North San Diego County Market Reports
For those of you watching the real estate market in the coastal communities of North San Diego County, here is a summary real estate market report with links to SEPTEMBER 2009 real estate market reports for the following communities:
Carlsbad
Cardiff
Encinitas
San Marcos
Oceanside
Rancho Santa Fe
Del Mar
Solana Beach
Each report also has some links to earlier market reports for those communities (some more than others). I can always provide detailed report susch as these for ANY community in San Diego as well as broken down by area/neightborhoods. Just ask.
Homebuyer Credit Extended?? Not yet
Word on the news and on the street is that the First Time Homebuyer Credit has been extended to the end of April 2010, plus they have added a credit for SOME move-up buyers. BUT IT IS NOT DEFINITE.
I don’t have the details yet but will share once I do. This is great news for some folks if it becomes fact.
NEW California Mortgage Fraud Laws
Finally.
Some new laws have been passed in California to better protect consumers against mortgage fraud, which is rampant (I understand CA has the 4th highest % of mortgage fraud).
If you are in the process of shopping for a mortgage, this is a MUST READ to educate yourself aboutthe laws that protect you.
New Construction Homes in Carlsbad
These may not fit many budgets, especially those of you who are buying your first homes.
Model Homes at Rockledge in La Costa Oaks Carlsbad
There are several communities of new construction homes in Carlsbad that may be of interest. What I find particularly impressive is that these homes are going QUICKLY – quite a change from a year ago when homes were languishing on the market and new home building sorta stopped.
Now there are 5 new communities that are building with another (53 Melrose) just starting in South Carlsbad.
Read more about COPPERWOOD and ROCKLEDGE in the La Costa Oaks master planned community in Carlsbad. If you want new construction for under $250/SF here is your chance – but it’s going fast.
Use Your Common Sense, and Others Too
I realized that I wrote this article some time ago that I didn’t share here.
I think it’s an important one.
Buyers, especially folks going at it for the first time, sometimes just don’t use their common sense. It’s easy to get swayed by a beautiful home, or turned off by an ugly one, without using your common sense about what really is important and what your ultimate goal is.
But in this market of short sales, REOs and sellers who just may not give a hoot about how their home looks, using ALL YOUR SENSES makes, well, sense (cents??).
Read on to learn more how and why YOU better come to your senses while house hunting.
Buyer’s Market? Hmmm
The media implies that it is a buyer’s market out there. In many areas, and many segments of the market, that IS, indeed, true.
People also seem to think that this is true for the REO/bank owned market.
That may be true in some areas but it is certainly not the case here in North San Diego County in Carlsbad, San Marcos, Escondido, Oceanside and similar areas. Multiple offers on just about every REO (and short sale) and with these properties selling in many cases over asking suggests it is a BANKS’ market, NOT one favoring buyers.
Buyers are, in many cases submitting offers on multiple properties, and are losing out on several properties before they are successful. While this is not the case in mid- and high-range properties it is very much a part of the lower end market where many first time buyers need to start out.
The other shift we are seeing is many more cash buyers (often investors) who will often beat out regular buyers with loans since the REO banks (1) do not have to worry about an appraisal or a loan, and (2) they can get their money more quickly.
This is not to scare you away but just to paint a bit of a reality picture so you are not surprised. Given me a call if you have questions, or talk with YOUR agent to learn more about the reality of YOUR market. It may not be what you think it is.
READ MORE:
10 Buyer Challenges for Today’s Market
The Question Used to be – How Much Less Will the Sellers’ Take?
Check Out the HOA Before You Buy
Buyers who are purchasing condos or homes in communities where there is an Home Owner’s Association MUST take the time to thoroughly investigate the HOA, for a variety of reasons.
One of the biggest concerns may be an HOA that is involved in some form of litigation, which can impact your ability to get a loan on a home in that complex.
READ MORE:
Carlsbad Buyers Beware – Check Out the HOA Before You Buy (which of course can apply anywhere)
Can Your Transaction Get Audited? YES!
This may not apply to all transactions during the process, but it does at least with FNMA (Fannie Mae) and Freddie Mac if you are purchasing an REO. Perhaps other lenders as well.
I am in the midst of a transaction with a very tight deadline and all of a sudden we learned that FNMA has pulled the REO file for an audit.
It has nothing to do with the offer itself (this is a cash deal, not a loan), the buyers, or the transaction, but apparently is a routine, random, periodic audit that they do of their REOs that are being serviced by various banks. No warning.
This is NOT to say this happens a lot (the listing agent says this is the FIRST in all of her REO transactions in over 2 years) but it CAN happen, without warning.
This causes a delay of an unknown period. Just something to be aware of, although lots of folks get through these deal without this sort of delay.
First Time Buyers – What Are You Missing in Your Home Search?
Believe it or not you may be missing some things in your home search.
This is especially true if your interest, or budget, puts you in front of a lot of short sale and REO (foreclosure or bank-owned) homes.
And it may not be what you think.
Read more about buying a short sale or REO – What Am I Missing?
What You Should Know About FHA Loans
Many buyers these days, especially first time buyers, are attracted to FHA loans, and with good reason.
Down-payment money is often a problem, and FHA only requires a 3.5% down-payment (and it can be gift money).
There are a couple of things you should know, especially if you are looking at condos:
1. FHA requires that the complex be FHA approved. Or, if it is not, you can get what is called SPOT APPROVAL which takes more time and adds to the process time frame. And there are no guarantees.
2. The owner occupancy of the complex must be 51% or better in order to use an FHA loan.
3. There is a 3-year guideline for conversions. Properties converted from apartments to condo in the last 3 years will not likely qualify for FHA financing.
Be sure to check with a qualified loan officer to make sure you understand the guidelines, as some properties that may interest you and fit your bduget may not qualify for this loan.
NOTE: Important update 10/17/09 – SPOT APPROVALS are no longer allowed by FHA with some new regulations that went into effect Oct. 1. Check with your lender to see how this affects you.
