In This Issue… January 2012
Most Recent Sales
San Francisco Market Overview
What's Hot in the Richmond?
Commuters Looking Forward to New BART Cars
Show Cal Academy Some Love
Thursday, January 19, 2012
San Jose metro rent hikes top U.S. at 11.7%, SF No. 2 at 10.4%
San Jose apartment rents climbed higher in 2011 than any other major metro market in the nation, according to a RealFacts Inc. survey released Thursday, followed closely by San Francisco at No. 2.
Average rents in the San Jose-Sunnyvale-Santa Clara metropolitan area climbed 11.7 percent to $1,783 by the end of 2011 compared to $1,596 at the end of 2010.
Average rents in the San Francisco-Oakland-Fremont market rose 10.4 percent for the year to $1,708 by the end of the year.
No other market rents rose in double digits for 2011. The rest of the top 10 jumps were: Austin, 6.5 percent; Denver, 6.1 percent; Seattle, 5.4 percent; Portland, 4.5 percent; Colorado Springs, 4.5 percent; Durham, N.C., 4 percent; Los Angeles, 3.9 percent; and Dallas, 3.6 percent.
Unlike other markets, aggressive rent hikes appear to be sticking in Silicon Valley and San Francisco.
Of the 47 markets the apartment data provider tracks, rents actually declined in the fourth quarter in 24 of them while three remained unchanged.
Despite its big year-to-year jump, the San Jose market was among the fourth-quarter decliners, down 0.5 percent in the fourth quarter from $1,792 in the third quarter.
San Francisco metro rents rose 0.5 percent from $1,699 between the third and fourth quarters.
But overall, the average rent jumps in the San Francisco and San Jose metros at the end of 2011 ranked higher than any other of the 46 markets.
Source: Silicon Valley / San Jose Business Journal by Mary Ann Azevedo, Reporter
Date: Thursday, January 19, 2012, 12:01am PST - Last Modified: Thursday, January 19, 2012, 11:07am PST.
Average rents in the San Jose-Sunnyvale-Santa Clara metropolitan area climbed 11.7 percent to $1,783 by the end of 2011 compared to $1,596 at the end of 2010.
Average rents in the San Francisco-Oakland-Fremont market rose 10.4 percent for the year to $1,708 by the end of the year.
No other market rents rose in double digits for 2011. The rest of the top 10 jumps were: Austin, 6.5 percent; Denver, 6.1 percent; Seattle, 5.4 percent; Portland, 4.5 percent; Colorado Springs, 4.5 percent; Durham, N.C., 4 percent; Los Angeles, 3.9 percent; and Dallas, 3.6 percent.
Unlike other markets, aggressive rent hikes appear to be sticking in Silicon Valley and San Francisco.
Of the 47 markets the apartment data provider tracks, rents actually declined in the fourth quarter in 24 of them while three remained unchanged.
Despite its big year-to-year jump, the San Jose market was among the fourth-quarter decliners, down 0.5 percent in the fourth quarter from $1,792 in the third quarter.
San Francisco metro rents rose 0.5 percent from $1,699 between the third and fourth quarters.
But overall, the average rent jumps in the San Francisco and San Jose metros at the end of 2011 ranked higher than any other of the 46 markets.
Source: Silicon Valley / San Jose Business Journal by Mary Ann Azevedo, Reporter
Date: Thursday, January 19, 2012, 12:01am PST - Last Modified: Thursday, January 19, 2012, 11:07am PST.
Friday, January 13, 2012
Why Buy a Home in 2012
Here are some top reasons why to buy a home in 2012 besides the fact that home prices and interest rates are so incredibly low. These two factors occurring at the same time is a rare occurance in real estate and anyone who is waiting on the sidelines should buy now and not hesitate, home values especially in San Francisco are going up.
Appreciation – Buying a home now (at the current rates) can almost ensure your home’s appreciation in the future. Mortgage rates are near historic lows and home prices in many parts of the country are down. This is the perfect recipe for home appreciation. Additionally, many foreclosed homes are available for a fraction of the original cost. This can translate to a higher profit if you decide to sell once the market rebounds.
Property Tax Deductions – For income tax purposes, real estate property taxes for a vacation home and first home are fully deductible. The IRS (Publication 530) provides detailed tax information for first-time buyers that may answer many questions about what deductions homeowners are eligible for.
Preferential Tax Treatment – If you own your home for more than a year and receive more profit than the allowable exclusion after the sale of your home, the profit will be considered a capital asset. Capital assets are given preferential tax treatment.
Equity Building – Many factors such as credit qualification, loan flexibility, and annual percentage rate (APR) contribute to the final decision of what type of mortgage loan best fits your goals. Yet, a new trend being used by some homeowners is to actually add money to their monthly payment to decrease the principal balance of their loans at a much faster pace. This trend is called equity building. Equity builders usually select a home loan with a lower interest rate (and a shorter term loan such as a 15-year fixed) to help build equity faster. This rapid payment process allows borrowers to:
Pay off the principal balance faster
Lock in near-record-low interest rates
Shorten the length of their home loan
Own their home faster
Pay substantially less mortgage interest
Equity building is a beneficial trend that’s becoming more and more popular with fiscally responsible homeowners. Also, home equity is the largest single source of household wealth for most Americans.
