April Real Estate Report

DOMINANCE BY FORECLOSURES AND SHORT SALES EASED DURING APRIL IN FALLBROOK AND BONSALL, SAYS KALMAN

FALLBROOK, Calif., May 5, 2008 --- Lender-dominance eased and more normal transactions surged during April marking a rebound in Fallbrook/Bonsall real estate prices, Jerry Kalman, a Realtor® with RE/MAX United, reported today.
"In these two North San Diego County communities 30 properties closed escrow with less than half facing foreclosure or already owned by lenders,” he said. “The average selling price of $522,261 represented a 50 percent increase over March 2008 but nonetheless a 21 percent decline from year-earlier levels. Average discounts from original asking prices narrowed to 12 percent with a decrease in lender-influenced deals.”
He said that even though selling activity remains heavily skewed toward lower priced properties, activity increased in mid-range and high-end homes. Entering May, 78 properties were in escrow, the fifth straight monthly increase. He noted that more than half of them entered escrow in April and that ten percent of those escrows came from new listings during the period.
In the million-dollar-plus category, one property closed in April and five placed in escrow marking a sharp increase in high-end home activity Estate-grade properties in this price range continued to represent more than one fourth of the available inventory. Average days on the market for high-end homes in April declined to 129 days.
Bonsall accounted for all condo sales in April as three units closed escrow with an average selling price of $188,333, or $128 per square foot. Kalman said five condos, four in Bonsall, went into escrow in the month and that 32 are on the market in both communities with an average asking price of $235,443, or $207 per average square foot.
The overall inventory of listed single family residences entering May held steady at nearly 450 properties. During April, 92 new listings came on the market with an average asking price of $837,100, or $297 per average square foot. The average asking price of all homes on the market in Fallbrook and Bonsall decreased slightly to $856,733.
“On an average selling price per square foot basis, homes that closed escrow in April here dipped to $208, less than $309 in Carlsbad, $219 in Oceanside, $212 in San Marcos and $211 in Vista; and higher than $207 in Escondido.”
Kalman uses data from Sandicor, Inc., the multiple listing service used by realtors and other real estate professionals in San Diego County, for Apr., 1, 2008, through Apr. 30, 2008, and represents properties listed or sold by various brokers. He uses it to analyze the market and provide personal insight into real estate dynamics and trends as a community service. Kalman is a Realtor® in the Fallbrook office of RE/MAX United, 1667 Mission Rd., Fallbrook, CA 92028, and can be reached at (760) 468-4689 and by email at jerry@jerrykalman.com.

March Madness Gives Way to April Promise

FALLBROOK AND BONSALL REAL ESTATE ACTIVITY DOMINATED BY FORECLOSURES AND SHORT SALES, SAYS KALMAN

FALLBROOK, Calif., April 8, 2008 --- Depressed Fallbrook/Bonsall real estate prices during March reflected lender-dominance in transactions, Jerry Kalman, a Realtor® with RE/MAX United, reported today.
"Nineteen homes in these North San Diego County communities closed escrow, and 11 either faced foreclosure or were already owned by lenders,” he said. “The average selling price of $351,894 showed another sharp decline from year-earlier and prior-month levels as lenders accepted steep discounts on their listings to liquidate inventory. Average discounts from original asking prices increased to 18 percent.”
In addition to a heavy influence on pricing, he also noted that lenders originating loans are imposing stricter requirements on buyers that range from tighter approval criteria for first-time buyers to insistence on more conservative valuations.
“Steep price declines occurred across the board in both communities and in low- to mid-range price segments,” Kalman said, adding: “nothing priced above $600,000 closed escrow, which distorted both median and average prices down.”
He said that even though selling activity remains heavily skewed toward lower priced properties, activity continues to increase. Entering April, 67 properties were in escrow, the fourth straight monthly increase, and half of them entered escrow in March.
In the million-dollar-plus category, not one property sold in March and, similarly, none were placed in escrow. Actively marketed estate-grade properties in this price range continue to represent one fourth of the available inventory. Average days on the market for high-end homes in March declined to 138 days.
Bonsall accounted for all condo activity in March as one unit closed escrow with a selling price of $204,000, or $124 per square foot. Kalman said another two condos in Bonsall went into escrow in the month. Thirty four are on the market in both communities with an average asking price of $246,726, or $212 per average square foot.
The overall inventory of listed single family residences entering April held steady at nearly 450 properties. During the month, 83 new listings came on the market with an average asking price of $786,630, or $285 per average square foot. The average asking price of all homes on the market in Fallbrook and Bonsall increased to $866,967.
“On an average selling price per square foot basis, homes that closed escrow in March here dipped slightly to $225, less than $312 in Carlsbad and $231 in Oceanside; but higher than $225 in San Marcos, $209 in Escondido and $203 in Vista.”
Kalman uses data from Sandicor, Inc., the multiple listing service used by realtors and other real estate professionals in San Diego County, for Mar., 1, 2008, through Mar. 31, 2008, and represents properties listed or sold by various brokers. He uses it to analyze the market and provide personal insight into real estate dynamics and trends as a community service. Kalman is a Realtor® in the Fallbrook office of RE/MAX United, 1667 Mission Rd., Fallbrook, CA 92028, and can be reached at (760) 468-4689 and by email at jerry@jerrykalman.com.

