March 2009 Real Estate News

FALLBROOK/BONSALL REAL ESTATE CONTINUES UPWWARD TREND
IN VOLUME AS “BUYING/SELLING SEASON” BEGINS, SAYS KALMAN

FALLBROOK, Calif., Mar. 5, 2009 --- "February sales activity and new escrow originations increased in two prime North San Diego County communities,” Jerry Kalman, a Realtor® with RE/MAX United, reported today. “However, with the new loan modification program announced this week, activity could enter ‘suspended animation’ as many potential sellers sit on the sidelines while they determine eligibility for government supported loan modifications.”
Kalman said properties owned by lenders and those subject to lender approval still represent 74 percent of current activity, which depresses prices throughout the region.
“In February, 35 transactions here closed escrow with a precipitous drop in average selling price down to $319,572. The average price per square foot declined to $157,” Kalman said. “In February 2008, 25 properties closed escrow with an average selling price of $488,059, 35 percent higher than the recent period.”
Kalman said that of the transactions not lender-owned or short sales, the average selling price was $358,426, or $179 per average square foot. These more traditional transactions closed with prices 12 percent higher than the average.
“Entering March, 95 properties were in escrow with an average asking price of $347,375, or $165 per square foot. More than half of them entered escrow in February, fueled again by bargain hunters snapping up lender-owned properties,” Kalman added.
Not one million-dollar home sold in February, but one that carried a notice of default entered escrow, he said. Estate-grade properties now represent barely 20 percent of the available inventory. At the other end of the pricing spectrum, condo activity increased as five sold in February, only one not owned or under lender influence. At month-end 13 were in escrow, leaving 14 condos on the market in both communities.
He noted that the inventory of available homes decreased to 381 listings by March 1, and another decrease might be imminent. The average listing price of properties on the market increased to $749,980, or $247 per average square foot, 36 percent higher than the price per square foot of those that closed escrow.
Comparing Fallbrook and Bonsall with neighboring North San Diego County communities, Kalman said price direction elsewhere in the region was mixed. “Homes that closed escrow here at an average of $157 price per square foot remained lower than $264 in Carlsbad; $176 in San Marcos and $169 in Oceanside; but slightly better than $153 in Vista and Escondido. Other than Carlsbad, all represented declines.”
Kalman uses data from Sandicor, Inc., the multiple listing service for realtors in San Diego County, for Feb. 1 through Feb. 28, 2009, and represents properties listed or sold by various brokers. He uses the information to analyze the market and provide personal insight into real estate dynamics and trends as a community service.
Jerry Kalman is a licensed realtor (Calif. DRE #: 01328697) in the Fallbrook office of RE/MAX United, 1667 Mission Rd., Fallbrook, CA 92028, and he can be reached at (760) 468-4689 or by email at jerry@jerrykalman.com.