Sonoma Coast Real Estate

Just listed - under $500K in South Bodega Harbour!

2011-08-28T13:20:00.000-07:00

This delightful home sits on a large and private parcel on a peaceful cul-de-sac just off the Golf Links at Bodega Harbour with sweeping views of the coastal hills, with the bay and ocean in the distance. Perfectly designed and positioned to take advantage of the sunrise and sunset, two large decks provide ample opportunity to entertain outdoors. This lovingly-maintained coastal residence has a wonderful sense of open space with vaulted ceilings in the living and dining rooms which share a cozy and efficient wood fireplace. The home also boasts spacious bedrooms, two full bathrooms, central heating & air conditioning and a two car garage.

At the asking price of $499,000 this is one of the most affordable homes in the Harbour.

Sonoma County Defaults Down

2011-07-22T14:05:00.000-07:00

The number of Sonoma County homes that entered the foreclosure process fell to the lowest amount in four years last quarter.

Here's the Press Democrat article...

Foreclosure Numbers Falling

2011-07-21T22:53:00.000-07:00

"Foreclosure filings plunged 29% compared with the same period a year ago and were down 25% from the last six months of 2010, according to the latest report from RealtyTrac, an online marketer of foreclosed properties."

There is some blame on banks failing to process the properties, but we've heard that all along and I don't expect any excess inventory to open up on the Coast.

Click here for the rest of the CNN Money article to decide for yourself.

Still at bottom, but getting better...

2011-05-25T21:54:00.001-07:00

We seem to be bouncing around the bottom of the market but each month new indicators appear that point toward improvement. This month, although the number of sales is down slightly from last month, sales did improve over last April and prices are headed upward. Still, there are a lot of distressed properties out on the market, though the number on the Coast seems to be dwindling.

Here's an article from CAR that explains more...

“An improving economy, coupled with the steady pace of distressed sales in the market and the typical seasonal pattern in the median home price, suggests the statewide median price has reached its low point for this year and is unlikely to hit the bottom reached in February 2009,” said C.A.R. President Beth L. Peerce.

Fast Facts for May 12

2011-05-12T12:21:00.000-07:00

Calif. median home price: March 2011: $286,010 (Source: C.A.R.)

Calif. highest median home price by region/county March 2011: Marin $826,700 (Source: C.A.R.)

Calif. lowest median home price by region/county March 2011: Lake County $94,170 (Source: C.A.R.)

Calif. Pending Home Sales Index: March 2011: 128.7 (Source: C.A.R.)

Calif. First-time Buyer Affordability Index: Fourth quarter 2010: 69 percent (Source: C.A.R.)

Mortgage rates: Week ending 5/5/2011
30-yr. fixed: 4.71 fees/points: 0.7%
15-yr. fixed: 3.89 fees/points: 0.7%
1-yr. adjustable: 3.14% Fees/points: 0.5% (Source: Freddie Mac)

Existing-Home Sales Rise

2011-05-12T12:19:00.000-07:00

From NAR:

Click here for entire article

Existing-home sales rose 8.3 percent to a seasonally adjusted annual rate of 5.14 million units in the first quarter, an increase from 4.75 million in the fourth quarter, but are 0.8 percent below the 5.18 million recorded during the same period in 2010, NAR reported.

The national median existing single-family home price was $158,700 in the first quarter, down 4.6 percent from $166,400 in the first quarter of 2010. Distressed homes, typically sold at a discount of about 20 percent, accounted for 39 percent of first quarter sales, up from 36 percent a year earlier.

Investors accounted for 21 percent of first-quarter transactions, up from 18 percent a year ago, while first-time buyers purchased 32 percent of homes, down from 42 percent in the first quarter of 2010 when a tax credit was in place. Repeat buyers accounted for a 47 percent market share in the first quarter, up from 40 percent a year earlier.

Regionally, existing-home sales in the West, which includes California, rose 13.5 percent in the first quarter to a level of 1.29 million and are 2.1 percent above a year ago. The median existing single-family home price in the West declined 4.7 percent to $197,400 in the first quarter compared with the first quarter of 2010.

Market Summary for January 2011

2011-02-03T18:20:00.000-08:00

Our trend toward price increases, however slight, continued in January as the median price throughout Bodega Bay rose to $600,000 and the number of sales also rose slightly to 50 homes for the previous 12 months.

Fast Facts for Feb 2

2011-02-02T22:47:00.000-08:00

Fast Facts
Calif. median home price: December 2010: $301,850 (Source: C.A.R.)

Calif. highest median home price by C.A.R. region December 2010: Santa Barbara So. Coast $778,500 (Source: C.A.R.)

Calif. lowest median home price by C.A.R. region November 2010: High Desert $125,480 (Source: C.A.R.)

Calif. First-time Buyer Affordability Index - Third quarter 2010: 64 percent (Source: C.A.R.)

Mortgage rates: Week ending 1/27/2011 30-yr. fixed: 4.80 Fees/points: 0.7% 15-yr. fixed: 4.09% Fees/points: 0.7% 1-yr. adjustable: 3.26% Fees/points: 0.6% (Source: Freddie Mac)

In addition to the Affordability Index showing in at 64%, Trulia put together a Rent vs. Buy Index and showed that it's more affordable to buy a home in 72% of the 50 largest US cities.

California Homes at Seven-Month High, Sales Up

2011-02-02T20:08:00.000-08:00

As we've seen with the activity rising locally, it appears to be stabilizing throughout the state and prices continue to creep upward. In addition, the Case-Shiller Index showed a small amount of growth, but mainly in California with three of four area with increasing prices (San Francisco, Los Angeles, San Diego and Washington, DC).

FROM THE CALIFORNIA ASSOCIATION OF REALTORS:

California home sales rose in December, posting their highest level since May, according to data from C.A.R. The statewide median price increased from November, but was down from a year ago.

“December’s sales increase reflects buyers taking advantage of rock bottom interest rates and improved affordability since the first half of the year, when prices were higher,” said C.A.R. President Beth L. Peerce. “Most of December’s sales opened escrow in October and November. Rates hit their absolute lowest in October but began edging higher in November, prompting buyers to get off the fence,” she said.

Closed escrow sales of existing, single-family detached homes in California totaled a seasonally adjusted annualized rate of 520,680 in December. December’s sales were up 5.9 percent from November’s revised pace of 491,590 but were down 6.8 percent from the revised 558,840 sales pace recorded in December 2009.

Following three consecutive monthly declines, the median price of an existing, single-family detached home sold in California increased 1.7 percent from a revised $296,690 in November but was down 1.6 percent from the revised $306,860 median price recorded for the same period a year ago.

More info

Year End Report

2011-01-04T22:39:00.000-08:00

As you might expect, the news continued its negative slant in the real estate arena and the numbers reflect that. Bodega Bay and the entire Coast saw reductions in price over the past twelve months, much of this due to the lack of activity in the upper end. Lower priced homes continue to bring out buyers, causing downward pressure on higher priced homes. This is expected to continue through much of 2011 but still provides plenty of great opportunities throughout the market - even at the high end.

Fast Facts 12/22

2010-12-22T22:04:00.000-08:00

Fast Facts
Calif. median home price: November 2010: $296,820 (Source: C.A.R.)

Calif. highest median home price by C.A.R. region November 2010: Santa Barbara So. Coast $874,500 (Source: C.A.R.)

Calif. lowest median home price by C.A.R. region November 2010: High Desert $124,580(Source: C.A.R.)

Calif. First-time Buyer Affordability Index - Third quarter 2010: 64 percent (Source: C.A.R.)

Mortgage rates: Week ending 12/16/2010 30-yr. fixed: 4.83 Fees/points: 0.7% 15-yr. fixed: 4.17% Fees/points: 0.7% 1-yr. adjustable: 3.35% Fees/points: 0.7% (Source: Freddie Mac)

Latest Market Summary for Nov. 2010

2010-12-08T18:53:00.001-08:00

The news remains cautious at best and while we're seeing a bit of activity, much of it is still on the lower end (with many cash or near-cash buyers)...

Fast Facts

2010-12-08T18:49:00.001-08:00

Calif. median home price: October 2010: $304,220 (Source: C.A.R.)

Calif. highest median home price by C.A.R. region October 2010: Santa Barbara So. Coast $864,000 (Source: C.A.R.)

Calif. lowest median home price by C.A.R. region October 2010: High Desert $125,060 (Source: C.A.R.)

Calif. First-time Buyer Affordability Index - Third quarter 2010: 64 percent (Source: C.A.R.)

Mortgage rates: Week ending 12/2/2010 30-yr. fixed: 4.46 Fees/points: 0.8% 15-yr. fixed: 3.81% Fees/points: 0.7% 1-yr. adjustable: 3.25% Fees/points: 0.6% (Source: Freddie Mac)

Mortgage Trends since 1971

2010-10-06T14:38:00.000-07:00

Our local mortgage expert Greg Erigero provided this interesting history of 30-year fixed rate mortgages since 1971. Let's hope we never see rates like those in the early 80's again...

Latest Market Summary for the Coast

2010-10-02T11:40:00.001-07:00

We have a new format for the local market summary and I hope you find it useful. There's a lot of information packed into one page so if you have any questions or want to discuss any of the data, just give me a call or email me at steve@coastalagent.com.

Fund Set Up for Injured Bodega Firefighter

2010-09-28T13:45:00.000-07:00

FROM SONOMA COUNTY FIRE CHIEF MARK ASTON. ALSO VISIT BODEGA FIRE DEPARTMENT'S WEBSITE.

