Wednesday, March 20, 2013

David White newsletter


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South Bay Vision - www.southbaybrokers.com
 
MARCH 2013
You will see, from reading the Wells Fargo Economic report in this newsletter, that the report highlights housing rebounded well in 2012 and it is showing median price increases today at 6.3%.
 
January this year was the best for home sales in six years per the LA Economic Development Corporation.  Conditions should improve further in 2013, as more traditional buyers come back into the market. 
 
Per the LAEDC there are three reasons why home prices are moving higher:   1) the economy is growing and adding jobs, 2) inventories are low and 3) interest rates are extremely low. These factors will keep home prices moving up in 2013.

Should your plans include real estate purchase and sales, please call or email with questions - and as always, thanks for your referrals!
 
David White
David White
Office: 310-546-7611 ext. 398
Cell: 310-916-1533
DRE # 01357398
Email Me
My Website
 
Is 2013 a Good Year to Buy a Home? 
Considering Buying a home?
by Mark Schneipp, Director California Economic Forecast
California Economic Forecast
If you didn't buy in 2011 (or 2012) and are still without ownership housing or still looking for that trade-up home, the waiting period is over. 
  • Prices have hit bottom and are rising again
  • Homes are affordable again
  • Mortgage rates are at their lowest levels
  • Home ownership is still attractive
  • Demand is rising again and should only increase this year and next
Read on for the reasons you need to buy this year or about the two upsides to postponing until next year. Full Article...
 
 
 
Capital Economics Revises Home Price
Forecast Upward
By Krista Franks Brock
March 8, 2013
dsnews.com
Strong demand and tight inventory have brought existing home sales back to "normal" levels, and further gains are possible, according to the latest market report from Capital Economics. Additionally, market conditions may prompt lenders to "loosen the purse strings slightly" and lend a little more freely. Full Article...
 
 
Wells Fargo January 2013 Housing Chart Book: The Housing Recovery Continues to Take Shape
By Mark Vitner, Senior Economist / Anika R. Khan, Senior Economist / Sara Silverman, Economic Analyst
February 11, 2013
wells fargo
The housing recovery finally asserted itself in 2012, with nearly every key metric posting measurable improvement from prior years. Sales and prices both rebounded solidly this past year, and new home construction steadily gained momentum over the course of the year. Progress has also been made dealing with the imbalances left over from the housing boom. The share of delinquent loans has decreased, as has the distressed share of existing home sales and the proportion of mortgages in a negative equity position. Conditions should improve further in 2013, as more traditional buyers come back into the market. While a sustainable, self-reinforcing recovery now appears to be in place, important questions remain as to how large a role investor purchases have played in stabilizing home prices; how much credit availability has truly improved; and, what the government's role in mortgage finance will ultimately be. Full Article...
 
 
SoCal's Housing Market Opens 2013 with Sales and Price Gains
By Kimberly Ritter-Martinez, source dqnews.com
February 20, 2013
Home sales in Southern California rose in January to 16,058 units (new and resale houses and condos), increasing by 10.6% compared with January 2012. This was the best January for home sales in six years. Orange County pulled ahead of the pack last month, with homes sales shooting up by 29.9%, while San Diego followed as a distant second at 15.2%. The median price jumped by 23.5% to $321,000. The median price in the six-county region has now increased on a year-over-year basis for 10 consecutive months. Full Article...
 
 
Fourth Quarter 2012 GDP Revision
By Kimberly Ritter-Martinez
March 4, 2013
The Bureau of Economic Analysis released its second estimate for fourth quarter 2012 GDP growth. The revised figures show the economy expanded at a rate of 0.1% last quarter instead of contracting by the same amount as originally announced.

Consumer and business spending continue to provide the best view of the underlying strength of the economy. GDP growth during the first quarter of this year is still expected to come in around 2.0%; this estimate includes the 0.3 percentage point that the sequester is expected to shave off first quarter growth. Full Article...
 
 
 
S&P/Case-Shiller Home Price Indices
By Kimberly Ritter-Martinez
March 4, 2013
There are three reasons why home prices are moving higher: 1) the economy is growing and adding jobs, 2) inventories are low and 3) interest rates are extremely low. These factors will keep home prices moving up in 2013. 
 
This is more good news for housing. The two composite indexes (seasonally adjusted) have increased for eleven months in a row. In addition to increasing household wealth and lifting more than 1.4 million homeowners out from under upside down mortgages, rising prices are boosting property tax receipts for state and local governments and making it profitable to build new homes, a big plus for construction workers, furniture makers and home furnishings retail stores. Rising home prices will play a big role in boosting economic growth this year. Full Article...
 
