Archive for August, 2009Keepin’ It Real Estate: Allocating Stimulus to Land BanksThis post first appeared on Minyanville. After four years of searing pain, the US housing market is finally showing signs of life. And even as the causes and relative sustainability of this nascent “recovery” are being hotly debated, traditional buyers and investors alike are jumping into the market for homes with both feet. It now [...] Deal or No Deal: What $1 Million Gets You in Menlo ParkWhen looking at a potential house to buy, it’s as important to consider what a broker doesn’t show you as it is to look at what they do show you. 2061 Ashton is a case in point. (click to enlarge images) First, there are no photos of the front of the home contained in the [...] Housing Perspective: July New Home SalesOptimism about the housing market is reaching near-unanimous levels. Sales of new homes in July rose 9.6% from the month before, the biggest jump since the height of the housing boom in 2005. According to Bloomberg, inventories of new homes also fell to the lowest level in 16 years. Purchase activity was the strongest in [...] Deal or No Deal RESULTS: Albany OpportunityCirios Verdict: NO DEAL (Click here for the original Deal or No Deal post) The subject is a dated home in Albany, CA. The home only has one bathroom and is close to numerous apartment complexes. In its current state, the home has only average curb appeal. Albany is a middle class neighborhood just north [...] Housing Perspective: June S&P Case Shiller Home Price IndexBroad measures of home prices continue to show improvements, as the S&P/Case Shiller Home Price Index registered its second straight monthly increase. According to the Wall Street Journal, Case Shiller’s 20-city index ticked up on a quarterly basis 1.4% from the three months ending May 31. 2 cities still showed month-over-month declines, woeful Detroit and [...] Housing Perspective: July Existing Home SalesEclipsing even the most optimistic expectations, July existing home sales registered a 2-year high this morning, jumping 7.2% from last month. According to Bloomberg, the National Association of Realtors (or NAR) reported that transactions climbed to a 5.24 million annualized pace, the highest rate since August of 2007. NAR chief economist Lawrence Yun, the man [...] Deal or No Deal: Albany OpportunityIn a market where updated, well-priced, move-in ready homes are few and far between, the opportunity to buy fixer uppers is considerable. Current mortgage outlets, namely the US government, are reticent to give out loans on homes that need some work, which creates an opportunity for all-cash investors to buy homes that need some upgrades, [...] Deal or No Deal RESULTS: Get Into Montclair, on the CheapCirios Verdict: NO DEAL (Click here for the original Deal or No Deal post) The subject is a well-maintained home in the desirable section of Oakland referred to as Montclair. The home has good curb appeal and is within walking distance of Montclair village which is home to numerous shops and restaurants. The home could [...] Housing Perspective: July Homebuilder SentimentThe bounce rolls on. This morning, US Homebuilders gave their most positive outlook on the market in the past 12 months, as the National Association of Homebuilders/Wells Fargo Housing Market Index ticked up to 18, from 17. To be sure, 18 is a dismal reading, but builders appear to see a light at the end [...] Keepin’ It Real Estate: How Long Can the Housing Bounce Last?This article first appeared on Minyanville. The only question that really matters in the housing market right now is the following: Does the recent strengthening in sales data signal an imminent bottom, or are we smack in the middle of a dead-cat bounce? The answer, of course, is complicated. And as I’ve discussed in the [...] Deal or No Deal RESULTS: San Diego in San RamonCirios Verdict: NO DEAL (Click here for the original Deal or No Deal post) The subject is a well-maintained home on a cul-de-sac in San Ramon. The property is on a decent sized lot with a patio and a gazebo. The kitchen looks like it has been updated over the last few years. The broker [...] Deal or No Deal: Get into Montclair, on the CheapEvery once in a while, we run across a house where the list price just doesn’t make sense. When 5692 Cabot Dr. in Montclair popped up on our radar screen, it screamed DEAL without question. So, naturally, we immediately tried to figure out what was wrong with the house. (click images to enlarge) Good location? [...] Housing Perspective: June Pending Home SalesPositive data continues to emerge from the housing market, as buyers take advantage of home prices that have fallen dramatically from their peak, along with low interest rates, tax credits and a stock market that can’t seem to be kept down. Pending Home Sales in June, which measure signed purchase contracts and are often examined [...] Deal or No Deal: San Diego in San RamonAsk a sample of Bay Area residents to point to San Ramon on a map, and you’ll likely get as many people looking in Marin for San Rafael as you get people who can actually locate it in the East Bay just north of Dublin and south of Danville. New developments sprouted up all over [...] Keeping It Real Estate: Collapse in Luxury Market More Revealing Than It AppearsThis post first appeared on Minyanville. It only took 18 months, but the fact that the US luxury real estate market is falling apart at the seams is finally starting to sink in. Yesterday’s Wall Street Journal chronicled the plight of high-end housing markets, as formerly wealthy homeowners are falling behind on their mortgages at [...] Deal or No Deal RESULTS: New to Nob HillCirios Verdict: NO DEAL (Click here for the original Deal or No Deal post) The subject is a recently renovated TIC in a desirable part of Nob Hill. This unit has everything that adds value to a property including 2 bathrooms, parking, washer/dryer and outdoor space. The common area is on the small side as [...] Zip Code Spotlight: San Bruno – 94066This post first Appeared in the August edition of Doing Your Real Estate Homework: The New York Times Rent vs. Buy CalculatorThis post first Appeared in the August edition of State of the Markets – 8/3/2009This post first Appeared in the August edition of Cirios Trends: Getting to the Bottom of the Housing Market If there is a single trend we have been focused on here at Cirios throughout 2009, it’s the divergence between high-end real estate markets and broad measures of home prices. That is, even as recent housing [...] House of the Month: Huge House – Tough LocationThis post first Appeared in the August edition of Cirios Trends: Getting to the Bottom of the Housing Market The expression “Real Estate is about location, location, location,” is well known. However, there is always a point where people will sacrifice a desirable location for an amazing home. This House of the Month tests the [...] By The Numbers – Absolute SupplyThis post first Appeared in the August edition of Cirios Trends: Getting to the Bottom of the Housing Market – August 2009In this month’s issue, check out: The State of the Markets – 8/3/09 High-end markets buck stabilization trend. By The Numbers: Absolute Supply A simple way to gauge future home price trends. Zip Code Spotlight: San Bruno – 94066 Hidden affordability on the Peninsula. House of the Month: Huge House – Tough Location Like-new mansion [...] |