Sonoma County Fire and Emergency Services, CAL FIRE and all local Sonoma County fire districts are closely monitoring the medical condition of Bodega Fire Volunteer firefighter, Ben Hakala. While actively working on the “Bodega Fire” on September 25, 2010, near the town of Bodega, Ben sustained substantial electrical shock when he came into contact with an energized downed power line.

Chief Mark Aston, Sonoma County Fire, Chief Ron Albini, Bodega Fire, CAL FIRE Battalion Chief Robert Sherman and Retired CAL FIRE – Fire Captain Hank Epling visited with firefighter Hakala yesterday to follow up on his treatment and to provide comfort and support to Ben’s wife and family members.

Ben underwent surgery yesterday morning and is listed in critical but stable condition. Doctors expect him to remain in the hospital for approximately two weeks for further treatment and recovery. It is not known at this time if further surgery will be necessary.

Ben has been a volunteer firefighter with the Bodega Volunteer Fire Company for 12 years. He has been employed with CAL FIRE, Sonoma-Lake-Napa Unit for 11 years as a seasonal employee at the Santa Rosa Station.

Sonoma County Fire has created a trust fund on behalf of the Hakala family. Donations can be sent to the Ben Hakala Trust Fund in care of Bodega Volunteer Fire Company at PO Box 28, Bodega, CA 94922.

New Cell Tower

2010-09-28T13:39:00.000-07:00

Big news for Bodega Bay - at least the north end of it. Construction began this week on a new Verizon cell tower in Sereno del Mar at the north end of town. Rumor has it that the project will last for about 5-6 weeks and that the signal could reach as far north as Jenner and south to most of Bodega Bay. If only AT&T could reestablish their towers, we'd have decent coverage throughout town...

Bodega Bay Market Summary for August 2010

2010-09-06T20:39:00.000-07:00

One of our slowest months in a long, long time in Bodega Bay. Two sales and one put into escrow is about all the activity we had - but it seems to be picking up again. The cycle continues as we try to make sense of the good news/bad news coming out of the media these days. While most indicators seem to be moving in a positive direction, the jobs market gets most of the blame for keeping the housing market in the doldrums. Click on the image below to see a larger version and let me know if you have any questions on the current market conditions.

Good News for Coastwalk Fans

2010-08-29T17:36:00.001-07:00

The Sonoma County Board of Supervisors passed a plan calling for $250M in projects connecting parts of the county. Fortunately, the Coast appears to be one of the five major projects slated for funding over the next five years. While there was similar talk about doing this in 2005, it seems that there may be Federal incentives to give residents an alternative to driving and a State requirement to give non-motorized transportation equal weight on our roads.

For the entire article, click here and support the organizations that will bring the project to the Coast.

Bad News/Good News

2010-08-25T19:28:00.000-07:00

We'll start with the bad news...You probably heard that homes sales in July were at the lowest levels in 15 years and took the largest drop ever. I'm not surprised at this since we had one of our worst months in Bodega Bay with a whopping five sales.

Nationally, this drop is being blamed on the phase-out of the $8000 tax credit. Personally, I saw little impact of that credit here on the Coast so I don't think it had anything to do with anything here (except for the potential psychological effects on buyers) since an $8000 credit on a million dollar home is hardly a motivating factor.

That said, we did have some positive news in California as a whole. While the nation saw some scary numbers, California actually saw a 10% increase in the median price, although the number of sales dropped significantly. We've seen increases for nine consecutive months - a nice streak in this unstable and unpredictable market...

Fast Facts from CAR

2010-08-04T13:01:00.000-07:00

Home affordability remains high as prices drop and interest rates hover in the 4's...

Calif. median home price: June 2010: $311,950 (Source: C.A.R.)

Calif. highest median home price by C.A.R. region June 2010: Santa Barbara So. Coast $914,760 (Source: C.A.R.)

Calif. lowest median home price by C.A.R. region June 2010: High Desert $125,620 (Source: C.A.R.)

Calif. First-time Buyer Affordability Index - First quarter 2010: 66 percent (Source: C.A.R.)

Mortgage rates: Week ending 7/29/2010 30-yr. fixed: 4.54 Fees/points: 0.7% 15-yr. fixed: 4% Fees/points: 0.7% 1-yr. adjustable: 3.64% Fees/points: 0.7% (Source: Freddie Mac)

Supervisor Efren Carrillo to Visit Bodega Bay

2010-08-02T18:07:00.000-07:00

When: Wednesday, August 18 at 5:30
Where: Bodega Bay Fire Station - 510 S. Highway 1
More Info: (707) 565-3760

Supervisor Efren Carrillo is hosting this meeting to provide an opportunity for the public to receive an update on county issues and raise any issues of concern. The format will be informal and allow for the greatest amount of dialogue. Members of the community are encouraged to attend.

Click here for a flyer:

Market Summary for July 2010

2010-08-02T17:52:00.000-07:00

The numbers are in for July and they aren't impressive. We've had little movement in the median price over the last year with little ups & downs along the way - this month is one of those downs. A big contributor to this decrease in price is the lack of activity we've seen during the early summer months. We don't generally see the predictable periods that many places experience (lots of activity in late Spring/early Summer) but momentum seemed to be headed that way. It didn't continue and we can only hope for an active Fall & Winter in 2010.

That said, interest rates are still at or near historic lows and money seems to be loosening up a bit as banks get caught up after the foreclosure onslaught. I guess they need to get back to the business of lending money again. It's a great time to buy.

If you have any questions or comments, don't hesitate to call or email via my new contact information:
Artisan Sotheby's International Realty
(707) 481-8474 or steve@coastalagent.com

Here's a new and improved version of the market report.

Fannie & Freddie Threaten SoCo Energy Independence Program

2010-07-29T13:46:00.000-07:00

The 18-month old program that allows homeowners increase the efficiency of their home (like high efficiency heaters, solar panels, insulation, etc.) and finance the cost through the County is being threatened by the agency that oversees Fannie Mae and Freddie Mac.

In my opinion, this organization misunderstands the program and potential benefits that these organizations may realize should they fully support it.

Although the cost of the improvements is attached to (and paid back through) the annual property taxes, the increased value of the home should more than cover any increased risk of foreclosure. Spreading the cost of the improvements over a 20-year period helps minimize that risk and reduces the cost of ownership through lower energy bills. And that's the whole point, isn't it?

Here's an article from NPR that summarizes the current situation.

A quick update on the market...

2010-07-15T13:11:00.001-07:00

Following a strong Month in May, June took a step back with only five homes placed in escrow - compared to 17 last month. Nine homes closed escrow in June at a median price of $575,000 and nearly half were bank-owned or short sales.

That said, the number of REO's appears to be dwindling which could lead to some more stability. We've held a very steady median price over the last 12 months and I'd expect that to continue.

In addition, we're seeing continued near-record lows on interest rates - even for jumbo loans - and inventories are higher, but not out of our normal range.

I'll have a full report on July's numbers around the first of August.

Coast to Get New Verizon Wireless Tower

2010-07-10T20:43:00.000-07:00

Verizon Wireless is installing a new tower at 5827 Sierra Grande Drive in Sereno del Mar, approximately five miles north of the town of Bodega Bay. Placement of the county-permitted 40 foot high pole will happen this month.

The cell site is meant to cover the area between Carmet and Sereno del Mar and parts of Highway One.

Heidi Flato, Public Relations Officer for Verizon Wireless Northern California and Nevada Region, said, “Our goal is to provide the best possible wireless voice and data service for our customers.”

“We are trying to improve service in the West County, parts of which are currently un-served.”

Click here for the Press Democrat blog post

Market Summary for May 2010

2010-06-02T12:27:00.000-07:00

As predicted for May, we have seen a marked increase in activity and the median price, number of homes sold and those placed in escrow are all up. With the strengthening dollar and European struggles, already low interest rates are hovering just under 5% and we're seeing this help expand the range of homes purchased. In the first quarter of 2010, there was little or no interest in homes above the median. In the last two months, we've seen several sales posted over the current median. This suggests, once again, that the market is opening up and we may be headed toward a more balanced situation for both buyers and sellers.

Foreclosures are often asked about and it feels like those are slowing down for us on the Coast - especially after the slew that occurred a couple month ago. Those homes certainly had an dramatic impact but the effect seems to be fading away and again, we should be headed toward balance.

Attached is the market summary for May 2010. Just click on the image to enlarge or feel free to call me to discuss.

3 Million Salmon Released in American River

2010-05-11T16:02:00.000-07:00

California Department of Fish & Game released three million three-inch salmon smolts into the American River with the goal of helping to replenish the low levels of salmon we've had over the past several years. The causes are many and the solutions are few and there's certainly no guarantee that this will have a significant impact, but it's good to see some potential help coming for the local fishermen.

click here for the Sac Bee article

Valley Ford Fire Dept. Pancake Breakfast

2010-05-09T16:49:00.000-07:00

I joined Valley Ford's fire board last year and recently started training as a volunteer firefighter. I realize it's probably a bit late to start this process, but it's a small sacrifice and good for the community. But I won't be donning the standard issue firefighter mustache.

Part of the Board's function is fundraising and we're doing a gourmet pancake breakfast on June 5 (including buttermilk pancakes made by scratch). Come on out to Valley Ford for a great meal with lots of local ingredients and help support the local fire department. We've had lots of local business support so far, including Koslowski Blackberry syrup, Farmer's Coffee, Sweetwater Distillery gin/vodka, Clover butter and dairy items, Willi Bird Sausage, VFMarket Ham and more.

