April San Francisco Real Estate Market Update for March 2007
Because the last day for recording sales was yesterday, we are publishing the numbers early. And we think you will be impressed with what you see.
Indications are that we are poised for a great spring market. Low inventory and high demand create the environment for multiple and preemptive offers where properties are sold for well over the asking price. This could be a great time to sell!The number of Single Family Homes sold for March increased significantly from February in San Francisco Real Estate. The average listing and selling prices were both much higher than the previous month and much higher than a year ago. The average selling price was over 103% of the average listing price. The average days on the market dropped to 41, lower than the previous month.
The number of Condominiums sold in March also increased dramatically from February in the San Francisco Real Estate Market. The average selling price was over 100% of the average listing price. The average selling price was higher than last month but slightly lower than a year ago. The average days on the market dropped to 51, lower than the previous month.
The number of homes sold in the Overall Sales category for March in San Francisco Real Estate increased from February but was lower than a year ago. The average selling price was over 102% of the average listing price, and higher compared to last month as well as a year ago. The average days on the market dropped to 49, lower than the previous month.See the
March 2007 statistics
here.
- Janis Stone
Things to do in San Francisco - Part 14 - Asian Art Museum
The Asian Art Museum is one of the largest museums in the Western world devoted exclusively to Asian art. Its holdings include nearly 15,000 treasures spanning 6,000 years of history, representing cultures throughout Asia. The museum's new home is the result of the rehabilitation and adaptive reuse of the city's former Main Library, a 1917 beaux arts–style building. Renowned architect Gae Aulenti oversaw the dramatic transformation of the building—now featuring 40,000 square feet of gallery space—allowing the museum to better fulfill its mission of leading a diverse global audience in discovering the unique material, aesthetic, and intellectual achievements of Asian art and culture.Admission: $10 Adults; $7 Seniors (65+); $6 Students; Children Under 12, Free
200 Larkin Street
San Francisco, CA 94102-4734
+1 415 668 8921
pr@asianart.orgOpen Hours10am-5pm Tues.-Sun.; Thur.10am-9pm; Mon. Closed
http://www.asianart.orgNeighborhood:
Civic Center- Mick Orton
Part 1 - Golden Gate Bridge,
Part 2 - Alcatraz,
Part 3 - Japanese Tea Garden,
Part 4 - Cable Cars,
Part 5 - Fisherman's Warf,
Part 6 - Exploratorium,
Part 7 - Mission Dolores,
Part 8 - San Francisco Museum of Modern Art,
Part 9 - Lombard Street,
Part 10 - Giants Stadium,
Part 11 - Mission Cliffs Rock Climbing Center,
Part 12 - Beach Blanket Babylon,
Part 13 - Palace of Fine Arts
TRI Coldwell Banker San Francisco real estate statistics - last week in review
SFResidence is part of the
TRI Coldwell Banker office at 1699 Van Ness in San Francisco is one of the premier offices in the City and has the market share numbers to prove it. 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.
Do we really have to say it again? Look at last week's
market report from the President of Coldwell Banker San Francisco/Peninsula and you will see in the middle paragraph that multiple and preemptive offers are becoming the rule rather than the exception for San Francisco real estate.
Inventory is low, and continues to shrink. As pending sales outpaced new listings 2 to 1 in our office, we can't stress enough the importance of market timing to get the best price for your property. Just as we don't know how long interest rates are going to stay at historic lows, we can not predict when the market will become saturated with new listings making more competition for buyers and working to your disadvantage as a seller.
Here are the numbers for last week:
3/28/07- 8 new listings (average price $2,195,250)
- 16 ratified sales (pending) (average ratified price $1,109,438)
- 14 closed sales (sold) (average closed price $1,389,107)
- 1 reduced ($599,000)
- Janis Stone
San Francisco introduces 311 for 24x7 information
On March 29th, the City will unveil its new "311" call center for San Francisco services. Instead of solving problems like homelessness, crime or even potholes in streets, Mayor Newsome has chosen to focus his attentoin on building a new call center where you can speak to a live operator 24x7 for any City business except "911" calls.
The San Francisco Board of Realtors newsletter reports,"
...San Franciscans will no longer have to find their way through a maze of over 2,000 city telephone numbers for the service they need—all they'll have to do is dial 911 for emergencies and 311 for everything else.
"The newly-constructed center will provide state-of-the-art call customer relationship management technology and serves as a back-up 911 center in the event of a service disruption at the primary 911 center. The center is being integrated into city departments. So, for example, not only can you call to report trash on your corner, the 311 Center can track a ticket through to resolution, notify a citizen by e-mail when it's picked-up, and for the first time provide real data to policy-makers and the public on how timely the city's response rates are for street cleaning requests citywide."
Good news for us? We'll see.
- Mick Orton
San Francisco Real Estate Market Update for 3/12 - 3/18/07
Read what Rick Turley, President of Coldwell Banker, San Francisco/Peninsula said in his latest
weekly report:
The hot-and-cold-running microclimates of the past few weeks have apparently started to temper geographically. The typical spring onslaught of listings remains hesitant this year, though there has been a refreshing, if slight, up-tick in inventory in most areas. Most areas are also seeing stale inventory starting to sell, and not just due to price reductions but also to the limited selection available to buyers that are getting weary of the hunt.
