Enclosed is the update of
activity for July 1, 2010 through July 31, 2010, click here to view the updates. There were a total of
39 new listings. There were 18 pending sales. Of the residential sales there were 9
sales between $199,000 and $600,000, 4 sales between $601,000 and $999,999, 4
sales over $1,000,000, 1 commercial property and no land sales. There were 13 sale completes. Their were 48 price decreases and no
price increases. The number of
current listings are down slightly; however they are still very high at 339
listings specific to the Santa Ynez Valley.
Rates continue to fluctuate
on a daily basis. Conforming 30
year fixed rates up to $417,000 are at 4.25% at 1 point and Jumbo Conforming
Loans which are loans up to $729,750 are at 4.75% at 1 point and Super Jumbo
Loans are at 5.625% at zero points for origination. The conforming 5 year ARM
Interest Only is at 3.5% at 1 point, the Jumbo 5 year ARM Interest Only is at
5.125% at zero points. The 11th
District Cost of Funds index (COFI) is up at 1.797 for the month of August. The 6 month LIBOR rate is at 0.58; last
month it was at 0.71; 12 months ago it was at 0.83
Market activity continues to
escalate for the summer and we are pleased with the number of hits to our
website and our partner websites. That also means that the number of inquiries
and our sales are increasing. Prices continue to remain relatively stable in
the under $800,000 range.The balance between new listings and sales continues
to increase in the upper end price ranges but the upper end has gained a little
momentum. For example, 41% of the
new listings were under $800,000; that means only 59% of the new listings were
over $800,000. 61% of pending
sales were under $800,000; correspondingly 39% were over $800,000. And finally
53% of the sold final sales for this month were under $800,000 and 47% were
over $800,000. This confirms, I
think, that the shadow inventory that the news media is referring to is in
specific price points in the Santa
Ynez Valley. Our lower end market
continues to stabilize as our inventory is diminishes but the market for upper
end properties was a little stronger this month.
The other item of note is the
number of Short Sale properties.
You can really see a trend in the banks trying to work out deals for
distressed homeowners. Our REO
market, although steady, has never reached the proportions that were seen in
other areas of California or even our own North County. I think the stats to date were 25
REO's in the MLS for the first
half of both 2009 and 2010 to date.
Our inventory is flooded with Short Sale properties and you can see the
number of pendings that are Short Sale Contingent. Two important points on both the prices of REO and Short
Sale properties. It has become
somewhat of a trend to offer these
properties at a "Fire Sale" price. this is not because it is going to sell at that price but
the bank or agent is trying to get the highest and best offer. We have heard from a reliable source
that an excellent property was offered in the MLS at $399,000 but it went Short
Sale Contingent with multiple offers at $499,000. Marlene and I feel its true value was the $499,000 price;
that would be consistent with the sold comparables of that property. However, many unsuspecting buyers
trying to do it on their own without a knowledgable Realtor's assistance would
never know about the bid-up because it may take 6 months for the bank to
process the short sale. By that
time they would have wasted 6 months looking for another "really hot
deal" that was never there in the first place, and the market passes them
by. So it is time for a little "Buyer Beware." No one ever rings the bell when the
markets starts turning around and moving in the other direction.
Be sure and check out our
Website and Property Search engines.
We have added Lompoc area properties to the Search through their MLS and
you can find everything available throughout the County. Looking for Short Sales and REO's. Just
indicate that on the bottom field of the form and you will get the most
up-to-date list available. We may be reached during the day at our office
805-688-2969, and in the evening at 805-688-2986. Our toll-free number is 1-800-300-7977. My cell phone is 805-689-4178 and
Marlene's is 805-689-2738. So
whether you need to buy or sell, call us. We would like to show you what we can
do! In the meantime we thank you
again for your loyalty and support in seeking us out when looking at properties
in the Valley and for choosing in 2010 to get your information about the Santa
Ynez Valley and other areas on the
beautiful Central Coast from.........
Your Real Estate
Professionals Providing
Old-Fashioned Service Using
Today's Technology
David Macbeth and Marlene Macbeth