And if you happen to be in town next weekend, the town of Bodega kicks off pancake season at their station on Sunday, May 16.

Click on the image for a larger version of the flyer (and feel free to print/distribute).

Market Summary for April 2010

2010-05-03T14:31:00.001-07:00

Here's the market summary for April. You'll see a bit of a bounce back up after the REO/short sale effect from last month - and you'll continue to see more of that in the near future. Regardless, we've been relatively flat since late Summer 2009 and I don't see significant changes coming. Don't hesitate to email or call if you have any questions about the current conditions - as unpredictable as they are...

Click on image for larger version

Buy or Rent? The Gap Reaches 17 Year Low

2010-04-23T10:04:00.000-07:00

We've reached a point in the market where the monthly mortgage payment is about the same as rent. This article from LA Daily News points out the areas where that difference is minimal and where it reaches as much as $4000 (Manhattan).

Click here for the entire article

Fast Facts for April 2010

2010-04-21T17:28:00.000-07:00

Calif. median home price: February 2010: $279,840 (Source: C.A.R.)

Calif. highest median home price by C.A.R. region February 2010: Santa Barbara So. Coast $795,000(Source: C.A.R.)

Calif. lowest median home price by C.A.R. region February 2010: High Desert $122,580 (Source: C.A.R.)

Calif. First-time Buyer Affordability Index - Fourth Quarter 2009: 64 percent (Source: C.A.R.)

Mortgage rates - week ending 4/15/10
30-yr. fixed: 5.07 Fees/points: 0.6%
15-yr. fixed: 4.40% Fees/points: 0.7%
1-yr. adjustable: 4.13%
Fees/points: 0.5% (Source: Freddie Mac)

How Goldman Sachs Did It

2010-04-20T23:22:00.000-07:00

Read this article about a company called Magnetar from ProPublica. It's shocking how bold some of these companies were/are. One company sells a financial product that was influenced by another company that bet on that product's failure - making money on both sides. This is the same process that Goldman Sachs is being accused of performing. Every week it's getting clearer and clearer how we ended up in this mess...

Biggest Crowds Ever at Fisherman's Festival!

2010-04-18T21:18:00.000-07:00

The turnout was excellent and the weather was even better this year as the festival broke previous records. And the fish & chips were outstanding!

Article from Press Democrat

Bay Area home sales and prices up in March

2010-04-15T23:46:00.000-07:00

There is a lot to interpret when reading any article about real estate and the one below is certainly no exception. But what can't be denied is that activity is certainly up on the Coast and in the Bay Area. What's different here on the Coast is that we're seeing a spike in the percentage of REO's being purchased instead of a decrease (but that should change soon with the depletion of a group of REO's). The deals that are happening do seem to have a larger percentage of cash than in the past, as is seen in other areas.

Article By ROBERT DIGITALE of THE PRESS DEMOCRAT

Bay Area home sales and prices jumped in March, but analysts largely discounted the changes as the result of the annual spring selling season and an increase in purchases of higher-end homes.

March sales jumped 40 percent from February to 6,992 new and existing homes and condominiums in the nine-county Bay Area, according to MDA DataQuick of San Diego. Sales were up nearly 11 percent from a year ago.

The median price climbed 7 percent from February to $380,000. That amount was 31 percent higher than a year ago when the price reached $290,000, a low point in the Bay Area's current housing cycle.

The increase in sales and median price was expected. March sales typically exceed February, though the March 2010 sales still were 22 percent short of the 22-year average for the month.

Similarly, the median price a year ago was affected by a lopsided number of home sales in inland areas that had been hard hit by foreclosures, DataQuick reported. Last month, nearly 35 percent of Bay Area sales were of homes above $500,000, compared to 24 percent a year ago.

“While March's big annual gain in the regional median tells us a lot about what's changed in the market, it shouldn't be viewed as evidence of surging home values,” said John Walsh, MDA DataQuick president.

Walsh called the results “a statistical quirk.” The data indicates that prices in many communities “have more or less flattened out or risen modestly, while they remain soft in others,” he said.

In general, the Bay Area is still impacted more by the credit crunch than many other markets, he said.

“It's tougher to get the ‘jumbo' mortgages and adjustable-rate financing that had long been staples there. Looking ahead, stability in the housing market will rely more heavily on a strengthening economy.

“Government housing stimulus is fading,” Walsh said, “and there are threats from higher mortgage rates, more distressed properties hitting the market and continued job losses.”

Foreclosure resales – homes that had been foreclosed on in the prior 12 months – made up nearly 32 percent of the resale market in March. That compares with 50 percent a year a ago.

Absentee buyers – mostly investors – purchased nearly 18 percent of all Bay Area homes sold. Buyers who apparently paid all cash – meaning there was no corresponding purchase loan found in the public record – accounted for nearly 25 percent of sales.

No More State Tax on Debt Relief

2010-04-13T12:44:00.000-07:00

From the California Association of Realtors (CAR):

Distressed homeowners no longer have to pay California state income tax on debt forgiven in a short sale, foreclosure, or loan modification. Enacted into law yesterday, Senate Bill 401 generally aligns California's tax treatment of mortgage debt relief income with federal law. For debt forgiven on a loan secured by a "qualified principal residence," borrowers will now be exempt from both federal and state income tax consequences. The existing federal exemption is for indebtedness up to $2 million, whereas the new California exemption is for indebtedness up to $800,000 and forgiven debt up to $500,000.

"Qualified principal residence" indebtedness is defined as debt incurred in acquiring, constructing, or substantially improving a principal residence. It includes both first and second trust deeds. It also includes a refinance loan to the extent the funds were used to payoff a previous loan that would have qualified.

The tax breaks apply to debts discharged from 2009 through 2012. Californians who have already filed their 2009 tax returns may claim the exemption by filing a Form 540X amendment.

Taxpayers who do not qualify for the above exemptions (e.g., second home or rental property) may nevertheless be exempt under other provisions. Most notably, taxpayers who are bankrupt are exempt from debt relief income tax. Also, taxpayers who are insolvent are exempt from debt relief income tax to the extent their current liabilities exceed current assets.

For more information about mortgage forgiveness tax consequences, go to California Franchise Tax Board's Mortgage Forgiveness Debt Relief Extended webpage and the Internal Revenue Service's Mortgage Forgiveness Debt Relief Act and Debt Cancellation webpage. The full text of Senate Bill 401 is available at www.leginfo.ca.gov.

Market Summary for March 2010

2010-04-01T16:54:00.000-07:00

As expected, we're still seeing some downward pressure from the REO's that have been snapped up lately and you'll see that the median price in Bodega Bay has dropped to its lowest level since July 2003. However, what we're seeing this month is a sign that more expensive properties are beginning to get some interest. All three Bodega Harbour homes put into escrow were over $750K - expect to see more of this in April - and activity seems to be steadying a bit after LOTS of fluctuation. This continues to be a good time to buy.

Click on image below for a large version.

Santa Rosa Projected to Lead Nation in Real Estate Recovery

2010-03-24T16:19:00.000-07:00

Money Magazine compiled a list of metro areas with a forecast of 6% growth in Santa Rosa for the period of first quarter 2010 through first quarter of 2011.

Click here for the table

Fast Facts for March 2010

2010-03-17T20:26:00.000-07:00

Calif. median home price: January 2010: $287,440 (Source: C.A.R.)

Calif. highest median home price by C.A.R. region January 2010: Santa Barbara So. Coast $760,000(Source: C.A.R.)

Calif. lowest median home price by C.A.R. region January 2010: High Desert $124,480 (Source: C.A.R.)

Calif. First-time Buyer Affordability Index - Fourth Quarter 2009: 64 percent (Source: C.A.R.)

Mortgage rates - week ending 3/11/10 30-yr. fixed: 4.95 Fees/points: 0.7% 15-yr. fixed: 4.32% Fees/points: 0.7% 1-yr. adjustable: 4.22% Fees/points: 0.6% (Source: Freddie Mac)

Sonoma County Energy Loan Program Gets State Support

2010-03-08T10:33:00.000-08:00

I wrote about this program in an earlier blog and it appears that the State is finally jumping on the bandwagon - with consequences, of course. While there are more restrictions (and a few more minor costs), it's still a great way to green up your home while not taking on the entire burden of the cost upfront. Should you sell your home, the remaining cost of the loan passes to the buyer - and that makes sense since they'll be benefitting from the system or equipment that stays with the property.

The link to the article is here

Information also is available at the program Web site, sonomacountyenergy.org

Bodega Bay Cabaret a HUGE Success

2010-02-28T20:42:00.000-08:00

The Bodega Bay Cabaret was a huge success in its first attempt and everyone is looking forward to the next. About $3000 was raised for local charities including:
Bodega Bay Grange
Bodega Bay Fireworks
Bodega Bay School Art Program
Bodega Bay Community Center

Thanks to Michael & Diana Bundy for directing and producing a fantastic show.

To see a gallery or YouTube video of the event, click here.

Market Summary for February 2010

2010-02-28T16:47:00.001-08:00

The numbers are in for February and once again we saw little or no change. Don't hesitate to email or call if you have any questions or comments about the current market conditions...

CA Market at a Glance

2010-02-24T14:07:00.000-08:00

In relation to the previous blog, here's a quick overview of the California market over the last year...