While San Francisco and most of the Peninsula remain ravenous for homes to show and sell in all price categories, Burlingame, Castro Valley, Danville, Livermore, Oakland, Orinda, Redwood City, Santa Rosa, San Carlos and Woodside/Portola Valley all report an upswing in inventory coming on the market and are feeling more balanced activity.
Multiple offer situations are finally slowing down a bit, though upper-tier homes (and virtually anything in San Francisco) are continuing to see an increase in multiple and pre-emptive offers. There were 12 offers on a Portola Valley listing priced at $2,995,000. One Burlingame home that was listed at $1,388,000 had 13 offers and closed at $1,801,000. Reports from the North Bay indicate that the luxury market over $2 million is particularly hot in Greenbrae, Corte Madera, Larkspur and Ross, and Novato notes momentum in high-end sales as well. A Mill Valley tear-down priced at $800,000 sold significantly over asking and, in San Francisco, some high-end pre-emptives are going pre-MLS.
We held an increased number of homes open, over 540, and they were all well-attended. Some Sebastopol opens reported over 40 groups going through and a San Mateo Park home had over 100 groups in attendance. San Francisco Agents were noticing that it was difficult to get in and out of open houses in Noe Valley due to the number of people out looking!
All in all, things continue to bode well for spring with listing inventory remaining steady for 14 offices, increasing for 14 and decreasing in only 2. Sales activity remains steady in 18 offices, increased for 5 offices and declined for 7. Over 220 offers were ratified and more than 70 multiple offer situations occurred. We may have lost an hour of sleep, but we gained an extra hour of daylight to get those homes ready for the market.- 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 - Will rates be going down?
Foster Weeks publishes a
weekly mortgage report which is updated every Monday morning.
...the whole financial world anxiously sat on the edge of their seats this week, waiting to see what the Fed had in store following their most recent meeting. But no surprises to have been worried about - as expected, the Fed decided to hold the Fed Funds Rate steady at 5.25%. But they did make a subtle change in the carefully crafted wording of their Policy Statement, which suggested that a rate cut may be more likely than a hike as their next move down the road. However, the Fed also said that Core inflation remains above their comfort level...and the Fed will not cut rates as long as this remains true. The Fed's mission is to fight inflation, period. And until their favored measure of inflation, the Core Personal Consumption Expenditure Index dips below 2% for a few consecutive months, don't expect to see a Fed rate cut anytime soon.Mixed news from the housing front, in the form of new construction Housing Starts bouncing higher, yet new Building Permits moving lower. Existing Home Sales rose somewhat unexpectedly in February, marking the largest monthly gain since March 2004 and the highest pace of sales was the highest since April of 2006. Overall, not bad reports, considering how the media still wearily beats away on their housing bubble drum. But it wasn't all great news - overall sales are off 3% from last year, the inventory of existing homes on the market rose slightly to a 6.7 month supply, and the median price of a home declined slightly to $212,800. Many experts feel it is likely the housing market saw its worst days during August of last year, but although stabilizing, the housing market still has a ways to go... Read
more.
- Foster Weeks
Funding condominium reserves
To receive the Davis-Stirling newsletter click
here. Enter your e-mail address at the bottom of the page to sign up.
A reader asks: When 100% funding is referred to, what exactly does it mean?
Our reply: The definition of 100% funding is confusing to many people. If your reserve study states that you need to replace your roof in 10 years at a cost of $100,000, "fully funded" does not mean that you have $100,000 today. It means that you have $10,000 in the bank this year, $20,000 next year, $30,000 the following year, and so on until you have $100,000 on year 10 when the roof is scheduled for replacement.- Adrian J. Adams, Esq. ADAMS & KESSLER LLP
Things to do in San Francisco - Part 13 - Palace of Fine Arts
Yahoo Travel says this about the Palace of Fine Arts:
Constructed as a temporary attraction for the 1915 Pan-Pacific International Exhibition, this Grecian temple of a monument continues to enchant and enhance the city. The original plaster, which made up the bulk of the monuments exterior, has been gradually replaced with funds raised by bond measures and the donations from the Marinas well-heeled residents who were loath to lose such a graceful part of their landscape. Swans in the adjoining lagoon glide by the soaring ochre-tinted colonnades and the imposing dome ringed with panels of centaurs and warriors engaged in battle over nubile maidens. Those column-top statues of sorrowing maidens turned away from prying eyes are using their tears to water the long-gone oaks that originally stood in the planters that they surround. Stroll inside the dome, clap your hands and marvel at the uncanny acoustics, then enjoy a picnic lunch on one of the park benches scattered to provide an unparalleled view of this gem.3301 Lyon StreetSan Francisco, CA 94123-1002
+1 415 563-6504
info@palaceoffinearts.orgOpen Hours 6a-9p M-Su
http://www.palaceoffinearts.orgNeighborhood:
Marina- Mick OrtonPart 1 - Golden Gate Bridge,
Part 2 - Alcatraz,
Part 3 - Japanese Tea Garden,
Part 4 - Cable Cars,
Part 5 - Fisherman's Warf,
Part 6 - Exploratorium,
Part 7 - Mission Dolores,
Part 8 - San Francisco Museum of Modern Art,
Part 9 - Lombard Street,
Part 10 - Giants Stadium,
Part 11 - Mission Cliffs Rock Climbing Center,
Part 12 - Beach Blanket Babylon
Fed holds interest rates! What does that mean for San Francisco real estate?
