revenue Code Section 121, which allows a married couple to exclude up to $500,000 of gain on the sale of their personal residence ($250,000 for a single taxpayer). Although this amount of gain is generous in most areas of the country, in California and a few other states, many people expect to receive more than $500,000 of profit when they sell their home...
"... (For example) John and Mary Smith have lived in their home for twenty years. They acquired it for $100,000 and it is now worth $1 million, so if sold, they would have $900,000 of gain. If they sell it without converting it to a rental, they would be able to exclude $500,000 of gain but would have to pay state and federal capital gains tax on the additional $400,000 of gain.
"John and Mary Smith decide, however, to convert their property to a rental. After renting it for a year or two, they sell it for $1 million. Since they used the home as their personal residence at least two of the past five years, they are able to exclude $500,000 of the gain. They can then use the remaining funds to acquire replacement investment property and defer paying tax on the balance of the gain.
"In order to completely defer the remaining gain, the traditional rule is that the investor must acquire property with a fair market value equal to or greater than the relinquished property, and must invest all of the equity from the relinquished property into the replacement property. When gain has been excluded under Section 121, the amount of value and equity required is reduced by the amount of gain that was excluded..."First American publishes its own newsletter and is free to
subscribe.
- Mick Orton
SFGate BULLETIN BOARD features home buying seminars
Every Sunday, the
San Francisco Chronicle posts weekly seminars on its bulletin board. Topics are mostly real estate related and range from "First time home buyers" to "Plumbing defects". Some are FREE, some have a small fee. This week:
TUESDAYFirst-Time Home Buyer Seminar: Presented by Glauber Carvalho of Red Oak Realty, 6:30 p.m., 2099 Pleasant Valley Ave., Oakland, free, reservation required, (510) 292-2009.
WEDNESDAY
How to Purchase Profitable Properties: Presented by National Wealth Network, 6:30-9 p.m., San Ramon Marriott Hotel, 2600 Bishop Drive, San Ramon, $20, includes materials, reservation requested, (925) 855-3205.
THURSDAY
Insurance and Investment Opportunities: Presented by National Wealth Network, 6:30-9 p.m., Fremont Marriott Hotel, 46100 Landing Parkway, Fremont, $20, materials included, (925) 855-3205.
Home Buyer Seminar: Led by Matt Rohrbach of Stanford Mortgage and Martine Heyer of Keller Williams Realty, 7-8:30 p.m., First American Title, 431 Florence St., Palo Alto, free, reservation recommended, (650) 799-1662 or (650) 906-7935.
Plumbing Defects Seminar: Sponsored by the American Society of Home Inspectors, 5:30-6:30 p.m., Hs. Lordship's Restaurant, 199 Seawall Drive, Berkeley, free, (925) 784-4845.
Home Inspection Seminar: Sponsored by the American Society of Home Inspectors, 7-9 p.m., Hs. Lordship's Restaurant, 199 Seawall Drive, Berkeley, $45, includes dinner and materials, (925) 784-4845.
Lease Option Profits: Led by Jack Shea and presented by the Bay Area Wealth Builders Association, 7-10 p.m., Mill Valley Community Center, 180 Camino Alto, Mill Valley, $20, includes refreshments and materials, (707) 996-6411.
Purchasing a Home in the East Bay: Led by Bill Fletcher of Red Oak Realty and Alex Alexander of Lamorinda Funding, 7 p.m., Red Oak Realty, 2099 Pleasant Valley Road, Oakland, free, light refreshments, reservation required, (510) 292-2029.
FRIDAY
First-Time Home-Buyer Seminar: Hosted by Jason Mitchell of Cynergy Real Estate and Richard Theory of Bank of America, 6:30-8:30 p.m., 464 19th St., Suite 207, Oakland, free, refreshments included, reservation required, (510) 272-9090.
SATURDAY
Real Estate Strategies: Led by Suzanne Frank of Zephyr Real Estate, 10 a.m.-noon, 4040 24th St., San Francisco, free, reservation required, (415) 695-8805, Ext. 281.