California Housing Market Continues Upward Trend

2010-02-24T13:56:00.000-08:00

While the number of existing home sales was down this month over last year, the median price is up 15% in California (see graph). Here on the Coast, we're not yet seeing that trend. However, it seems that we've been behind the curve over that last couple of years as we didn't see the downturn until it was well established elsewhere and we've been holding steady at our low for over six months now. If the trend continues, I'd expect to see Bodega Bay and surrounding areas begin seeing a relaxing of the downward pressure and some normalcy begin to re-establish itself this year. As mentioned in previous blogs, we have a series of foreclosures coming through and with the market easing a bit we may see those properties picked up relatively quickly, easing the pressure on the overall local market as they begin to disappear. This certainly appears to be a relatively safe time to purchase.

Vacation rental company’s closure stirs outrage in Bodega Bay

2010-02-21T10:51:00.000-08:00

For everyone who has been wondering what has been going on with Vacation Rentals USA, This link takes you to a story from Santa Rosa's Press Democrat about the closing of the business and the fallout that has occurred because of it.

Fast Facts for February 2010

2010-02-17T16:24:00.000-08:00

Calif. median home price: December 09: $306,820 (Source: C.A.R.)

Calif. highest median home price by C.A.R. region December 09: Santa Barbara So. Coast $847,500(Source: C.A.R.)

Calif. lowest median home price by C.A.R. region December 09: High Desert $121,010 (Source: C.A.R.)

Calif. First-time Buyer Affordability Index - Fourth Quarter 2009: 64 percent (Source: C.A.R.)

Mortgage rates - week ending 2/11/10 30-yr. fixed: 4.97 Fees/points: 0.7% 15-yr. fixed: 4.34% Fees/points: 0.6% 1-yr. adjustable: 4.33% Fees/points: 0.6% (Source: Freddie Mac)

Sales of existing homes increased 13.9 percent nationwide in Q4

2010-02-17T16:20:00.000-08:00

We're still seeing increases in general home sales and a decrease in foreclosures, but they still account for about a third of all sales and we appear to be behind the curve on the Coast - probably due to the delayed effect we saw when all of this started. Below is an article from Realtor.org (click here for complete article).

Sales of existing homes, including single-family and condos, increased 13.9 percent to 6.03 million units in the fourth quarter, compared with 5.29 million units in the third quarter, according to a report by NAR. Sales also were 27.2 percent higher than the fourth quarter of 2008. Distressed properties accounted for 32 percent of fourth quarter transactions, a decline from 37 percent a year earlier.

The national median home price for existing, single-family homes was $172,900 in the fourth quarter, a 4.1 percent decrease compared with the fourth quarter of 2008. In the West, which includes California, existing-home sales increased 16.2 percent in the fourth quarter to an annual rate of 1.38 million units, 18.2 percent higher than a year ago, according to the report. The median home price of existing, single-family homes in the West was $227,200, a decline of 8.9 percent compared with the fourth quarter of 2008.

Market Summary for January 2010

2010-02-01T14:02:00.000-08:00

After seeing six months of flat prices in Bodega Bay, we saw a slight decrease in January to $695,000 ($742,500 in Bodega Harbour). We're currently revisiting February 2004 price levels and have seen the gains of the last six years removed. Of course, this, and more, has occurred throughout the state and country with some signs that prices will be bouncing around for months to come. While economic numbers appear to be headed in the right direction, employment numbers indicate that more foreclosures could be on the way.

In addition, locally there will be a series of at least eight foreclosures occurring from one investor who has lost all of his properties in Bodega Harbour and Bodega Bay. What impact this has will be determined as they hit the market and while they will certainly be opportunities for buyers, it could be another negative factor for current sellers to consider.

If you have any questions, please don't hesitate to call or email...

CA adopts greenest building codes in U.S.

2010-01-27T12:38:00.000-08:00

Newly constructed hospitals, schools, shopping malls and homes in California will be some of the greenest in the world, after a state commission voted unanimously Tuesday to approve the most stringent, environmentally friendly building code standards of any state in the nation.

The new code, dubbed Calgreen, will take effect next January and requires builders to install plumbing that cuts indoor water use, divert 50 percent of construction waste from landfills to recycling, use low-pollutant paints, carpets and floorings and, in nonresidential buildings, install separate water meters for different uses. It mandates the inspection of energy systems by local officials to ensure that heaters, air conditioners and other mechanical equipment in nonresidential buildings are working efficiently. And it will allow local jurisdictions, such as San Francisco, to retain their stricter existing green building standards, or adopt more stringent versions of the state code if they choose.

Read More

California home sales, median price rise in December

2010-01-27T12:30:00.001-08:00

Sales of existing, single-family homes rose 1.7 percent in December, while the median price rose 8.4 percent compared with the prior year, according to C.A.R.’s latest sales and price report. The median price of an existing, single-family detached home in California during December 2009 was $306,820, an 8.4 percent increase from the revised $283,060 median for December 2008, according to the report. The December 2009 median price rose 0.8 percent compared with November’s $304,520 median price.

“As expected, the large year-to-year sales gains have diminished substantially compared with earlier in the year,” said C.A.R. President Steve Goddard. “However, home sales in December were strong, and were comparable to sales of late 2008. Activity in December can be attributed in part to the extension and expansion of the home buyer tax credit, as well as near-historic highs in affordability due to current price levels and low interest rates.”

More info

Why Short Sales Don't Work

2010-01-16T11:37:00.000-08:00

Prior to a couple years ago, short sales were of little significance (and of little interest) here on the Coast. They happened so infrequently that few of us ever had to deal with them. That changed when the market began its collapse in late 2006.

Since that time, short sales have become relatively prevalent in many areas and have certainly had their impact in Bodega Bay and the surrounding areas. While I wouldn't consider any of the agents on the Coast experts in short sales, many of us do take our work seriously and keep up to date on most issues that come our way. And that is what makes this short sale debacle so befuddling. Why can't anyone seem to get a short sale completed?

On the surface, it would appear that short sales make sense for everyone involved. It makes sense for sellers because they get to relieve what may be an unrecoverable financial burden - with associated penalties like a damaged credit score and a significant amount of work to justify their position. It makes sense for buyers because they're getting a home for a fair market price and one that is presumably in good condition (compared to many neglected foreclosed homes). It makes sense to the banks because short sales inevitably bring in more cash than the eventual foreclosure normally does.

But that's where the buck seemed to stop. Reasonable offers were being submitted to the banks and those offers were sitting on their desks for several frustrating months before responses, usually declines, were returned. Even when agreement could be reached it seemed inevitable that the deal would dissolve, only to see the property go into foreclosure and show up on MLS for a price lower than the agreed-upon short sale price.

Why is that?
There are many theories that address this issue, including government subsidies that encouraged foreclosure, accounting policies, an inadequate infrastructure, inexperience and even flat-out fraud. But I recently read an article from May 2009 in the Huffington Post that seems to make perfect sense to me. It's all about securitization.

Securitization isn't an simple concept but it's well documented and there have been many stories that help explain it. If you haven't taken the time to listed to This American Life's two-part series called the Giant Pool of Money (Part 1) (Part 2), it's well worth the time if you're interested in how this all began.

Basically it works like this (and this is my simplified interpretation only)...a buyer gets a loan and the bank immediately sells it to an investor who bundles up loans for a living. The investor takes this bundle of loans and chops it up into pieces that get graded according to risk. These "portfolios" are called tranches. The tranches get sold to groups of investors who expect to get income from these investments. However, when the mortgages inside these tranches start going bad, the investors have no interest in getting shorted out of their investment and choose not to negotiate. So the banks end up holding onto the soon-to-be defaulted loan and get to dump them off their books as losses once it goes into foreclosure (I'm not sure how the accounting works here). It's not only the bank's fault - it's the Investors who are preventing the shorts.

What's the solution?
I'm certainly no expert, but it seems that the basic problem is that banks have no responsibility for the loans that they perform. Once the loan is funded, they sell it off and give up any responsibility for their work, leaving that risk in someone else's hands. That risk eventually exposes itself to someone who doesn't have to bear it. So it works it's way back down the chain. If the banks were required to hold a piece of their loans on the books ("skin in the game"), then perhaps they wouldn't be able to sell them off so easily and might act more responsibly in their decision-making process.

There are many more pieces to the solution and each one has it's consequences, but it's obvious that the system we have in place is broken and needs to be rebuilt. Regulation may or may not be the answer but I think there's an opportunity in here somewhere for a industry with a proper business model that looks at the long-term implications of their practices. That would be in everyone's best interest.

Let me know what you think...

Market Summary for December 2009

2010-01-05T14:00:00.000-08:00

Positivity...

2009-12-16T16:06:00.000-08:00

I just received a CAR (California Association of Realtors) newsletter that posts weekly and this one caught my attention for the number of positive articles it contained. We've been seeing a trend toward the right direction lately but all four of these articles this week are strongly positive. I'll include the headlines and a link to the articles below in case you're looking to brighten your day...

Fed leaves key rate unchanged - The Federal Reserve today announced it will maintain its target for the federal funds rate in the 0 percent to 0.25 percent range...

Survey finds most agents see home prices stabilizing - A fourth-quarter survey conducted by HomeGain showed that 72 percent of HomeGain members believe that home prices will remain the same in the next six months, an increase from 69 percent in the third-quarter survey...

California new-home sales rise 25 percent - Sales in new-home communities of 10 units or more in California rose 25 percent in October compared with a year ago...

Foreclosure activity declines 8 percent nationwide - A report by RealtyTrac shows that foreclosure filings, including notices of default, scheduled foreclosure auctions, and bank repossessions, decreased nearly 8 percent in November compared with the previous month...