On Wednesday, the Fed announced that it would hold the federal funds rate at 5 1/4 percent. Though they think inflation is elevated more than they would like, other economic indicators convinced them to do nothing for now. As a result, expect home loan rates to remain relatively stable. Read the press release
here.
- Mick Orton
Co-op dues more expensive than condos in San Francisco
A reader asks:Why are co-op dues generally more expensive than condos?
Our reply:Often co-op dues are more than condos because there are more services and more employees. In the past co-ops used to have more services as in a doorman or management services. There are also extra costs due to management services and the additional bookkeeping since the corporation owns the building and the stockholders have a lease to occupy the units.
- Janis Stone
TRI Coldwell Banker San Francisco real estate statistics - last week in review
SFResidence is part of the TRI Coldwell Banker office at 1699 Van Ness in San Francisco is one of the premier offices in the City and has the market share numbers to prove it. 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.
You are probably going to say, "Tell us something we don't already know." But again it is the case where ratified sales outpaced our new listings by almost 1 and 1/2 times. Did we mention inventory is already unusually low for this time of year? So in response to these figures, multiple offers are more the rule than the exception. We are seeing very few price reductions. The opportunity may never be greater to have your property listed and get this much exposure!
With that said, here are the numbers for last week:
3/21/07- 10 new listings (average price $1,979,100)
- 24 ratified sales (pending - average ratified price $1,715,565 - 1 confidential)
- 20 closed sales (sold - average closed price $1,159,950)
- 2 reduced (1 for $699,000 and 1 for $369,000)
- Janis Stone
San Francisco Real Estate Market Update for 3/5 - 3/11/07
Read what Rick Turley, President of Coldwell Banker, San Francisco/Peninsula said in his latest
weekly report:
It was beautiful and warm everywhere in the Bay Area last week, but the real estate market continues to have some microclimates that are actually sizzling! Buyers are out “kicking tires” in every area, causing multiple offer situations to escalate, especially in the City and on the Peninsula. Woodside/Portola Valley reports that most agents are in multiple offer presentations with some prices going 10 to 15 % over asking. San Francisco notes that the number of offers in multiple situations is climbing higher each week, now seeing 6-13 offers on many properties. Southern Marin offices are seeing multiples becoming commonplace on properties listed for over $2 million. Areas of Fremont are seeing 4 to 10 offers per listing.
Pre-emptive offers are increasing which makes for a successful and faster property sale – with a downside that they are keeping much need inventory from coming to the market. In San Francisco, sales for the most part still outnumber listings, especially in the upper-tier market and neighborhoods. Contra Costa County and areas of Alameda County are experiencing a very balanced market where inventory has seen some stabilization, although some very hot micro-markets exist.
Listing inventory is increasing according to 12 office reports, steady for 17, and only decreasing in one office. Sales activity continues to increase for 11 offices and remains steady for 13 - decreasing for 6. Of the reporting offices who tracked the number of multiple offers which occurred for the week, more than half of the offices reported that over 50% of their total sales were in a multiple offer situation.
The media is taking a detour with their focus on the subprime mortgage crisis. No doubt - this is a very serious situation nationwide involving a particular sector of lending - but it should be kept in context for what it is. It is not a primary driver of our local real estate activity and health. Buyers and Sellers alike should be encouraged by another headline found in this Sunday’s Chronicle: “Mortgage rates are lowest since mid-December”. What a great time to move 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 - Another week of more of the same
Foster Weeks publishes a
weekly mortgage report which is updated every Monday morning.
...last week, you couldn't watch the financial news for longer than a few minutes without hearing about the "subprime meltdown", talking about a certain type of home loan experiencing heavy rates of default and foreclosure, and what the potential consequences might be on the US economy. Although subprime lending only represents a very small portion of home loans overall, the doom-and-gloom-loving media was loving it, busy forecasting a financial disaster for the economy. While this is a bit overblown, there certainly will be some ramifications, so be sure to read this week's Mortgage Market View below, to know what you should expect, and what you can do now. Overall, the news and hype did worry investors, and both Stocks and Bonds experienced an increase in volatility...but home loan rates ended up very close to where they started for the week....The week ahead holds a few real headliner news items, including a new round of housing data to sift through, including Housing Starts and Building Permits on Tuesday, and Existing Home Sales next Friday. But the financial highlight of the week will be the Fed Meeting and resulting Policy Statement. There has been rumors of a Fed Funds Rate cut to help the housing market or to smooth out the subprime home loan problem...but don't believe it. The Fed's main charge is to control inflation, period. And they will only consider cutting rates if the core rate of inflation, as measured by the Personal Consumption Expenditure (PCE) Index, falls below 2% for a few consecutive months. The latest Core PCE was 2.3%, so don't look for Home Equity Lines of Credit or other adjustable home loan rates that are tied to the Fed's movements to be dropping anytime soon... Read
more.
