Mortgage Rates Drop and Another Short Sale Offer In

Mortgage rates continue to drop with actions from the Fed. This is exactly what the market needs in order to jump start the housing market. Here is the latest article on the drop in rates.

http://www.marketwatch.com/news/story/Mortgage-rates-plummet-after-Fed/story.aspx?guid=%7BABAE25EE-C9D9-4937-A8FB-E58DDD989153%7D

Offer in For a Short Sale By Santa Clara University

Proof that Buyers are on the move, I just put another offer in for a short sale around the Santa Clara University area. The Townhome is way below market price even pre-1st release prices.

Mystery of Short Sales

In the initial stages of Short Sales, many banks and listing agents did not know the process on how to handle such transactions. Banks have now established short sale departments and the Real Estate industry adjusted to this new phenomenon. The trick? Lots of time and lots of patience. Submitting an offer can take as long as 2 months to get a response. Call or e-mail me today on the mystery of Short sales.

I hope everyone had a wonderful Thanksgiving!

Sale Pending and November Market Update

Market Update

It is no secret that the economic situation continues to deteriorate. Job losses continue to be reported on a daily basis and consumers are cautiously watching their spending. Banks continue to hold onto cash and tightening on issuing of credit. Unfortunately, these activities are both needed in order to jump start the economy.


On a more micro economic level, in the Silicon Valley, there has been much more activity from real estate investors primarily on homes less than $500,000 in the conforming loan arena. Short sales and Bank Owned (REO's) are enticing investors to pick up these properties. These homes are actually competed after and bids over these low list prices are not uncommon.


The MLS now requires that when an offer has been submitted to the bank for a Short sale, the status must be change to Sale Pending even during the review period. Bank Owned (REO's) are more competitive. Banks will typically collect the offers and engage in a bidding process for the property. Of course the Bank Owned properties tend to have extremely low list prices.

My Buyer's are slowly coming out to pick up these good deals. Short Sales have been particularly attractive in the marketplace.

Sale Pending at Rivermark in Santa Clara!

Sold to the Buyers of Alan Wang, an amazing 3 bedroom, 2.5 bathrooms Townhome with 1,716 square feet of living space and a lot at 2,178 square feet in the highly desired Rivermark location. Offer in for $80,000 less than current market prices. Just a few steps to the park and the shopping center. Nicely situated, certainly a bargain.

Conclusions

Although things are grim in the marketplace, each person must make the right decisions for their families. If you are blessed enough to not be affected by the job situation and have been looking for a home, it is a great time to consider picking up a deal in the marketplace. If you are a homeowner, hold steady and if needed try to refinance any variable loans as required and plan to ride out this recession for the long run. Each person's situation will vary, please contact me if you would like a personal assessment of your real estate needs.

Rate Cut of .5% to 1.25% Lending Rate

When asked for my predictions about future prospects, I often say that I don’t have a crystal ball. This has become clear when even our best and brightest such as Bernake and even Greenspan underestimated how intertwined our economies truly were, and no one in the world foresaw this crisis happening and at the magnitude that it has affected the global economy.

Why did this happen? When you sign those documents closing your home purchase, you sign a document that talks about what percentage of loans the bank you are signing with sells. The reason why Wells Fargo and Bank of America did not fall into the subprime mortgage mess is that they have followed the same high standards in qualifying their buyers and they tend to hold on to the loans that they make. It is in their best interest to qualify the right buyers for the long run. Many of the other lenders would sell a high percentage of their loans in the form of mortgage backed securities and it would no longer be their problem. This created less accountability and incentive to simply get volume. Subsequently mortgage backed securities were investments made by financial firms around the world. When it came time for these 1, 3, 5 year ARMS to be refinanced, already stretched homeowners found that home prices were not increasing, they could not refinance and even if they did, the monthlies were beyond their financial affordability.

This afternoon the fed reduced rates by half a point to 1.25% lending rate. They continue on trying to jump start consumer spending and the economy. It is yet to be seen if this will in turn lower interest rates on the loan side of the house. The concern is not the cost of money but banks that don’t want to issue loans in order to maintain liquidity.

That’s the 10,000 foot high level view, but bringing it straight down to the regular homebuyer what does this mean to us? I am seeing all types of price drops that fluctuate as much as 20% - 30% especially on bank owned properties (even higher in more questionable areas.) The main deals seem to be on condominiums and townhomes which have seen major hits. Most homeowners in the well situated neighborhoods are holding tight.