Investment Cash Flow Analysis: Led by Enrique Villanueva and presented by EmeryNet, 9 a.m.-noon, 2350 Powell St., Emeryville, $29.95, materials included, (510) 654-0584.
- Mick Orton
New towing regulations legislation for San Francisco condominiums
The following has been reprinted from the
Davis-Stirling.com Newsletter, a publication of ADAMS & KESSLER LLP. New legislation with regard to towing cars in a condo development.
===================================
QUESTION:I live in a condo development with 73 units. There is a large community next door that uses our parking because it's closer to their front doors. I was told that because of new legislation, we can no longer tow vehicles as we have been doing.
ANSWER:What you were told is true. New legislation took effect January 1, 2007 that changes towing requirements for associations. As provided for in the new
Vehicle Code 22658, associations may tow vehicles only if:
- the vehicle has been issued a notice of parking violation, and 96 hours have elapsed since the issuance of that notice; or
- the vehicle is parked on association property and lacks any major part or equipment necessary to operate safely on the highway, such as an engine, transmission, wheels, tires, doors, windshield, etc., and the local traffic enforcement agency has been notified at least 24 hours prior to towing; or
- the association has posted towing signs at each entrance.
Signage: As noted above, associations may tow vehicles, without first issuing parking violations, if they install signs:
- in plain view at all entrances to the property,
- not less than 17" x 22" in size, with lettering not less than 1" in height,
- stating that public parking is prohibited and unauthorized vehicles will be towed at owner's expense,
- providing the telephone number of the local traffic enforcement agency, and
- providing the name and number of each company party to towing agreement with the association.
Towing Agreements: Associations should enter into written agreements with one or more towing companies (which must be listed on the towing signs) requiring them to comply with the requirements of the Vehicle Code, including:
- providing notice to the local traffic enforcement agency within 1 hour of receiving authorization by the association to tow a vehicle;
- immediately giving notice to the owner of the vehicle of the towing, the grounds for the removal, and the place to which the vehicle has towed;
- providing a copy of the notice to the proprietor of the facility (such facilities must be within a 10-mile radius of where the vehicle was removed), if the vehicle is stored in a storage facility.
Specific Authorization: Except as noted below, each time a vehicle is towed (i) the association must provide a specific signed authorization to the towing company and (ii) a representative of the association must be present when the vehicle is towed. The towing request must contain the following information:
- the make, model, vehicle identification number, and license plate number of the removed vehicle;
- the name, signature, job title, residential or business address and working telephone number of the person authorizing the removal of the vehicle;
- the grounds for the removal of the vehicle;
- the time when the vehicle was first observed parked at the private property; and
the time that authorization to tow the vehicle was given.
Exceptions to Specific Authorization: Associations may give written general authorizations to companies to tow any vehicle unlawfully parked within 15 feet of a fire hydrant or in a fire lane, or in a manner which interferes with an entrance to, or exit from, the property.
RECOMMENDATION: You should have legal counsel review your agreements with towing companies to make sure they contain sufficient safe-guards for the association. And, you should prepare towing guidelines in your Rules & Regulations.
- Adrian J. Adams, Esq.
Real estate withholding law changes for 2007
On September 22, 2006, the governor signed AB 2962. This new law amends Revenue and Taxation Code Sections 18662 and 18668, making changes to real estate withholding requirements for all transactions closing on or after January 1, 2007.
Previously it was required that 3 and 1/3 percent of the sales price be withheld from the proceeds of a real estate transaction for non-resident sellers. Now these sellers may choose between the original withholding method or an alternate method where only the capital gains rate is applied to the estimated gain. Instead of waiting until the end of the year to file and get money back, the seller just fills out the necessary forms and submits them to the title company before the close of escrow.
We encourage any seller to consult with their accountant or competent tax professional to determine the best choice for them.
More about this new law may be read
here.
- Mick Orton
Inherited property is a dump, so dump it
Here is an interesting article I saw in the
San Francisco Chronicle about inheriting property that you may not want. It was in the January 7th SFGate Q&A by Robert Bruss.