- Foster Weeks
Things to do in San Francisco - Part 12 - Beach Blanket Babylon
From their
website:
Steve Silver's BEACH BLANKET BABYLON is the longest running, hit musical revue in theatre history. The Show premiered at the Savoy Tivoliin San Francisco's North Beach, June, 1974. It is a zany musical spoof of pop culture with extravagant costumes and outrageously huge hats. The Show's immediate popularity forced it to move to larger quarters at Club Fugazi, a North Beach landmark, where it eventually found a permanent home. Now in its 30th year of sold-out performances, BEACH BLANKET BABYLON is an internationally acclaimed San Francisco institution...678 Green StreetSan Francisco, CA 94133-3878
+1 415 421 4222 (Box Office) / +1 421 6788 (Sales)
bbb@beachblanketbabylon.comOpen Hours
Performances: 8p W-Th, 7p & 10p F & Sa, 1p & 4p Su
http://www.beachblanketbabylon.comNeighborhood:
North Beach- Mick OrtonPart 1 - Golden Gate Bridge,
Part 2 - Alcatraz,
Part 3 - Japanese Tea Garden,
Part 4 - Cable Cars,
Part 5 - Fisherman's Warf,
Part 6 - Exploratorium,
Part 7 - Mission Dolores,
Part 8 - San Francisco Museum of Modern Art,
Part 9 - Lombard Street,
Part 10 - Giants Stadium,
Part 11 - Mission Cliffs Rock Climbing Center
Overcoming buyers remorse with San Francisco real estate
A reader asks:I am considering buying a home in San Francisco, but have all these fears that I will make the wrong choice or that once I am in, I won't be able to afford it. How can I get past this?
Our reply:What you are experiencing is not uncommon, whether it is before you buy or after. If you had already purchased it would be called "buyer's remorse". And there are 5 things you can do to help you feel more comfortable with the decision.
- See a lot of houses. Make sure you get a good idea of your needs and wants, write them down and compare them to the features of each property you look at. Of course, when there is a lot of inventory on the market this step is easier. But if you have what you want firmly fixed in your mind, it will make it easier to decide if you happen to find that "stale" listing with the features you want. In such a case, you might be able to negotiate a better price, even in a seller's market.
- Make sure you have been preapproved with a lender. Running the numbers will give you tremendous confidence that you are buying something you can afford.
- Talk to friends and family who can help you reinforce your decision. Janis Stone has developed a property test that she puts in her open house booklets. It helps buyers to rate properties when they are out seeing so many open houses. The Excel spreadsheet can be downloaded here by right clicking this link and choosing "save target as" on your desktop. Print it out and rate the properties as soon as you leave the open house.
- Make it personal. Picture changes you would make once you owned the home. Thinking about things you might do to add value or "make it your own" will go far to giving you confidence that this it the right house or condo for you.
- Don't over-think it! Tony Robbins calls it "looping" where you keep running different scenarios over and over again in your mind, never making a decision to do anything. If you've done your homework, you can be confident that your choice is perfect... for now. After all, no decision has to be permanent unless you want it to be.
MarketWatch by Dow Jones has a nice article covering these points in its latest "weekend edition" which may be found here. It is about "buyers remorse", but we think you can see how it can apply to your situation as well.
Good luck.
- Mick Orton
If you are delinquent, call lender
Back in February, the
San Francisco Chronicle had an article by Robert Bruss who is a regular contributor. The subject was late mortgage payments. Though it didn't seem appropriate at the time, more and more we are hearing of problems with loan defaults because of the sub prime lenders' loose policies toward qualifying borrowers. Here is part of the Q&A which was found there:
Q: I am four months late on my mortgage payments because of a job loss. Now I am in the process of foreclosure. What are my options? I am back working again but do not have all the money yet to catch up on my monthly payments. Any advice?
Jawanna P.
Sacramento
A: Don't bury your head in the sand, as many borrowers who are in mortgage default do. Instead, call your mortgage lender immediately. Explain your situation politely. Ask for a forbearance and a loan workout plan. That is presuming you can now afford to pay at least the regular monthly mortgage payment. Ask that your unpaid mortgage payments, probably totaling several thousand dollars, be added to your mortgage principal. The result will extend your mortgage by several months but then your mortgage can be reinstated in good standing with the lender.Lenders do not want to foreclose. They lose money on virtually every foreclosure. But lenders will insist their borrowers make the monthly payments on time. If you are unable to resume the regular monthly payments, then ask the mortgage lender for time to sell your home to pay off the balance. But do everything you can to avoid a foreclosure sale.Read more
here.
- Mick Orton
TRI Coldwell Banker San Francisco real estate statistics - last week in review
SFResidence is part of the TRI Coldwell Banker office at 1699 Van Ness in San Francisco is one of the premier offices in the City and has the market share numbers to prove it. 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.
Redundant is not a strong enough word about this week's report. For weeks, the message has been the same. With ratified sales outpacing new listings, the inventory is quickly drying up. Reports of multiple offers on properties that were sitting on the market last winter is more and more common. As we have said before, preemptive offers are becoming more popular to avoid a bidding war. All across the country, Realtors are complaining of down markets. Not so in San Francisco, mostly fueled by few listings and many buyers; low supply and high demand is the order of the day. And with this climate, it is not uncommon to see homes sell for 10% over the asking price. If you are thinking of selling NOW might be the time to put your house on the market! There is less competition for sellers and puts you in the driver's seat!
