Prices start to rise in February...

Median Prices Rise in February
Trends at a Glance

The median prices for single-family, re-sale homes and re-sale condos gained ground last month. The median price for homes rose 5.1% from January, a year-over-year loss of 1.5%. This is the first year-over-year loss since August 2003. The median price for condos rose 13%, month-over-month, and was up 6.7% compared to February 2007.
Sales of single-family, re-sale homes bounced back from the record low set in January. There were 424 homes sold last month, a rise of 25.8% from the month before, down 36.2% from last February. Condo sales rose 2.2%, but were off 56.9% year-over-year.
Inventory continues to increase as we enter the spring selling season. The number of homes on the market rose 11.1% compared to January, and up 72.9% year-over-year. Condo inventory rose 8.7% month-over-month, and was up 61.7% compared to last February.
The sales price to list price ratio for single-family homes rose 0.6 of a point to 98.2%. The ratio for condos fell 0.2 of a point to 97.9%.
Days on market fell six days to 81 for homes. Days on market for condos was flat at 85 days.

Still wanting more information???

Lets talk about the market and how we can help you!

Call us @ 408 399 1495 today or email us @ monica.manocha@cbnorcal.com

Make it a great weekend!

www.mmgproperties.com

Is this the time to buy now?

Today's Housing Market Primed to Buy
Wednesday, March 12, 2008 -

SACRAMENTO, CA - Serious homebuyers and investors take note: Don't fret recession talk and dismal foreclosure and mortgage delinquency numbers coming from the experts.

"Today's market could be the opportunity of the decade -- and even decades to come -- for the average person to pick up affordable housing at cut-rate prices," says Alexis McGee, president of and co-founder of ForeclosureS.com, California-based foreclosure and property information analysts and publishers. "Homes today are available at discounts of 20, 30, and 40 percent off retail prices in some areas; choices are abundant, and inexpensive, reliable financing is now available, thanks to new higher Federal Housing Administration and Fannie Mae loan limits," adds McGee.

Even the Mortgage Bankers Association on March 6th reported record mortgage delinquency and foreclosure rates points to a slowing foreclosure spiral. However, new foreclosure starts year over year and quarter to quarter were relatively flat in Michigan, Ohio, and Indiana, states with the highest percentages of loans in foreclosures.

Could the downturn have hit bottom? "That's anyone's guess," says McGee. "But clearly our government has taken essential steps to allow the market to recover in a way that stimulates the economy, keeps interest rates affordable, and helps buyers, sellers, and investors, alike." For example:

-- Last week Senate Republicans blocked consideration of the "Bankruptcy Cram Down" bill that would have allowed bankruptcy judges to modify the mortgages of troubled borrowers to help them avoid foreclosure. "Cram down would have undermined investor confidence in secondary markets where mortgages are bought and sold, resulting in higher interest rates and larger down-payment requirements," adds McGee.

-- The temporary increase in loan ceilings for FHA-insured loans and Fannie Mae loans mean the average person now can access affordable, safe insured loans. "Until now, homebuyers in high cost of living areas had been priced out and forced to look to creative expensive mortgage financing options," adds McGee.

-- U.S. District Judge Paul L. Friedman filed a preliminary injunction temporarily barring HUD from enforcing a ban on seller-financed down payment assistance programs. That injunction gives investors another tool to sell houses in today's market and ensures the continuing operation of nonprofits like nehemiahcorp.org to help with down payment assistance for families.

"But for others already trapped by soaring mortgage payments and looming foreclosure, it's not enough. Despite talk that the number of overextended homeowners helped by lender workouts is up, so are serious mortgage delinquencies and foreclosures. Industry claims aside, homeowners facing foreclosure simply aren't getting the workout assistance they need from lenders and industry," adds Bruce Marks, chief executive of Boston-based Neighborhood Assistance Corporation of America, a nonprofit foreclosure prevention counseling group.

"Hopefully, that will change as interest rates continue dropping and home prices rebound as expected later this year," adds McGee.

