[sdrealtor]

Per the mls the 910K sale was 3Br/2BA, 1200 sq ft with an ocean view while the 679K sale was a 2BR/1BA, 999 sq ft with no view.

[sdrealtor]

I get a list of NOD every week from my title rep. 1/3rd are in Zips starting with 91XXX. Most of these are in Chulajuana. I would estimate that 50% are in the garden spots of the county like Ramona, Escondido, Oceanside and El Cajon. The vast majority of the NOD’s thus far are from people that never should have bought homes in the first place.There is still very little activity in the nicer parts of the county.

[sdrealtor]

Whenever I drive through Santaluz I think of the old Roadrunner cartoons with a slanted signpost in the middle of nowhere and arrows pointing in every direction.

[sdrealtor]

Is it just me or do people seem overly preoccupied with owning real estate at relatively young ages. Personally, I never thought about owning RE until I was 30, married and settled into a place I knew I wanted to stay forever. Owning RE was just too limiting in regards to mobility. When I was in my 20’s it was all about building my career, laying down financial building blocks, finding a wife and figuring out where I wanted to live. Owning a house couldnt have been further from my mind.

If I was in my 20’s again, I would go wherever my career took me and would focus on building that whereever it might be. If my career took me elsewhere, I would set a goal of coming back to SD when I had that figured out.

[sdrealtor]

Bigger homes always sell for alot less per sq ft because there are alot of fixed costs that dont dramatically change with size like lot sizes and permitting. Also each house only has one kitchen, one HVAC system, one electrical system, one roof etc. these are the most expensive parts of a house. To see if the bigger houses have dropped by as much as you think you really need to compare with price/sq ft at the peak and not just apply a relatively arbitrary figure to homes of all sizes.

[sdrealtor]

ZK,
I think not! I saw a house last week on Shorepointe in Sansonnet on the market 4 months with an asking price of 950 to 999K. It was beautifully upgraded and well landscaped with a lot size of 6621 sq ft. The yard had a spa, bbq island, waterfall and beautiful flowers. The house was 5BR/3.5BA built in 2000 with a very nice open/flowing floorplan and good size 2ndary BR’s (14 X 12). I spoke with the agent and they were anxious to see any and all offers. They were offering to pay closing costs and the buyers mortgage until the end of the year.

It just went into escrow so we’ll know what it went for in a month or so.

There was also a 3700 sq ft home on Longshore asking 999K on a 5600 sq ft lot. It went into escrow this week also.

[sdrealtor]

All good points SD R. You dont need to defend yourself. You are close to a full service realtor with low o/h and can work for less. I hope you never run into any problems. Agents like you do a good job for their clients but could never support the entire market. There will always be room for niche players like you.

IPayone on the other hand is a bloated pig with no advantages and they provide none of the personal service you do. They misprice listings more than anyone. They have a minimum wage admin person running CMA’s without knowing the neighborhood or ever seeing the property.I went to one of their seminars early on and listened to the CEO/Co-Founder speak. It was a classic bait and switch scam from day 1 and he is slimey. It will be good to see them vanish as they added no value to the system.

[sdrealtor]

That was last month. This month in carmel valley you can get a well upgraded 3000+ sq ft home on a 6000 to 7000 sq ft lot for 900K.

[sdrealtor]

I did some poking around with some stats and came up with the following. What I am doing wrong?

Median Home Price
1990-$183K
2000-$269K
2005-$510K

Median HH Income from Sandag site
1990-$35K (census)
2000-$47K (census)
2005-$64K (estimate)

I was surprised by the median income estimate as I have seen the $47K number bandied about and hadnt seen the higher number before. Has anyone seen that number before?

Price to income Ratio
1990-5.2
2000-5.7
2005-8.0

If the $64K number is legit and we get to $70K or better by 2010 it would suggest a median home price of $350k to $400K. I expected to see a number under $300K. Whats wrong with this picture?

[sdrealtor]

Put your helmet on!

[sdrealtor]

I dont know if that day will come soon enough but I suspect you should know whether it will in about 2 years from now.

[sdrealtor]

“It has some hard facts that are very useful: sale history, nearby comps, square footage, year built,”

Unfortunately these are not HARD facts. Sales history doesnt include seller concessions, square fortage is frequently under or over stated and year built is often wrong also. As for the comps, they frequently pick the wrong ones.

[sdrealtor]

PS,
I love my home and am not looking for better ways to profit off the equity. The joy of living there and spending time with my family are the greatest returns of all. In 20 to 30 years, I likely wont be around anymore. I’ll leave behind a healthy estate for my children but hopefully they will value their childhood more than their inheritance. That is the most valuable thing I could leave as a legacy. It could be longer or shorter but until then I’ll enjoy consuming the equity in my house through the daily pleasures of life.

You are so consumed with housing and the economy. I feel sadness that the runaway housing market has created that in your life. I would love to see greater affordibility for you and others. I hope it happens, I really do. In the same vein, I have trouble hearing you say you are “excited” about watching the economy and housing prices self destruct as I know what that would mean to alot of people. I prefer to create wealth through more positive thoughts and see great opportunity ahead in other areas that I am pursing in addition to keeping my hands in RE. There will not be great money making opportunities in RE for a long time. Rather than dwelling on something that won’t be profitable wouldnt your family be better served by you applying your great skills somewhere more positive and profitable than chronicling the demise of the economy?

[sdrealtor]

PC,
I wrote about seeing properties that were close to penciling out and that it would soon be possible in certain markets. Those markets are the low end condo projects in very desireable areas with lots of inventory that are getting hammered. The Carmel Valley and La Costa areas are good examples of this. We are still watching the market. I’ll keep you posted, just remind me.

[sdrealtor]

Darn, I was ready to start planning my retirement. I still wonder whether the multiplier on my home could ever approach 10X annual gross rent which would be 20% below 1998 cost. I dont care if it does as I’m dug in here for at least 20 more years and have a 30 year fixed rate in the low 5’s.

If it hit 13, that would mean my house was selling for what it cost new in 1998. BTW, my home is in a very desirable location and community. I could rent it out quickly and it would go for top dollar relative to the market.

[Author]

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