Here are the numbers for last week:
3/14/076 new listings (average price $1,655,167)
19 ratified sales (pending - average ratified price $1,348,099 - 2 confidential) 15 closed sales (sold - average closed price $1,544,533)- Janis Stone
Studios in San Francisco
A reader asks: In the San Francisco market can studios be a good investment?
Our reply:Depending on the location and the demographics of the particular area, studios can be a good way to get into the market. However, resale of studios can be more difficult since the pool of buyers for studios is smaller than for larger units.
Even so, San Francisco is an area where people want to have a place to use occasionally when they are coming into the City, so studios can serve this purpose. Lofts are another form of studio since they usually do not have a separate bedroom-- just a loft over the living area for a bed. So if you have a studio and can make a private sleeping area you will have a wider market for resale. In fact, this is a good rule of thumb for most properties; if value can be added, any size unit can be a good investment.
- Janis Stone
San Francisco Real Estate Market Update for 2/26 - 3/4/07
Read what Rick Turley, President of Coldwell Banker, San Francisco/Peninsula said in his latest
weekly report:
Inventory is not increasing at the rate it typically does in March. The number of pages in our MLS tour sheets is a good indicator, and they are decreasing in both the SF and Peninsula MLS’s this week. We’re hearing of new listings in the pipeline for many of our offices; however we appear to have plenty of Buyers already lined up for these new properties once they come online. In some respects, it’s a good problem to have. Having just returned from our International Business Conference and meeting with the CB presidents from all over the US, most metros would love to have this problem. My take is the market feels “healthy” in the majority of the metro areas, but none seem to be experiencing the sizzling Buyer demand we have in the Bay Area for well-priced, good condition homes. The typical drivers for a healthy market are in place: low interest rates, low unemployment, consumer confidence index is steady – in spite of a recent world-wide stock market drop. Add to that the limited housing we have in the Bay Area, and we should continue to see robust activity at least through the 2nd quarter, provided we have listings to sell.Multiple offer situations dominate the conversation in most of our offices. Along with the obvious benefits of multiple-Buyer demand, comes the responsibility of educating the Seller on the best method to deal with this level of activity. It’s also important to over-communicate with the agents of Buyers who have an interest in our listings. Pre-emptive offers are more common now, and as the Seller must be the one who decides how to deal with these opportunities, it remains our responsibility to communicate the game plan with all the possible players.
In the $1-2 million range (where inventory still seems to be the tightest) homes are getting anywhere from two to 12 offers. Berkeley indicates that 75% of their sales were in multiple offer situations, and in San Francisco’s Westwood Park, a “contractor’s special” received 33 offers – 22 of which were all cash. In Palo Alto, practically anything on the market for less than $2 million is receiving multiple offers. Listing inventory overall decreased for 6 offices, remained steady for 11 and increased in 10. Sales activity continues its upswing with 15 offices reporting an increase, 10 seeing steady activity, and only 2 reporting a decline.
We get an extra hour of daylight now - let’s hope homeowners put it to good use in whipping their homes into shape for a quick Springtime sale. Let’s also make sure we’re taking full advantage of our Princeton partners, getting our Buyers pre-approved and underwritten in advance, for a super-clean offer.- 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 - Improving but ending the week where they started
Foster Weeks publishes a
weekly mortgage report which is updated every Monday morning. In spite of all the dire warnings on the economy of people like Greenspan and homebuilding giant, Donald Timnitz, interest rates remained low. Here in San Francisco the real estate market is beginning to look like the "old" days... multiple offers over asking price.
...Alan Greenspan... recently celebrated his 81st birthday by stating that the there is a 33% chance of a recession later this year. And if that weren't enough to get frightened over, a meltdown of sub-prime mortgage lenders grabbed most of the headlines.
Although 97,000 new jobs created in February is not a scary number, it was less than expectations from the Department of Labor. The Unemployment Rate did fall to 4.5%, and Average Hourly Earnings rose more than anticipated to $17.16, but fears of inflation from these numbers spooked bonds into a Friday sell-off.
Mortgage Bonds and home loan rates had been improving earlier in the week, but the overall strong economic tone of Friday's Jobs Report erased the gains that had been made, leaving rates at essentially the same place they started on Monday.
Bonds started the week off to the plus side due to investor fears about the economy, which caused money to be parked over in the "safe haven" of low-risk Bonds...thereby benefiting home loan rates. The fears were broader than the sub-prime headlines and Greenspan warning. They included evidence of economic slowdown in the US as well as China... Read
more.
- Foster Weeks
Spring Forward!
In case you forgot, today is the first day of the new daylight savings time. Don't forget to move all your clocks forward one hour.
- Mick Orton
New site for Realtors and home buyers alike
There is a new real estate resource for San Francisco called
SFNewsletter blog. Most of the site is membership driven, however, you can receive a FREE newsletter weekly with real estate stats from California Association of Realtors, plus there is also a new listing at the top.
Realtors can subscribe to this service and create newsletters for their clients with content focused on San Francisco real estate.
- Mick Orton
Things to do in San Francisco - Part 11 - Mission Cliffs Rock Climbing Center
Because it rated number 11 on the things to do list, it is obvious that the City is truly a place for young people!
Yahoo Travel says, "This is a cavernous indoor rock climbing gym filled with challenging formations. Climbers can choose between thousands of feet of towering walls, as well as "The Crack", "The Cave," and other unique, ingenious setups. The gym also features a full weight room. Climbers must pass a "belay test" to use the facilities. Classes for neophytes start at $30. The staff is helpful, friendly, and completely dedicated to the sport."
