If you have been waiting to buy a home, NOW is the time.
If you have been waiting to refinance your current home today is the day.
Neither these rates nor the sale prices will remain down here much longer. Some day soon the bills for “CHANGE” will come due and we’ll see the rates begin to ... [Read More]
If you have been waiting to buy a home, NOW is the time.
If you have been waiting to refinance your current home today is the day.
Neither these rates nor the sale prices will remain down here much longer. Some day soon the bills for “CHANGE” will come due and we’ll see the rates begin to rise.
Look at this AP article for more details.
Gilroy home values have already bounced off the bottom. Likewise, Morgan Hill and Hollister homes have seen a balance in demand and supply.
Time for your co-workers, friends and family to make their move.
What do you think?
We all know home values have dropped over the last 3 years. Will that slide continue?
Single family home values in Hollister dropped by 41.6% from 2007 to 2008. In 2009 they fell another 17.4% . Townhomes values have likewise dropped: 54.3% from 2007 to 2008 and 25.5% from 2008 to 2009.
The average sales price of Hollister homes in 2007 was $548,562. In ... [Read More]
We all know home values have dropped over the last 3 years. Will that slide continue?
Single family home values in Hollister dropped by 41.6% from 2007 to 2008. In 2009 they fell another 17.4% . Townhomes values have likewise dropped: 54.3% from 2007 to 2008 and 25.5% from 2008 to 2009.
The average sales price of Hollister homes in 2007 was $548,562. In 2008 it was $320,419, and $264,601 the average sales price for 2009.
Townhome sales show a similar pattern: their average sales price was $339,780 in 2007, $155,354 in 2008, and $115,725 in 2009.
However, it appears that the value slide has hit bottom. A closer look at 2009 average values suggests that we may have bottomed out in 9/09 and are beginning to see a rebound in both single family residence and townhome values.
Morgan Hill & Gilroy home and townhomes reflect a similar trend in values although the downward adjustments in value are more dramatic as you go south to Hollister.
(Data: MLSListings)
We have all watched the sales prices of homes drop over the last 3 years. The question is: Will that slide continue?
Single family home values in Gilroy dropped by 35.5% from 2007 to 2008. In 2009 they fell another 18.4% . Townhomes values have likewise dropped: 38.5% from 2007 to 2008 and 29.5% from 2008 to 2009.
The average ... [Read More]
We have all watched the sales prices of homes drop over the last 3 years. The question is: Will that slide continue?
Single family home values in Gilroy dropped by 35.5% from 2007 to 2008. In 2009 they fell another 18.4% . Townhomes values have likewise dropped: 38.5% from 2007 to 2008 and 29.5% from 2008 to 2009.
The average sales price of Gilroy homes in 2007 was $796,676. In 2008 it was $513,913, and $419,228 was the average sales price for 2009.
Townhome sales show a similar pattern: their average sales price was $426,627 in 2007, $262,566 in 2008, and $185,070 in 2009.
However, it appears that the value slide has hit bottom. A closer look at 2009 average values suggests that we may have bottomed out in 9/09 and are beginning to see a rebound in both single family residence and townhome values.
Morgan Hill & Hollister home and townhomes reflect a similar trend in values although the downward adjustments in value are more dramatic as you go south to Hollister.
(Data: MLSListings)
It is getting harder to find homes for those buyers we have been working with for months. The entry level prices are rising and qualifying for prospective buyer’s is shrinking.
After looking at several Hollister homes I heard the frustrated buyer sigh: ”I think we’re just going to wait to buy a home“. I tried to reason with him regarding ... [Read More]
It is getting harder to find homes for those buyers we have been working with for months. The entry level prices are rising and qualifying for prospective buyer’s is shrinking.
After looking at several Hollister homes I heard the frustrated buyer sigh: ”I think we’re just going to wait to buy a home“. I tried to reason with him regarding rising prices and the likely increase in home loan rates. He was just too disappointed to hear anything right then. So, this post is my therapy for today’s weary home buyers.
Home loan rates WILL go up. It’s only a matter of when will they start. All of the attempts to stave off a sick economy cost money and will begin to push rates higher. As they rise, ‘purchasing power’ drops:
Let’s say my buyer waits 6 months and the rates then are up .5%. His $300,000 loan will cost $92 MORE each month than he could get today. To qualify then he will have to earn $225 MORE per month for the same loan he could get now. If his income hasn’t changed his purchasing power will drop by $17,150!
If the rates go up by 1.0% the payment will jump up by $192 per month for the same $300,000 loan he could have gotten today. $192 PER MONTH! Yikes! His income will need to be $460 more per month to qualify for the same loan he could have gotten today. With no change in income, his purchasing power will drop by $32,800!
Postponing the purchase of your home doesn’t make cents. Get a good night’s sleep and go back at it tomorrow. Afterall, somebody is buying these homes. Why not you?
