Rick Griffin

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PSAR REMEMBERS HERMAN “HANK” MILLER, 1930-2020

Posted by Rick Griffin on Feb 16, 2020 8:00:00 AM

Merman Hank Miller

The PSAR family is sad over the recent passing of REALTOR® member and broker Herman “Hank” Miller. Hank passed away January 28 from lung cancer. He was 89.

A Celebration of Life service attended by family members was held Thursday, February 6, at the Little Chapel of the Roses in Bonita.

Hank was born June 16, 1930, in Barbourville, Kentucky In 1940, at age 10, Hank moved with his family to Chula Vista. As a teenager, Hank helped his father build homes in the South Bay community. He graduated from Chula Vista High School in 1948, when the school was located at Brown Field.

After high school, Hank worked at Rohr Industries. While at Rohr, Hank worked a second job as an owner and operator of one of San Diego’s first 7/Eleven convenience stores, located on Broadway in Chula Vista.

In January 1955, he got his barber's license. In 1960, he opened his first barber shop with good friend Paul Burton. Hank and Paul’s Barber shop, which operated for more than 50 years, was well known in Chula Vista. While working as a barber in his early days, he also practiced as a real estate sales agent.

In 1971, he became a member of PSAR. In 1975, he earned his broker’s license and opened Hank Miller Realty. His company also provided property management services. Some properties continue to remain under Hank’s property management company to this day.

The PSAR staff remembers Hank as someone who was full of love and laughter, always joking with a twinkle in his eye and a smile on his face, even when he wasn’t feeling well. He also cheered-on people in their business endeavors and made everyone around him feel as if he or she were the most important person in the world. Once you met him, you became his friend.

With his southern drawl, he would greet PSAR members by saying, “Well, hello PSAR. How are you doing today?” PSAR staff members also said he was a very happy, positive, compassionate, generous, and giving person who brightened up a room when he entered.

Several years ago, a fire damaged a neighbor’s home and Hank invited the neighbor to move into his home until he and his family could find another place to live. Hank even encouraged the family to continue their home Bible studies during their temporary stay.

Hank is survived by four of his five children; Kenny Miller, Dave Miller, Robert Miller and Debbie Miller. He also is survived by 10 grandchildren and 13 great-grandchildren and one great-great grandchild, a boy. He was preceded in death by wife Jean, who passed away in 2010, and a son, Fred Miller, who passed away of colon cancer on December 2, 2019.

Family members recall that Hank was deeply in love with Jean. They were married July 28, 1957. Hank visited Jean’s grave daily, even on the same day he was discharged from the hospital following heart surgery in 2010. He made sure the nearby landscaping was in order and the stone monument was clean. After his passing, family members found a letter Hank had written to them, expressing what a wonderful mother Jean had been, how she held the family together and just how much he loved her.

Family members also recall Hank as a friendly, genuine gentleman who loved people and life. He first battled lung cancer in 2018. Up to his last days, Hank’s words to family members were, “I’ll be okay, please don’t be sad.”

Janet Miller, a daughter-in-law, plans to continue his real estate brokerage under the name Hank Miller Realty. Hank renewed the company’s business license on January 15, 2020. Janet received her broker’s license January 30, 2020. “I will be proud to carry on his name,” said Janet. “He was a wonderful man.”

Everyone at PSAR extends their hart felt thoughts and condolences to Hank's family and friends.

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Topics: Announcements

PSAR IS ENDORSING TWO CANDIDATES FOR COUNTY SUPERVISOR

Posted by Rick Griffin on Feb 14, 2020 4:46:57 PM

 CANDIDATES FOR COUNTY SUPERVISORPSAR is endorsing two San Diego County Board of Supervisor candidates for the March 3 primary election.

The Supervisor candidates are Rafael Castellanos, a San Diego Port Commissioner, for the District 1 seat, and Joel Anderson, a former State Assemblyman and State Senator, for the District 2 seat. Both seats are open due to term limits for the incumbents. A number of other candidates are in the races for County Supervisor seats. The top two vote-getters in the primary election from each District will advance to a November runoff.

PSAR members completed research on the two candidates’ voting records and their public comments relating to preserving and protecting property rights, supporting public policies and initiatives that promote participation in the American dream of homeownership and property investment, and strengthening the ability of Americans to own, buy and sell real property. The endorsements were approved by members of the PSAR Government Affairs Committee and Board of Directors.

Castellanos is hoping to succeed Greg Cox, who was appointed in 1995, replacing Brian Bilbray, was elected to the House of Representatives. Cox is termed out after six terms. The First Supervisorial District includes the cities of Coronado, Imperial Beach, Chula Vista, National City and communities within Southeast San Diego, Point Loma, Sunset Cliffs and parts of downtown San Diego. The district also includes the unincorporated communities of Bonita, Sunnyside, Lincoln Acres and East Otay Mesa.

In addition to PSAR’s endorsement, Castellanos, a Democrat, has been endorsed by the Sierra Club, United Domestic Workers, Chula Vista Police Officers Association, San Diego County Democrats for Environmental Action, Longshore Workers Union (ILWU Local 29), San Diego Harbor Police Officers Association, La Raza Lawyers Association, Chula Vista Democratic Club, Deputy Sheriffs’ Association of San Diego County, San Diegans Against Crime, San Diego Deputy District Attorneys Association, San Diego County Probation Officers Association, National Electrical Contractors Association and Filipino-American Chamber of Commerce of San Diego.

