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Posts Tagged ‘Fullerton’

Real Estate – Headlines Sell Papers

April 1, 2011 2 comments

Another reminder of the importance of getting the whole picture when sourcing real estate information was brought to light by the Keeping Current Matters team.  I’ve said it before and I’ll say it again –  real estate is local – national stats can be misleading.  You need a market consultant that can lay out the truth.  We are here to provide it.

Many headlines in the media right now are proclaiming the total collapse of the housing market. What makes it seem very believable is the headlines are based on two reports from theNational Association of Realtors (NAR): theExisting Home Sales Report and thePending Home Sales Report. However, all is not what it seems.

Both reports look at two different sets of data:

  • A year-over-year comparison of transactions (Y-O-Y)
  • A month-over-month comparison of transactions (M-O-M)

The negative headlines you have been reading are based on the Y-O-Y statistics. They are horrific. There is a logical explanation for this however. Last year, at this time, we were headed toward the expiration of the Homebuyer Tax Credit, one of the greatest buyer tax incentives in American history. There were people rushing to get their home into contract and/or to a closing. This dragged demand forward. People who would have normally closed later in the year moved their closing up in order to take advantage of the tax credit. Comparing sales in the first four months of this year to the same time last year wouldn’t be comparing similar situations. That wouldn’t make sense.

A better way to judge the market at this time is to compare month-over-month sales. Here is a graph showing the increase in pending sales over the last twelve months.

As we can see, sales dropped dramatically after the expiration of the tax credit in April 2010. Then sales began to slowly rebuild and are now increasing nicely.

Bottom Line

The market is gaining momentum not losing ground. Headlines sell papers. Actually knowing what is truly happening in the real estate market is what’s important.

Dave & David Warner

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O.C. home affordability triples

February 11, 2011 Leave a comment
Callwarner.wordpress.com

Orange County Affordability Graph 2/10/2011

The percentage of households able to afford an Orange County starter home has tripled since the housing market peaked, the California Association of Realtors reported.

By the Realtors’ math, 60% of Orange County households could afford to buy the typical “entry-level” house in Orange County in the fourth quarter of 2010.

By comparison, just 21% could afford that house in the spring of 2006, the low point for housing affordability in O.C.

Last quarter’s level was also the highest level of home affordability in Orange County in figures dating back to 2003.

Using the Realtors’ methodology, a household would need to earn about $63,000 a year to afford the typical “entry-level” house in Orange County.

That’s down from around $118,000 in the spring of 2006.

That’s based on an entry-level home price of just under $409,000, with monthly house payments at $2,100.

The Realtors’ affordability index measures the percentage of local households able to afford a starter home — valued at 85% of the area’s median house price. The index assumes that buyers are making a 10% down payment and getting an adjustable-rate loan. The association considers its measure “the most-fundamental measure of housing well-being for first-time buyers.”

The Realtors’ report comes a day after the Wall Street Journal reported that housing affordability returned to pre-bubble levels in a growing number of U.S. markets over the past year.

According to Moody’s Analytics, the U.S. ratio of home prices to annual household income reached a peak of 2.3 in late 2005, but had fallen to 1.6 by September, matching the lowest level in the 35 years, the WSJ reported.

While the Realtor index is only a rough estimate of how many residents can actually afford starter homes, it does track the overall trend caused by falling prices and lower interest rates.

In addition, rising interest rates in recent weeks likely have reduced the current number of households able to afford a home. The average interest rate of 30-year home loan rose above 5% in the past week, according to Freddie Mac’s weekly survey.

Statewide, the report shows:

  • 69% of California housesholds could afford the entry-level house in the fourth quarter, matching the record-high set in the first quarter of 2009.
  • 75% of California households could afford the entry-level condo.
  • That compares to a national affordability rate of 80%.
  • The minimum annual income needed to afford the California starter home (costing just over $256,000) was $39,600.
  • Affordability either matched or set record highs in all regions of the state last quarter.
  • Affordability in the state last quarter ranged from a low of 42% in San Francisco to a high of 86% in Merced County.

