rates

[rnen]

[quote=sdrealtor]rnen
You are looking in my backyard. The challenge is there is lots of demand around here but very little coming on the market. The homeowners around here are a pretty stable lot. If you are looking high end there could be some relief as there has been quite a bit of overbuilding in the way of 4,000 sq ft McMansions. If you are looking for something modest I just have a hard time seeing things get markedly better. I know tons of buyers out there looking for entry level homes. An REO recently came on the market around $500K in Rancho Ponderosa and it was bombarded with buyers/interest. The house was a pit and needed major remodelling. There is a huge demand for homes like this piling up but very little coming on the market. I wish it was otherwise but I dont see that coming. While I think we will see more inventory hit the market, the competition for anything decent and well priced will be substantial.

Even if rates jumped 1% or more, I dont think that would make a difference in the market for homes under 700K.[/quote]

You are too right, we have been “looking” for almost 4 yrs and this is the worst we have seen in terms of the quality and number of homes in our range. We have not found anything recently that excites us but will keep trying.

We are not looking to make money but are looking for a home which is why the an increase of even 1% is worth considering. Over 20-25yrs of payments that could translate into significant money. As a transplanted Canadian I have no experience with being able to write off the mortgage interest, maybe a 1- 1.5 point increase is not such a concern.

[sdrealtor]

Unfortunate but likely. My perspective is based upon working in this sub-market for many years, lived here longer and am friends with many of the agents who have dominated specific neighborhoods for years. To clarify, I did not mean that a 1% increase wouldnt impact specific people but rather that there are enough buyers out there that it would significantly change the market.

If there is one thing that could create some supply of quality properties it is this. There is a huge opportunity for long time homeonwers with lots of equity to move up to trophy homes. There isnt much demand over $1M but there are tons of people living in homes worth $500K to 800K which are easily sellable with $500K or more of equity.

I know a handful of long time owners that have or will be putting their homes on the market to move up. A house around the corner just listed (owner has over $500K equity) because kids are grown and he wants to move to the beach. Even though his house is at least $200K off peak the one’s he is looking at are down substantially more. Only fly in the ointment is if he decides to keep the house as a rental and buy the beach house also.

[sdrealtor]

Unfortunate but likely. My perspective is based upon working in this sub-market for many years, lived here longer and am friends with many of the agents who have dominated specific neighborhoods for years. To clarify, I did not mean that a 1% increase wouldnt impact specific people but rather that there are enough buyers out there that it would significantly change the market.

If there is one thing that could create some supply of quality properties it is this. There is a huge opportunity for long time homeonwers with lots of equity to move up to trophy homes. There isnt much demand over $1M but there are tons of people living in homes worth $500K to 800K which are easily sellable with $500K or more of equity.

I know a handful of long time owners that have or will be putting their homes on the market to move up. A house around the corner just listed (owner has over $500K equity) because kids are grown and he wants to move to the beach. Even though his house is at least $200K off peak the one’s he is looking at are down substantially more. Only fly in the ointment is if he decides to keep the house as a rental and buy the beach house also.

[sdrealtor]

Unfortunate but likely. My perspective is based upon working in this sub-market for many years, lived here longer and am friends with many of the agents who have dominated specific neighborhoods for years. To clarify, I did not mean that a 1% increase wouldnt impact specific people but rather that there are enough buyers out there that it would significantly change the market.

If there is one thing that could create some supply of quality properties it is this. There is a huge opportunity for long time homeonwers with lots of equity to move up to trophy homes. There isnt much demand over $1M but there are tons of people living in homes worth $500K to 800K which are easily sellable with $500K or more of equity.

I know a handful of long time owners that have or will be putting their homes on the market to move up. A house around the corner just listed (owner has over $500K equity) because kids are grown and he wants to move to the beach. Even though his house is at least $200K off peak the one’s he is looking at are down substantially more. Only fly in the ointment is if he decides to keep the house as a rental and buy the beach house also.

[sdrealtor]

Unfortunate but likely. My perspective is based upon working in this sub-market for many years, lived here longer and am friends with many of the agents who have dominated specific neighborhoods for years. To clarify, I did not mean that a 1% increase wouldnt impact specific people but rather that there are enough buyers out there that it would significantly change the market.

If there is one thing that could create some supply of quality properties it is this. There is a huge opportunity for long time homeonwers with lots of equity to move up to trophy homes. There isnt much demand over $1M but there are tons of people living in homes worth $500K to 800K which are easily sellable with $500K or more of equity.

I know a handful of long time owners that have or will be putting their homes on the market to move up. A house around the corner just listed (owner has over $500K equity) because kids are grown and he wants to move to the beach. Even though his house is at least $200K off peak the one’s he is looking at are down substantially more. Only fly in the ointment is if he decides to keep the house as a rental and buy the beach house also.

[sdrealtor]

Unfortunate but likely. My perspective is based upon working in this sub-market for many years, lived here longer and am friends with many of the agents who have dominated specific neighborhoods for years. To clarify, I did not mean that a 1% increase wouldnt impact specific people but rather that there are enough buyers out there that it would significantly change the market.

If there is one thing that could create some supply of quality properties it is this. There is a huge opportunity for long time homeonwers with lots of equity to move up to trophy homes. There isnt much demand over $1M but there are tons of people living in homes worth $500K to 800K which are easily sellable with $500K or more of equity.

I know a handful of long time owners that have or will be putting their homes on the market to move up. A house around the corner just listed (owner has over $500K equity) because kids are grown and he wants to move to the beach. Even though his house is at least $200K off peak the one’s he is looking at are down substantially more. Only fly in the ointment is if he decides to keep the house as a rental and buy the beach house also.

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