So Cal Real Estate News

(1/13/2012) by Blair Newman and Dave Emerson:   As we begin the new year, it’s time to take a look back at what 2011 brought us in the world of SoCal Real Estate, and look forward to what we expect.

Then, most important, make our recommendations for those who may be thinking about selling or buying in Southern California this year or next:

2011 in review:

Prices on homes going into escrow in our area moved up modestly through the spring, then trended down through the summer but started heading back up in the fall, propelled by amazingly (more…)

A while back the Sacramento Bee ran a good article on buying foreclosures. It reminded me of a very interesting experience with a HUD auction during the last recession in 1994.

Auctions

I teamed with a fellow Realtor and friend to research and bid on a major HUD auction of repossessed properties. From experience, we knew there would be lots of bidders and lots of competition, so we decided to focus on the least desirable location with the most REOs, which was at that time was Compton, and the least desirable type of property with the most REOs, which was condos.

I spent days researching about 50 Compton (more…)

(10/25/2011)This morning Standard & Poors reported their Case-Schiller National Housing Index for August was up a very modest 0.2% over July, but actually down 3.8% from August 2010.  Los Angeles/Orange County prices were flat from July to August and down 3.5% from a year earlier.

This enlarged home features 3 large bedrooms, two baths, and a living room with fireplace.

(9/2/2011) One way  to give our readers a snapshot of the current market is to take a detailed peak at some of the best of the newest listings.

So let’s take a look at a home that just hit the Southern California Multiple Listing Service this morning.  It’s in Lakewood, one of the  best priced centrally located communities in Southern California’s “sweet spot,”  the temperate Coastal Plain.

The specifics are a great way to demonstrate concretely what a lot of knowledgable people are saying about our current market.  Because this home is a great example of the (more…)

(6/28/2011) “Home Prices up in April for the first time in eight months,” proclaims Alex Lazlo’s  online L. A. Times headline this morning. Truth is, that’s only half the story, as Alex explains in the first few paragraphs (bolding mine):

A closely watched index of home prices in America’s largest cities ticked up in April over March, the first such improvement in eight months, though experts attributed the increase largely to seasonal variations. Prices of previously owned single-family homes rose a modest 0.7% in April over March [2011] but were down 4.0% from April 2010, according to the Standard & Poor’s/Case-Shiller index of 20 metropolitan areas. In a welcome shift from recent months, this month is better than last — April’s numbers beat March,” David M. Blitzer, chairman of the index committee at S&P Indices, said in a news release. “However, the seasonally adjusted numbers show that (more…)

(5/31/2011)According to S & P/ Case-Schiller, we’re officially in a double dip housing recession. . . at least on a nationwide basis (bold added):

“Data through March 2011, released today by Standard & Poor’s for its S&P/Case-Shiller1 Home Price Indices, the leading measure of U.S. home prices, show that the U.S. National Home Price Index declined by 4.2% in the first quarter of 2011, after having fallen 3.6% in the fourth quarter of 2010.

“The National Index hit a new recession low with the first quarter’s data and posted an annual decline of 5.1% versus the first quarter of 2010. Nationally, home prices are back to their mid-2002 levels.”

The good news, or at least less bad, is that Case-Schiller’s Los Angeles index didn’t do nearly as bad as their national index:  L.A. down 1.7% from March 2010, U.S. down 5.1%) .  So we’re only 1/3 as (more…)

(5/14/2011) by Dave Emerson   When I got the call Wednesday morning from  the Los Angeles Times’ Lead Real Estate Reporter, I tried to give a balanced report on what we’re seeing in the local market right now:  “This should be the hottest time of the year in terms of deals going into escrow, but — especially once you consider where interest rates are — it is still a struggling market.”

      A day later, I got an e-mail from Alex, “Just wanted to say thanks, again. You really nailed it.”   “That’s good,” I thought, “Alex’s other sources are seeing the same thing I’m seeing.

       Little did I know he would use my thoughts as his lead quote for the article.

       The facts, it turns out, back up our observations:  April So Cal home sales (more…)

Living within a budget is like flossing your teeth–everybody knows how & knows they should but nobody has the time.  If you need to save up a down payment to buy, or if you’re behind on your mortgage or other bills, it’s time to make the time!

The secret of the best seller, The Millionaire Next Door is simple:  spend less than you make.  To do that, most of us need to either reduce spending or increase income, or (more…)

In a post we put up at the start of the mortgage meltdown we explained why we agreed with Freddie Mac’s chief economist, Frank Northaft that “We just don’t know [when the market will hit bottom or how low prices will drop] because we’re in totally uncharted territory.”

As if to illustrate our point, after we wrote that we saw huge swings in stocks as Federal Reserve leaders twice surprised the markets with supposedly clear indications they intend to further reduce rates.

So now, after 4 years of uncertainty, we’ll revisit the logical next question of what buyers and sellers should do in such an uncertain situation, because the future today is still pretty cloudy.

The Key

The key is to base your decision making primarily on what you know, not on (more…)

(2/13/09)  In a report released earlier this month, Moody’s “Economy.com” predicts a nationwide home price bottom in metropolitan areas in the 4th quarter of 2009.

While we think that may be possible, we think there are a number of red flags Moody’s may be neglecting.  We’ll explain our own theory of when to buy or sell after we discuss Moody’s new report

Giving some evidence that there’s no recession among economists, you can buy the report for only $3,995 from economy.com, or you can read Moody’s summary and key findings below for free:  (more…)