Thank you,   Jeff Collins,   OC Register

Dave & David Warner

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Weekly Mortgage Rates — February 10,2011

February 10, 2011 Leave a comment
February 10, 2011 30-Yr FRM 15-Yr FRM 5/1-Yr ARM 1-Yr ARM
Average Rates 5.05 % 4.29 % 3.92 % 3.35 %
Fees & Points 0.7 0.7 0.6 0.6
Margin N/A N/A 2.75 2.76

From Freddie Mac

Dave & David Warner

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Just Listed – Lease in Fullerton

February 8, 2011 Leave a comment

 

Callwarner.wordpress.com/Fern

Spectacular Views...Disneyland Fireworks, city lights, Walk to all schools and all colleges and beautiful downtown Fullerton. A beautiful 5 bedroom home. One bedroom is a small suite off the front entrance. Great yard for kids and pets.

Click on the Link below or all the information on this property.

http://www.postlets.com/rentals/mini_385.php?pid=5079793

Dave & David Warner

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Orange County Home Sale Activity

February 4, 2011 1 comment
Reporting resale single family residences and condos as well as new homes
% Change is from the same month last year
for Home Sales Recorded in December 2010
Community Zip Median % Chng Sales % Chng
All homes   $410,000 -5.7% 2,739 -5.1%
Total resale houses   $470,000 -6.0% 1,710 -6.7%
Total condominiums   $280,000 -3.4% 747 -15.2%
Total new homes   $474,000 -23.2% 282 64.9%
Aliso Viejo 92656 $377,750 -8.2% 73 -1.4%
Anaheim 92801 $309,000 -6.9% 27 -38.6%
Anaheim 92802 $323,000 -8.4% 23 9.5%
Anaheim 92804 $342,000 3.6% 60 15.4%
Anaheim 92805 $319,250 -6.1% 48 -34.2%
Anaheim 92806 $358,000 -3.2% 18 -5.3%
Anaheim 92807 $440,000 -6.9% 24 -38.5%
Anaheim 92808 $469,000 -17.7% 35 52.2%
Brea 92821 $435,000 2.4% 33 50.0%
Brea 92823 $497,500 -22.0% 4 -33.3%
Buena Park 90620 $356,000 -4.4% 35 25.0%
Buena Park 90621 $365,000 -11.0% 27 -3.6%
Corona del Mar 92625 $1,275,000 7.6% 18 -18.2%
Costa Mesa 92626 $499,000 -2.8% 24 -33.3%
Costa Mesa 92627 $460,000 -4.1% 43 30.3%
Cypress 90630 $387,000 -7.9% 28 -39.1%
Dana Point 92624 $620,000 37.8% 6 -14.3%
Dana Point 92629 $521,000 -5.3% 26 -16.1%
Foothill Ranch 92610 $236,500 -47.4% 16 -30.4%
Fountain Valley 92708 $485,000 -12.6% 33 -15.4%
Fullerton 92831 $473,000 18.3% 27 17.4%
Fullerton 92832 $325,000 8.3% 15 15.4%
Fullerton 92833 $355,000 -11.3% 40 -32.2%
Fullerton 92835 $482,500 -20.9% 18 -33.3%
Garden Grove 92840 $350,000 7.7% 47 11.9%
Garden Grove 92841 $400,000 24.2% 37 117.6%
Garden Grove 92843 $350,000 1.4% 22 -26.7%
Garden Grove 92844 $242,000 -26.7% 21 10.5%
Garden Grove 92845 $441,500 -6.1% 6 -45.5%
Huntington Beach 92646 $480,000 -24.4% 43 2.4%
