Your June 2018 Real Estate Market Update

Home prices are increasing, but inventory is shrinking in our San Diego market. If you are a buyer, buy now—do not wait any longer.

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Ok, so we’re halfway through 2018... so what’s happening in the market today?

1. New homes coming on the market are up about 4%, which is great for buyers but still lower than we would like.

2. Homes entering escrow are about the same—again, everything sells in San Diego.

3. Home prices have increased 6% - 8% depending on where you live in San Diego County, which is exactly what I said a year ago. And for you renters, if you were looking to buy a $500,000 house last year and decided to wait, you just lost $40,000 in equity.

 

Stop waiting to buy—there is not
going to be any major crash.

4. Total homes for sale is down about 2%—inventory is continuing to shrink and the number of days a home is on the market is continuing to shrink as well. This is great for sellers, but tough on buyers, but if you have a good agent/broker who can package your offer correctly, you will get a house.

5. Most activity seems to be with the move-up sellers and buyers—lots of activity for smaller homes/condos/townhomes and less competition for more expensive property.

So don’t waste any more time—move up. And you renters out there, stop missing out on $40,000 a year. Call me and I will help you. It’s what I do.


If you have any more questions about our market or you have any real estate needs at all, please reach out to me. I look forward to speaking with you.

**A broker is licensed to render real estate advice. If you desire tax, legal or lending advice, consult the appropriate professional. Videos and marketing by Broker are intended to help educate the public. Laws and real estate practices may change at anytime. All information deemed reliable but is not guaranteed and determined on a case-by- case basis. If your property is listed, please disregard as it is not our intention to solicit. We cooperate fully with other brokers. Equal Housing Opportunity and member of the National Association of Realtors.

How to Get Rid of PMI and Save $200 - $400 a Month Today!

Do you have private mortgage insurance? If so, here’s something very important that you should know.

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I know a lot of you out there are paying for PMI (Private Mortgage Insurance) which can be as much as $400 a month. Private Mortgage Insurance is a premium you are charged because when you purchased your home you didn’t have 20% of the purchase price to put as a down payment. This protects the lender in the event you (borrower) stops making payments.

If you haven't noticed, housing prices have been on the rise for several years and many of you now have 20% equity -- And what a shock— your lender isn’t telling you this.



You can save yourself $200 to $400 a month.

You need to call me right away!! I will run comparables (comps) based on recent sales in your neighborhood and give you a good idea if you now have 20% equity which will potentially save you hundreds of dollars a month. If you do, contact your lender straightaway to have them run an official appraisal to validate your current equity and eliminate your PMI!! Start saving $$$$$$$$ today!

If you’re curious about this or have questions about the value of your home, don’t hesitate to reach out to me. I’m here to help!


**A broker is licensed to render real estate advice. If you desire tax, legal or lending advice, consult the appropriate professional. Videos and marketing by Broker are intended to help educate the public. Laws and real estate practices may change at anytime. All information deemed reliable but is not guaranteed and determined on a case-by- case basis. If your property is listed, please disregard as it is not our intention to solicit. We cooperate fully with other brokers. Equal Housing Opportunity and member of the National Association of Realtors.

Should you accept an offer Contingent on the Sale of another Property?


In this competitive market, the first offer you receive is often going to be the best one.
Let me explain.

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Should you accept an offer Contingent on the Sale of another Property?  Here are three different pricing scenarios that will help you answer that question.

1) If you’re selling a house that’s worth $500,000 or less.

Typically, in this situation, the answer is no. Ultimately it’s up to you, but my advice is to not accept a contingent offer here. The San Diego market is always scorching-hot and there are plenty of other non-contingent offers out there just waiting to be accepted.

2) If you’re selling a house worth $500,000 to $700,000.

In this scenario the answer depends on where the buyers are in the process of their own sale, so that’s a factor you need to pay attention to. If they haven’t listed their home for sale yet, you absolutely shouldn’t accept their offer. If their house has been on the market for 30 days or more, you should also decline their offer— it’s likely overpriced. If their home is under contract—meaning they’ve accepted an offer and they’re currently in escrow—and they’ve made you a good offer, that would be worth taking a look at. However, this can get tricky, and there are a few factors you need to consider. First, you’ll want to know where they are in the escrow process. More importantly, you want to find out if they’ve done their home inspections, appraisal, has their loan been approved, have the request for repairs been negotiated and if the buyers have REMOVED ALL CONTINGENCIES AND ARE NOW CONTRACTUALLY COMMITTED TO PURCHASING THE HOME?  If this has all been satisfied in most cases you are good to go.




If you’re selling a house worth $500,000 or less,
don’t accept a contingent offer.


3) If you’re selling a house worth $700,000 to $1 million.

Most of the offers you get in this scenario will be Contingent on the Sale of another Property, so the same rules I applied to the previous scenario apply here as well. I’ve also sold several homes listed above $1 million, and at this range, you typically don’t have to worry about Contingent Offers.  Buyers usually either have the available cash or some other payment method that doesn’t require selling another property. If you have any questions, please feel free to give me a call. I'd be happy to help you.

**A broker is licensed to render real estate advice. If you desire tax, legal or lending advice, consult the appropriate professional. Videos and marketing by Broker are intended to help educate the public. Laws and real estate practices may change at anytime.  All information deemed reliable but is not guaranteed and determined on a case-by- case basis. If your property is listed, please disregard as it is not our intention to solicit. We cooperate fully with other brokers. Equal Housing Opportunity and member of the National Association of Realtors.