If they are selling the prices are inching down. Buyers are simply too nervous, can’t qualify and waiting for more of a drop before jumping in. If you are a home owner and have a secure job and finances, do not panic and ride out this downturn. As a homebuyer, it is time to really keep your eyes open for some great deals and if you can qualify for a loan take advantage of the low prices before other people figure this out. Recent articles have shown that home sales are rising in California, but primarily from people picking up these deals.

http://www.mercurynews.com/realestatenews/ci_10776102?nclick_check=1

Here are the most recent rates as of 10/28/2008:

Rates on 30 yr-fixed:

* Conforming - 6.375% (0 Pts)
* Conforming-Jumbo - 6.625% (0 pts)
* Jumbo - 8% with 1pt cost

If you have not already, be sure to ping me if you want me to keep an eye out for some good buys in the market for your home buying criteria. It is a great time to big up your primary home or even an investment property.

Mobile Real Estate Search

For those of you on Windows Mobile, here is the following Mobile Real Estate search sponsored by Realtor.com.

http://labs.realtor.com/mobile/mobile.html

Reduced Interest Rates are Back

I hope that all of you are enjoying a beautiful but warm summer in the Bay Area. I have had a-lot of inquiries on when lower mortgage rates will return for refinances and purchases. With the government bail out of Fannie Mae and Freddie Mac it appears the market has had some restored confidence at least for right now. Lower rates are critical for many Buyers who are on the fence on buying a property.

Reduced Rates

Back in May there was a quick dip to a 6% rate for a 30 year fixed loan and these lower rates appear to have returned. For those of you that were planning to refinance or make purchases it may be time to reassess your financials and determine whether you should consider refinancing or planning on purchasing a home.

Please consult your loan agent, or if you do not have one I highly recommend my partner for 5 years Mya Tran with Coldwell Banker. She can be reached at (408)472-7558 or e-mail directly her at mya_tran@yahoo.com for a personalized loan consultation.

For those of you that read the Mercury News here is the latest article on the subject http://www.mercurynews.com/news/ci_10430565.

Reduced Price 607 Valley Forge Way #4 by Over $41,000

607 Valley Forge Way has been reduced from $366,888 to $325,000. If you know of anyone who is interested in this upgraded condominium please forward this onward.

State of the Market

The market continues to have short sales converting into bank repossessions foreclosures. These are all dependant on area, the nicer areas are seeing slight dips from the surrounding areas. The subprime troubled areas are where many of the short sales and bank repossessions are occurring. There are gems to be found in the nicer areas on the Condominium and Townhome fronts. I have even been noticing that the newer Single Family Homes have been dipped below $800,000 for the first time in quite sometime.

Looking at the statistics the increase in Active homes listings has held steady while Pending homes have slightly increased and held steady.

These trends are not exciting trends but a note that folks are slowly reentering the market.
Please let me know if you or someone you know would like a personal assessment of your home situation. I am always available to serve you.

Latest Santa Clara County Trends

Here are the latest Santa Clara County Active and Pending trends. There is a slight leveling in active listings and a slight increase in pending listings. This is showing some activity on the buying side and a steady influx of inventory.


For a full view please click here: http://spreadsheets.google.com/pub?key=p1vgWgrdqvl3IipOutFlhcA

Valley Forge Way Reduced Over $41K!

607 Valley Forge Way #4 has been reduced over $41,000 to $325,000. This 2 bedroom, 1 bath condominium is heavily upgraded. If you know of anyone that is in the market please contact me! Furniture is included!

July 2008 Market Update, Sold 549 Ficus Terrace in Fremont and Upcoming Listing

Sold 549 Ficus Terrace in Fremont!

549 Ficus Terrace has been Sold to the Buyers of Alan Wang! A brand new Single Family Home for $717,000! 3 Bedrooms, 2.5 Baths, 1377 Square Feet. There are still units available from the mid $600,000. Join my Buyers today!

Still Available for Another Week, 607 Valley Forge Way in Campbell!

1 more week left before this heavily remodelled condominium is pulled off the market. Don’t miss out on this excellent opportunity, Sellers are motivated!

607 Valley Forge #4 in Campbell has been reduced again to $349,000. We had two offers come through but we just could not meet at a common number. Since other Buyers have warmed up my Seller for negotiations please forward this to your friends and family and see if we can get an offer that would work for everyone!