Rafael Castellanos

Elected officials who endorse Castellanos include Chula Vista Mayor Mary Salas, Imperial Beach Mayor Serge Dedina,  Lemon Grove Mayor Racquel Vasquez, Chula Vista City Council member Jill Galvez, Chula Vista Port Commissioner Ann Moore, National City Council member Mona Rios, Chula Vista Elementary School District board member Francisco Tamayo and San Diego Unified School District board member Dr. Michael McQuary, along with Imperial Beach City Council members Paloma Aguirre, Ed Spriggs and Mark West.

At the Port of San Diego, Castellanos led the charge to pass the Port’s landmark Climate Action Plan, which resulted in accomplishing the biggest clean-up in the history of San Diego Bay. Castellanos led the Port of San Diego in tackling the homeless crisis, creating the policy and securing the funding to help relocate the homeless from the waterfront into treatment and housing. Castellanos has also led the expansion of the port of San Diego, which has created good paying jobs in the maritime industry while using renewable energy.

As an attorney, Castellanos has worked as general counsel to small businesses, helping them grow, succeed and create jobs. He has protected the rights of immigrants, refugees, and political asylum seekers, and helped generate more affordable housing in San Diego.  

Active in the community, Castellanos serves on the Board of Directors of the California Latino Economic Institute and is a member of the Mexican American Business and Professional Association and the San Diego Foundation’s forum on Climate Change.

Castellanos lists the major issues facing District 1 residents as jobs, housing affordability, environment and defending the rights of all San Diegans.

“I’m running to stand up for South Bay,” said Castelllanos. “I’m running to build a brighter economic future for South Bay families and ensure all our communities are treated with the dignity and respect they deserve. Unlike the usual crowd of political operatives and career politicians, I’ve actually gotten things done in the real world. At the Port of San Diego, I led the fight to clean up San Diego Bay. As an attorney, I’ve helped small businesses create jobs and protected the rights of immigrants. As your County Supervisor, I’ll put my proven record to work to create good jobs for working people, expand affordable housing for local families, protect clean air and clean water for all and defend the rights of all San Diegans.”

Castellanos’ campaign website is www.rafacastellanos.com


The District 2 seat is open for the first time in 28 years. Republican Dianne Jacob, first elected as Supervisor in 1992, is termed out after seven terms.

Anderson, a Republican, previously served for 12 years on a statewide level in the California State Assembly (2006-2010) and the California State Senate (2010-2018). He is known as an advocate for small business and a fiscal conservative.

In addition to PSAR’s endorsement, Anderson has been endorsed by former California Gov. Pete Wilson, State Senator Brian W. Jones (R-38th), the Republican Party of San Diego County and more than 40 elected officials from the East County.

The Second Supervisorial District, the largest of the county’s five districts, features more than 2,000 square miles and more than 50 communities and cities in the East County, including the unincorporated communities of Lakeside, Alpine, Ramona and Julian along with the cities of El Cajon, La Mesa, Lemon Grove, Santee and Poway, as well as the city of San Diego communities of Allied Gardens, College Area, Del Cerro, Grantville, Navajo, Rolando and San Carlos.

Anderson lists the major issues facing District 2 residents as roads, housing attainability, homelessness, mental health and career opportunities.

“I will work to improve our roads, support attainable housing and promote career opportunities,” Anderson said. “I believe our children and grandchildren deserve the same benefits we enjoyed growing up in San Diego County. If our family members can find housing and work, maybe we won't have to travel to Phoenix to visit our grandchildren.”

Joel AndersonAccording to Anderson, “The County needs to do more to address the regional homeless crisis which is impacting business, tourism, safety and quality of life for all residents. I will be a leader in pushing solutions for housing, mental health and homelessness, unshackling our County’s economic engine and protecting private property rights.”

Anderson said his experience in Sacramento will greatly help him as County Supervisor. “County government is the administrative arm of the state government. The County is tasked with implementing State programs like Medi-Cal and CalFresh, as well as state public safety policies and child and senior welfare programs.

“I have over a decade of experience with crafting state policy, and in developing relationships with current legislators and the administration, including state department leaders who county officials must liaise with regularly to ensure effective services for our residents. Additionally, I have authored and coauthored 453 bills with Democrats and maintained positive working relationships with the super majority in Sacramento that can be utilized to bring more resources to San Diego County.” 

District 2 has a Republican majority among registered voters. According to recent registration data, 38 percent of voters are registered as Republicans, 32 percent as Democrats and 30 percent as having no political party affiliation.

In his 2014 reelection to the State Senate, Anderson received 69.7 percent of votes from District 2 voters. In the 2018 general election, when Anderson ran for the Board of Equalization, he received 55.2 percent of votes from District 2 voters, which was 17 points above Republican registration in the district. 

“I’ve always been an outspoken supporter of pro-jobs policies, government reform and lower taxes,” said Anderson. “My voting record in the state legislature shows that I’m a strong fiscal conservative and advocate for an effective, efficient and accountable government.”

As a state legislator, Anderson was honored numerous times by veterans groups, including nine Legislator of the Year awards from the American Legion, Veterans of Foreign Wars, Military Officers Association of America, Vietnam Veterans of America California State Council and Tuskegee Airmen, Inc.

He also was recognized with Legislator of the Year awards from law enforcement groups, including the California State Sheriffs’ Association and San Diego Deputy District Attorney’s Association; Business groups, including the San Diego County Apartment Association and California Small Business Administration; Medical-healthcare groups, including the San Diego Psychiatric Society and California Association of Marriage and Family Therapists; Recreational groups, including Sportsmen’s and Animal Owners’ Voting Alliance, California Rifle & Pistol Association and California League of Off-Road Voters.

Anderson’s campaign website is www.andersonforsupervisor2020.com.

