via mercurynews.com
Check out this article about some random market updates: stronger areas of California real estate, namely Los Angeles and San Diego real estate market...to the iphone and strong stocks.
Covering Coastal North County Communities
Tuesday, March 30, 2010
Carlsbad Homes - Cheap Mortgages May Last as Investors Replace Fed
Cheap Mortgages May Last as Investors Replace Fed (Update1)
By Kathleen M. Howley
March 30 (Bloomberg) -- The Federal Reserve’s completion this week of its program to buy $1.25 trillion in mortgage bonds probably won’t mean significantly higher U.S. home loan rates as investors return to the market, replacing the Fed.
Fixed mortgage rates likely will rise less than a quarter of a percentage point in the next three months, the smallest increase for the second quarter since a drop in 2005, according to estimates by Fannie Mae and Freddie Mac. The gain would add about $30 to the monthly payment for a $250,000 mortgage.
“What we are seeing is an effective handoff occurring between the Fed and industry buyers such as banks and pension funds,” saidChristopher Sebald, chief investment officer for Advantus Capital Management in St. Paul, Minnesota, which oversees $18.5 billion, including about $5.6 billion in mortgage bonds. “I thought the Fed’s exit would leave a bigger void.”
Advantus is purchasing mortgage bonds after the Fed’s program drained supply in the $5.4 trillion market. A recovering U.S. economy means institutions have more capital to invest, and stricter lending standards have made the securities more attractive to money managers like Sebald by limiting the number of loans. About $1.5 trillion of agency mortgage-backed securities will be issued this year, down 12 percent from 2009, according to a March 25 Morgan Stanley report.
Questions about Real Estate mortgages, ask now.
“The constraints on borrowers are much higher now, and that’s reducing supply quite a bit,” Sebald said in an interview.
Lower Borrowing Costs
The Fed began buying bonds guaranteed by Fannie Mae, Freddie Mac and Ginnie Mae in January 2009 with the aim of bolstering the housing market by reducing financing costs. The plan helped drive the average rate for a 30-year fixed mortgage to an all-time low of 4.71 percent in December. The central bank began tapering off its purchases in January to prepare for its exit from the market tomorrow.
“The Federal Reserve’s purchases have had the effect of leaving the banking system highly liquid,” Fed Chairman Ben Bernanke told Congress on March 25. “A range of evidence suggests that these purchases and the associated creation of bank reserves have helped improve conditions in mortgage markets and other private credit markets and put downward pressure on longer-term private borrowing rates and spreads.”
Narrowing Spreads
In December 2008, two weeks before the start of the Fed bond-buying program, the spread between the 10-year government bond yield and the average U.S. 30-year fixed mortgage rate was 3.07 percentage points, the widest since 1986, as investors demanded higher payment to compensate for risk. Last week, the difference was 1.14 percentage points, narrower than the 20-year average of 1.65 percentage points.
“Private buyers are going back into the market to pick up where the Fed is leaving off,” said David Berson, chief economist of PMI Group Inc. in Walnut Creek, California. “Credit spreads have narrowed significantly, and not just for mortgages, because investors believe the worst of the financial crisis is behind us.”
The world’s largest economy probably will grow 3 percent in 2010, according to the median estimate of 53 economists in a Bloomberg poll. Gross domestic product expanded at a 5.6 percent annual pace in the fourth quarter, the most in more than six years, after a 2.2 percent increase in the prior period.
Sales Decline
Sales of existing U.S. homes fell in February for a third month and the number of properties on the market climbed by the most in almost two years, the National Association of Realtors said March 23. Purchases dropped 0.6 percent to a 5.02 million annual rate, the lowest level in eight months, and there were 3.59 million houses for sale, the biggest gain since April 2008.
At the same time, the S&P/Case-Shiller home-price index covering 20 U.S. cities showed signs that real estate values may be stabilizing. Home prices dropped 0.7 percent in January from a year earlier, the smallest annual decrease in three years, according to a report issued today. Measured monthly, the gauge rose 0.3 percent from December.
Fed’s ‘Gamble’
“There is an element of a gamble in the Fed ending its mortgage securities buying -- they are removing a key support at a point where the recovery housing recovery is still looking quite rickety,” said Zach Pandl, an economist at Nomura Securities International Inc. in New York.
Fed policy makers have made it clear in statements following the end of rate-setting meetings that they will restart the mortgage-bond buying program if needed, according to Pandl. That “backstop” has reassured investors and encouraged them to re-enter the market, he said.
Much of the demand for mortgage bonds is coming from money managers seeking to diversify their portfolios, said Berson, of PMI Group.
“Investors are full up with Treasuries,” he said. “They haven’t been able to diversify into mortgage bonds because the Fed has been buying the bulk of them. Give them an opportunity to diversify into that market, and they will.”
Good news? Cheap mortgages for homebuyers.
Thursday, March 25, 2010
Del Mar, Ca Real Estate: How's The Market in Del Mar This Week?
Del Mar, California (San Diego County)
This report shows the real estate activity of the real market action index in Del Mar. The below graph shows us how the market is trending, with under 30 representing a buyer's market, and over 30 representing a seller's market. This graph indicates a steady trend in the sellers market. You can see how the market has been sloping downwards since July 07, but since Jan 09 the market looks pretty steady.
Supply and demand of housing inventory: there is more supply on the market, compared to sales, although sale prices are moving higher. This can indicate the difference of new homes that are younger, larger, or perhaps with more acreage.
Have a questions about the current market for Del Mar? Just ask! OLIVER@prusd.com
Wednesday, March 24, 2010
Oceanside, CA - Real Estate Report For 92054 Neighborhood
San Diego Market Update OCEANSIDE_92054.pdf (799 KB)
View this on posterous
How's The Market in Oceanside, California?
