Archive for July, 2009Housing Perspective: May S&P Case Shiller Home Price IndexThe housing market got another piece of “good” data today, as the S&P Case Shiller Home Price Index registered its first month-over-month uptick in almost 3 years, according to Bloomberg. The increase was nominal, to be sure, at a mere 0.5% from the prior month, but it was an increase nonetheless. As can be seen [...] Deal or No Deal RESULTS: Walnut Creek on the CheapCirios Verdict: DEAL (Click here for the original Deal or No Deal post) The subject is a well-maintained home in an established neighborhood in Walnut Creek, CA. The majority of the landscaping was recently put in and gives the home very good curb appeal. The interior could use some updating but it should be considered [...] Deal or No Deal: New to Nob HillAs the San Francisco rental market softens, so too is the market for condos and TICs (Tenancy in Common). This bodes well for buyers — as long as they can be patient. In general, we do not forsee a stabilization in the lower end of the condo/TIC market in San Francisco in the near term, [...] Housing Perspective: June New Home SalesIt’s been a long time since the housing market has set a record that wasn’t something like, “Worst since…,” “Biggest decline since…,” or “….since the Great Depression.” The Commerce Department reported today that sales of new homes leapt in June, up 11% from May. According to Bloomberg, the figure marks the biggest monthly gain since [...] Keepin’ It Real Estate: Why Housing Prices Are Essentially MeaninglessThis post first appeared on Minyanville. It took the Wall Street Journal an entire survey to prove what readers of this column have known for months: The housing recovery, as it plays out, will be a localized event, varying greatly city to city, neighborhood to neighborhood, street to street. The Journal, god bless them, compiled [...] Housing Perspective: June Existing Home SalesLies, damn lies and (NAR) statistics. Indeed. The National Association of Realtors (or NAR) released data today showing that sales of existing homes crept up in June, the 3rd consecutive up month. While sales were a touch lower than they were a year ago, the annualized, seasonally adjusted sale figure was up 3.6% from May. [...] Deal or No Deal UPDATE: Anyone for Some Hoops?Every once in a while, we get one wrong – even the Cirios valuation team is human. A few weeks ago, we identified 1305 Campus Dr. in the Berkeley Hills as a Deal, assigning a value of $780,000 to a home listed at $759,000. It’s not often that we value a home above it’s list [...] Deal or No Deal: Walnut Creek on the CheapClick HERE for the results of this Deal or No Deal. Nestled in the heart of Ignacio Valley, Walnut Creek is the heart of the Contra Costa County economy. During the dotcom boom, tech companies of all stripes opened offices downtown, as the skyline grew and housing developments began to dot the hillsides. (click on [...] Deal or No Deal RESULTS: Belmont Views for Under $700kCirios Verdict: NO DEAL (Click here for the original Deal or No Deal post) The subject is an updated home in the hills of Belmont, CA. The home has an updated kitchen and two updated bathrooms. The backyard sits on the side of a hill but it has been tiered, which makes it significantly more [...] Housing Perspective: July Homebuilder SentimentThings are looking up for US homebuilders — or at least they think so. The National Association of Homebuilders/Wells Fargo Housing Market Index registered a 17 this month, its highest level since September of last year. The measure jumped from 15 in June, after hitting a low this past March of a measly 9. Anything [...] Deal or No Deal: Belmont Views For Under $700kBelmont is about as convenient a city as one can find if you want to split the difference between the South Bay job centers of Mountain View and Sunnyvale, without being too far from San Francisco for the occasional jaunt to the city. Housing prices, to be sure reflect this fact. (Click images for larger [...] CIT Puts “Too Big to Fail” to the TestThis post first appeared on Minyanville. We have truly become a bailout nation. As regulators mull over the possibility of rescuing CIT Group (CIT) — a small-business lender that counts over 1 million US firms as customers — analysts debate whether the relatively small firm is deserving of a taxpayer-funded bailout. Or for that matter, [...] Why Should I Care: Real Estate & Price DiscoveryBy ANDREW JEFFERY This post first appeared on Minyanville. Price discovery. It sounds simple enough, right? If you separate out its component parts, you have “price” — the amount buyers are willing to pay and sellers are willing to accept — and “discovery” — the uncovering of that price. But price discovery — a term [...] Deal or No Deal RESULTS: Berkeley Hills for Under $500kCirios Verdict: (ALMOST) DEAL (Click here for the original Deal or No Deal post) The subject is a small home in the Berkeley Hills on a large lot, a good portion of which is usable. Crystal Way is a not-through street located in the lower part of the Berkeley Hills, close to the UC Berkeley [...] Price Per Square Foot: South San Francisco vs. MillbraeAsk most anyone familiar with Bay Area real estate which city has more expensive homes, South San Francisco or Millbrae, and the response is likely to be unanimous. South City doesn’t exacly have the reputation for high-end real estate. But taking a look at the graph below, during the boom, South City tracked Millbrae pretty [...] Deal or No Deal RESULTS: Leering at LafayetteCirios Verdict: DEAL (Click here for the original Deal or No Deal post) The subject is a modest sized home in Lafayette with good curb appeal. Most parts of the home could use upgrading but it could be lived in immediately. The lot is basically flat which is desirable as many homes in Lafayette do [...] Deal or No Deal: Berkeley Hills For Under $500kThe Berkeley Hills aren’t exactly know for affordable homes. That’s because there aren’t really any up there. But this week’s Deal or No Deal property, 30 Crystal Way, is just about as cheap as houses get to live in one of the most sought after neighborhoods in the entire Bay Area. (click on images to [...] Who Says High-End Real Estate is Dead?With all the news of the collapse of high end real estate, it’s comforting to see some intrepid investors bucking the trend. Sure, they may lose their shirts, but more power to them for giving it a shot. Farallon Capital Management, a well known San Francisco-based hedge fund, is bankrolling a stalled project to develop [...] Housing Perspective: May Pending Home SalesDespite markedly higher interest rates and problematic new appraisal guidelines, homebuyers are still stepping back into the market. The National Association of Realtors said yesterday that pending home sales, which measure new purchase contracts signed, rose in May for the fourth consecutive month. According to Bloomberg, the 0.1% gain from the prior month barely edged [...] |