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Topics: Announcements, Industry

Senior Economist Analyzes Housing Market with PSAR

Posted by Rick Griffin on Feb 7, 2020 5:05:18 PM
PSAR ANALYZES HOUSING MARKETPSAR members filled a packed room earlier this week at the South County Service Center in Chula Vista for a look into the future by attending “2020 Housing Market Outlook,” a presentation by Oscar Wei, from the California Association of REALTORS® (C.A.R.).

Wei is the Senior Economist and the Director of Research for C.A.R. He analyzes housing market conditions, consumer behavior, and public policy issues. He utilizes transactional data and survey research studies conducted by C.A.R. He assumes the managerial responsibility of data mining and analyzing housing market statistics that are released to the public on a periodic basis.

Wei told PSAR members to expect slow growth for the California housing market in 2020, but a recession is not expected this year. He also said rates will remain low this year, possibly 4 percent or lower, and sales will improve as low rates continue to provide support. But, Wei said, the supply shortage has gotten worse, which means lack of inventory will put pressure on price growth.

“There are a number of economic uncertainties that could put a drag on both the California market and the state’s housing market,” Wei said. He listed the uncertainties as stock market correction, Brexit, global economic slowdown, coronavirus outbreak, Federal Reserve decisions, trade conflicts and the presidential election. He said consumer confidence in January 2020 was at 131.6, the highest point since August 2019, but that American business leaders remain concerned about the current environment.

Wei said the economic fundamentals are solid for now. According to the Bureau of Labor Statistics and Bureau of Economic Analysis in the 2019 4th quarter, GPD was 2.1% and consumption was at 1.8%. In December 2019, the CPI was 2.3%, the unemployment rate was 3.5% and job growth was 1.4%. Total non-farm payroll employment increased by 145,000 in December. Employers added positions for a record 10th straight year.

Existing single-family home sales in California for December 2019 were up 7.4 percent from the prior year, but declined 1.2 percent for the year as a whole from 2018. Tight housing inventory tamped down the benefits of low interest rates and held back California home sales in 2019. Existing, single-family home sales totaled 398,880 in December 2019 on a seasonally adjusted annualized rate, down 1.0 percent from the 402,880 level in November 2019. It marked the first time in six months that sales fell below the 400,000 benchmark.

In December, the median single-family home price was $615,090, a 10.3 percent year-over-year increase from $557,740 in December 2018. The statewide median home price for the year as a whole was $592,450, an increase of 4.0 percent from a revised $569,480 figure in 2018. The year-over-year price increase was the largest since May 2014 and the first double-digit price increase in more than five-and-a-half years. 

Statewide, the median number of days it took to sell a California single-family home stood at 28 days in December, which was a 12.5 percent decrease from 32 days in December 2018. The December number compared to 25 days in November 2019, 24 days in October 2019, 24 days in September 2019, 23 days in August 2019 and 21 days in July 2019.

Wei also noted that a sharp drop in active listings and a surge in year-over-year sales sharply curbed housing inventory in December 2019. The Unsold Inventory Index, which is a ratio of inventory over sales, was at 2.5 months in December, a drop of 28.6 percent in a year-over-year comparison (3.5 months in December 2018). The index measures the number of months it would take to sell the supply of homes on the market at the current sales rate. 

Wei said California cities are still not allowing construction of a sufficient number of new homes. “We’re not building enough housing units in California to keep up with demand,” said Wei. New housing permits totaled 114,370 in 2018, compared to an estimated total of 108,170 in 2019 and a forecast number of 108,620 in 2020.

Wei also offered highlights from C.A.R.’s most recent annual housing market survey and “Housing Affordability Index” (HAI) report, including:

  • Housing affordability is still the main reason for out-migration.
  • Housing affordability is a much bigger problem for first-time buyers. The reasons why most buyers delay buying sooner include saving for a down payment, waiting for finances to improve and prices to stabilize and/or difficulty qualifying for a mortgage.
  • 49 percent of first-time buyers changed their county residency due to housing affordability. 
  • 31 percent of California households could afford to purchase an existing $613,470 median-priced home in the third quarter, which was up from 30 percent in the second quarter of 2019 and 27 percent in the third quarter of 2018.
  • In San Diego County, 29 percent of local households could afford to purchase a $645,000 median-priced home in the 2019 third quarter, an improvement from 27 percent in the 2019 second quarter and 23 percent in the third quarter a year ago.
  • To qualify to purchase a statewide median-priced, single-family home of $613,470 in the third quarter 2019, a household would need a minimum annual income of $120,400 to make the necessary monthly payments of $3,010.
  • In San Diego County, a minimum qualifying annual income of $126,400 would be needed to make the monthly payments of $3,160.

Wei also discussed local market activity. In Chula Vista, 1,533 homes sold in 2019, compared to 1,407 in 2018, an increase of 9.0 percent. In El Cajon, 1,152 homes sold in 2019, compared to 1,133 in 2018, an increase of 1.7 percent. In the city of San Diego, 7,064 homes sold in 2019, compared to 6,774 in 2018, an increase of 4.3 percent.

Wei also shared with attendees the December median home price for the following cities: Chula Vista -- $589,000 in 2019 and $569,500 in 2018, a difference of 3.4 percent; El Cajon -- $539,950 in 2019 and $575,000 in 2018, a difference of 6.1 percent; City of San Diego -- $750,000 in 2019 and $695,000 in 2018, a 7.9 percent difference.

In December in Chula Vista, there were 105 active listings, a decrease of 58.3 percent from last year, and 24.8 percent of those active listings featured reduced prices.

Wei also mentioned December’s monthly Google poll conducted by C.A.R. With prices rising faster in recent months while supply continued to shrink, home sellers’ optimism improved both month-over-month and year-over-year. The poll revealed that slightly more than half (56 percent) believe it is a good time to sell, up from 51 percent a month ago, and up from 48 percent a year ago. Many buyers, however, remain uncertain about the current housing market conditions as only one-quarter of respondents (25 percent) believe that it is a good time to buy now, slightly higher percentage than last year (22 percent), when interest rates were nearly more than 100 basis points higher.