March 2008 Real Estate News

FALLBROOK AND BONSALL REAL ESTATE ACTIVITY HEAVILY AFFECTED BY MORTGAGE ISSUES IN FEBRUARY, SAYS KALMAN

FALLBROOK, Calif., Mar 5, 2008 --- Fallbrook/Bonsall real estate activity was mixed in February as an increase in sales volume was offset by prices pushed lower in transactions that reflected mortgage problems, Jerry Kalman, RE/MAX United, reported today.
"In February, 24 homes in these North San Diego County communities closed escrow, two more than January,” he said. “The average selling price of $490,647 showed a 15 percent drop from January. Nearly 60 percent of the homes that sold were lender owned or in pre-foreclosure; and average discounts from original asking prices hovered around 17 percent, a reflection of aggressive pricing to move inventory.”
Kalman noted bargain prices, low mortgage rates, pent-up demand and builder promotions for two developments in the area increased traffic during February. Entering March, 58 properties were in escrow, the third straight monthly increase. He added that more than one third of the properties in escrow were lender-owned or in pre-foreclosure; and that another 20 percent were new homes in builders’ inventory.
In the million-dollar-plus category, one home sold in February and one was placed in escrow. Actively marketed single family residences in this price range represented less than one fourth of the available inventory. Average days on the market for high-end homes in February rose slightly to 171 days.
Two condos closed escrow in February with an average selling price of $317,500, or $224 per square foot. Kalman said another two condos went into escrow in the month and 33 are on the market here. The current average asking price of condos remained steady at $265,466, or $217 per average square foot.
The overall inventory of listed single family residences entering March increased to 450 properties, fueled in part by a major builder bringing inventory on the market. During the month, 111 new listings came on the market with an average asking price of $755,625, or $275 per average square foot. The average asking price of all homes on the market in Fallbrook and Bonsall increased to $844,214.
“On an average selling price per square foot basis, homes that closed escrow in February here held at $227, less than $291 in Carlsbad and $229 in Oceanside; but higher than $224 in Vista, $211 in Escondido and $208 in San Marcos.”Kalman uses data from Sandicor, Inc., the multiple listing service used by Realtors® and other real estate professionals in San Diego County, for Feb., 1, 2008, through Feb. 29, 2008, and represents properties listed or sold by various brokers. He uses it to analyze the market and provide personal insight into real estate dynamics and trends as a community service. Kalman is a Realtor® in the Fallbrook office of RE/MAX United, 1667 Mission Rd., Fallbrook, CA 92028, and can be reached at (760) 468-4689 and by email at jerry@jerrykalman.com.

