Houses for Sale in San Diego

Houses for Sale in San Diego – The San Diego real estate market posted its 13th consecutive monthly increase for home values in San Diego and ranked second highest for improvement in home prices among 20 major U.S. cities according to the July 27th press release of Standard & Poor’s/Case-Schiller Home Price Indices.  The latest Case Schiller report includes data for home values through May 2010 for 20 major metropolitan cities, including the San Diego real estate market.

The results for home values in both the 10 and 20 City Composites reflect increases of 5.4 percent and 4.6 percent, respectively, from home price levels in May 2009.  However, David M. Blitzer, Chairman of Standard & Poor’s Index Committee, cautioned despite the positive appearance of the May results for U.S. home values over the previous year, this does not necessarily indicate a sustained recovery of the national housing market.

Although 15 of the 20 individual cities tracked showed improvements in home values from the previous May, and 19 of the 20 cities showed gains in home prices from April to May of this year, the increases can be attributed to several temporary factors.  In addition to spring being a typically strong seasonal period for home values, the May data was also affected by the economic benefit of government stimulus programs such as the federal homebuyer tax credit. 

Homebuyers had until April 30, 2010 to enter into a contract on a home to receive the credit.  The original deadline for closing escrow was June 30, 2010.  However, it has been extended through September 30, 2010.  Although the federal homebuyer tax credit will influence home price results through the extended escrow deadline, the effects are likely to begin diminishing as the deadline approaches.  Blitzer believes it is possible the U.S. housing market will continue to bounce along the bottom before we begin to see real improvement.

The three California real estate markets, San Diego, San Francisco, and Los Angeles all posted increases in home values from March to April, April to May, and May 2009 to May 2010.  The California real estate markets represented three of the top four cities with the highest gains in home prices over the year period and two of the only three cities with home value percent increases in the double digits.

  The Los Angeles real estate market ranked fourth with a 9.7 percent annual increase in home prices.  The San Francisco real estate market topped the charts again with an 18.3 percent improvement in home prices.  With home value gains of 12.4 percent, the San Diego real estate market placed second.  In addition to the annual gain of nearly 12 and ½ percent, the home prices for San Diego real estate improved 0.7 percent from March to April and 1.1 percent from April to May, marking the 13th consecutive monthly increase for home values in the San Diego real estate market.

However, the California real estate markets have undoubtedly benefited not just from the federal homebuyer tax credit, but from the California homebuyer tax credit programs as well.  The $10,000 California homebuyer tax credit program began accepting applications from two different groups of homebuyers on May 1, 2010 on a first come-first served basis.   Homebuyers may qualify for the first time homebuyer credit or the new home credit.  Each category began with $100 million in funds. 

As of July 29th, the California Franchise Tax Board (CFTB) has received over 30,000 applications from first time homebuyers who are hoping to claim the credit.  Although it is likely enough applications have been received, the CFTB is still accepting more to ensure they have enough to distribute the entire $100 million.  However, just because they accept an application does not mean the credit is guaranteed.  The credit will be distributed in the order applications were received until the funds have been depleted.  Buyers who purchase new homes in California still have time to submit a reservation request or an application.  As of July 27th, the CFTB has received 10,810 requests and applications for the new home credit worth an estimated $70,384,000.

With record low interest rates and low, yet continually improving San Diego real estate values, now is an excellent time to purchase San Diego real estate.  Begin your search of houses for sale in San Diego today, or contact San Diego Broker and Realtor Russ Petrone of Petrone Properties Real Estate Associates at 858-259-1000 to have a customized search of the houses for sale in San Diego designed specifically for you based upon the criteria you require for your San Diego home.  With 25 years of experience in the San Diego real estate market, Russ has the community knowledge, negotiating skills, and expertise to help you find and purchase the perfect San Diego home for you.

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Tags: home prices, home values, homebuyer tax credit, Houses for Sale in San Diego, real estate market, san diego real estate

Houses for Sale in San Diego – San Diego real estate continued to appreciate during June as evidenced by the median price increase for a home in San Diego compared to both the previous month as well as the year prior.  According to the California Association of Realtors, the median price for a San Diego home in June was $397,910, which represents an increase of 1.7 percent from one month earlier and an increase of 9.7% from June 2009.  Although the exact figures for the median value of a home in San Diego vary from the California Association of Realtors to Zillow to MDA DataQuick, all three companies have recently reported increases for the median price of a home in San Diego.

San Diego home prices increased in June despite a decline in the number of homes sold in San Diego during the previous month.  Although home sales in San Diego decreased by 4.1 percent, the number of homes sold in San Diego in June was up 1.1 percent from the year prior.  However, San Diego real estate experts anticipated a decline in home sales would occur during the second half of 2010 as the effects of tax incentives, such as the federal homebuyer tax credit, came to an end.  To qualify for the federal homebuyer tax credit, homebuyers must already have a signed contract.  Due to the extended deadline, homebuyers have until September 30, 2010 to close escrow. 

As far as the California tax credits are concerned, the California Franchise Tax Board (CFTB) is still accepting first time homebuyer applications to ensure they receive enough valid claims.  However, the CFTB has already accepted over 28,000 first time homebuyer applications and is likely to stop accepting new applications for that credit soon.  Buyers who purchase new San Diego homes, or new homes in any California city, still have time to cash in on the new home credit.  As of July 20th, the CFTB had received 10,170 application and reservation requests worth an estimated $66,120,000 of the available $100 million for buyers who purchase new homes.