Coming Soon Saratoga Home Zoned For Lynbrook High School

Contact me to get on the interest list for an upcoming Saratoga home in the next few months. 4 bedrooms, 3 baths and heavily upgraded. Have your children attend Lynbrook High School in the Fremont Union District!

July 2008 Market Update

The market has definitely been tough in recent months across the nation. Looking at Santa Clara County, we continue to see an increase in Active listings; however the good news is that we also see an equivalent increase of homes in pending as well. For example the amount of active Single Family homes this week was 5,459 with 1,866 in pending which means only 34% of the homes on the market are selling. Condominiums and Townhomes show 1,794 active listings with 600 in pending which is 33.4%. Neither of these numbers or rates of increase of pending homes show any change in the market in the near future. We are in a Buyers market and will be for some time.

The economy continues to struggle with rising consumer prices and tight lines of credit. Although the Fed has reduced rates you maybe asking yourself why have interest rates actually gone up? The Fed’s actions have had the opposite affect. Lowering the rate has caused inflation in prices and has not eased the ability to jump start the real estate industry as occurred in 2001.

The sub prime crisis has maid getting a mortgage extremely difficult. Banks are only funding the best of clients with high credit, 20% down payment and scrutinizing every line on the finances. There have been FHA programs but these are extremely painful to obtain and time consuming but do give folks a break on the down payment. The state of the financial industry and the sub prime issues has made obtaining funds very tight. The rates are extremely unattractive to prospective buyers.

Now inflation appears to be a risk and look to the fed to raise rates in the next few meetings or after the election. What does this mean for Buyers and Sellers? Sellers, unless you live in those prime real estate locations with a wonderful school district or elite area hold onto your home. Buyers, I would recommend keeping an eye open for good deals and also keep a watch on mortgage rates. Although 30 fixes are not attractive, obtaining a 5 or 3 year ARM maybe a temporary solution as we wait for the long term rates to come down if you see a property that you like.

Prices vary by location, so for an analysis on your area please contact me for any and all of your real estate needs!

Enjoy a beautiful summer in 2008!

Sale Pending Brand New Single Family Home For $717,000!

Sale Pending on a brand new Single Family Home, 3 Bedrooms, 2.5 Baths, 1377 Square Feet at $717,000 sold to the Buyers of Alan Wang.

Yes it is still possible to get a brand new home for a great price.

Call me at (408)313-4352 or e-mail me at alan@alanwangrealty.com today for more details!

Why I Use a Loan Agent

Many of us have very busy days working, schooling and spending time with our families. When it comes to loans or refinancing why spend your time getting quotes from banks on rates that change daily and between loan companies! In my lifetime I have had mortgage loans from over 8 different banks. Why you ask? The reason is that the bank that has the good rates today is not the one that will tomorrow. Rates and incentives change on a daily basis and you will need a Loan Agent to watch out this for you!

I recently had my loan agent watching rates for over 2 years. We finally got to the lowest rate the 30 year fixed has been at and as soon as I closed the rates shot up again. This type of timing and fast execution is not possible without someone in the industry shopping the rates for you on a daily basis.

For those of you that do now have a loan agent already, I highly recommend Mya Tran with Coldwell Banker who I have been working with for over 5 years. Please feel free to contact her at (408)472-7558 or e-mail her at mya_tran@yahoo.com.

Happy 5th Year Anniversary!

April of this year was Alan's 5th Year Anniversary as a Realtor specializing in residential real estate! The success of the business would not be possible without the support and referrals of you as the client base.

I wanted to take a moment and thank you for your support throughout the years and I continue to look forward to your business in the years to come.

If you ever have any real estate needs or know of someone who could use my assistance, please do not hesitate to e-mail or call! I am always available to service you.

Sincere Thanks,

Alan Wang

Interesting Statistics on Single Family Homes in Escrow

Here are the numbers for the week ending 5/10/08.

The following is considered the rule of thumb:

Buyers market if: Less than 25% of the houses in inventory are in Escrow
Sellers market if: 25% or more of the houses in inventory are in Escrow

Class 1= Single Family Homes Only as of 5/10/08:

Zone % of listings in escrow Active # of Listings
1 South County 14.1% 828
2 Santa Teresa 24.9% 139
3 Evergreen 20.5% 438
4 East Valley 16.2% 868
5 North Valley 25.1% 293
6 Milpitas 21.1% 168
8 Santa Clara 23.9% 220
9 Downtown 15.9% 360
10 Willow Glen 19.1% 233
11 South San Jose 16.9% 461
12 Blossom 24.6% 297
13 Almaden 28.6% 100
14 Cambrian 21.6% 207
15 Campbell 24.6% 153
16 Los Gatos 24.8% 155
17 Saratoga 20.9% 106
18 Cupertino 40.8% 100
19 Sunnyvale 32.0% 168

Overall % in escrow (SFR Only) is 20.4%. This percentage is up 3 tenths of a percent from last month.