Pride – Homeownership offers many benefits to many different types of people. For some homeowners, playing your music as loud as you want and painting the walls the color of your choice is a perk. For me, homeownership will permit me to build an NBA regulation size basketball court on my own property. For my coworker Joel Jarvi, home ownership may allow him to build the indoor slide of his dreams. No matter who you are, homeownership is a purchase, commitment, and journey that’s sure to bring you pride.
Appreciation – Buying a home now (at the current rates) can almost ensure your home’s appreciation in the future. Mortgage rates are near historic lows and home prices in many parts of the country are down. This is the perfect recipe for home appreciation. Additionally, many foreclosed homes are available for a fraction of the original cost. This can translate to a higher profit if you decide to sell once the market rebounds.
Property Tax Deductions – For income tax purposes, real estate property taxes for a vacation home and first home are fully deductible. The IRS (Publication 530) provides detailed tax information for first-time buyers that may answer many questions about what deductions homeowners are eligible for.
Preferential Tax Treatment – If you own your home for more than a year and receive more profit than the allowable exclusion after the sale of your home, the profit will be considered a capital asset. Capital assets are given preferential tax treatment.
Equity Building – Many factors such as credit qualification, loan flexibility, and annual percentage rate (APR) contribute to the final decision of what type of mortgage loan best fits your goals. Yet, a new trend being used by some homeowners is to actually add money to their monthly payment to decrease the principal balance of their loans at a much faster pace. This trend is called equity building. Equity builders usually select a home loan with a lower interest rate (and a shorter term loan such as a 15-year fixed) to help build equity faster. This rapid payment process allows borrowers to:
Pay off the principal balance faster
Lock in near-record-low interest rates
Shorten the length of their home loan
Own their home faster
Pay substantially less mortgage interest
Equity building is a beneficial trend that’s becoming more and more popular with fiscally responsible homeowners. Also, home equity is the largest single source of household wealth for most Americans.
Pride – Homeownership offers many benefits to many different types of people. For some homeowners, playing your music as loud as you want and painting the walls the color of your choice is a perk. For me, homeownership will permit me to build an NBA regulation size basketball court on my own property. For my coworker Joel Jarvi, home ownership may allow him to build the indoor slide of his dreams. No matter who you are, homeownership is a purchase, commitment, and journey that’s sure to bring you pride.
Sunday, December 18, 2011
San Francisco Real Estate Named Best Market In State:
I am not surprised by this article but it reinforces our market optimisim in San Francisco.
San Francisco Assessor-Recorder Phil Ting announced on Thursday that our city has the strongest real estate market in the state, with a growth of nearly $2 billion in the past year.
“We’re very, very fortunate in San Francisco,” Ting told SFAppeal. He also predicted that the growth will only continue here in SF in the coming years.
See article
San Francisco Assessor-Recorder Phil Ting announced on Thursday that our city has the strongest real estate market in the state, with a growth of nearly $2 billion in the past year.
“We’re very, very fortunate in San Francisco,” Ting told SFAppeal. He also predicted that the growth will only continue here in SF in the coming years.
See article
Monday, November 7, 2011
Holilday Safety Tips
Yes, the Holiday Season is approaching. Many of us will be participating in festivities, buying gifts, and perhaps traveling. Here are some safety tips, but be sure to check out our website for more information:
While Shopping:
* Only carry the needed cash and credit cards while out shopping.
* Be aware of pick-pocketers in crowded shopping areas and on public transportation.
* Park your car or walk in well-lighted and well-traveled areas.
* Limit the number of shopping bags you carry at one time; try to keep one arm free.
* Do not leave anything visible in your car; place items in trunk before arriving at your destination.
While Traveling:
* Do not advertise that you will be out of town.
* Ask a trusted neighbor to keep an eye on your house.
* Stop newspaper and mail deliveries.
* Use your alarm system if you have one.
* Consider using lights that are on timers.
Merchants:
* Keep an eye out for shoplifters; typically they travel in pairs.
* Consider having at least two employees open and close the store.
* Learn about cash-handling protocols and robbery prevention.
Consider starting a Neighborhood Watch or Business Watch Group, scheduling a Residential Security Survey, or having a Personal Safety Presentation by SAFE.
While Shopping:
* Only carry the needed cash and credit cards while out shopping.
* Be aware of pick-pocketers in crowded shopping areas and on public transportation.
* Park your car or walk in well-lighted and well-traveled areas.
* Limit the number of shopping bags you carry at one time; try to keep one arm free.
* Do not leave anything visible in your car; place items in trunk before arriving at your destination.
While Traveling:
* Do not advertise that you will be out of town.
* Ask a trusted neighbor to keep an eye on your house.
* Stop newspaper and mail deliveries.
* Use your alarm system if you have one.
* Consider using lights that are on timers.