Wei’s presentation can be found at www.car.org/marketdata.

Wei contributes frequently to C.A.R.’s market analysis articles, Housing Matters Podcast and Housing Perspective. He has written about housing supply, distressed sales, housing tax policy, housing affordability, and many other topics relevant to the real estate industry.

 

To Download the Slide Deck from the Presentation Click Here

Topics: Announcements, Industry

HOME PRICES, HOME SALES LOWER LAST YEAR IN SAN DIEGO

Posted by Rick Griffin on Jan 31, 2020 5:05:54 PM

Voice of Real Estate.

San Diego County’s housing market saw a slight drop in home sale prices and home sales in December 2019, according to the recent statistics from the California Association of REALTORS® (C.A.R.).

The median sales price of an existing single-family home in San Diego County in December 2019 was $655,000, a drop of 0.6 percent from November 2019, when the median sales price was $659,000. But, a year ago, in December 2018, the median sales price in San Diego was lower at $618,500, a difference of 5.9 percent.

Meanwhile, San Diego home sales in December 2019 saw a decrease of 1.3 percent compared to November 2019, but a 17.4 percent increase in a year-over-year comparison between December 2019 and December 2018.

Statewide, in December, tight housing inventory tamped down the benefits of low interest rates and held back California home sales. Existing, single-family home sales totaled 398,880 in December 2019 on a seasonally adjusted annualized rate, down 1.0 percent from the 402,880 level in November 2019 and up 7.4 percent from December 2018’s revised 371,410 figure. It marked the first time in six months that sales fell below the 400,000 benchmark. For the year 2019, annual existing statewide home sales fell for the second consecutive year to a preliminary 397,910 closed escrow sales in California, down from 2018’s pace of 402,640, a drop of 1.2 percent. 

The December 2019 statewide median home price was $615,090, up 4.3 percent from November 2019 and up 10.3 percent from $557,740 from December 2018. The statewide median home price for the year was $592,450, an increase of 4.0 percent from a revised $569,480 in 2018. The year-over-year price increase was the largest since May 2014 and the first double-digit price increase in more than five-and-a-half years. 

December 2019 County Sales and Price Activity
(Regional and condo sales data not seasonally adjusted)
December 2019 County Sales Activity

“Despite a sales slowdown at year-end, home sales were up from a year ago as interest rates remained low,” said 2020 C.A.R. President Jeanne Radsick, a second-generation REALTOR® from Bakersfield, Calif. “It’s important to note, however, that the increase was due partly to low housing demand in the prior year. Looking ahead, low rates should continue to provide support to the market as buyers have become more motivated to get back into the market, and home sales in California should see an improvement at the start of the year.”

“With housing supply dropping to the lowest level in nearly seven years, California experienced an unusual jump in its median price at the end of the year when the market is supposed to cool down,” said C.A.R. Senior Vice President and Chief Economist Leslie Appleton-Young. “While low rates were fueling demand in the second half of 2019, supply constraints continued to put a drag on the market and undercut the positive effect of low rates. The surge in price is a byproduct of the imbalance between supply and demand as market competition continues to heat up.”

With prices rising faster in recent months while supplies continued to shrink, home sellers’ optimism improved both month-over-month and year-over-year, according to a monthly Google poll conducted by C.A.R. in December. The poll revealed that slightly more than half (56 percent) believe it is a good time to sell, up from 51 percent a month prior and up from 48 percent a year ago. Many buyers, however, remain uncertain about the current housing market conditions as only one-quarter of respondents (25 percent) believe that it is a good time to buy now, slightly higher than last year (22 percent), when interest rates were more than 100 basis points higher.

Other key points from the December 2019 resale housing report include:

-- At the regional level, non-seasonally adjusted sales rose on both a monthly and annual basis in all major regions. On a yearly basis, sales in the Central Coast increased the most at 42.4 percent, followed by the San Francisco Bay Area (16.0 percent) and Los Angeles (15.6 percent). The Inland Empire and Central Valley rounded out the remaining regions with annual increases of 13.3 percent and 11.6 percent, respectively. Forty of the 51 counties tracked by C.A.R. experienced year-over-year sales growth.

-- Also, regionally speaking, median home prices increased from last year in all regions except the Central Coast, with Southern California up the most at 10.0 percent, followed by the Central Valley (7.7 percent) and the Bay Area (6.9 percent). The median price in the Central Coast dipped from a year ago by 2.2 percent but edged up 0.7 percent from November.

-- Thirty-nine of the 51 counties tracked by C.A.R. reported a year-over-year price gain in December, with Siskiyou county experiencing the highest at 23.3 percent over last year. Of the 11 counties that experienced a price drop from last December, Mono county had the biggest decline at 26.1 percent, while the rest of the counties all had 8.3 percent or less in price losses.

-- California’s housing supply recorded back-to-back drops of more than 20 percent at the end of 2019, with active listings declining 26.5 percent in December after a 22.5 percent decrease in November. December marked the sixth consecutive month of year-over-year decline in supply, and it was the largest decline since April 2013. The number of active listings in December was, in fact, at the lowest level in nearly seven years.

-- The sharp drop in active listings and surge in year-over-year sales sharply curbed housing inventory in December. The Unsold Inventory Index (UII), which is a ratio of inventory over sales, was 2.5 months in December, down from 3.1 months in November and down sharply from 3.5 months in December 2018. The index measures the number of months it would take to sell the supply of homes on the market at the current sales rate. 