Total class 1 listings as of 5/10/08 (5363) – 5/12/07 (3348) / Pending 5/10/08 (1375) - 5/12/07 (1106).

Courtesty of Fidelity Title

Feds Cut Rates By Another Quarter Point

The Federal Reserve cut rates by another quarter point to 2%! What does this mean to Buyers and Sellers trying to refinance? Currently not a whole lot. Rate cuts tend to take a period of months to trickle down into the loan market. Though it may help short term rates, most of us are looking at a secure 30 fixed for the long run.

I have not seen the low rates of 2001 and the close ties to rate cuts that were obvious during that time period. I have been seeing loans take longer periods of time to qualify and get funding. For jumbo loans the rates are in the mid 6's which are really nothing too excited for the average home buyer or owner. Banks are a-lot more cautious with who they loan money to and are dealing with many loans that have fell through as well.

Those of you who are getting regular conforming loans under $417,000, these loans seem to be plentiful. I am still trying to secure one of these stimulus package or Conforming Jumbo loans. When I successfully refinance myself, I will pass my experience onward.

For loan inquiries please contact Mya Tran mya_tran@yahoo.com for a detailed analysis of your loan needs and tell her Alan sent you!

http://www.businessweek.com/bwdaily/dnflash/content/apr2008/db20080430_504053.htm?campaign_id=rss_daily

San Jose Best Cities For Home Sellers

Here is an interesting article on the San Jose market.

http://www.forbes.com/2008/04/07/homes-sellers-cities-forbeslife-cx_mw_0407realestate.html

State of the Market

Inventory continues to climb since January 2006. The latest inventory number for Santa Clara County's Single Family Homes is 5092 and 1793 active Condominiums and Townhomes. The good news is that the number of pending homes is slowly climbing but still not enough to clear out the backlog of inventory. Buyers are slowly moving into the market but there is no clear indication that the worst is over yet. If you are a Buyer, I do suggest that you continue to keep an eye out for great deals and motivated Sellers. There does seem to be some buffer still based upon the numbers.

Contact me today for an analysis of your specific property needs!

Price Reduced $15,000 607 Valley Forge Way in Campbell!

607 Valley Forge #4 in Campbell has been reduced another $8,000 for a total reduction of $15,000 to a list price of $351,888. We had an offer come through but we just could not meet at a common number. Since another Buyer has warmed up my Seller for negotiations please forward this to your friends and family and see if we can get an offer that would work for everyone!

Please call me today for a private showing!

Conforming Jumbo and Stimulus Loans

My loan broker has been trying hard to get these new Conforming Jumbo and Stimulus loans for purchases and refinancing. These loans are slowly materializing in the market. If you are a homeowner that still has some equity, it is time to consider refinancing that ARM to a 30 year fixed. If you are a new home Buyer, many of these loans may not exist after December of 2008 this year which is something to keep in mind during your planning.

I will keep you posted when I am able to secure one of these loans.

Sold 700 Baltic Circle #714 in Redwood Shores!

Just Sold 700 Baltic Circle, #714 in Redwood Shores sold to the Buyers of Alan Wang!

Lovely 12 year new Townhome, tri-level with upgraded hardwood floors on the main level, 1424 square feet, near the water and near the pool. I was able to get the price $36,000 below list price! Not all properties will have this type of reduction but if the area is right and the Seller is motivated a-lot could happen. I have noted Condominiums and Townhomes at Redwood Shores sitting on the market for quite some time. This is a great area near the water and near Oracle and other high tech corporations.

For similar properties please give me a call or e-mail me for an assessment!

Just Sold 1101 S. Main St in Milpitas

Just sold 1101 S. Main Street in Milpitas to the Buyer of Alan Wang! This is a brand new home development in Milpitas offering loan programs with 4.99% financing! Two bedroom, two bathrooms, with 1400 square feet, call me today to join my Buyer on this awesome deal!

It is a great time to buy, call me for a pre-approval!

Conforming Jumbo Loans

I attended a market update with a financial firm and have an update on the conforming loan increase to $729,750 and what this means to Buyers and those trying to refinance.