Q: My father died in 2006. He left behind six adult children. I don't think he liked me very much. So he left me his worst property, out of the 26 he owned at the time of his death. It is a vacant, vandalized slum property that was once a nice house. I checked with five nearby Realtors and they all agree it will be very difficult or impossible to sell without an extensive fix-up. They said even "vulture buyers" don't want it. There is about $7,500 of unpaid property taxes. Otherwise, it is free and clear. I don't want to fix it up, nor do I need the money from selling the property. How can I avoid getting involved?
Wally C.
Washington, D.C.
A: You can renounce your inheritance of that property by notifying the estate executor or court-appointed administrator in writing. After you renounce your inheritance of that property, it will then pass according to the terms of the will to another heir.
Be sure to do this promptly before the probate court distributes that property to you according to the terms of the will. After title transfers to you, you become the owner and getting rid of that property could be difficult.
- SFGate
10 Biggest Buyer Mistakes
Recently I found this article on
BankRate.com about the 10 biggest home-buying mistakes. I thought it would be a good article for the blog. They are:
- Not doing your homework
- Trying to make a shrewd investment
- Choosing a poor location
- Overlooking an inferior floor plan for an attractive exterior
- Overlooking how the house will function for your family
- Not having the home properly inspected in a resale
- Not checking out the builder's reputation on a new home
- Not getting what you want because you're impatient
- Waiting for a better market and interest rates
- Not buying at all
The entire article may be found here. Also read our related blog article on Renting Versus Buying.
- Christine Serventi
Pet rules for condominiums in California
From the Davis-Stirling newsletter put out by
ADAMS & KESSLER LLP regarding new pet rules for condominiums:
"
Comment: ...Our association never allowed pets, until the 2001 law and ADA. We began to allow service animals when people produced proper paperwork, and slowly the pets began to arrive. We decided to be proactive and get the upper hand on this situation. We wrote a strict set of pet rules so we could deal with the inevitable--a growing pet population. Attached is a copy of our pet rules. Feel free to use them.
"
Response: I agree with you about irresponsible pet-owners. I also agree that the best course of action is to get ahead of the problem by adopting strong rules. Thank you for your
Pet Rules. I know people will find them useful.
"
NOTE: Associations that adopt these or similar rules should seek advice of counsel to make sure the rules are appropriate to their development and governing documents."
- Adrian J. Adams, Esq
TRI Coldwell Banker San Francisco real estate statistics - this week
Our office at TRI Coldwell Banker at 1699 Van Ness in San Francisco is one of the premier offices in the City. We have some of the top agents selling real estate in the San Francisco Bay Area. As a result, our office posts some impressive numbers.
Keep in mind these numbers reflect the activity over the past 3.5 weeks while "school's been out". But the number still indicate a healthy 10 sales per week average closing over the traditionally slowest time of the year,
1/10/07
- 12 new listings (average price $1,228,000)
- 23 ratified sales (pending) (average ratified price $1,151,700 - 3 confidential)
- 37 closed sales (sold) (average closed price $1,122,000)
- Mick Orton
Do you TEXT? Some helpful abbreviations!
Though his column deals with mortgage rates and financial information, this week
Foster Weeks has this tip in his weekly newsletter, "JUST LIKE THE PROGRAMMING OF VCR'S IN YEARS PAST...THE YOUNGER GENERATION IS BYPASSING MANY OF US WITH THEIR NEW LINGO AND ABBREVIATIONS NOW FOUND EVERYWHERE, IN EMAILS, TEXT MESSAGES, INSTANT MESSENGER, MESSAGE BOARDS. AND IF YOU AREN'T ON BOARD WITH TSL (TEXTING AS A SECOND LANGUAGE), YOU MIGHT BE SOL (SORELY OUT OF LUCK).
"SO IF YOU'RE TRYING TO COMMUNICATE WITH SPEED AND EASE IN TODAY'S TECH-SAVVY WORLD, READ THIS WEEK'S MORTGAGE MARKET VIEW...AND BECOME PART OF THE ABBREVIATION NATION."