Market Summary for November 2009

2009-12-02T14:35:00.000-08:00

Here's the summary for Bodega Bay for November and the twelve months prior. You'll find that we're still relatively flat and activity continues to fluctuate from month-to-month. Don't hesitate to call me with any questions or just to talk about the market in general.

Click to enlarge.

California Housing Market Turns Corner

2009-11-26T19:34:00.000-08:00

From Bloomburg:
By Daniel Taub

Nov. 25 (Bloomberg) -- California, one-time hub of subprime mortgage lending and the nation’s leader in home foreclosures, has turned the corner toward a housing recovery, according to the state Association of Realtors.

Single-family home prices in California rose for the eighth consecutive month in October. The median cost of an existing, detached house gained 0.3 percent from the previous month to $297,500. Prices dropped about 3.2 percent from a year earlier, compared with annual declines of 7.3 percent in September and 17 percent in August.

“California has hit and passed the bottom of this real estate cycle,” Leslie Appleton-Young, vice president and chief economist of the Los Angeles-based Realtors group, said in a statement today.

Click here for the article

Valley Ford Crab Feed Dec. 6

2009-11-25T12:32:00.000-08:00

Apparently this won't be a huge season for eating crab this year and while the little crustaceans might be happy, that certainly won't stop about 400 people from meeting at the Valley Ford Town Hall for their annual crab feed on Sunday, December 6 from 11am to 4pm. The donation is $40 per person and you can eat as much crab, salad and bread as you can handle. People even bring homemade deserts to sell. You can bring your own beverages or buy them there. Proceeds go to support the Valley Ford Volunteer Fire Department. Get your tickets while they're still available as this event sells out every year.

Click on the image for the flier.

Homebuyer Credit Extended

2009-11-05T12:07:00.000-08:00

From Steve Guenza - CB Mortgage (707) 765-4453

Here’s an update on the Homebuyers tax credit.
The Senate has voted last night (11/4) to extend and expand a popular tax credit for homebuyers that was scheduled to expire Nov. 30. The House is expected to schedule a quick vote on the bill as early as today 11/5 as part of a package that also extends unemployment benefits for people out of work more than a year. The White House indicated that the President will sign the legislation.

How the homebuyer tax credit would work:

· Tax credit: Ten percent of the purchase price of a primary residence, up to a maximum of $8,000 for first-time homebuyers and $6,500 for repeat buyers who purchase between December 1, 2009 and May 1, 2010. First-time homebuyers are defined as people who have not owned a home in the previous three years. Repeat buyers must have owned their current home at least five years. The credit cannot be used for houses costing more than $800,000.

· Deadline for qualifying: Purchase agreements must be signed by April 30, 2010, and closings must be final by June 30.

· Military deadline: The deadline is extended by a year for members of the military who have served outside the U.S. for at least 90 days from Jan. 1, 2009, to May 1, 2010.

· Income limits: Individuals with annual incomes up to $125,000 and joint filers with incomes up to $225,000 qualify for the full credit. Individuals with incomes up to $145,000 and joint filers with incomes up to $245,000 qualify for reduced credits.

· How to apply: Taxpayers can claim the credit on their federal income tax returns. If the credit exceeds their tax bill, the government will issue a payment. Taxpayers who want immediate refunds can amend their tax returns for 2008 to claim the credit.

· New anti-fraud limitations imposed.

· Cost: $10.8 billion.

Source: Bloomberg Press and Associated Press and confirmed information with the content of the Senate bill

Market Summary for October 2009

2009-11-01T14:17:00.000-08:00

As expected, we're seeing minimal change this month - median prices are holding steady after continued (but light) pressure downward and the volume remains consistent.

For mortgages, 620 is the new magic number

2009-10-22T20:03:00.000-07:00

Near historic low mortgage rates, favorable home prices, and the federal tax credit for first-time home buyers have contributed to home purchases in the past year. However, the onset of the credit crisis, new regulations for home appraisals, and more stringent guidelines for purchases and refinances have resulted in confusion for some potential home buyers.

While using a mortgage broker to find the best loan may work for some buyers, it may not always be the best route. In the past, mortgage brokers could “shop” a loan to multiple lenders to help find the best deal. However, new practices and procedures under the Home Valuation Code of Conduct (HVCC) have hampered mortgage brokers’ abilities, namely that lenders may no longer accept home appraisals commissioned by brokers. As a result, consumers may have to pay for new appraisals with each lender, which costs time and money. However, consumers who are very busy or need guidance may find that working with a mortgage broker is the easiest solution.

Qualifying for a mortgage under current lender standards is more difficult nowadays than in years past. Beginning Nov. 1 or Dec. 12, depending on the type of loan, Fannie Mae is tightening its lending standards to the 620 credit score benchmark—including loans backed by the Federal Housing Administration and Veterans Affairs. Borrowers with credit scores of less than 620 will find it very difficult to qualify for a mortgage. However, to qualify for the best rates, consumers generally need credit scores of 720 and must have verifiable, steady income.

As for loan type, most real estate professionals agree that a fixed-rate mortgage is the best choice for buyers and refinancers.

To read the full story, please click here.

California's Median Prices Since 1970

2009-10-21T08:48:00.000-07:00

This graph pretty much says it all. Everything was moving along fairly smoothly until we recovered from the last dip in the late 80's. From that point forward prices accelerated to unprecedented rates until the market just couldn't sustain it any longer. And you know what happened next.

What I get from this is that we're actually just below the expected median (around $300K) if you drew a line through the middle of the curve. That says we've probably over-adjusted and could begin seeing recovery and slow/moderate growth in the near future. Then again, I don't envy those who make their living by predicting this market...

CAR Releases Expectations for California's Housing Future

2009-10-21T08:40:00.000-07:00

CAR's expectations are fairly positive for 2010 and beyond. It's been a rough three years for most of the market and although there are some predictions of a second dip, most analysts cautiously feel we're headed back toward positive territory.

From the California Association of Realtors:
“After experiencing its sharpest decline in history, we expect the median price to rise modestly next year,” Liptak added. “2010 will mark the beginning of the ‘new normal’ for California’s housing market. This ‘new normal’ likely will feature a steady stream of sales driven by distressed properties in the low end of the market, coupled with moderate home-price appreciation.”

The median home price in California will rise 3.3 percent to $280,000 in 2010 compared with a projected median of $271,000 this year, according to the forecast. Sales for 2010 are projected to decrease 2.3 percent to 527,500 units, compared with 540,000 units (projected) in 2009.

You can read the entire article here.

Sonoma County's Energy Independence Program (AB811)

2009-10-20T15:03:00.000-07:00

I recently attended a lecture on Sonoma County's Energy Independence Program (AB811) and found an interesting opportunity for anyone looking to improve the efficiency of their home.

Sonoma County has about $100M earmarked to finance home energy and water efficiency projects that get repaid through homeowner's property tax bills. You can start with a $395 home energy audit to help determine which projects would be best for your home and pay for those projects over a twenty year period through your property tax bill. The financing is actually a voluntary assessment or lien on the property so that when you sell the home, the assessment stays with the home - not the owner.

Projects can be up to 10% of the assessed value of the home and include solar panels, insulation, heating and cooling systems, waterless urinals, cool roofing and energy efficient windows - among others.

For an energy audit go to Sustainable Spaces
For details on the program, go to http://www.sonomacountyenergy.org/

I'm putting some resources together on my webpage so check back occasionally.

Market Summary for September 2009

2009-10-07T11:26:00.001-07:00

Here's the market summary for September and we're still seeing some minor downward pressure on pricing as the REO's and short sales are snapped up. Although there "reports" that another wave of foreclosures are on the way, it doesn't appear that there are many on the horizon here on the Coast. But, as we've seen, things can change quickly and drastically.

The good news is that sales activity is up more than 20% over last year at this time and that could help stabilize prices.

A Closer Look at the Mix of Home Sales

2009-09-23T13:42:00.000-07:00

An interesting look at the housing trends as the sales and prices begin their recovery. From the California Association of Realtors' Oscar Wei, Senior Research Analyst and Sara Sutachan, Senior Research Analyst...

California home sales continue to stay strong with seasonally adjusted annualized sales in July increasing 8.1 percent to 553,910 from 512,530 in June and 12.0 percent above the revised year-ago figure of 494,390. The year-to-year percentage gains in sales have moderated in recent months, and the 12 percent increase over the prior year was the smallest increase since April 2008. Year-to-date sales, nevertheless, remained well above the sales level of last year, with a 43.4 percent increase over the same period of 2008.

The statewide median price at $285,480 in July increased for the fifth consecutive month with a 3.9 percent increase over the prior month median price of $274,740. The yearly decline of 19.6 percent was also the smallest in the last 19 months.

For the entire article, click here.

Market Summary for August 2009

2009-09-04T15:32:00.000-07:00

We actually saw an increase in the Bodega Bay median price while Bodega Harbour continues to see minor decreases. We're currently at mid-2004 prices. Click on the image above to see the details for August...

How Americans Spend Their Paycheck

2009-08-29T11:44:00.001-07:00

Here's an interesting graphic on where our money is spent. Obviously, California's numbers are going to skew more toward housing with our higher prices, but interesting none the less.

click here for the graphic

Bodega Bay Market Summary - Jul/Aug 2009

2009-08-19T10:17:00.000-07:00

Here's the latest data on the real estate market in BB. You'll see that we continue to feel the downward pressure from the relatively low number (but very influential) distressed properties. Those properties are certainly getting the majority of the action right now but the number of new listings is slowing significantly, at least for now. You've probably heard the reports that thousands of distressed properties will enter the market in the 4th quarter and while I don't know how many will be in our area, those reports alone are impacting the psychology of the market.