These loans are being called Conforming Jumbo loans and the earliest it seems that these will hit the market is April 1st. The rates on these will not be at conforming or jumbo rates but somewhere in between the two. This does make sense since the increased loan amount represents more increased risk to the lender, they would like to make a little more interested for loaning out the funds.

If you have any questions on the loan side please call my partner Mya Tran at (408)472-7558 or e-mail her at mya_tran@yahoo.com.

Dream Dinners Newark Grand Opening!

A big congratulations to Frank and Jenie on a very successful grand opening of Dream Dinners in Newark. I had a very fun time building my dinners and doing demos! This is how it works, you place the order online for a session, you go in and build your dinners for the month. All of these items are made by your own hand with the freshest ingredients then you can place them in the freezer and instructions are given on how to prepare them. It's a great group activity or team builder. You can also elect to have the staff build it for you for $2 extra per meal.

More details located here:

http://dreamdinners.com/main.php?page=locations&store_id=287&state=California

Campbell Condominium Price Reduced $7,000 to $359,888

Price reduced $7,000 to $359,000 and increased Buyers Agent commission! The property has been completely remodeled please forward this to any of your friends and family who may be interested. Property is open this weekend Sunday from 1 - 4.

Here are the specifics on the property:

http://alanwangrealty.com/PropertyDetails?pid=776963&ls=REIL&user=client

- List Price: $366,888, reduced $7,000 to $359,888
- 2 Bedrooms, 1 Bathrooms, 840 Sq Ft, 1742 Sq Ft Lot
- Fully Remodeled With Over $30k of Upgrades Move in Condition!
- Pergo Hardwood Floors Throughout, Newer Cabinetry, Granite Countertops, Appliances, Recessed Lighting, Two Toned Paint and Partially Tiled Floors
- 2 Bedrooms, 1 Bathroom Condominium in Campbell, 840 Sq Ft With a 1,742 Sq Ft Lot
- Private End Unit on the Second Floor With Oversized Balcony for Entertaining Guests
- Parking Steps Away From the Front Door and Plenty of Street Parking
- Low Association Dues at $240 p/month. Amenities Include Hot Water, Garbage, Exterior Paint and Common Area Maintenance
- Quick Access to San Tomas Expressway, Highway 17, 85 and 880

Increased Loan Limits Approved and Homebuyer Seminar

San Jose Mercury News Article on Increased Loan Limits

http://www.mercurynews.com/ci_8481401

First Time Homebuyers, please attend the Homeownership Fair Sponsored by the Santa Clara Association of Realtors!

http://our.web-scheduler.net/?CID=78&sid=&ID=55272&t=1207414800&v=event

Sale Pending Redwood Shores Property Sold to the Buyers of Alan Wang!

As evidence that Buyers are on the move, I am happy to report a Sale Pending on a lovely Townhome by the water in Redwood Shores to my Buyers. This property has 2 bedrooms, 2 and a half baths with 1,424 square feet and 12 years new.

As mentioned prior, my office seems to suddenly be filled with clients putting down offers. For those of you that have been thinking about buying in this Buyers market please let me know so that we can sit down and see if this is a decision you should make now.

For more details please proceed to http://www.alanwangrealty.com and click Featured Listings

February Market Update

My loan consultants continue to wait for banks to make the increase in the conforming rates to the new rates loan limits. They are expecting to see this mid March latest end of March for this change to be in affect. It is still debatable how fast banks are going to be able to move following this legislation.

There have been lots of activity as far as offers are concerned. My office has had a mad scramble suddenly of folks that have been placing offers on homes. I would say the economic stimulus is stimulating some activity here in the Bay Area. I also have an offer out on the Peninsula that we are working closely with the Seller to try to come to terms.

There was also an interesting article posted in Time Magazine explaining why it is a good time to purchase property:

http://isvr.net/usr/1006068013/CustomPages/Time_Magazine_February_25th_2008.pdf

For those of you that have thought of buying, it is time to really start moving on this before everyone else catches on!

Economic Stimulus Package

Many are curious how Bush's economic package will affect us here in California. This $168 billion stimulus packaged approved by Congress will increase the conforming loan limit from $417,000 to as high as $729,750 depending on the median price for an area. My loan agent has informed me that March 13th will be the official date that this will be put into affect. Those of you planning to refinance or purchase a home it is time to get ready.

A few things to keep in mind:

- Be sure to clean up any late fees, unpaid debt. It is very important to have good clean credit in this market.