-- Statewide, the median number of days it took to sell a California single-family home fell from a year ago, declining from 32 days in December 2018 to 28 days in December 2019. That compares to 25 days in November 2019, 24 days in October 2019, 24 days in September 2019, 23 days in August 2019 and 21 days in July 2019.

-- In San Diego County, the median number of days a home remained unsold on the market was seven fewer days in a year-over-year comparison, from 27 days in December 2018 to 20 days in December 2019. That compares to 17 days in November 2019, 18 days in October 2019, 18 days in September 2019, 17 days in August 2019, 15 days in July 2019, 13 days in June 2019, 14 days in May 2019, 17 days in April 2019, 19 days in March 2019 and 22 days in February 2019.

-- The 30-year, fixed-mortgage interest rate averaged 3.72 percent in December, down from 4.64 percent in December 2018, according to Freddie Mac. The five-year, adjustable mortgage interest rate was an average of 3.39 percent, compared to 4.02 percent in December 2018.

In other recent real estate and economic news, reports:

-- According to CoreLogic, San Diego County’s median home price was $575,000 in December, a slight decrease from the previous month of November when the median price hit an all-time high of $594,909. San Diego County’s average price in December was up 4.5 percent in a year, ending the year on a high note after a sluggish first six months, per Core Logic.

-- San Diego County had 347 properties in some form of distress in 2019, a 4.6 percent decline in a year-over-year comparison, according to Attom Data Solutions. The total included 225 notices of default, 70 notices of a trustee’s sale and 52 REO properties. Among San Diego’s approximately 1.19 million housing units, only one in every 3,446 housing units are under some sort of distress. Nationally, default notices, scheduled auctions and bank repossessions fell 21 percent year-over-year in 2019 to 493,066, which was the lowest level since tracking of this statistic began in 2005.

December 2019 County Unsold Inventory and Days on Market
(Regional and condo sales data not seasonally adjusted)
December 2019 Unsold Inventory

-- December 2019 saw the largest year-over-year decline of housing inventory nationally since January 2018, according to Realtor.com's Housing Trends report. The 12 percent year-over-year drop pushed the number of homes for sale in the U.S. to its lowest level since January 2018. San Diego County experienced a much more significant drop as inventory fell 28.3 percent year-over-year in December. The inventory has continued to decline despite the median list price reaching $719,444 in December 2019, a 9.8 percent increase over the same month the previous year.

-- San Diego County closed out the year experiencing the fastest job growth rate in Southern California and a near-record low of 2.8 percent unemployment. There were 34,800 jobs added in San Diego County in the 12 month period, state labor officials said. The 2.8 percent unemployment rate in December 2019 was even lower than November 2019 at 2.9 percent. San Diego County’s jobless rate is one of the lowest in California (3.7 percent overall) and below the national rate (3.4 percent). San Diego’s rate hit 2.7 percent in May, based on revised numbers, the lowest rate since December 1999.

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Topics: Announcements, Industry

PSAR RECOMMENDATION: NO ON A, YES ON B

Posted by Rick Griffin on Jan 24, 2020 4:51:00 PM

No on A - Yes on B

 

The Pacific Southwest Association of REALTORS® (PSAR) Board of Directors recommends a "No" vote on Measure A and a "Yes" vote on Measure B in March California Primary Election. All members should inform friends and clients about these recommendations. Both measures are related because they address housing development in San Diego County. Voting by mail begins February 3rd and Election Day is a month later.

Measure A

Proponents named Measure A the "Save Our San Diego Countryside" initiative, is designed to stop land owners from building in both San Diego County and any city that introduces similar no-growth measures that stop new-home building. Measure A will harm the economy, take away private property rights and make the housing crisis worse. It will drive young home buyers away and force them to commute long distances. It will cost taxpayers up to $104 million to hold costly elections to approve as few as six additional homes if zoning is amended.

"Brought to you by wealthy, out-of-town investors"

The backers of Measure A have a secret weapon: A ballot argument that leaves out critical details about this unfair and deceptive ballot-box-planning measure. Measure A is brought to you by wealthy, out-of-town investors who wrote Measure A to protect the Golden Door luxury spa, which has contributed hundreds of thousands of dollars in support of  Measure A. This luxury resort near Escondido attracts the rich and famous. These extremely wealthy investors want to keep affordable homes far away from their exclusive hotel and force them into already-congested neighborhoods. Their measure exempts commercial and industrial developments, including casinos, hotels and Golden Door expansion.

"The measure uses deceptive language to gloss over the absurd six-unit threshold."

Measure A would require a countywide vote to add just six houses to the county’s General Plan, a planning document that guides growth in the unincorporated areas of the county. That means if someone wanted to add as few as six homes, Measure A would require that 1.6 million voters go to the ballot box to approve that change, in addition to the County’s current approval process. The measure uses deceptive language to gloss over the absurd six-unit threshold. The measure is flawed, with too many loopholes, and it sticks taxpayers with the tab for costly elections. Measure A creates an unfair ballot box planning scheme, allowing voters in large urban areas to make decisions for small rural communities.

"Measure A is opposed by both the Democratic Party and the Republican Party."

Measure A is opposed by both the Democrat Party and Republican Party, along with multiple chambers of commerce, firefighters, sheriff deputies and police officers. Add to that laborers, the Taxpayers Association, Farm Bureau, San Diego Housing Federation, Mayor Kevin Faulconer and Mayor Mary Casillas Salas, as well as Supervisors Greg Cox, Kristine Gaspar, Jim Desmond  and Nathan Fletcher. PSAR is joined in opposing A by other organizations, including the North San Diego County Association of REALTORS® (NSDCAR), Greater San Diego Association of REALTORS® (GSDAR), Associated General Contractors San Diego Chapter, New Majority San Diego, Save Our Rural Economy, California Apartment Association San Diego Chapter, Institute of Real Estate Management, Rental Housing Association and San Diego East County Economic Development Council.

