New Home Sales Dive to Record Low

[sdrealtor]

Agreed it is a much smaller impact than new construction per house but the numbers of resales are and always will be multiples higher.

I think the 10% number is about right between both sides (buyers and sellers). Average is about 5% comissions (split between agents, brokerages, transaction coordinators, assistants etc), then 2% closing costs (1% each side for title, escrow, notary etc.), 1% lender fees then we throw in termite work, home inspections, moving companies, painters, flooring, furniture, the fedex guy, real estate transfer taxes, lawyers, guns and money…..

[briansd1]

[quote=SD Realtor]My prognostication is that it will remain that way.

Or you can argue for the sake of being Brian and try to rationalize a scenario that it will not. We will see whose advice turns out to be more correct for the foreseeable future.[/quote]

I didn’t give advice.

The existing home US median is $156,100 and very affordable, right now with low interest rates.
http://www.marketwatch.com/story/sales-of-new-us-homes-tumble-169-to-record-low-2011-03-23?dist=afterbell

It seems like prices in San Diego are holding while prices go lower in the rest of the country.

I can see a point where, at the trough, buying in an affordable region will provide a better return on investment than purchasing in San Diego.

Prices may hold in San Diego, but I could see them stagnating while the rest of the country recovers.

Some believe that US debt levels will lead to much higher interest rates. That will disproportionally affect affordability in high cost regions such as San Diego.

Time will tell…

[briansd1]

[quote=SD Realtor]My prognostication is that it will remain that way.

Or you can argue for the sake of being Brian and try to rationalize a scenario that it will not. We will see whose advice turns out to be more correct for the foreseeable future.[/quote]

I didn’t give advice.

The existing home US median is $156,100 and very affordable, right now with low interest rates.
http://www.marketwatch.com/story/sales-of-new-us-homes-tumble-169-to-record-low-2011-03-23?dist=afterbell

It seems like prices in San Diego are holding while prices go lower in the rest of the country.

I can see a point where, at the trough, buying in an affordable region will provide a better return on investment than purchasing in San Diego.

Prices may hold in San Diego, but I could see them stagnating while the rest of the country recovers.

Some believe that US debt levels will lead to much higher interest rates. That will disproportionally affect affordability in high cost regions such as San Diego.

Time will tell…

[briansd1]

[quote=SD Realtor]My prognostication is that it will remain that way.

Or you can argue for the sake of being Brian and try to rationalize a scenario that it will not. We will see whose advice turns out to be more correct for the foreseeable future.[/quote]

I didn’t give advice.

The existing home US median is $156,100 and very affordable, right now with low interest rates.
http://www.marketwatch.com/story/sales-of-new-us-homes-tumble-169-to-record-low-2011-03-23?dist=afterbell

It seems like prices in San Diego are holding while prices go lower in the rest of the country.

I can see a point where, at the trough, buying in an affordable region will provide a better return on investment than purchasing in San Diego.

Prices may hold in San Diego, but I could see them stagnating while the rest of the country recovers.

Some believe that US debt levels will lead to much higher interest rates. That will disproportionally affect affordability in high cost regions such as San Diego.

Time will tell…

[briansd1]

[quote=SD Realtor]My prognostication is that it will remain that way.

Or you can argue for the sake of being Brian and try to rationalize a scenario that it will not. We will see whose advice turns out to be more correct for the foreseeable future.[/quote]

I didn’t give advice.

The existing home US median is $156,100 and very affordable, right now with low interest rates.
http://www.marketwatch.com/story/sales-of-new-us-homes-tumble-169-to-record-low-2011-03-23?dist=afterbell

It seems like prices in San Diego are holding while prices go lower in the rest of the country.

I can see a point where, at the trough, buying in an affordable region will provide a better return on investment than purchasing in San Diego.

Prices may hold in San Diego, but I could see them stagnating while the rest of the country recovers.

Some believe that US debt levels will lead to much higher interest rates. That will disproportionally affect affordability in high cost regions such as San Diego.

Time will tell…

[briansd1]

[quote=SD Realtor]My prognostication is that it will remain that way.

Or you can argue for the sake of being Brian and try to rationalize a scenario that it will not. We will see whose advice turns out to be more correct for the foreseeable future.[/quote]

I didn’t give advice.

The existing home US median is $156,100 and very affordable, right now with low interest rates.
http://www.marketwatch.com/story/sales-of-new-us-homes-tumble-169-to-record-low-2011-03-23?dist=afterbell

It seems like prices in San Diego are holding while prices go lower in the rest of the country.

I can see a point where, at the trough, buying in an affordable region will provide a better return on investment than purchasing in San Diego.

Prices may hold in San Diego, but I could see them stagnating while the rest of the country recovers.

Some believe that US debt levels will lead to much higher interest rates. That will disproportionally affect affordability in high cost regions such as San Diego.

Time will tell…

[SD Realtor]

Yes to what you said. The debt levels and higher interest rates is pretty much what I write about all the time. With that said San Diego will still be priced higher then the most everywhere else. Especially if you use a price to income measure.

Once interest rates rocket San Diego will get punished and prices will drop. However it will not be proportional and affordability will still be elusive to many people, especially those without large downpayments.

[SD Realtor]

Yes to what you said. The debt levels and higher interest rates is pretty much what I write about all the time. With that said San Diego will still be priced higher then the most everywhere else. Especially if you use a price to income measure.

Once interest rates rocket San Diego will get punished and prices will drop. However it will not be proportional and affordability will still be elusive to many people, especially those without large downpayments.

[SD Realtor]

Yes to what you said. The debt levels and higher interest rates is pretty much what I write about all the time. With that said San Diego will still be priced higher then the most everywhere else. Especially if you use a price to income measure.

Once interest rates rocket San Diego will get punished and prices will drop. However it will not be proportional and affordability will still be elusive to many people, especially those without large downpayments.

[SD Realtor]

Yes to what you said. The debt levels and higher interest rates is pretty much what I write about all the time. With that said San Diego will still be priced higher then the most everywhere else. Especially if you use a price to income measure.

Once interest rates rocket San Diego will get punished and prices will drop. However it will not be proportional and affordability will still be elusive to many people, especially those without large downpayments.

[SD Realtor]

Yes to what you said. The debt levels and higher interest rates is pretty much what I write about all the time. With that said San Diego will still be priced higher then the most everywhere else. Especially if you use a price to income measure.

Once interest rates rocket San Diego will get punished and prices will drop. However it will not be proportional and affordability will still be elusive to many people, especially those without large downpayments.

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