Huntington Beach 92647 $480,000 -2.2% 27 -22.9%
Huntington Beach 92648 $665,000 9.5% 37 -15.9%
Huntington Beach 92649 $550,000 -33.3% 18 -21.7%
Irvine 92602 $490,000 -21.0% 16 23.1%
Irvine 92603 $965,000 31.3% 24 -14.3%
Irvine 92604 $565,000 20.9% 23 4.5%
Irvine 92606 $512,500 -9.7% 10 -23.1%
Irvine 92612 $403,500 -11.5% 34 3.0%
Irvine 92614 $437,500 -6.9% 14 -41.7%
Irvine 92618 $419,500 -17.7% 77 156.7%
Irvine 92620 $793,000 27.9% 66 43.5%
Ladera Ranch 92694 $422,500 -30.7% 32 -43.9%
La Habra 90631 $300,000 13.2% 63 -1.6%
La Palma 90623 $530,000 -7.0% 5 -54.5%
Laguna Beach 92651 $1,105,000 -14.5% 35 -7.9%
Laguna Hills 92653 $470,000 9.3% 29 -25.6%
Laguna Niguel 92677 $525,000 7.3% 76 -17.4%
Laguna Woods 92637 $211,000 -5.2% 27 0.0%
Lake Forest 92630 $378,000 -1.2% 60 -6.3%
Los Alamitos 90720 $564,500 -21.3% 18 12.5%
Midway City 92655 $380,000 35.7% 5 66.7%
Mission Viejo 92691 $325,500 -23.2% 36 -41.0%
Mission Viejo 92692 $517,500 8.0% 44 -18.5%
Newport Beach 92660 $982,250 -9.5% 41 5.1%
Newport Beach 92661 $1,515,000 -9.6% 6 100.0%
Newport Beach 92662 $3,089,750 87.8% 3 200.0%
Newport Beach 92663 $1,086,250 51.8% 17 -26.1%
Newport Coast 92657 $1,550,000 3.3% 18 -10.0%
Orange 92865 $412,500 -8.3% 25 31.6%
Orange 92866 $475,000 33.8% 5 -16.7%
Orange 92867 $460,000 0.0% 32 -3.0%
Orange 92868 $265,500 -24.1% 16 23.1%
Orange 92869 $375,000 -28.6% 29 -40.8%
Placentia 92870 $414,000 -7.9% 41 -6.8%
Rancho Santa Margarita 92688 $334,500 -4.4% 62 -15.1%
San Clemente 92672 $600,000 -13.9% 34 -2.9%
San Clemente 92673 $613,750 -7.6% 34 -38.2%
San Juan Capistrano 92675 $399,000 19.2% 37 -7.5%
Santa Ana 92701 $130,000 -7.1% 24 -27.3%
Santa Ana 92703 $270,000 3.8% 35 -7.9%
Santa Ana 92704 $309,000 13.3% 43 -31.7%
Santa Ana 92705 $595,000 46.7% 34 13.3%
Santa Ana 92706 $369,500 -3.4% 22 22.2%
Santa Ana 92707 $232,000 -3.3% 44 -22.8%
Seal Beach 90740 $652,500 -17.2% 8 -20.0%
Stanton 90680 $295,000 9.3% 18 12.5%
Trabuco/Coto 92679 $652,500 1.8% 42 -4.5%
Tustin 92780 $384,500 -11.6% 37 2.8%
Tustin 92782 $450,500 -23.3% 24 -40.0%
Villa Park 92861 $1,037,500 3.8% 6 -25.0%
Westminster 92683 $390,000 -9.3% 54 -14.3%
Yorba Linda 92886 $611,000 1.6% 60 25.0%
Yorba Linda 92887 $335,000 -5.4% 26 62.5%

  

From DataQuick

Dave & David Warner

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Weekly Primary Mortgage Market Survey

November 29, 2010 Leave a comment

By Dave & David Warner

Source:  Freddie Mac

November 24, 2010

November 24, 2010 

 

30-Yr FRM 15-Yr FRM 5/1-Yr ARM 1-Yr ARM
Average Rates 4.40 % 3.77 % 3.45 % 3.23 %
Fees & Points 0.8 0.7 0.6 0.6

How Mortgages are Securitized

November 19, 2010 Leave a comment