Monday, July 28, 2008

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!

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