Measure B

"...would approve 2,135 single-family and multi-family homes."

Home builders are bringing forth Measure B which is called "the Better Choice Measure." It would approve 2,135 single-family and multi-family homes, 60 percent of which (1,331) would be priced affordably for local working families. First priority for up to 500 of the first homes would be given to police, firefighters, teachers, active duty military and veterans. Yes on B would also approve 1,209 acres of permanent open space, 19 miles of trails and 36 acres of parks. This new housing community is located on 1,985 acres of privately owned land just west of Interstate 15, north of Deer Springs Road, and a little more than a mile from Escondido, Vista and San Marcos.

"Voting Yes on B would authorize the development of affordable homes for working families"

Under the county’s current General Plan this 1,900-acre site is designated for the development of 2 million square feet of commercial space and 99 estate homes. Voting "Yes" on B will authorize the development of affordable homes for working families, while voting "No" will retain the existing General Plan designation permitting massive 2 million-square-foot retail and office development, along with 99 luxury estates (zero affordably-priced homes).

Voting Yes on B would affirm the Board of Supervisors’ September 2018 approval of this new community that creates homes for working families instead of the current General Plan designation. This housing development went through the required planning process with the County of San Diego. So why are all San Diego County residents voting on this? 

Unfortunately, special interest groups behind the nearby Golden Door Spa are spending millions to reverse the Board of Supervisor’s approval of this community. So, voting Yes on B would uphold the County’s planning process and the Supervisors’ previous approval.

As REALTORS®, we know firsthand about the lack of housing available to families across our region. We need more housing, not another massive commercial complex.

PSAR is joined by a broad coalition in supporting Yes on B, including the San Diego Regional Chamber of Commerce, Deputy Sheriff’s Association of San Diego, CALFIRE Firefighters and San Diego County Taxpayers Association. Other organizations supporting Yes on B include the North San Diego County Association of REALTORS® (NSDCAR), San Diego East County Chamber of Commerce, Chula Vista Chamber of Commerce, Oceanside Chamber of Commerce and San Diego North Economic Development Council. A number of city mayors are supporting Measure B, including Judy Ritter (Vista), Matt Hall (Carlsbad), Peter Weiss (Oceanside), Paul McNamara (Escondido), Rebecca Jones (San Marcos), Bill Wells (El Cajon), John Minto (Santee), Mary Casillas Salas (Chula Vista), Richard Bailey (Coronado) and Racquel Vasquez (Lemon Grove).

For more information on Yes on B, visit https://betterchoicesd.org/.

A special presentation covering Measures A & B, along with AB 1816, a fire insurance bill, will start at 9 a.m., Friday, January 31, at the PSAR East County Service Center, 1150 Broadway, El Cajon. Admission is free and a free breakfast will be served. For more information, call (619) 421-7811 or visit https://blog.psar.org/200131hottopics.

 

Topics: Announcements, Industry

VOICE OF REAL ESTATE - HOME PRICES HIGHER, HOME SALES LOWER IN SD

Posted by Rick Griffin on Jan 3, 2020 4:40:39 PM

Voice of Real Estate.

San Diego County’s housing market saw a slight increase in home sale prices but a drop in the number of sales in November 2019, according to a recent report from the California Association of REALTORS® (C.A.R.).

The median sales price of an existing single-family home in San Diego County in November, 2019 was $659,000, compared to $652,000 in October, 2019 and $626,000 in November, 2018. That’s an increase of only 1.1 percent comparing November to October. 2019, and an increase of 5.3 percent in a comparison of November, 2019 to November, 2018.

Meanwhile, San Diego home sales in November, 2019 saw a decrease of 9.3 percent, compared to October, 2019, but a 10 percent increase in a comparison of November, 2019 to November, 2018.County Sales and Price Activity

Statewide, it was a different story in November 2019, when home sales and prices retreated.

The statewide median price decreased by 2.6 percent from $605,280 in October, 2019 to $589,770 in November 2019, marking the first time in seven months the median price was under $600,000. November, 2019’s median price was up 6.4 percent from $554,240 in November, 2018. The year-over-year price increase was the largest gain in nearly a year and a half since July 2018.

The number of closed escrow sales of existing, single-family detached homes statewide in November 2019 was down 0.3 percent to 402,880, compared to 404,240 in October, 2019, but up 5.6 percent from home sales in November, 2018 with a revised total of 381,690. Year-to-date statewide home sales were down 1.9 percent in November, 2019.

The statewide annualized sales figure based on information collected by C.A.R. from more than 90 local REALTOR® associations and MLSs statewide represents what would be the total number of homes sold during 2019 if sales maintained the November pace throughout the year. It is adjusted to account for seasonal factors that typically influence home sales.

After 15 straight months of year-over-year increases, active listings fell for the fifth straight month, dropping 22.5 percent from year ago. The decline was the third consecutive double-digit drop and the largest since April 2013. The sharp drop in active listings and slight uptick in year-over-year sales put a dent in housing inventory. The Unsold Inventory Index (UII), which is a ratio of inventory over sales, was 3.1 months in November, up slightly from 3.0 months in October but down sharply from 3.7 months in November 2018. It was the second lowest level in the last 17 months. The index measures the number of months it would take to sell the supply of homes on the market at the current sales rate. 

“While statewide home sales and prices eased back slightly as the housing market continued to move into the off season, a favorable lending environment continues to draw interest from buyers who want to take advantage of low rates,” said 2020 C.A.R. President Jeanne Radsick, a second-generation REALTOR® from Bakersfield, Calif. “The upper end of the market, in particular, is showing some welcomed improvement in recent months as both sales and prices posted mild growth from a year ago in November.”