Webopedia has a pretty good list of text message abbreviations and their meanings as does
TechDictionary. For example, .02 means "my two cents worth" and :)
means "smile".
In our politically correct society where words have gotten longer (such as janitor now is "sanitation engineer"), maybe the younger generation is ready to GTTP (which means "get to the point"! I just made that one up!!!)
- Mick Orton
Credit scores and their impact
In our very first post, we addressed the issue of credit scores and how they affect favorable terms on loan rates. Yesterday,
MoneyWatch did an article which says, "Most Americans are at least aware of credit scores and the impact they can have on consumers' ability to get favorable terms on everything from a mortgage to an auto-insurance policy. The problem is, most Americans have little clue about exactly how credit scores work, prompting them to overestimate their ability to manage their credit wisely."
It goes on to explain a little about why this is and what you can do about it. We recommend you read the entire
article.
You would also do well to look at these previous article of ours, "
How can I change my credit score". In it is a link to our October
Market Report for September 2005 in which Jay Bransfield explains what goes into credit scores.
- Mick Orton
Real Estate remodels... Pod Casts
The
Money Pit is now offering its radio shows on podcast to subscribers.
"On the Air - iPod, uPod, We all Pod!iPod? uPod? We can all Pod together! Important Announcement for Podcast listeners: As you may know, The Money Pit is available for download to your iPod or other mp3 player. If you are already a Podcast subscriber, you will need to re-subscribe to the feed to receive current shows. To do so, simply go to
www.moneypit.com and follow the instructions."
- Mick Orton
35 most outrageous fees you can be charged
This was sent to us by a friend who wanted us to pass it on. It is a link to a
Money Magazine article listing 35 most outrageous fees that are charged by airlines, car rental companies, banks, mortgage companies, etc. and how you can avoid them.
- Mick Orton
Things to do in San Francisco - Part 5 - Fisherman's Warf
Yahoo Travel says, "Fisherman's Wharf remains one of San Francisco's most popular tourist destinations. The Wharf consists of a long, coast side row of seafood restaurants, street vendors, souvenir stores, and beautiful ocean scenery. Fisherman's Wharf was originally a major fishing pier, and although the fishing industry is still alive today, the main focus of this specific coastal area is its historic tourist attractions. Parking is limited on the Wharf itself, parking downtown and takinging a cable car to the Wharf is recommended. Ferry rides are offered for those who would like to visit Marin County. There are numerous attractions and great places to eat (see the other entries for Tourist Attractions and Fisherman Wharf restaurants). Wear comfortable shoes and dress in layers, even during summer months, the breeze off the ocean can be quite chilling. And take your camera. The photo opportunities are fabulous. And don't forget to visit the barking sea lions at Pier 39. The kids will love them, guaranteed!"
Part 1 - Golden Gate Bridge,
Part 2 - Alcatraz,
Part 3 - Japanese Tea Garden,
Part 4 - Cable Cars
Note to Realtors and consumers - ZILLOW now posts property listings
... But then so does
Craigslist.
The
San Francisco Board of Realtors recently reported, "
Zillow.com, the home valuation web site, is inviting real estate professionals to market homes they have listed on its site. Posting a home for sale involves creating a profile with a photo, writing a description of the property (which would include its special features and, perhaps, a message from the owners about what they love about the home), uploading photographs of the property and providing neighborhood and contact information. Because Zillow.com is an advertising-supported site, the postings are free. According to Hitwise, Zillow.com is one of the five most-visited real estate sites on the Web with three to four million people visiting the site each month."
After reading this, we went up to try and use this service to list several of our properties. Instead of using IDX which is a link to information in MLS (multiple listing service) like Realtor.com does, information had to be re-entered by hand which was very time consuming. We also found that they required information not always available from public records. For example, one of the pieces of required data is square footage.
Some recent lawsuits in San Francisco have been based on misrepresentations of square footage. Several deals have been lost because square footage was quoted which turned out to be incorrect. So Realtors may not be eager to quote that figure when showing property, let alone by putting it in print. To post it in Zillow and then represent it as accurate could be quite misleading. This is also true with two other required statistics; year built and lot size. Again these are not always available or accurate, even in public records. So to
require them to be entered before the listings can be published should be changed, in our opinion, or at least add the word "approximately" in the description to minimize agent liability.