- Keep in mind that these loans still may not be at the regular conforming rates but they should be still lower than jumbo rates.

For more details this is an excellent Mercury News article.

http://www.mercurynews.com/news/ci_8070140

Statistical Sales Data Comparisons

I wanted to share a recent data analysis of median home prices for resale homes. I always take median numbers with a grain of salt due to the large variance in the data; but this is interesting data nonetheless.

Location, Location, Location!!!

I have been stating that the "good" areas have been immune to the affects of the sub prime mortgage situation. The reason for this is that the folks buying in these neighborhoods have secure jobs, high credit, equity and downpayments. These are not the people that were flipping homes or extending themselves too far as in "other" neighborhoods, which caused the real estate issues in the market today.

San Francisco County

County/City/Area #Sold 2007 2006 % Change

San Francisco 5,451 $780,000 $763,000 2.23%

The unique, historic and one of a kind San Francisco has shown a 2.23% gain. Of course, a destination for people of all backgrounds, this diverse city has some of the oldest homes that still sell for very high prices. Low supply and high demand will continue to drive real estate prices in the city for many many years to come. The many landmarks and amount of activities make this "the" place to live for city dwellers.
Santa Clara County

Santa Clara County 15,781 $700,000 $680,000 2.94%

Here is an analysis of Santa Clara County homes:

ALVISO 11 $600,000 $710,000 -15.49%

Alviso is a small neighborhood, with some spotty areas and new homes surrounded by older homes. The older homes may have been the culprit in dragging these home prices down in this area. There is also no lure of any schools, but it is close to many Silicon Valley Companies. The low amount of activity maybe skewing the data.

CAMPBELL 503 $720,000 $689,500 4.42%

Campbell borders Cupertino, Saratoga and West San Jose and boasts a decent school system with a small town feel. This area has had substantial gains at 4.42%. I have seen more smaller new home developments sprout up in this area as well.

CUPERTINO 701 $945,000 $935,000 1.07%

The infamous Cupertino schools are no stranger to those seeking the best schools for their children in the Bay Area. Parents will pay top dollar to have their children be in this school district. Things have not slowed, although the median has only increased by 1.07%, you must remember the prices in this area have always been higher and the fact that they are holding shows that schools will always be valuable to parents in the Valley.

GILROY 496 $665,000 $686,000 -3.06%

Gilroy, the distance from Gilroy to the majority of the jobs in the Silicon Valley make this place a bit less popular than most. With gas prices soaring, the long commute no longer seems to cancel out the savings of the cheaper home in cities further from work.

LOS ALTOS 366 $1,655,000 $1,550,000 6.77%, LOS GATOS 548 $1,140,000 $1,100,000 3.64%

Los Altos gained 6.77% and Los Gatos gained 3.64%. This is proof that the subprime issues do not affect the upper middle to upper class. These areas have shown solid growth even in a tough real estate market.

MILPITAS 554 $645,000 $626,000 3.04%

The city of Milpitas has sustained a decent 3.04% gain even in this tough market. This small town is a jumping point between the East Bay, the South Bay and the Penninsula. Also this city boasts excellent API scores in their elementary schools and attracts younger home owners who value a new home and don't have children or have young children and do not need to sacrifice for an older pricey home in Cupertino just yet.

MORGAN HILL 487 $770,000 $771,000 -0.13%

Morgan Hill is much different than Gilroy in that it contains a lovely community that has sustained it's home values. Morgan Hill is a beautiful city with newer homes surrounding. Although it is also a distance from the Silicon Valley, this area has still held in value with a minor dip of .13%.

MOUNTAIN VIEW 673 $720,000 $681,000 5.73%

Mountain View's allure will never cease with Google continually taking over more commercial buildings, many more employees seek housing in this area. Mountain View provides a good mix between the city life and small town feel with Castro street and El Camino Real. Showing a 5.73% gain, shows that Mountain View is still highly desired by all in the Bay Area.

PALO ALTO 200 $1,175,000 $1,010,000 16.34%

Palo Alto by far gained the most in the Bay Area at 16.34%. The prestigious Stanford University, excellent schools and Downtown Palo Alto draws people from all backgrounds to move into this very diverse city.

SAN JOSE 8,336 $663,000 $660,000 0.45%

I am a little surprised to see a .45% gain in San Jose, but it seems to make sense if we are talking about homes that have "sold" during this time frame. High inventory levels exist especially in East San Jose. It is important to note that San Jose is a very large city and should be divided into North, South, East and West. North and West San Jose have sustained well in this market. North Valley has a large section of newer homes and West San Jose bordering Cupertino allows families to send their children to Cupertino Schools. The East and South seems to have had the most people who have sub prime loan issues.