2295 Harrison StreetSan Francisco, CA 94110-2036
+1 415 550 0515
contact2@mission-cliffs.comOpen Hours 9a-10p M-F, 10a-6p Sa-Su
http://www.mission-cliffs.comNeighborhood:
Mission- Mick OrtonPart 1 - Golden Gate Bridge,
Part 2 - Alcatraz,
Part 3 - Japanese Tea Garden,
Part 4 - Cable Cars,
Part 5 - Fisherman's Warf.
Part 6 - Exploratorium,
Part 7 - Mission Dolores,
Part 8 - San Francisco Museum of Modern Art,
Part 9 - Lombard Street,
Part 10 - Giants Stadium
San Francisco - Your home's hidden enemy
We see damage caused by termites in many inspections that go through this office. The newest edition of
The Money Pit taks about early detection of these pests and now is the time to do something about them.
It's termite swarm season, so now is the time to see if you can catch these sneaky and destructive pests before they head underground to make a meal of your home. Swarm season is the part of a termite's life cycle where they fly off and reproduce. When this happens, you'll either spot the swarm itself or find the clear wings termite swarms leave behind, typically near windows or on sills. Unfortunately, this is the only time you'll even catch a glimpse of these little buggers. Termites typically enter your home in areas that are difficult to spot, like inside dark crawlspaces or basement. Other telltale signs of termite infestation include soft wood in the home, mud tubes in the interior or exterior of your home often near the foundation, and darkening or blistering of wood structures. But by the time you notice the signs of an infestation, the damage has most likely already been done. To avoid a surprise attack, have your home inspected for termite damage. An annual, professional inspection only costs about a hundred bucks and is the best prevention to avoid termites and other wood destroying insects all year long. Read
more.
- Mick Orton
A note about yesterday's post - Microsoft and Daylight Savings time
Hello again. After doing some research, I found that in my article yesterday I may have misspoken. After going to the
Microsoft website to research information on how my PDA was going to handle the change, I found that I may not be as prepared as I thought.
To be sure, I followed the changes set forth on the help pages. I found that my XP Professional had been updated because I use automatic updates. However, I found that I needed to apply the patches for Outlook and ActiveSync (for my PDA). Fortunately the steps are laid out in the help page.
I wanted to correct something I said yesterday. Once I had updated Outlook, regularly scheduled appointments AFTER March 11 which were previously an hour ahead were now showing at the correct times. I guess I will know after Sunday if that's what's supposed to happen!
Good luck everyone! And be sure and thank your legislator.
- Mick Orton
TRI Coldwell Banker San Francisco real estate statistics - last week in review
SFResidence is part of the TRI Coldwell Banker office at 1699 Van Ness in San Francisco is one of the premier offices in the City and has the market share numbers to prove it. 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.
For weeks now we have been talking about the effects of the shrinking inventory on the market as pending sales continue to outpace new listings. The results are becoming obvious as more and more multiple and preemptive offers are being seen. If what is happening in our office is indicative of other brokerages in the City (and we think it is) then now might be a good time to consider putting your home on the market if you have been ready to sell.
The real estate market is much like the tide that goes in and out continually. Right now the tide is coming in after the brief cooling period. And with the rising tide come many opportunities. Will you act now while you have low inventory on your side, thus having less competition for the buyers? Or will you follow the crowd and be waiting out the summer along with the other people trying to sell their properties? Think about it.
Here are the numbers for last week:
3/7/07- 7 new listings (average price $1,507,429)
- 19 ratified sales (pending) (average ratified price $2,049,368)
- 18 closed sales (sold) (average closed price $846,533)
- Janis Stone
Daylight Savings this weekend - potential problem for Microsoft users!
Beware that daylight savings starts 3 weeks earlier this year, March 11, and changes back later than it did last year. On the surface it seems like a rather uneventful change. So what if we pretend it's an hour later than it was the day before as long as we all believe the same thing?
Here's the problem; computers. If you don't use one, then there's probably no problem... However, if you have a PC be sure your system has automatic updates turned on. Otherwise it could wreak havoc with your appointment calendar. Go to the
Microsoft website and read what they have to say.
How do you know if the update was already installed? One way to check is go into Outlook (if you use Outlook for your appointments) and you will see that all appointments after March 10 will be scheduled for an hour later. That way when the time change takes place, the calendar will display the appointment and the reminder appropriately. If you are using an online web service, it is probably safe to assume that they have already been working on this for weeks or months and will probably pose no problems.
However, if there is a question call your ISP or E-Mail Service Provider and ask.
- Mick Orton
San Francisco rent board - out of control?
Who says City government should be in the business of controlling the rental market? Is it any wonder landlords are choosing to go out of business and sell their apartments as TICs or condominiums when laws keep being passed that punish the property owner? Take a look at the latest lunacy.
