Price Reduction

Price Change. 10874 Meadow Glen Wy E 4 Bedrooms, reduced to $389,001

Weekly Review

Two new listings this past week, one on Meadow Glen Way East and one on Welk View, each identified on the list with “Market Time” fewer than seven days. Two homes went into Pending, one at 28215 Glenmeade Way, listed at $409,000, and one on Legend Rock, listed at $469,900. Two homes closed escrow, 10088 Boulder Knolls closed at $389,000 and 10616 Aspen Glen closed at $513,000.

DataQuick, a San Diego based corporation that is expert in housing analysis, has produced its statistics for September, and they are grim – down from even September of last year for the County, and down even 3+% from August.

The September county totals were the lowest in three years.

The San Diego Union quotes Larry Rosenthal, head of the University of California Program on Housing and Urban Policy as saying, “The fact that we’re seeing this longer-standing kind of weakness – almost paralysis – in the demand for new sales indicates that we have a long row to hoe when it comes to recovery.”

That is certainly true, and one indicator of the long-lasting effects of the housing problem is that the number of licensees in real estate continue to slide, as the cost of license, fees, memberships and marketing continue with lower and lower income potential from sales. Thousands of San Diego County real estate agents have not renewed their licenses, and that trend is likely to continue.

The real estate market has yet to face the enormity of the looming commercial real estate problem, which in many ways is more long-term and intractable than even the residential housing market because people will always need a place to live but the internet is encroaching rapidly on commercial sales.

While it will be a few days before the official month figures are reported, Gallup reported that mid-October jobless rate nationally hit 10% and the housing market will not turn around until those numbers are considerably better – but right now they are going in the wrong direction.

New Listing

New Listing  11033 Meadow Glen Way E, 4 Bedrooms, listed for $320,000

The Week in Review

One new listing this past week, at 28206 Glenmeade Way, a 3/2 of 1898 s. f and listed at $349,000.

A home at 10088 Boulder Knolls went into Pending for $380,000 list price, and a home at 10231 High Mountain Dr, went into Pending at a list price of $950,000. This last “Pending” is remarkable because it is the first Meadows luxury home that has gone into Pending in a long time!

Two homes closed escrow this past week: 28136 Glenmeade Way. A 3/3 of 3,048 s.f. closed escrow at $395,000; and a home at 11272 Meadow Glen Way East, a 3/2 of 2,116 s.f. closed escrow at $417,000.

The market is already preparing itself for the Winter months, such as they are in Southern California, but houses are being withdrawn because of the Holidays approaching. In San Diego County, the generally accepted heuristic is anything above a six month inventory causes a downward pressure on housing prices, and anything under six months causes an upward pressure.

Even in this “New Normal” – which is anything but normal – our current 15 month inventory is indicative of downward pressure on prices. Nationally, we see a decrease in Consumer Confidence and continued job market weakness, all of which hastens and deepens an even more disastrous commercial real estate market in coming months if the retail market cannot recover.

I see no positive solutions unless the national malaise gets turned around after the November 2 elections, not because any political party has a solution but because for a brief period people might think one party does. The nation needs something to break this negative cycle, something to lift the public spirit. It does not need to be a tangible event to jumpstart the public confidence – it could be as simple as a presumed end to a negative event.

Foreclosure Disaster (Round 1,245,572…)

The foreclosure “thingie” is a purple mess, and is likely to get a lot stickier before it is finished.

The best information, locally, is covered by the voiceofsandiego.org, an on-line newspaper that has been called the best in the country.

This is a new article by their expert on the subject.

http://www.voiceofsandiego.org/toscano/article_12072bb2-d944-11df-8f2f-001cc4c002e0.html

My question is; If the banks can be held responsible for signing documents in a hurried fashion without reading them (and they should be held responsible), can we then hold Senators to the same standards for passing 2,000 page bills that they did not read or understand?

 

 

Downward Pressure on the Market

Historically in San Diego County, six months of inventory has been the dividing line between house prices rising and falling. We are currently at 15 months inventory — indicating SERIOUS downward pressure on home prices.

Price Reduction

Price Reduction 11033 Meadow Glen Wy E 4 Bedrooms reduced to $325,000