SANTA CLARA 1,116 $660,000 $660,000 0.00%

Santa Clara has remained flat which is still a credit to this area. Being close to companies and being diversified with a mix of homes has sustained this area. Rivermark is by far still the hottest community in Santa Clara.

SARATOGA 395 $1,510,000 $1,397,500 8.05%

Saratoga has sustained itself through some of the worst of times. A private town where there are no street lamps, here are some of the best schools in the Valley. Whether folks are looking for a quiet home in the hills or some of the best schools for their children, Saratoga has shown that no matter how bad the times, their city is still one of the most desired places to live.

SUNNYVALE 1,225 $733,500 $710,000 3.31%

Sunnyvale, a city bordering Cupertino, West San Jose and Mountain View, and also nearby many Silicon Valley companies is still a hot city to live in. Building many many new Townhomes, young workers find this city a great city to reside.

All data was gathered from Data Quick Information Systems: http://www.dqnews.com/ZIPCAR2007.shtm.
All explainations are the opinion of the writer and his interpretation of the data at hand.

Just Listed 607 Valley Forge Way #4 in Campbell

I am proud to present a brand new listing in 607 Valley Forge Way #4 in Campbell! Open House every Sunday from 1 - 4 until through March 2nd.

The property has been completely remodeled please forward this to any of your friends and family who may be interested.

Here are the specifics on the property: http://alanwangrealty.com/PropertyDetails?pid=776963&ls=REIL&user=client

- List Price: $366,888, 2 Bedrooms, 1 Bathrooms, 840 Sq Ft, 1742 Sq Ft Lot
- Fully Remodeled With Over $30k of Upgrades Move in Condition!
- Pergo Hardwood Floors Throughout, Newer Cabinetry, Granite Countertops, Appliances, Recessed Lighting, Two Toned Paint and Partially Tiled Floors
- 2 Bedrooms, 1 Bathroom Condominium in Campbell, 840 Sq Ft With a 1,742 Sq Ft Lot
- Private End Unit on the Second Floor With Oversized Balcony for Entertaining Guests
- Parking Steps Away From the Front Door and Plenty of Street Parking
- Low Association Dues at $240 p/month. Amenities Include Hot Water, Garbage, Exterior Paint and Common Area Maintenance
- Quick Access to San Tomas Expressway, Highway 17, 85 and 880

Alan’s Real Estate Update 2008

I hope that you are having a wonderful New Year and also a Happy Chinese New Year to you all! 2008 is shaping up to be a very interesting year for the market and there are a-lot of changes! I thank you all for your business and referrals over the years and please let me know if you have any real estate questions or know of anyone that requires Real Estate services. I am always available to offer my services, experiences and knowledge to assist anyone anytime!

I closed out 2007 with top sales in my office at Pinnacle Bay Properties. I wanted to take a moment to thank you for your trust in me as well as your referrals. Thank you for making this possible and I am looking forward to many years to come as your Realtor.

A New Year a New Office

The issues in the Real Estate market not only hit homeowners hard, it also took a toll on many Real Estate offices. Having been with Pinnacle Properties for 3 years and 1 year with Century 21, I decided that it was time to take my Real Estate career to the next level of customer service. I am proud to join Keller Williams in Cupertino.

How Does This Affect You?

This change does NOT affect you in anyway. The only difference is that I have more tools and office support than ever before. You will always have the same quality of service from Alan Wang, Your Realtor!

A New Year a New Website

With a new office comes a brand new web site design. Please feel free to provide feedback so that I can improve the look and feel of the site. Come to http://www.alanwangrealty.com/ for a preview!

A New Year a New Blog Site

With the slow down in Friendster usage, I have decided to move my blogger from http://alanlwang.blogs.friendster.com/my_blog/ to http://alanwangrealty.blogspot.com/. I will be updating http://www.alanwangrealty.com/ with the major updates. You will be able to link easily to my blogger from my main website.

Market Outlook 2008

Subprime Mortgages

The first question that comes up is how does this sub prime issue affect us? As my clients I would never have allowed you to take on a loan that you could not afford or those that contained a pre-payment penalty. The sub prime issue was caused by folks who had no business affording the homes that they bought into in the first place. They took on adjustable mortgages with zero down expecting Real Estate prices to go up forever. When prices turned the other way, they were stuck with variable loans that they could not refinance and major high mortgages that they could not afford.