According to the California Association of Realtors, home sales for California were down 11.1 percent in June from the previous month and down 4.2 percent from the year prior.  Although the median price for a home in California decreased 3.8 percent from May to $311,950 in June, the median price for a home in California was still up 13.6 percent from the previous year.  With more than two-thirds of the California new home tax credit claimed and the first time homebuyer funds exhausted, we have already witnessed a decline in California home sales.  Will California home values decline as well?

Buying a home in San Diego may pan out to be a wise long term investment as San Diego real estate continues to appreciate.  The San Diego real estate market appears to have bottomed out during March 2009 when the median price for a home in San Diego sunk to a low of $326,830.  Since then the median San Diego home price has improved 21.7 percent to $397,910 according to the California Association of Realtors.  Although the median San Diego home value is still well below the peak of $622,380 reached during May 2006, an intelligent investor knows to embrace the adage buy low and sell high.

With record low interest rates and low, yet increasing home values in San Diego, now is an excellent time to enter the San Diego real estate market.  Begin your search of houses for sale in San Diego today, or contact San Diego Broker and Realtor Russ Petrone of Petrone Properties at 858-259-1000 to have a customized search of the houses for sale in San Diego created specifically for you based upon the criteria you require for your San Diego home.  With 25 years of experience in the San Diego real estate market, Russ has the experience, community knowledge, and negotiating skills to help you find and purchase the perfect home in San Diego.

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Tags: home in san diego, home values in san diego, Houses for Sale in San Diego, san diego home, san diego real estate

Houses for Sale in San Diego – The San Diego real estate market fared well again in June both in terms of the number of homes sold in San Diego and an increase in the median price for a San Diego home.  Although the Southern California real estate market and the California real estate market as an entire entity both experienced slight declines in the median price for a California home from May to June, the value of homes has increased nearly 10 percent in California and over 13 percent in Southern California from the previous year.  The rise in California home values from June 2009 to June 2010 represents the eighth consecutive year over year increase for the median home price in California.

Although the median price for a home in California declined 2.9 percent from May to $270,000 in June, the number of homes sold in California last month was up 7.3 percent from the number of homes sold in May.  The decline in the median home price has been attributed to a greater number of homes being sold in lower priced housing markets.  During June 43,964 homes were sold in California, which includes new homes, resale homes, town homes, and condominiums.  Foreclosures represented nearly 35 percent of the resale market for homes sold in June.  Although this figure seems like a high percentage, it is a decline from the peak of 58.5 percent reached during February 2009.

The Southern California region is comprised of six counties including San Diego, Riverside, Orange, Los Angeles, San Bernardino, and Ventura.  Despite a minor decline from May of 1.6 percent in June to $300,000 for the median price of a home in Southern California, home sales were up 7.2 percent from May.  Last month 23,871 homes were sold in Southern California, which represents a 2.6 percent increase in the number of homes sold in the region from June 2009.

The San Diego real estate market and the North County San Diego real estate market have both fared well in terms of the number of home sales and median home values increasing.  From June 2009 to June 2010, the number of houses sold in San Diego rose 5.2 percent from 3,692 homes sold in June 2009 to 3,885 homes sold in June 2010 according to MDA DataQuick.  The median price for a home in San Diego increased 6.8 percent from $314,250 in June 2009 to $335,500 in June 2010.

The North County San Diego real estate market has also experienced improvements related to the number of homes sold in San Diego and the median price for a home in North County.  During June 2010, six hundred forty-four homes were sold in San Diego, including both new and resale homes and condominiums.  The median price for a home in North County San Diego rose 8.2 percent from June 2009 to $460.000 in June 2010.  MDA DataQuick reported the average price for a new home or condo in North County San Diego was $605,500 during June 2010.  The median price for single family home resale properties was $497,500, and the average price for condominium resale properties was $305,000.  

Will the California and San Diego real estate markets remain stable after the effects of the federal and state homebuyer tax credits have passed?  Although local economists and real estate analysts, such as Alan Gin, anticipate slow to moderate growth for the San Diego region in the near future, real estate consultant and economic analyst Gary London expects San Diego will rebound and recover more quickly than most of the other regions in the U.S. 

London wrote an excellent article in the most recent edition of the San Diego Business Journal (July 19-25, 2010) explaining why the San Diego real estate market is so resilient.  London cites the limited supply of properties available in San Diego County as the precursor which will lead to scarcity, increased demand, and competition for San Diego homes.  Ultimately the law of supply and demand, which has been acknowledged as an issue by the San Diego Planning Commission, can be referenced to predict a shortage of homes in San Diego along with an expected increase in home values as the San Diego population continues to grow.

With record low interest rates and low home prices in San Diego, now is an excellent time to enter the San Diego real estate market.  Begin your search of houses for sale in San Diego today, or contact San Diego Broker and Realtor Russ Petrone of Petrone Properties at 858-259-1000 to have a customized search of the houses for sale in San Diego created specifically for you based upon the criteria you require for your San Diego home.  With 25 years of experience in the San Diego real estate market, Russ has the community knowledge, negotiating skills, and expertise to help you find and purchase your perfect San Diego home.

Technorati Tags: homes in san diego, Houses for Sale in San Diego, san diego home, san diego real estate, San Diego Real Estate Market

Tags: homes in san diego, Houses for Sale in San Diego, san diego home, san diego real estate, San Diego Real Estate Market