Call Monica Manocha today @ 408 399 1495 to help you with buying your home in this great market.
Email me @ monica.manocha@cbnorcal.com

Monica Manocha Re, CMRS
The Malcolm & Manocha Group
Realtor- Coldwell Banker
www.mmgproperties.com
408 399 1495

"10 things to know about Silicon Valley real estate -right now!"

Thousands of Silicon Valley residents are crouched on the sidelines of the housing market, watching and wondering when to make a purchase or put a home up for sale.
And they've got questions: When will we hit bottom? Can prices in Cupertino keep going up? When will the mortgage market stabilize? To help, here is the Mercury News' list of Top 10 Things to Know Right Now:
Some "micro-markets" are still hot, others very chilly.
Some houses in places like Saratoga, Cupertino and Los Altos are still selling with multiple offers for more than their asking prices, and few homes are for sale. Frenzied competition is reserved for homes in desirable school districts that are in good condition. Almaden Valley is pretty hot, too.
Yet other parts of the county, including the East Side and South County, have an enormous supply of homes for sale. Some neighborhoods' values are being depressed by many bank-repossessed properties and "short sales," in which owners try to sell for less than they owe their lenders, typically to avoid foreclosure. But some buyers are beginning to snap up bank-repossessed properties whose values have fallen about 40 percent from their peak.
Getting a loan can be an ordeal.
Lenders are lending. But they require more documentation, higher credit scores for the best interest rates, and sometimes more than one appraisal on a property. They frequently alter their guidelines about which loans they will fund, sometimes leaving buyers temporarily jilted. Start the loan process early; approach it with patience.
The "conforming loan limit" has not increased yet.
Within the next month or so, mortgage financing companies Fannie Mae and Freddie Mac will be able to back bigger loans, thanks to the recent economic stimulus bill. That may result in lower interest rates for local buyers and owners whose loans are less than $729,750, and it may spur more home purchases.
Many lenders have declared Santa Clara County a "declining market."
Most lenders require borrowers to have bigger down payments to qualify for loans than in the past. Lenders don't want to loan you 90 percent of your home's value if they think its value is declining. They fear if the value keeps dropping, you'll default and leave them with yet another repo on their books.
Even refinancing takes longer now.
Cutbacks at banks and escrow companies mean there are fewer people to speed along your loan. Approvals that used to take 48 hours now can take five or six days, some mortgage brokers say.
There are deals to be had.
Even in the few hot markets, you can find good values on properties that aren't picture-perfect. Most buyers these days want "move-in" condition. Buyers willing to clean and repair can save money. Some bank-owned properties are bargains, but not all. Banks want to get what they think is "market value," and may be slow to recognize if value has fallen. They can also be slow to accept offers.
Buying a "short sale" home can be a pain.
Getting approval from the lender to buy a home for less than the owner still owes on his mortgage can take weeks or months. In the midst of the process, the lender on the owner's first or second mortgage may decide to foreclose after all, scuttling your purchase. Patience - and an experienced real estate agent - is required.
Buying at an auction doesn't guarantee a bargain.
Big auctions can breed excitement, and excitement makes people bid higher. Inspect the property first, determine what it's worth, and don't bid more than that.
Most "move-up" buyers today should sell before they buy.
It's hard to know how much you'll make on your home until you've received a purchase offer from a buyer who has locked in a loan. So it's probably unwise to make an offer on a new home unless you're paying in cash, or you make an offer that's contingent on the sale of your existing house. You can try to get a "bridge" loan allowing you to pay the mortgage on both homes for a time, but rates are high and criteria stringent.
There's help for first-time buyers.
Non-profit organizations and government programs can help even those with small down payment savings, and timing is good because entry-level prices are dropping. For programs that may help, visit the California Housing Finance Agency at www.calhfa.ca.gov, Neighborhood Housing Services at http://www.nhssv.org/ or South County Housing at http://www.scounty.com/.


We hope you found this information valuable and we look forward to helping you with your real estate needs and referrals.

Call us @ 408 399 1495 or email me @ monica.manocha@cbnorcal.com and let’s talk.