 “We’re seeing a more robust market in the second half of the year, driven primarily by the lowest interest rates in nearly three years,” said C.A.R. Senior Vice President and Chief Economist Leslie Appleton-Young. “While uncertainties and supply constraints will continue to dictate the market outlook in 2020, the California housing market will likely wrap up 2019 in slightly better shape than previously thought.”  

With prices rising faster in recent months while supply continued to shrink, home sellers’ optimism improved both month-over-month and year-over-year. According to a monthly Google poll conducted by C.A.R. in December, slightly more than half (51 percent) believe it is a good time to sell, up from 47 percent a month ago, and up from 46 percent a year ago. Buyers, however, remain uncertain about the current housing market conditions as less than one-fourth of respondents (24 percent) believe that it is a good time to buy now, lower than last year (25 percent), when interest rates were more than 100 basis points higher.

Other key points from the November 2019 resale housing report included:

-- At the regional level, non-seasonally adjusted sales rose on an annual basis in all major regions, except the San Francisco Bay Area. Southern California increased the most at 4.6 percent, followed by Central Coast (1.0 percent) and Central Valley (0.6 percent).

-- Also, regionally speaking, median home prices rose from a year ago in all major regions with Southern California recording the largest gain (7.5 percent), followed by Central Valley (6.3 percent), Central Coast (3.3 percent) and the Bay Area (2.2 percent).

-- In the Southern California region, median home prices grew in every county, led by Los Angeles County, which recorded a 7.4 percent jump from a year ago. The six counties in the Southern California region posted an average year-to-year price gain of 5 percent in November.

-- Statewide, the median number of days it took to sell a California single-family home fell from a year ago, declining to 25 days in November 2019 from 28 days in November 2018.  That compares to 24 days in October 2019, 24 days in September 2019, 23 days in August 2019 and 21 days in July 2019.

-- In San Diego County, the median number of days a home remained unsold on the market in November 2019 decreased five days in a year-over-year comparison, from 22 days in November 2018 to 17 days in November 2019. Unsold Inventory and days on market

-- The statewide sales-price-to-list-price ratio was 98.4 percent in November, 2019, up from 97.9 percent in November, 2018. That compares to 98.5 percent in October and September, 2019, 98.7 percent in August, 2019 and 99.0 percent in July 2019. Sales-to-list-price ratio is an indicator that reflects the negotiation power of home buyers and home sellers under current market conditions. The ratio is calculated by dividing the final sales price of a property by its last list price and is expressed as a percentage. A sales-to-list ratio with 100 percent or above suggests that the property sold for more than the list price, and a ratio below 100 percent indicates that the price sold below the asking price.

-- The 30-year, fixed-mortgage interest rate averaged 3.70 percent in November, down from 4.87 percent in November, 2018, according to Freddie Mac. The five-year, adjustable mortgage interest rate was an average of 3.41 percent, compared to 4.11 percent in November, 2018.

In other recent real estate and economic news, according to news reports:

-- San Diego will be the hottest major home market for California in 2020, according to a group of more than 100 economists and housing experts who participated in a Zillow study. The experts are predicting a more sluggish year of price increases across the nation, but a quarter of panelists expect San Diego home values will grow faster than the national rate, 39 percent said they would grow slower and 37 percent said it would be able the same.

-- Also according to Zillow, the median value of a single-family home was $600,560 in November, marking a 1.7 percent year-over-year increase. Nationwide, the home value growth in November reached its lowest point since January, 2013.

-- According to CoreLogic, San Diego County’s median home price hit an all-time high of $594,455 in November 2019, pushed up by declining inventory and dropping interest rates. The previous high in the county was $590,000 in June 2019.

-- The latest S&P CoreLogic Case-Shiller Indices report shows a marked slowdown in residential real estate appreciation in San Diego, with a 0.2 percent price decline in October, 2019 and a revised estimate of no change in September, 2019. Nevertheless, San Diego prices were still 2.9 percent higher in October, 2019 compared to a year ago.

-- San Diego County continues to be one of the least affordable markets to buy a home in the U.S., according to an Attom Data Solutions report. The real estate analytics company found that a San Diegan with an annual wage of $62,907 would need to spend 63.1 percent of his or her income to buy a $570,000 home.

-- San Diego County experienced the largest decline in active listing inventory in the nation in November, 2019, falling 28.1 percent in a year-over-year comparison, according to a Realtor.com report. The online real estate data company also said the region's median list price rose 8.4 percent year-over-year in November. Realtor.com placed the median listing price of a single-family home in San Diego at $715,000.

-- The amount of money that San Diegans spent on rent has increased greatly over the past 10 years. Renters in San Diego County spent $86.2 billion on housing over the decade as rent prices steadily increased, according to Zillow. From January 2010 to December 2019, San Diegans saw the amount they spent on rent increase 53.6 percent. That’s based on a Zillow estimate of median rent in January, 2010 of $1,997 a month and $2,548 a month now.

-- San Diego ended the year with the distinction of being the ninth most expensive rental market among the 10 largest U.S. cities. Zumper, a national online rental listings site, reported that the median monthly rent for a one-bedroom apartment in San Diego was $1,780 in December. A two bedroom apartment went for $2,350. Tech-mecca San Francisco was the priciest U.S. rental market at $3,490 for a one-bedroom unit and $4,500 for two.

-- The unemployment rate in San Diego County remained at near 20-year lows in November 2019 at 2.9 percent. San Diego County’s jobless rate is one of the lowest in California and below the national rate of 3.3 percent. San Diego’s rate hit 2.7 percent in May, based on revised numbers, which was the lowest since December 1999.