Showings have picked up again over the last couple of weeks. However, we've been experiencing a great deal of cyclical activity all year - up for a few weeks and quiet for a few weeks. Buyers are still leery of the near future but appear to be more relaxed than they were several months ago and that alone has made me less reluctant to take on listings. Six months ago I suggested holding off, today I'm much more open to putting a client's home on the market - at the right price, of course. The number of sales has remained slow but steady throughout 2009 and somewhat ahead of 2008 - I expect that to continue through the rest of the year with a leveling of prices.

Pricing the homes has been a difficult conversation for those looking to list. With the continued downward pressure, you can't list for the future as many did a few years ago. The numbers are more important than ever, even though buyers are frequently attempting to low-ball their offers. And some of them work. However, we're still retaining a list price/sale price ratio of 94.4% so sellers are holding firm once they find the proper price point. Currently, prices are about 16% below this time last year in Bodega Bay and 33% lower in Bodega Harbour. Much of the discrepancy is due to s short spike in Bodega Harbour prices last year.

Sales of new home rose 11 percent in Jun

2009-08-05T17:30:00.000-07:00

Sales of new homes rose 11 percent in June, compared with May, and were at a seasonally adjusted annual rate of 384,000, according to estimates released jointly by the U.S. Census Bureau and the Department of Housing and Urban Development. Sales were 21.3 percent lower in year-to-year comparisons.

The median sales price of new houses sold in June 2009 was $206,200; the average sales price was $276,900, according to the report. The seasonally adjusted estimate of new houses for sale at the end of June was 281,000, representing an 8.8-month supply at the current sales rate.
________

In Bodega Bay, prices continue to feel the downward pressure but are holding relatively flat. Bodega Harbour homes held steady with no change and all Bodega Bay homes saw less than a 1% reduction in July.

Finally time to re-fi?

2009-07-09T20:06:00.001-07:00

The Obama administration finally made refinancing a possibility for most Americans with the recent changes in the loan-to-value now at 125% (up from 105%). Here's the latest article from Freddie Mac.

Leading economic indicators up more than expected

2009-06-25T17:03:00.000-07:00

From the Sacramento Bee (By TALI ARBEL - AP Business Writer)

NEW YORK -- A private research group's forecast of economic activity rose in May by the largest amount in more than five years, the latest sign that the recession is easing.

The Conference Board said Thursday that its index of leading economic indicators - designed to forecast activity in the next three to six months - rose 1.2 percent, the biggest gain since March 2004. Economists surveyed by Thomson Reuters expected a 0.9 percent increase in May. The April reading was revised to a 1.1 percent gain from 1 percent, the first back-to-back increases since 2006.

The New York-based group also said activity in the six-month period through May also rose 1.2 percent - the first time that measure has grown since April 2007.

"The recession is losing steam," said Conference Board economist Ken Goldstein. "If these trends continue, expect a slow recovery beginning before the end of the year."

Click here for the entire article

California Housing Market Shows Pockets of Recovery

2009-06-25T16:57:00.000-07:00

From the Wall Street Journal:

Prices Have Dropped Far Enough to Lure Buyers in a Trend Also Showing Up in Other Parts of the Country

SAN JOSE, Calif. -- A home-sales revival that began last year in some of California's cheaper inland areas has begun to spread to several more expensive coastal areas, another hint that devastated real-estate markets in the state -- and other parts of the country -- may see less grim days ahead.

Homes are selling briskly again in the lower end of the market in Santa Clara County, just south of San Francisco, with prospective buyers making multiple offers and bidding well above asking prices. The median sales price of a single-family home in May was $445,000 in the county, up 5.7% from February, when prices stopped dropping.

Click here for the entire article

If you like charts and graphs, you'll love this...

2009-06-12T14:02:00.000-07:00

From USA Today, a collection of graphs comparing the trends of several key economic indicators. Click on the indicator to the right to see its trend.

Click here for the graphs and article

Fast Facts for June 2009

2009-06-10T20:29:00.000-07:00

Calif. median home price - April 09: $256,700 (Source: C.A.R.)

Calif. highest median home price by C.A.R. region April 09: Santa Barbara So. Coast $840,000 (Source: C.A.R.)

Calif. lowest median home price by C.A.R. region April 09: High Desert $106,530 (Source: C.A.R.)

Calif. First-time Buyer Affordability Index - First Quarter 2009: 69 percent (Source: C.A.R.)

Mortgage rates - week ending 6/4/09 30-yr. fixed: 5.29% Fees/points: 0.7% 15-yr. fixed: 4.79% Fees/points: 0.7% 1-yr. adjustable: 4.81% Fees/points: 0.6% (Source: Freddie Mac)

Own a small business?

2009-06-10T20:26:00.001-07:00

SBA launches program to assist struggling small businesses

Small businesses, including real estate brokerages, suffering financial hardship as a result of the slow economy may be eligible to receive temporary relief to keep their doors open and get their cash flow back on track through to a new loan program from the federal government’s Small Business Administration (SBA).

Beginning June 15, the SBA will start guaranteeing America’s Recovery Capital (ARC) deferred-payment loans of up to $35,000. The loans will be available to established, viable, for-profit small businesses, as defined, that need short-term help to make their principal and interest payments on existing qualifying debt. ARC loans are interest free to the borrower, 100 percent guaranteed by the SBA, and have no SBA fees associated with them.

ARC loans will be disbursed within a period of up to six months and will provide funds to be used for payments of principal and interest for existing, qualifying small business debt, including mortgages; term and revolving lines of credit; capital leases; credit card obligations; and notes payable to vendors, suppliers and utilities. Repayment will not begin until 12 months after the final disbursement. Borrowers don’t have to pay interest on ARC loans. After the 12-month deferral period, borrowers will pay back the loan principal over a period of five years.

Pending home sales increase for third consecutive month

2009-06-09T14:09:00.001-07:00

Record low mortgage interest rates boosted pending home sales for the third consecutive month, with some benefit now from the first-time buyer tax credit, according to a recent report from NAR. Its Pending Home Sales Index, a forward-looking indicator based on contracts signed in April, rose 6.7 percent to 90.3 from a reading of 84.6 in March, and is 3.2 percent above April 2008 when it stood at 87.5.

“Housing affordability conditions have been at historic highs, but now the $8,000 first-time buyer tax credit is beginning to impact the market,” said NAR Chief Economist Lawrence Yun. “Since first-time buyers must finalize their purchase by November 30 to get the credit, we expect greater activity in the months ahead, and that should spark more sales by repeat buyers.”

New-home inventories continue to fall

2009-06-09T14:08:00.000-07:00

The number of newly built single-family homes on the market declined to 297,000 units in April, their lowest level since May 2001, according to a recent report by the U.S. Dept. of Commerce. The pace of new-home sales, at a seasonally adjusted annual rate of 352,000 units, was nearly unchanged compared with the previous month.

“The fact that the new-homes inventory is now below the 300,000 mark shows that builders have made substantial progress in winnowing down their backlogs to a much more comfortable level,” said Joe Robson, chairman of the National Association of Home Builders (NAHB). April’s results mark two consecutive years of monthly declines in the number of unsold new homes.

Sales of newly built, single-family homes recorded a marginal 0.3 percent gain to 352,000 units in April compared with March, while the inventory of new homes for sale declined 4.2 percent to 297,000 units--a 10.1-month supply at the current sales pace.

Home buyer tax credit can be applied to purchase costs

2009-06-09T14:07:00.000-07:00

U.S. Dept. of Housing and Urban Development (HUD) Secretary Shaun Donovan recently announced that the Federal Housing Administration (FHA) will allow home buyers to apply the administration's new $8,000 first-time home buyer tax credit toward the purchase costs of a FHA-insured home. The American Recovery and Reinvestment Act of 2009 offers home buyers a tax credit of up to $8,000 for purchasing their first home. Families can only access this credit after filing their tax returns with the IRS. Home buyers using FHA-approved lenders can apply the tax credit to their down payment in excess of 3.5 percent of appraised value or their closing costs, which can help achieve a lower interest rate.

Currently, borrowers applying for an FHA-insured mortgage are required to make a minimum 3.5 percent down payment on the purchase of their home. Current law does not permit approved lenders to monetize the tax credit to meet the required 3.5 percent minimum down payment, but, under the terms of the announcement, lenders can now monetize the tax credit for use as additional down payment, or for other closing costs, which can help achieve a lower interest rate.

California's Housing Picture Brightens

2009-06-04T16:24:00.000-07:00

From the Wall Street Journal:

With the state’s median price rising for the second consecutive month in April, and sales of existing, single-family homes remaining above the 500,000 level for the eighth month in a row, California is being closely watched as a barometer of the economy. Some economists believe these two factors indicate the state’s median price could be at or near the bottom.

MAKING SENSE OF THE STORY FOR CONSUMERS

· Sales of existing, single-family homes increased 49.2 percent in April in California compared with the same period a year ago, according to the CALIFORNIA ASSOCIATION OF REALTORS®’ (C.A.R.) April sales and price report.

· As the level of unsold inventory declines, the state’s median price will likely stabilize. Inventory levels for homes in the under $500,000 segment shrank to nearly three months in April, compared with almost 10 months a year ago, while unsold inventory in the more than $1 million segment rose to approximately 17 months, compared with roughly 10 months in April 2008.