Merchants:
* Keep an eye out for shoplifters; typically they travel in pairs.
* Consider having at least two employees open and close the store.
* Learn about cash-handling protocols and robbery prevention.
Consider starting a Neighborhood Watch or Business Watch Group, scheduling a Residential Security Survey, or having a Personal Safety Presentation by SAFE.
Friday, September 2, 2011
Mortgage Rates Hover Near All-Time Lows
Happy Labor Day Weekend. Good news! Mortgage rates are at near all times lows. This may be a great opportunity to get bargain interest rates and a great price on a new home, or property investment.
Mortgage rates in the U.S. remained at or near historic lows over the past week amid weak signals from the economy and the housing market, according to Freddie Mac's survey of mortgage rates.
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Freddie Mac Chief Economist Frank Nothaft said the stiff decline in August consumer confidence and a downward revision to U.S. second-quarter economic growth helped ease upward pressure on mortgage rates.
The 30-year fixed-rate mortgage averaged 4.22% for the week ended Thursday, unchanged from the prior week and below the 4.32% seen last year. Rates on 15-year fixed-rate mortgages averaged 3.39%, down from 3.44% last week and 3.83% a year earlier.
Five-year Treasury-indexed hybrid adjustable-rate mortgages averaged 2.96%, down from 3.07% last week and 3.54% a year earlier. One-year Treasury-indexed ARM rates averaged 2.89%, down from 2.93% in the prior week and 3.5% in the prior year.
To obtain the rates, 30-year fixed-rate mortgages required an average payment of 0.7 point, while 15-year fixed rates required an average 0.6 point payment.
Five-year and one-year adjustable-rate mortgages required an average 0.6 point payment. A point is 1% of the mortgage amount, charged as prepaid interest.
Thursday, August 11, 2011
S.F. apartment rent rises as vacancy rates fall. Maybe now is the time to Buy!
As I looked at the SFGate.com headlines. "S.F. apartment rent rises as vacancy rates fall" I thought why are these people renting. This is such an opportunity to buy. Mortgage interest rates are still incredibly low, home values are still significantly lower than the peak. The inventory of homes is of course low because it is seasonal in the summer for everyone to be on vacation and many sellers will wait until after Labor Day to sell their homes. The first week of September we customarily see inventory of homes available climb as this is reciprocal to buyers being available and ready. If you or a friend or family member are looking to buy a home please don't hesitate to call or refer them to me. I promise to make the buying experience less daunting and with my full service make buying a home a enjoyable experience.
S.F. apartment rent rises as vacancy rates fall
Carolyn Said, Chronicle Staff Writer
Thursday, August 11, 2011
Apartment hunting in San Francisco has turned into a competitive sport with hopeful renters swarming open houses and experiencing more rejections than contestants on "Survivor."
"You have to pounce as soon as you see an ad you like," said Chris Covert, a manager at Symantec who was among 18 people vying for a $1,395 Nob Hill studio last week. "It's definitely nuts."
Driving the demand is a new wave of tech workers at the city's rapidly growing social media and technology companies.
"We're seeing a new demographic entering the housing market - Generation Y," said Sarah Bridge, owner of RealFacts, a Novato firm that tracks the apartment market. "Their preference is to live in the heart of a vital, thriving community like San Francisco. They want to be where the action is, and they don't mind being in a small studio apartment as long as it's well-located."
San Francisco has always been a city of renters. Only about a third of its residents are homeowners - half the national homeownership rate. Post-housing crash, with mortgages difficult to get and ample evidence of how quickly home values can slide, people are more inclined than before to rent. The national homeownership rate, which peaked at 69 percent in 2004 during the housing boom, is now down to 66 percent.
Read more: http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2011/08/10/MND91KLCIE.DTL#ixzz1UjXEYYZS
S.F. apartment rent rises as vacancy rates fall
Carolyn Said, Chronicle Staff Writer
Thursday, August 11, 2011
Apartment hunting in San Francisco has turned into a competitive sport with hopeful renters swarming open houses and experiencing more rejections than contestants on "Survivor."
"You have to pounce as soon as you see an ad you like," said Chris Covert, a manager at Symantec who was among 18 people vying for a $1,395 Nob Hill studio last week. "It's definitely nuts."
Driving the demand is a new wave of tech workers at the city's rapidly growing social media and technology companies.
"We're seeing a new demographic entering the housing market - Generation Y," said Sarah Bridge, owner of RealFacts, a Novato firm that tracks the apartment market. "Their preference is to live in the heart of a vital, thriving community like San Francisco. They want to be where the action is, and they don't mind being in a small studio apartment as long as it's well-located."
San Francisco has always been a city of renters. Only about a third of its residents are homeowners - half the national homeownership rate. Post-housing crash, with mortgages difficult to get and ample evidence of how quickly home values can slide, people are more inclined than before to rent. The national homeownership rate, which peaked at 69 percent in 2004 during the housing boom, is now down to 66 percent.
Read more: http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2011/08/10/MND91KLCIE.DTL#ixzz1UjXEYYZS
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