This affects us in two ways; one positive and one negative. On the negative side it puts the market in a panic and no one is buying or selling homes. This causes a freeze on real estate prices even in the good areas. The areas where there are high concentrations of sub prime lenders end up having high inventory that eventually fall into foreclosure and lowered prices. This then has a cascading affect on banks that write off these loans that trickles into the economy. Surprisingly, many areas in the Bay Area have held both in prices and low inventory. Please ping me for an inventory analysis of your home area.

Economic Outlook 2008

Many indications are showing that the US economy is heading into a recession. This is why the Federal Reserve dropped rates by 0.75% last week and another 0.5% to 3% today. It will take time for these to trickle into the mortgage market. You will first see short term mortgages lower, then about 90 days for long term mortgages to follow. 2008 will be the year of great rates back to 2001 and 2002 levels. Those of you that missed the low rates during the dot com bust, you have another chance to grab a good rate.

Also the economic stimulus package is planned to increase the conforming loan limit from $417,000 to $729,750 for high cost areas for 1 year. The target for this to pass is mid February.

Buyers and Refinancers

Buyers this is an opportunity to buy that dream home of yours! Rates are extremely low, good inventory and not much competition for homes. Do NOT be nervous about the situation because the Bay Area has one thing many places don’t have, jobs! People have held out in 2007 and did not buy, when the rates are low enough, people will wise up and begin to jump in. This may take some time but let’s be ahead of the curve!
Refinancers, for those of you who have been sitting on 5 year ARMS or higher 30 year fixed loans, it is time to consider whether to continue on another 5 year ARM or to refinance to a lower 30 year fixed. The difference is quite small these days. Here are the most recent numbers from Mya, my trusted Loan Consultant who is now with Coldwell Banker. I anticipate the rates to continue to lower with the news today and I will keep sending rates out as often as I get them.

CONFORMING
5/1 ARM @ 5.25%
30 Yr-fixed @ 5.5%

JUMBO
5/1 ARM @ 5.75%
30 yr-fixed @ 6.75%

If you have any questions regarding to financing, please call Mya at (408)472-7558 or e-mail her at mya_tran@yahoo.com for a personalized loan consultation. Let her know Alan sent you and she will give you extra customer service!

Selling and Buyers

Seller’s if at all possible hold on for now until this crisis passes. For those of you who maybe in one of those pockets of high demand low inventory neighbourhoods. Contact me for an analysis!

Santa Clara County Property Taxes Yet Again

Please feel free to forward this onward and as a reminder to you that property taxes are due yet again. “The second installment is due and payable on February 1. The grace period on the second installment expires at 5 p.m. on April 10. If the installment remains unpaid as of April 10, a 10% penalty and $20.00 cost is imposed.” http://www.scc.gov/. You can also pay your taxes online. If you do not know your assessors number, please let me know so I can assist you! http://payments.scctax.org/payment/jsp/startup.jsp

Relisting 607 Valley Forge #4, Campbell, CA 95008

This property will be re-listed for $371,888 with $30,000 of remodel work! The property has been completely remodeled please forward this to any of your friends and family who may be interested. Here are the specifics on the property: http://alanwangrealty.com/PropertyDetails?pid=747042&ls=REIL&user=client- List Price: $385,000, 2 Bedrooms, 1 Bathrooms, 840 Sq Ft, 1742 Sq Ft Lot- Fully Remodeled With Over $30k of Upgrades Move in Condition!- Pergo Hardwood Floors Throughout, Newer Cabinetry, Granite Countertops, Appliances, Recessed Lighting, Two Toned Paint and Partially Tiled Floors- 2 Bedrooms, 1 Bathroom Condominium in Campbell, 840 Sq Ft With a 1,742 Sq Ft Lot- Private End Unit on the Second Floor With Oversized Balcony for Entertaining Guests- Parking Steps Away From the Front Door and Plenty of Street Parking- Low Association Dues at $240 p/month. Amenities Include Hot Water, Garbage, Exterior Paint and Common Area Maintenance- Quick Access to San Tomas Expressway, Highway 17, 85 and 880Please let me know if you or someone you know is interested in this property!

A Big Thanks Once Again!

Again, I would like to THANK YOU for your trust and business. I wish you and your family a Happy New Year in 2008 with much success in all aspects of your life!