· The median price of an existing, single-family detached home in California during April 2009 was $256,700, an increase of 1.4 percent compared with the prior month, but a 36.5 percent decrease from the revised $404,470 median of a year ago.

· Favorable home prices in many parts of the state have led to an increase in affordability for first-time buyers. In the first quarter of 2009, affordability rose to 69 percent, enabling many to take advantage of first-time buyer programs and near record-low interest rates.

click here for the story

Market Summary for May 2009

2009-06-01T12:22:00.001-07:00

Even with increased activity over the past few weeks, we're seeing increased downward pressure on home prices on the Coast. This pressure appears to be due to the sale of the few distressed properties that are getting so much attention. It's rather surprising to see how much a few short sales and REO's can impact the local market, but it does give some clarity to their impact on the market nationally.

Fast Facts for May 2009

2009-05-20T14:07:00.000-07:00

Calif. median home price - March 09: $253,040 (Source: C.A.R.)

Calif. highest median home price by C.A.R. region March 09: Santa Barbara So. Coast $825,000 (Source: C.A.R.)

Calif. lowest median home price by C.A.R. region March 09: High Desert $114,670 (Source: C.A.R.)

Calif. First-time Buyer Affordability Index - Fourth Quarter 08: 59 percent (Source: C.A.R.)

Mortgage rates - week ending 5/14/09 30-yr. fixed: 4.86% Fees/points: 0.6% 15-yr. fixed: 4.52% Fees/points: 0.6% 1-yr. adjustable: 4.71% Fees/points: 0.6% (Source: Freddie Mac)

Survey finds three of four homeowners think housing market bottom reached

2009-05-20T14:01:00.000-07:00

Although 60 percent of homeowners believe their own home lost value during the past 12 months, in reality 80 percent of homes across the country lost value during the past 12 months, according to Zillow’s Q1 Homeowner Confidence Survey. However, 74 percent of homeowners surveyed believe their home will not decline in value in the coming six months, effectively calling a bottom to their own home's housing slide, the report said.

A significant number of potential sellers are holding back due to the current market, according to the report. When asked about future plans to sell, 31 percent of home owners said they would be at least "somewhat likely" to put their homes on the market in the next 12 months if they saw signs of a real estate market turnaround.

"While homeowners are now more realistic when looking backward, they are still pretty starry-eyed when looking forward with three out of four homeowners believing that their own homes' prices will increase or be flat over the next six months,” said Dr. Stan Humphries, Zillow's vice president of data and analytics. “Unfortunately, there are few markets we expect to perform this well."

Entry-Level Housing Affordability Reaches 69%

2009-05-20T13:58:00.000-07:00

The percentage of households that could afford to buy an entry-level home in California stood at 69 percent in the first quarter of 2009, compared with 46 percent (revised) for the same period a year ago, according to a C.A.R. report released last week. C.A.R.’s First-time Buyer Housing Affordability Index (FTB-HAI) measures the percentage of households that can afford to purchase an entry-level home in California. C.A.R. also reports first-time buyer indexes for regions and select counties within the state. The Index is the most fundamental measure of housing well-being for first-time buyers in the state.

The minimum household income needed to purchase an entry-level home at $213,040 in California in the first quarter of 2009 was $38,090, based on an adjustable interest rate of 4.96 percent and assuming a 10 percent down payment. First-time buyers typically purchase a home equal to 85 percent of the prevailing median price. The monthly payment including taxes and insurance was $1,270 for the first quarter of 2009.

At $38,090, the minimum qualifying income was 41 percent lower than a year earlier when households needed $65,030 to qualify for a loan on an entry-level home. Recent decreases in home prices and mortgage rates have brought affordability into better alignment with the income level of a typical California household, where the median household income is $61,030.
The First-time Buyer Housing Affordability Index also rose 7 percentage points in the first quarter of this year compared with the fourth quarter of 2008, due to a 14.1 percent decrease in the entry-level median home price.

At 83 percent, the High Desert region was the most affordable area in the state. The San Luis Obispo County region was the least affordable in the state at 49 percent, followed by the Orange County region at 56 percent.

Where home prices crashed early, signs of a rebound

2009-05-07T15:45:00.000-07:00

Hard-hit areas, such as Sacramento, Las Vegas, parts of Florida and California’s Inland Empire, appear to be among the first cities in the nation to reach the early stages of recovery, as investors and first-time buyers compete for bargain-priced foreclosures.

From New York Times:

MAKING SENSE OF THE STORY FOR CONSUMERS
By some indications, the market could be close to a bottom. Pending home sales – homes that are under contract, but have not yet closed – and construction spending rose in March.
When a market reaches bottom, foreclosures usually stop piling up and banks become more willing to issue loans, confident that the collateral backing them will not continue to decrease in value.
The first-time home buyer tax credits from the federal and state governments, coupled with favorable home prices and near record-low interest rates, led to an increase in home sales in March. Sales of existing, single-family homes rose 63.8 percent in March compared with the prior year. Monterey County reported a sales increase of 248.7 percent and the High Desert region saw sales increase 172.7 percent compared with last year, according to the CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.).
The median price for the state also increased in March, rising 2.2 percent in month-to-month comparisons. March marked the first monthly increase since August 2007, while the statewide median price has remained in the $250,000 range for the past three months.

To read the full story, please click here

April Consumer Confidence Jumps

2009-05-06T15:47:00.000-07:00

Consumer confidence rose more than 12 points in April to 39.2 (1985=100), compared with 26.9 in March, according to a recent Conference Board report. The Board’s Present Situation Index increased to 23.7 in April from 21.9 for the previous month, while its Expectations Index jumped more than 19 points to 49.5 in April compared with 30.2 in March.

"Consumer confidence rose in April to its highest reading in 2009, driven primarily by a significant improvement in the short-term outlook,” said Lynn Franco, director of The Conference Board Consumer Research Center. “The Present Situation Index posted a moderate gain, a sign that conditions have not deteriorated further, and may even moderately improve, in the second quarter. The sharp increase in the Expectations Index suggests that consumers believe the economy is nearing a bottom, however, this Index still remains well below levels associated with strong economic growth."

Consumers' short-term outlook improved significantly in April. Those anticipating business conditions will worsen over the next six months declined to 25.3 percent from 37.8 percent, according to the report, while those expecting conditions to improve increased to 15.6 percent from 9.6 percent in March.

BB Market Summary April 2009

2009-05-05T10:02:00.000-07:00

Home prices edge upward?

2009-04-30T16:36:00.000-07:00

From Business Week:

Although it’s too early to say the market has bottomed out, there are some indicators that prices may be stabilizing.

MAKING SENSE OF THE STORY FOR CONSUMERS

· The median price for existing, single-family homes rose 2.2 percent in March in California, according to the CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.). March marked the first month since August 2007 that the state’s median sales price rose in month-to-month comparisons. According to the C.A.R. sales and price report, the median price of existing, single-family homes stood at $253,040 in March.

· Sales in California have soared in recent months, with existing, single-family home sales increasing 63.8 percent in March to a seasonally adjusted rate of 522,980 on an annualized basis.

To read the full story, please click here

Bidding wars are emerging on foreclosures

2009-04-30T16:33:00.000-07:00

From Wall Street Journal:

Real estate industry experts are reporting that favorable home prices in many parts of the country, including California, have ignited bidding wars as first-time buyers compete with investors for many of the same foreclosed properties.

MAKING SENSE OF THE STORY FOR CONSUMERS

· While the inventory of homes for sale still outpaces demand in many areas, inventory is shrinking and some middle class neighborhoods are running into shortages of moderately priced homes. C.A.R.’s Unsold Inventory Index (UII) stood at 5 months in March in California, compared with 12.2 months in March 2008.

· Although home prices in most areas of the country are still lower than a year ago, the Federal Housing Finance Agency (FHFA) reported last week that home prices nationwide rose a seasonally adjusted 0.7 percent in February from January, led by gains on the West Coast. While this is a positive sign for the market, it could mean that the window of opportunity for first-time home buyers is narrowing.

· Many economists and housing analysts predict that the most hard-hit areas of the country, such as Sacramento and San Diego, will be among the first to recover. According to an executive with Lyon Real Estate, if sales of foreclosed homes in Sacramento maintain its current pace, the supply will be exhausted in about one month. For non foreclosures, the executive at Lyon Real Estate speculates that the inventory will be exhausted in about eight months.

· It is important to note that many banks and sellers favor all-cash bids or offers from buyers who seem certain to qualify for financing. In some cases, sellers may choose the offer least likely to fall through rather than the highest bid.

· In some instances, buyers should make offers that are at or above the asking price of a home. If the home is extremely desirable or in a neighborhood that previously was out of many buyers’ price ranges, putting in an offer slightly higher than the asking price may help to seal the deal.

To read the full story, please click here

Mortgage rates drop to record low

2009-04-03T23:42:00.000-07:00

Rates on 30-year, fixed-rate mortgages averaged 4.85 percent for the week ending March 26, following an announcement by the Federal Reserve that it is launching a new effort to assist the U.S. housing market. The rate marked a record low in the history of the Freddie Mac survey. The previous low was 4.96 percent set during the week of Jan. 15.