Most Internet companies are hard to contact. But we let our feelings be known by e-mail. We will see if Zillow listens to our concerns. In the mean time, if you use this program to search for real estate, be aware that the information provided might not be accurate and should be verified before it is relied upon.
- Mick Orton
Focus on San Francisco Neighborhoods - Hayes Valley
Hayes Valley as described on the
SFResidence neighborhood guide:
"The new gentrification of Hayes Valley boast of an urbane neighborhood filled with galleries, antique shops, restaurants and book nooks. While the New Conservatory Theatre Complex, the San Francisco Performing Arts Library & Museum are all magnets for lovers of the avant-garde theater."
SFGate says, "Fifteen years ago, the thought of finding one of San Francisco's ultra-chic corridors in Hayes Valley would have been considered absurd. Like New York City's Times Square of old, the area, bordered by the Van Ness performing-arts district and the Western Addition around Laguna Street, was a seedy reminder for opera and symphony patrons of the city's homeless and drug problems. But over the past decade, Hayes Valley has developed into a haven for haute couture. Where the terms "ladies of the street" and "gentlemen of the street" once identified those who conducted an illegal exchange of various earthly sins for money, today they refer to the street's myriad window shoppers and restaurant-goers. Where the crack houses and tenements once stood, now there are trendy fashion boutiques, SoHo-style funky art galleries, high-end interior-decorating shops, top-notch restaurants and hip nightspots." Read more
here.
Other features include:
- Best time to go
- Sights and Culture
- Food & Drink
- Shopping
- Nightlife
For more information on other neighborhoods and street maps visit our website.
- Mick Orton
Previous Neighborhoods:
Chinatown - Bernal Heights - Castro - Cow Hollow - Diamond Heights - Fisherman's Warf - Golden Gate Park - Haight - Lake Street - Laurel Heights - The Marina - Nob Hill - Noe Valley - North Beach - Outer Richmond - Pacific Heights - Potrero Hill - Russian Hill - Sacramento Street - St. Francis Wood - Sea Cliff - Telegraph Hill - Western Addition
Many uses for Google Earth
On December 24, the
Mercury News reported uses for Google Earth. We found the article most interesting:
===================================
For most of the 100 million people who have downloaded Google Earth, the biggest draw is the chance to look at 3-D satellite images of their homes, neighborhoods and favorite landmarks...
...The appeal goes beyond scientists and techno geeks. An online community has popped up around the product, with members sharing their own Google Earth images, discussing the environment, current events and travel, and even posting riddles for others to solve.
``It's 100 million people doing regular people things -- `Can I see the beach at that hotel?' `My daughter is going off to school. What does it look like?' They're just curious,'' said Michael Jones, chief technologist for Google Earth. He is one of the founders of Keyhole, the Mountain View-based digital mapping company that originated the technology before Google acquired it in 2004...
Read
more.
- Christine Serventi
January San Francisco Real Estate Market Update for December 2006
Happy New Year! Our
January statistics for
December 2006 are now online. Remember, most of these sales were made in November 2006 with a 30 day close. Although numbers are lackluster, that is to be expected for this time of year. It will be interesting to see the numbers for January which will show the deals made in December. We think you will will see an interesting upward trend.
- Mick Orton
California Law May Open Solar Energy to Mainstream America
Elected officials and corporate America may finally be waking up to that fact that the world is no longer able to produce the coal and fossil fuels necessary to sustain America's energy needs, and that renewable energy holds the promise of a better future for this and future generations of Americans. For builders, this realization represents an ideal time to consider a new, profitable business model that includes solar power in new home developments. California's Million Solar Roofs Bill (SB 1), effective January 1, 2007, is the first step in what promises to be a jump start to an energy paradigm shift among property owners across the country.