 
 
  
Multiple Offers Increased as the Market Became More Competitive
By Oscar Wei, Senior Research Analyst
To be competitive in a housing market with tight inventory and a restrictive lending environment, many buyers who wanted to have an edge over other buyers opted to make an "All Cash" offer for their home purchase. Since an "All Cash" transaction does not have to go through lengthy lending approval process, the escrow process is faster and is less likely to fall through, making the offer more attractive and more assured.
 
15-year Mortgage Rate Vs 30-year Mortgage Rate
A 30-year mortgage financing loan has always been the most popular for consumers purchasing a house, but another loan is starting to increase its popularity.  The 15-year mortgage loan, as a result of the record-low interest rates that are available nationwide, are increasing in popularity amongst buyers. 
 
C.A.R. reports 4th quarter 2012 housing affordability
LOS ANGELES (Feb. 25) - Higher home prices offset lower interest rates to reduce housing affordability in California during the fourth quarter of 2012, the CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.) reported.

The percentage of home buyers who could afford to purchase a median-priced, existing single-family home in California decreased to 48 percent in the fourth quarter of 2012, down from 49 percent in third-quarter 2012 and from 55 percent in fourth-quarter 2011, according to C.A.R.'s Traditional Housing Affordability Index (HAI). Full Article...
 
 
Current Home Loan Rates
Percent Sign
Click here for the latest 30 year fixed, 30 year FHA loans, 5/1, 7/1, and 10/1 ARMs. If you would like to be connected with a lender who will provide details on qualifying for a loan that will meet your needs, don't hesitate to call. 
 
 
   
 
  
 
Source: Grant Norris, RPM Mortgage 3/12/13
 
 
 
Median Home Sale Figures:
Mar '11 - Feb '12 vs
Mar '12 - Feb '13
 
Note: This is a full year's worth of statistics, comparing the time period of March, 2011 - February, 2012 with March, 2012 - February, 2013. High demand for moderately-priced homes coupled with fewer distressed sales in those communities has pushed median home prices in North & South Redondo and El Segundo higher.

Manhattan and Hermosa are lagging, although their data is showing increasing strength as well.  It could be the inordinate number of high-end homes in those two cities that are selling off-market (median sales data consists strictly of MLS-reported sales).  Expectation is that the next batch of data will show positive median sales numbers across the board.
 
Click here to see the percentage gain or loss for the median sales price of single family, condos or townhomes in our local beach cities. Also included, the percent change in sales price year over year and the number of annual sales in each category 2011 vs 2012.
 
*Data pulled from MLS does not reflect off MLS sales.

 
 
 
  
Housing Market Update for
South Bay Cities
December 2011 through February 2013
Statistics for the nine cities listed below have five data sets representing:
(1) Single Family Residences
(2) Condos and Townhouses

Each data set will address:
1) Median sold (closed) vs list price comparison
2) Number of closed sales per month
3) Number of properties for sale (available) per month
4) Number of properties under contract (in escrow) per month
5) Listing status comparison by month comparing the number available listings vs listings under contract vs closed listings. 
 
 
City of El Segundo
El Segundo

Click below for detailed charts:
 
Single Family
 
Condos and Town Homes
City of Hermosa Beach
Hermosa Beach

Click below for detailed charts:
 
Single Family
 
Condos and Town Homes
 
 
 
City of Manhattan Beach
Manhattan Beach

Click below for detailed charts:
 
Single Family
 
Condos and Town Homes
 
City of Palos Verdes Estates
Palos Verdes Estates

Click below for detailed charts:
 
Single Family
 
Condos and Town Homes
 
 
 
Ranchos Palos Verdes
Ranchos Palos Verdes

Click below for detailed charts:
 
Single Family
 
Condos and Town Homes
 
Redondo Beach
Redondo Beach

Click below for detailed charts:
 
Single Family
 
Condos and Town Homes
 
 
 
Rolling Hills
Rolling Hills

Click below for detailed charts:
 
Single Family
 
Note: No condos for Rolling Hills
 
Rolling Hills Estates
Rolling Hills Estates

Click below for detailed charts:
 
Single Family
 
Condos and Town Homes
 
 
 
Torrance
Torrance

Click below for detailed charts:
 
Single Family
 
Condos and Town Homes
 
 
Source: Trendgraphix March 2013
 
 
 
El Segundo
 Farmers Market is every Thursday from 3-7 pm
Main Street between Holly and Pine Avenues
 
April 15th - 19th
Residences with
City-provided trash service may dispose of large items on their regularly scheduled collection days
 
 
Manhattan Beach
Weekly Farmer's Market
Tuesdays 12noon - 4pm
13th St. between Morning Side and Valley Dr.
 
  
 
Palos Verdes
Weekly Farmer's Market
Sundays 9am - 1pm
Peninsula Shopping Center
 
 
 

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South Bay Brokers, Inc. | 2501 No. Sepulveda Blvd. | 2nd Floor | 310-916-1533
DRE # 01357398
| Manhattan Beach | CA | 90266

 

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