February 2008 Real Estate News

FALLBROOK AND BONSALL REAL ESTATE ACTIVITY
SHOWS MODEST IMPROVEMENT IN JANUARY, SAYS KALMAN

BONSALL, Calif., Feb. 7, 2008 --- Fallbrook/Bonsall real estate prices improved in January as sales volume and prices showed gains over December 2007 levels, Jerry Kalman, RE/MAX United, reported today.
"In January, 22 homes in these North San Diego County communities closed escrow, six less than January 2007 but 20 percent better than month-earlier levels,” he said. “The average selling price of $574,236 reflected a 36 percent gain over December. One fourth of the homes that sold were lender owned or in pre-foreclosure; and average discounts from original asking prices hovered around 20 percent, a reflection of aggressive pricing to move inventory.”
Kalman noted traffic increased in January for the second month in a row fueled by bargain prices, lower mortgage rates, dropping gasoline prices and pent-up demand, all of which encouraged buyers to return to the market. Entering February, 51 properties were in escrow, an increase over December levels. He added that nearly one third of the properties in escrow are lender-owned or in pre-foreclosure.
Four million-dollar-plus homes closed escrow in January, selling for $299 per average square foot. Two priced above $1 million were placed in escrow bringing the total high-end homes in escrow to four. Actively marketed single family residences in this price range held at one fourth of the available inventory. Average days on the market for high-end homes in January declined slightly to 161 days.
In January, two condos closed escrow with an average selling price of $231,950, or $154 per square foot. Kalman said two condos went into escrow in the month and 33 are on the market here. The current average asking price of condos dropped four percent to $263,484, or $233 per average square foot.
The overall inventory of listed single family residences entering February rose to 430 properties as agents and sellers brought many listings back on the market that expired in the final days of 2007. During the month, 117 new listings came on the market with an average asking price of $819,252, or $293 per average square foot. The average asking price of homes on the market showed a slight decline to approximately $828,758.
“On an average selling price per square foot basis, homes that closed escrow in January in this area increased to $227, less than $293 in Carlsbad, $242 in Oceanside and $236 in Vista; but higher than $217 in Escondido and $218 in San Marcos.”
Kalman uses data from Sandicor, Inc., the multiple listing service used by Realtors® and other real estate professionals in San Diego County, for Jan., 1, 2008, through Jan. 31, 2008, and represents properties listed or sold by various brokers. He uses it to analyze the market and provide personal insight into real estate dynamics and trends as a community service. Kalman is a Realtor® in the Bonsall office of RE/MAX United, 5519 Mission Rd., Bonsall, CA 92003, and can be reached at (760) 468-4689 and by email at jerry@jerrykalman.com.

1513 Turquesa, San Jacinto, CA 92583

Creativity in Selling a Home

So, your home has been on the market for a longer time than you find comfortable and it still hasn’t sold despite all the open houses, advertising and even incremental price reductions. What can you do to stimulate buyer-interest in your property? Here are a few ideas you can use to stand out from the herd in our crowded market.
If you have your home listed with another agent, please check with that Realtor® to make sure any tactics you pick coincide with that person’s marketing strategy.

1) If you haven’t already done so, consider freshening up the interior by a major overhaul of the furnishings and arrangement of furniture, often called staging.
2) Do likewise for the exterior to improve curb-appeal.
3) Before making another price reduction, consider an increase in the buyer-agent commission.
4) Offer another SPIF (incentive) to the buyer’s agent, such as bonus or inducement similar to what you’d also provide to the buyer.
5) Provide some form of a financial incentive to the buyer by covering some or all closing costs, buying down the buyer’s mortgage or other inducement.
6) Throw in a free car, plasma TV or other high ticket item.
7) Solve an obvious cosmetic or other problem with the property through carpet or flooring allowances, fence issue remediation, painting credit, etc.

Professional buyers’ agents show the best in the inventory that meet their clients’ requirements and try to remain above being influenced by incentives that enrich them. Many of these incentives can be found in the hidden “confidential remarks” portion of MLS listings.
If you’re a buyer, it’s fair to ask your agent to concentrate on those listings that have added inducements.
If you’re a seller, it’s just as fair in a tight market to consider using some form of an inducement to “sweeten the pot” for a buyer or the buyers’ agent.
If you’d like more information on any of these ideas or to explore how listing your home to present the most attractive package for buyers, please give me a call:
888-525-6268
Or email me: jerry@jerrykalman.com

PS: Don’t let the holidays dissuade you from listing or letting your home be shown. Quite often a well decorated home has just the right warmth and homey appeal to a buyer to make it stand out from all the rest. And, with a seasonally reduced inventory, your home might appeal to those serious buyers with a must-move requirement!

Jerry Kalman