"With this new law, California is on pace to becoming the Saudi Arabia of the sun," said Bernadette Del Chiaro, Clean Energy Advocate with Environment California, the leading sponsor of the Million Solar Roofs bill. "The sky is no limit when it comes to how much of our energy can come from solar power. With high energy prices, rolling blackouts, and growing air pollution problems, everyone in California will benefit from the building of a million solar roofs in the next ten years."
California Senator Kevin Murray, author of the new law, agrees with Del Chiaro. Murray, speaking at Solar Power 2006, dubbed the largest business-to-business solar energy event in the history of the United States, said that marketing solar energy to the public is essential if new laws like SB 1 are to be successful. "The technology is already here and it's reliable, but the message needs to be relayed to the general public that solar energy is not some future technology only celebrities or the extremely wealthy can afford."
Corporate America seems willing to help move that marketing effort along. Sharp Electronics Corporation, the Mahwah, N.J.-based marketing and sales subsidiary of Japan's Sharp Corporation, unveiled a new brand campaign designed to deepen the company's connection with consumers and strengthen its presence in the residential market. Together with home equity financing options through CitiMortgage and the launch of a complete Solar Racking System, Sharp's branding efforts will make solar power more accessible to consumers than ever before.
"We're honored to be the market leader in the industry, particularly during such an exciting time of accelerated growth and heightened public interest," said Marc Cortez, director of marketing, Solar Energy Solutions Group, Sharp. "It's a responsibility we take seriously by learning from and communicating with our customers, so that in turn we can offer the highest-performing and most reliable solar solutions."
Sharp's new brand identity consists of two distinct elements that address installers and individual consumers with efforts that make it easier than ever to go solar. The "It's On" portion of the campaign highlights the company's ongoing commitment to installers by providing them with new systems, tools and products that will help them grow their businesses. For example, Sharp's new Solar Racking System provides residential and commercial contractors with the unique advantage of a simplified installation, as well as improved aesthetics and superb reliability.
Sharp's "Hello, Sunshine" slogan is meant to engage and educate a growing customer base on the benefits of solar energy. A recent Roper survey commissioned by Sharp demonstrated that consumers are extremely receptive to solar power, with eight out of 10 Americans believing that homebuilders should offer solar power as an option for all new home construction. Two-thirds of those surveyed were willing to pay a premium for homes that have solar systems installed, when told that solar homes have a proven higher resale value, and one-half of respondents would spend up to 10 percent more for a solar-equipped house.
To further engage these consumers and help finance a solar installation, Sharp has teamed with CitiMortgage to offer a home equity financing program for solar energy systems. Instead of dipping into savings or applying for a standard loan through a bank, homeowners can use the equity in their homes to help offset the cost of installing solar panels on the roof.
"This conference will be the largest solar event in U.S. history. We are seeing strong participation from players outside of the traditional 'solar chain' like utilities, raw material suppliers, financiers, homebuilders, startups, and large end-users," said Julia Judd, Executive Director of the Solar Electric Power Association (SEPA) and Solar Power 2006 Conference Chair.
"A combination of factors, including the long-term commitment by California and the softening of some international markets, has made the U.S. a much more attractive market for international solar companies. We are seeing a huge increase in international participation, especially those from Germany, China and Taiwan," added Judd.
In addition to Sharp, the Home Depot and partner BP Solar, are marketing a solar system and installation program to the general public called, "Now Solar Power is as Easy as 1-2-3. " Interested parties can go online and sign up for a free, in-home consultation.
Attendance at the week-long Solar Power 2006 in San Jose, California, is expected to more than triple to about 5,000 attendees, up from 1,300 last year. Some of the biggest names in Silicon Valley were on hand, such as keynote speaker Vinod Khosla, founder of Sun Microsystems, as well as California Governor Arnold Schwarzenegger.
Solar Power 2006 is organized by SEPA and the Solar Energy Industries Association (SEIA).
Given the state of energy in America and the crises surrounding our current infrastructure, it would be a breathe of fresh air (pun intended) for my children to have to explain to their children what fossil fuels were similar to how I struggle describing how I listened to vinyl albums on record players.
- Peter Mosca Copyright © 2006 Realty Times