The San Francisco Board of Realtors reported yesterday that,
"The annual allowable rent increase for the period March 1, 2007, through February 29, 2008, has been announced by the city's Rent Board. The allowable rent increase is 1.5 percent. The amount is based on 60 percent of the increase in the Consumer Price Index for All Urban Consumers in the Bay Area, which was 2.5 percent as posted in November 2006 by the Bureau of Labor Statistics."That's not the worst of it. How security deposits get treated is even more absurd. "
The security deposit interest rate for the period March 1, 2007, through February 29, 2008, also has been announced by the city's Rent Board. That rate is 5.2 percent. The rate for March 1, 2006, through February 28, 2007 was 3.7 percent."Think of it. Landlords can put the deposit money in an interest bearing trust account and make maybe 2%, but when it is returned to the tenant, they must pay 5.2% on its return. How is the rent board coming up with these numbers? And better yet, why? It is no mystery to whom they are pandering.
- Mick Orton
San Francisco Real Estate Market Update for 2/19 - 2/25/07
Read what
Rick Turley, President of Coldwell Banker, San Francisco/Peninsula said in his latest
weekly report:
The fact that there are limited choices out there may have played into the rise of ratified offers, over 240 for the week. Inventory shortages seem to be the primary factor in agents’ strategy, whether working with Buyers or Sellers. Springtime is known for Open Houses industry-wide, but our ability to meet new Buyers is hampered by the amount of homes available to be held open. There are remarkable reports of “micro-climate market” activity in several areas and it will be interesting to watch how they evolve as spring nears. The Greenbrae office noted inventory continues to be a controlling factor, but that some neighborhoods are red-hot while others are tepid at best. A somewhat original condition Eichler home in San Rafael seemed poised for many offers, one of the lowest list prices available in the area – however just a few offers came in, and not as far over the asking as what one might have expected.
In other areas, multiple offers are once again the rule. The Burlingame office reports 18 offers on a property in San Mateo and 8 offers on a San Carlos home. The Palo Alto office is seeing 82% of its listings in multiple offer situations. In San Francisco’s Sunset district, a fixer-upper had 9 offers and went for well over the asking price. Lest Sellers get too carried away – it’s worth noting that a 3/2 in San Francisco priced at $1,275,000 received 11 offers, and a very similar listing just blocks away at nearly the same list price received one.
Some offices report a fair amount of stale inventory – Buyers are not “panic buying” – not buying just to buy. Buyers and their Agents alike are looking for value. It’s important to note that some sales are coming together on homes pulled off the market a few months ago. This is a product of networking at our sales meetings - very critical, and a great value we bring to our Buyers and our Sellers.- 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 - Rates unchanged to slightly improved!
Foster Weeks publishes a
weekly mortgage report which is updated every Monday morning. As is pointed out in his newsletter, though stocks and bonds bounced around last week, interest rates ended the week unchanged to slightly improved from the week before.
...Economic news releases took a backseat to the massive movements in Stocks. Amazingly, when all the smoke cleared, home loan rates were unchanged to slightly improved for the week overall.What happened? First, remember that the Stock and Bond markets compete for the same investment dollar. This means that when Stocks are worsening and investors are selling off their holdings, some of that money gets moved over into the Bond market, which helps home loan rates improve. And vice versa, when Stocks move higher and investors are buying into the Stock market, some of that money comes back out of Bonds, which causes home loan rates to worsen... Read more.- Foster Weeks
Home Owner's Association Questions and Answers
To receive the Davis-Stirling newsletter click
here. Enter your e-mail address at the bottom of the page to sign up.
A reader asks: Traditionally, our board meetings are on Saturdays. A new member of the board observes Sabbath on Saturdays. Are the remaining directors required to adjust the meeting day to accommodate the new director?
Our Reply: Boards can set their own meeting dates and times, but must reasonably accommodate the schedules of its directors. Accommodating a director's Wednesday night poker game would not qualify; accommodating a well-recognized religious schedule (Sunday mornings church services and Saturday Sabbath) would qualify.
A reader asks: Can the board eliminate a costly amenity such as an electronic vehicle gate or man-made stream, due to high maintenance costs?
Our reply: Assuming the CC&Rs do not mandate the particular amenities, the board can eliminate the amenity, but it does so with some risk. Owners who use the amenity will argue that they bought into the development because of the particular amenity, whether it be security, streams, equestrian trails, tennis courts, etc.
Accordingly, eliminating significant amenities and/or services without membership approval could lead to litigation. It is better to put such issues to a vote of the membership. If the members vote to eliminate the amenity, it minimizes potential litigation.
A reader asks: I was told we had to follow due process before levying a fine. What is due process?
Our reply: Due process means giving the accused homeowner (i) notice of an alleged violation, (ii) a hearing where he/she has an opportunity to see/hear the evidence and (iii) an opportunity to present a defense. For more information, see due process. A reader asks: In the past two months, a few owners have continually shouted and screamed in board meetings about the association's parking procedures, which 99% of the owners support. Requests that the screamers sit down and act in a civil manner does no good, resulting in the meeting getting out of control and non-productive. What can the board do?
Our reply: Your remedies include fining owners for disruptive behavior, ejecting them from the meeting, calling the police if they refuse to leave, or moving the meeting to a member's unit (if disruptive owners force their way into the unit, it would be trespassing). Before levying fines, the board should adopt rules against such behavior. See our sample agenda for rules you might wish to adopt.
A reader asks: If someone "might" buy a unit, do they have a right to the association's books and records? Then anyone could look at our books, no?
Our reply: Potential buyers do not have a right to review and copy the associations books and records. Only if the person is actually in escrow can he/she request documents. Unfortunately, sellers can get around this by requesting records for themselves and then giving them to the potential buyer.