Neighborhood Market Details for 92054, Oceanside California, based on this real time real estate market profile.
"The median list price in OCEANSIDE, CA 92054 this week is $549,900. The 103 properties have been on the market for an average of 157 days.
As far as supply and demand this week. "Inventory levels have been relatively consistent relative to sales. Despite the fact that there is a relatively high amount of availble inventory,this Buyer's market is still seeing prices move higher. Given inventory levels, these price conditions are relatively fragile. If the market cools off further, the price trend is likely to reverse."
Buyer's or Seller's Market?
"Residential house prices are a function of supply and demand, and market conditions can be characterized by analyzing those factors. Watch this index for sustained changes: if the index falls into the Buyer’s Advantage zone (below 30) for a long period, prices are likely in for a downward correction." This week, the lower priced homes are reaching toward the 20 line, which shows lower priced homes in Oceanside, CA (92054) are trending more toward a Seller's Market, compared to the most expensive homes, where the line is around a 5, on the index.
Real time market data is prepared weekly, so if you want to watch coniditions for a specific zip code or neighborhood in San Diego, just shoot me an email at OLIVER@PRUSD.COM. Questions/ Comments welcome!
Melia & Oliver Indra
Prudential California Realty (San Diego)
http://www.oliverindra.com
Melia: 760 681 9960
Oliver: 760 805 9336
Follow us on: Twitter @Meliatrends
Follow us on: Youtube @melia306
Follow us on: Facebook (Melia Indra, Oliver Indra)
Monday, March 22, 2010
Oceanside offers Spring Break Camp
Oceanside offers spring break camp
Saturday, March 20, 2010 at 12:05 a.m.
OCEANSIDE — The Oceanside parks department will offer one-day camps during spring break, April 5 through 9.
Children between the ages of 7 and 12 may enroll, and activities will take place between 9 a.m. and 4 p.m. each day.
Sessions include dodge ball, beach and sand sports, aquatic adventures, bowling and a movie.
The location varies, depending on the activity.
The cost is $40 for Oceanside residents and $50 for nonresidents.
For information, call Oceanside’s beach center at (760) 435-5233.
— MICHAEL BURGE
You have chosen not to display comments.
Time for Spring Break? Oceanside is offering a Spring Break Camp for kids 7 -12 yrs old in Oceanside, California on April 5th from 9am to 4 pm. Oceanside residents get a reduced price. Call Oceanside beach center for more details.
Saturday, March 20, 2010
Homebuyer Tax Credit - Last Call!!
Last Call for Tax Credit!!
Homebuyer Tax Credits Ending April 30, 2010
Are you searching for a home?
Waiting for the market to bottom out?
Are you pre-approved....but still procrastinating?
The Homebuyer tax credits must be signed and in escrow by April 30th, even though it officially ends on June 30th. First-time homebuyer's can get as much as $8,000 in tax credit, and current homeowners up to $6,500.
Over a million homes, most of them well below going market prices. San Diego is ON SALE. Many homes can be purchased for a reduced price. If you need help finding a home in your price range, email us what you are looking for and we can start emailing you weekly or daily home listings that fit your criteria. Sign up here: Send Me New Listings
So, why not do it now? Why procrastinate?
Wednesday, March 17, 2010
Treasury hopes new rules send short sales to the rescue of underwater mortgages
New Rules about Short Sales may help. This article talks about short sales, foreclosures, distressed sales, and how the Treasury hope these new rules will help the short sale process. Let me a comment about what you think!
Tuesday, March 16, 2010
Tour Pacific Street, Oceanside California
via youtube.com
This is an awesome video, it takes you straight down Pacific Street in Oceanside, CA. It is a little bumpy, but you should check out this street, the view, the homes, all make for a walk or drive in Oceanside.
Saturday, March 13, 2010
Realtor Oliver Indra Sells San Diego Homes
"I'm happy to help my clients find a home that is perfect for them in San Diego. San Diego homes are on sale right now.
It was a pleasure working with my clients and helping to make their relocation to San Diego a smooth and happy one!
Congratulations on your new home!!!" Oliver Indra sells San Diego homes, including including all of North County!
Oliver Indra
Thursday, March 11, 2010
How's The Market? (Real Estate in San Diego)
Prudential San Diego Market Trends.pdf (267 KB)
View this on posterous
How's the market? A question frequently asked by home owners, sellers and buyers. Well it really depends...on if you are buying, selling, renting or investing. To get a better grasp about the current real estate market in San Diego county, let's first take a look at the past year. This attached report from Prudential California Realty gives us a backward glance at the market in 2009 and San Diego's 2010 outlook.
If you have questions about San Diego Market Trends for 2010 and what to know about specific neighborhoods, please ask. Comments and questions are welcome!
Wednesday, March 10, 2010
Top Gun House in Oceanside, CA
Top Gun. Tom Cruise. Back in the 80's. Where were you Oceanside Fans, when it came out?
Last we heard the Top Gun house was be incorporated into the new hotel they plan on building.
Located on Pacific Street in Downtown Oceanside, CA.
Tuesday, March 9, 2010
Saturday, March 6, 2010
617 Onley Vista, CA *Newly Remodeled & Move-in Ready!*
This home is Newly Remodeled and Move-in Ready!
Single Story home, has such a cute feel! 3 bedrooms, new kitchen: granite counter tops, new cabinets, tile flooring, new bathrooms, nice front and back yard with Palms!
To View Inside Pictures:
LISTED BY OLIVER INDRA 760 805 9336
Subscribe to:
Posts (Atom)