Fast Facts for April 2009

2009-04-02T10:57:00.001-07:00

Calif. median home price - February 09: $247,590(Source: C.A.R.)
Calif. highest median home price by C.A.R. region February 09: Santa Barbara So. Coast $715,000 (Source: C.A.R.)
Calif. lowest median home price by C.A.R. region February 09: High Desert $121,970(Source: C.A.R.)
Calif. First-time Buyer Affordability Index - Fourth Quarter 08: 59 percent (Source: C.A.R.)
Mortgage rates - week ending 3/26/09 30-yr. fixed: 4.85% Fees/points: 0.7% 15-yr. fixed: 4.58% Fees/points: 0.7% 1-yr. adjustable: 4.85% Fees/points: 0.6% (Source: Freddie Mac)

Bodega Bay Market Summary - Feb 2009

2009-03-01T12:50:00.000-08:00

Activity continues to improve as buyers snap up some of the few REO's and short sales in Bodega Bay. This is certainly impacting the median price but could begin to increase confidence as people realize that our local real estate is relatively safer than the stock market.

The Crisis of Credit video

2009-02-19T19:25:00.000-08:00

Here's a simple video explanation of the crisis. I found it on a great site called Planet Money and you can get their podcast every Mon/Wed/Fri. I highly recommend it.

The Crisis of Credit Visualized from Jonathan Jarvis on Vimeo.

Summary: Homeowner Affordability and Stability Plan

2009-02-19T08:37:00.000-08:00

From the president of California Association of Realtors...

Feb. 18, 2009

Dear C.A.R. Member,

Earlier today, President Obama unveiled the Homeowner Affordability and Stability Plan, which will offer assistance to as many as 9 million homeowners, while attempting to prevent the destructive impact of foreclosures on families and communities.

The plan contains three main components, and only applies to primary residences. The loans referenced in the plan cannot exceed Freddie Mac/Fannie Mae conforming loan limits. I’ve outlined the plan in greater detail below.

The first component is directed toward homeowners suffering from falling housing prices who still have equity in their homes, but no longer have the 20 percent equity needed to refinance. Under the plan, homeowners who have conforming loans owned or guaranteed by Freddie Mac and Fannie Mae will be allowed to refinance their homes, even if they do not have 20 percent equity left in the house. The U.S. Treasury Dept. estimates that about 5 million homeowners will be helped by this portion of the program.

The second component, known as the Homeowner Stability Initiative, is designed to assist homeowners who are “underwater” on their mortgages. The $75 billion initiative will bring together lenders, servicers, and the government so that all stakeholders share in the cost of the modification. Primary mortgages would be reduced to monthly payments that do not exceed a 38 percent debt-to-income ratio, with the costs of doing so borne by the lender. The government and lender then would split the costs of further reducing the monthly payments until they were at a 31 percent debt-to income ratio. An important aspect of the initiative is that homeowners do not have to be delinquent to participate.

The Homeowner Stability Initiative also will create incentives for servicers, mortgage holders, and homeowners. Servicers would receive an up-front fee of $1,000 for every eligible modification meeting the initiative’s guidelines. Guidelines are scheduled to be released by March 4. Mortgage holders will receive an incentive payment of $1,500, and servicers $500, for modifications made on loans that are current but at risk of imminent default.

The final aspect of the Homeowner Stability Initiative is creating clear and consistent guidelines for loan modifications. The Obama Administration plans to work with federal agencies, banking and credit union regulators, and the private sector in order to develop loan modification guidelines that can be implemented across the entire mortgage market. While adoption of the guidelines will be voluntary for the private sector, all financial institutions receiving Financial Stability Plan assistance going forward will be required to implement the loan modification guidelines.

The government estimates that between 3 and 4 million homeowners will benefit from the Homeowner Stability Initiative component of the plan.

The third component of The Homeowner Affordability and Stability Plan is supporting low mortgage rates by strengthening Fannie Mae and Freddie Mac. The Treasury Dept. plans to increase their Preferred Stock Purchase Agreements with both Fannie Mae and Freddie Mac from its current $100 billion in both entities to $200 billion in each. The Treasury Dept. also will continue to purchase Fannie Mae and Freddie Mac mortgage-back securities in order to help promote stability and liquidity in the marketplace. Additionally, the Treasury Dept. will increase Fannie Mae and Freddie Mac’s portfolios by $50 billion, for a total of $900 billion. The Obama Administration will work with Fannie Mae and Freddie Mac to support state housing finance agencies in serving home buyers, such as CalHFA. Funding for this will not come from TARP money but from the Housing and Economic Recovery Act.

While some of the details still are being developed, such as the modification guidelines, the Obama Administration plans on using programs and funding already allocated for The Homeowner Affordability and Stability Plan and will need little legislative approval for programs under the plan.

We’ll keep you updated on the Homeowner Affordability and Stability Plan as more details and information become available to us.

Sincerely,

James Liptak
2009 President
CALIFORNIA ASSOCIATION OF REALTORS®

Bodega Bay Market Summary

2009-02-03T11:00:00.000-08:00

Here's the monthly market summary for Bodega Bay. You'll see that prices are down about 7% since January of last year but activity is down about 50% in Bodega Harbour.

Housing market may have turned a pivotal corner

2009-01-30T14:57:00.000-08:00

We're seeing a significant increase in activity in Bodega Bay and this article from Reuters seems to confirm that it's beginning to happen elsewhere...

From Reuters:
With home prices in many areas declining to the point where owning a home is a more affordable option than renting, especially in the West, many potential home buyers appear to be getting off the fence and starting to purchase. Add affordable prices to record-low interest rates and the demand for housing has reached a pivotal turning point.

MAKING SENSE OF THE STORY FOR CONSUMERS

· Home prices in some areas of California have dropped so much that monthly mortgage payments on single-family homes are comparable to apartment rents, according to recent data. Mollie Carmichael, a senior vice president with John Burns Real Estate Consulting, says that in the Inland Empire, the average monthly rent for an apartment is $1,157. Carmichael adds that the average after-tax monthly mortgage payment on a median-priced single-family detached home is $1,154 in the same area.

· The large number of distressed properties has led to a surge in home sales around the country. Existing home sales across the U.S. rose 6.5 percent to an annual rate of 4.74 million units in December, according to the NATIONAL ASSOCIATION OF REALTORS® (NAR). A senior director of housing economics at Moody’s Economy.com believes the latest NAR report means sales have reach bottom.

· Interest rates on 30-year, fixed-rate mortgages averaged 5.12 percent for the week ending Jan. 22, which is almost 1 percentage point lower than the average rate in late November 2008, according to Freddie Mac. The prior week, 30-year mortgage rates average 4.96 percent, the lowest since Freddie Mac began its weekly survey in 1971.

To read the full story, please click here.

Consumer confidence in surprise rebound

2009-01-22T18:36:00.000-08:00

I've considered this one of the most important factors when considering the potential for a recovery and it will be interesting to see if this trend can continue for a few months before we can consider that recovery a reality...

From Reuters:
While still low, the index of consumer sentiment unexpectedly rises to 61.9 in January from 60.1 in December.

Read the article

Fact Facts for January 2009

2009-01-22T18:32:00.001-08:00

Calif. median home price - November 08: $285,680(Source: C.A.R.)
Calif. highest median home price by C.A.R. region November 08: Santa Barbara So. Coast $1,200,000 (Source: C.A.R.)
Calif. lowest median home price by C.A.R. region November 08: High Desert $148,580 (Source: C.A.R.)
Calif. First-time Buyer Affordability Index - Third Quarter 08: 53 percent (Source: C.A.R.)
Mortgage rates - week ending 1/15/09 30-yr. fixed: 4.96% Fees/points: 0.7% 15-yr. fixed: 4.65% Fees/points: 0.7% 1-yr. adjustable: 4.89% Fees/points: 0.5% (Source: Freddie Mac)

2009-01-02T13:41:00.000-08:00

Prices are holding steady at the end of 2008 after an upward blip and downward correction midway through the year. For about 1.5 years now, the median price has been in the mid-800’s for Bodega Harbour and about $800K for all of Bodega Bay.

Expect to see a slight uptick in prices this year with interest rates continuing to remain historically low in combination with plenty of government programs in place designed to stimulate the real estate market. 2009 is poised to be a year of recovery - and opportunity.

Fast Facts

2008-12-17T22:01:00.000-08:00

Calif. median home price - October 08: $311,060 (Source: C.A.R.)

Calif. highest median home price by C.A.R. region
October 08: Santa Barbara So. Coast $860,000 (Source: C.A.R.)

Calif. lowest median home price by C.A.R. region
October 08: High Desert $154,660 (Source: C.A.R.)

Calif. First-time Buyer Affordability Index -
Third Quarter 08: 53 percent (Source: C.A.R.)

Mortgage rates - week ending 12/11/08
30-yr. fixed: 5.47% Fees/points: 0.7%
15-yr. fixed: 5.20% Fees/points: 0.7%
1-yr. adjustable: 5.09% Fees/points: 0.4% (Source: Freddie Mac)

This is, by far, the best affordability index I've seen and interest rates are are the way down (well under 5% in many cases).

Scenic Bodega Bay named among nation's most exclusive small towns

2008-12-13T19:58:00.000-08:00

Business Week put together their list of the 32 most exclusive small towns in America and Bodega Bay was included.

Here's the article.

Mortgage applications soar as interest rates fall

2008-12-06T12:13:00.000-08:00

Could this be the sign we're all looking for?

The number of home buyers applying for mortgages surged by a record amount last week in response to aggressive federal efforts to lower mortgage rates. Financial lobbyists advocated more of the same to stimulate the housing market.

Mortgage applications more than doubled in the holiday week ended Nov. 28 from the week before, according to a report Wednesday by the Mortgage Bankers Association. The association's index, a measure of mortgage loan application volume, was up 112% on a seasonally adjusted basis from the week earlier. And the refinance index leapt 203%.

Click here for the article.