A reader asks: My board has directed me to write to a homeowner to remove a string of old and faded flags she has hanging in the front of the unit. From what we have been told, they are probably Buddhist prayer flags. Is there any restriction about enforcing a architectural rule because it might be a religious symbol?
Our reply: The right to display a flag only applies to U.S. flags. However, if the flags are small and innocuous, boards could choose to allow the display--much like allowing Mezuzahs to be displayed on door posts.
Japanese Delegation on Condos. Joan Urbaniac, Executive Director of the Los Angeles chapter of CAI, Lynne Collmann, manager of the Savoy Community Association, Mark O'Brien, an attorney in my office who is fluent in Japanese and has worked in Japan, and I recently met with representatives of the Japanese government.
We met with the Senior Deputy Director, Land Policy Division of Japan, the Director of Japan's Housing Division, and the Consulate General of Japan for Tourism, Transport, Infrastructure and Environmental Affairs. They were on a fact finding mission from Japan. They were most interested in how to set up educational and regulatory structures for the growing condominium industry in Japan.
Japan does not have comparable professional organizations such as the Community Associations Institute (CAI) and the California Association of Community Managers (CACM) and is weighing governmental controls versus encouraging voluntary organizations. They had questions about CAI and CACM, about professional designations such as PCAM, CCAM, and AMS, and about how California regulated common interest developments.
Comment: I spoke on the benefits of voluntary organizations versus the problems of excessive governmental intrusion. The meeting was testament to the fact that California is in the forefront of issues involving the community association industry. - Adrian J. Adams, Esq. ADAMS & KESSLER LLP
Focus on San Francisco Neighborhoods - Union Square
Union Square as described on the
SFResidence neighborhood guide:
"Union Square, one of San Francisco's main retail and cultural centers, also refers to the actual park bordered by Geary, Powell, Post and Stockton streets. Set aside as a park in 1850 and named before the start of the Civil War as a tribute to the frequent demonstrations in support of the Union troop, the park got a major renovation and restoration in 2002."
SFGate says, "For those who come to SF to shop, this is where to start." Read more
here.
Other features include:
For more information on other neighborhoods and street maps visit our website.
- Janis Stone
Previous Neighborhoods:
Chinatown - Bernal Heights - Castro - Cow Hollow - Diamond Heights - Fisherman's Warf - Golden Gate Park - Haight - Hayes Valley - Inner Richmond - Lake Street - Laurel Heights - The Marina - Nob Hill - Noe Valley - North Beach - Outer Richmond - Outer Sunset/West Portal - Pacific Heights - Potrero Hill - Russian Hill - Sacramento Street - St. Francis Wood - Sea Cliff - SoMa - Sunset - Telegraph Hill - Western Addition
Rent or Buy?
We always say, "buy" if you can afford it, but then we are bullish on real estate as a wealth builder. The latest
MoneyPit newsletter discussed the pros and cons of renting and buying property.
Pros for renting are, "As a renter, you’re freed from the responsibility of tasks beyond maintaining the cleanliness and general order of your unit. When an appliance breaks down, carpeting wears out or a light fixture is literally on the blink, all you have to do is call the super and things are righted, usually at no cost to you."
The downside is, "...you’re relying on someone else to get the work done..."
It goes on to talk about the things you need to think about when buying like, "Hidden costs: Along with property taxes, insurance and purchase fees, home care costs should be part of your buying budget. If you stumble upon your dream home, resist falling in love and opening your pockets until you’ve engaged the services of a professional home inspector. After his or her inside-and-out assessment, you’ll know what potential problems and projects lurk beneath the sparkling exterior, and can address them in both your purchase agreement and long-term budget."
Read the rest of the article
here and go to the "On the Wire" section.
- Mick Orton
March San Francisco Real Estate Market Update for February 2007
The number of Single Family Homes sold for February increased from January in San Francisco Real Estate. However, average listing and selling prices were both down from the previous month but higher than a year ago. Even so, the average selling price was almost 103% of the average listing price. The average days on the market was 46, about 1 1/2 months.
The number of Condominiums sold in February also increased from January in the San Francisco Real Estate Market. The average selling price was over 100% of the average listing price. But the average selling price was higher than last month but slightly lower than a year ago. The average days on the market was 59, just about 2 months.
The number of homes sold in the Overall Sales category for February in San Francisco Real Estate increased from January but was significantly lower than a year ago. The average selling price was over 101% of the average listing price, but lower compared to last month yet much higher than a year ago. The average days on the market was 56, slightly less than 2 months.
See February statistics
here.
- Janis Stone
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 and has the market share numbers to prove it. 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.
Once again, the pending sales outnumbered the new listings by over 2.5 times. There are more and more reports of multiple offer situations. Many of them on homes which have been on the market for a period of time. All of a sudden 3-4 offers come in at the same time on properties that have been listed over 45 days. If you are thinking about selling, this could be a GREAT time! Here are the numbers for last week:
2/21/07- 9 new listings (average price $1,548,778)
- 26 ratified sales (pending) (average ratified price $1,429,923)
- 10 closed sales (sold) (average closed price $1,310,800)
- 1 back on market ($384,000) - no, that price is NOT a misprint!
- Janis Stone