 

Topics: Marketing, Industry

PSAR MEMBERS EARN EMERITUS STATUS FROM N.A.R.

Posted by Rick Griffin on Dec 27, 2019 4:15:00 PM

PSAR recently honored

PSAR recently honored seven REALTOR® members who have achieved Emeritus status with the National Association of REALTORS® (NAR).

These PSAR members have maintained their NAR membership for 40 consecutive years or more. They were recognized earlier this month at Rally & Ride meetings and received a certificate and an Emeritus lapel pin as symbols of their status. Each lapel pin features four rubies reflecting 40 years of dedicated service.

The Emeritus designation means payment of NAR dues will be waived for the reminder of their membership and they will be exempt from the Code of Ethics Training requirement.

The seven PSAR REALTOR® members are Dawn and Russ August, Joe Garzanelli, Jacqueline McWay, Eleanor “Ellie” Mello, Lydia Painter and Marilyn Schweer. The group has a combined total experience in real estate of nearly 300 years.

Dawn and Russ August

Dawn and Russ August have lived in Alpine since 1975, after relocating from Michigan. “Right after the wedding, we quit our jobs, loaded-up our stuff and drove cross-country to San Diego,” said Dawn. “We ended-up in Chula Vista looking for rentals. We asked about living in the country and somebody said to visit Alpine. We have never left.”

Joe Garzinelli has nearly 50 years of experience in the real estate industry. He is the owner of Keller Williams Realty 

Joe Garzanelli

San Diego East Foothills in El Cajon, the largest residential real estate office in San Diego’s East County region. He opened his Keller Williams office in March 2011. Previously, he managed and owned several other real estate offices, including those that grew to be ranked among the top-producing brokerages in the nation.The Augusts earned their real estate sales licenses in 1977 and opened their own office in August 1979. They were affiliated with Coldwell Banker from 1990 to 2016 before returning to operate an independent office called Alpine Premier Properties.

Joe is active in the community, providing support to several nonprofits and engaging in charitable volunteer work. He was honored as the 2017 El Cajon Citizen of the Year.

Jacqueline McWay, who goes by Jackie, earned her real estate sales license on Dec. 22, 1975. She had previously worked as a legal secretary for 11 years. “I loved not being confined to an office all day. That’s why I liked real estate so much,” she said. “I started back when we used Thomas Brothers maps and we would follow the sign company installer in our cars to find out the latest new listings because the hot sheet came out only once a week.”

Jacqueline McWay


Ellie Mello has lived in San Diego since 1975. In 1976, she started her real estate career with a Forest E. Olson office. In 1996, she started her open company called Compass Real Estate and Property Management in Chula Vista. She recently completed serving as the 2018-2019 President of the Veterans of Foreign Wars Auxiliary (VFW) for the State of California. The state has 162 VFW auxiliaries in 16 separate districts with a membership of more than 21,000.
Jackie remains active in real estate sales, often with longtime clients.

blog_191228_411Ellie-1

 “I have worked with the same families on multiple deals and sold the same property two or three times. I still do my business the old-fashioned way, I meet with clients at their residences,” she said.

 

How has she survived more than 40 years in such a competitive business? Ellie replied,

Lydia Painter, who was born in Shanghai, China, has been selling real estate for 45 years. After graduating from the University of Colorado, she worked as a teacher for a brief time before starting her real estate career.“You take one day at a time, never give up trying and thank God for your blessings. I surround myself with positive people, like the great staff at PSAR who are always willing to lend a hand. I hope I display that helpful willingness when I’m around newcomers.”

“I have sold homes all over California, and even in Washington state and Hawaii,” she said. “I liked the flexible hours so I could stay home when the kids were young and still make my own appointments. I enjoy it very much and I enjoy my clients very much. I plan to work as long as I’m able. I enjoy real estate so much that I call it my second religion.” She is still active in the profession, although she has been recently dealing with various health issues.

Marilyn Schweer grew up in La Mesa and stated selling real estate in 1978. “It has been a great career for me,” she said. “I have met so many fabulous agents and worked with so many wonderful clients. It has been so awesome to be my clients’ REALTOR®.”Marilyn Schweer

Marilyn was one of the planners of a fashion show organized by the East County Association of REALTORS® that was held for 10 years throughout the 1980s and 1990s. For the past few years, Marilyn and husband George Serochi have enjoyed spending more time at their condo in Maui. “We’ve been taking advantage of one of the many benefits of working in real estate,” she said.

In January, longtime PSAR member Isabel Hall is scheduled to receive her Emeritus lapel pin and certificate. Isabel started her real estate career in 1974, the same year she joined PSAR.  In 1987, Isabel joined McMillin Realty, where she served for 15 years as their General Manager.

Of its 1.4 million members as of November 2019, NAR has 14,682 active REALTOR® emeritus members.

REALTOR® Emeritus qualifications are changing. In the future, forty years of NAR membership will no longer be enough to qualify members for Emeritus status. Beginning in 2020, the service qualification will change so that at least one year of service at the national level only will be required, in addition to the 40-year membership. Service at the state or local level will not be considered. Service at the national level will include acting as an officer, director, committee member, federal political coordinator, president’s liaison or regional coordinator to a country with which NAR has a reciprocal agreement.

Topics: Announcements, Marketing

A HOLIDAY STORY: PSAR REALTOR ANDREW SCHMIDT HELPS GRIEVING MAN

Posted by Rick Griffin on Dec 20, 2019 3:15:00 AM

blog_191221_411B

During this holiday season, it’s encouraging to hear an inspirational story about the kindness and goodness of a PSAR REALTOR®. Especially when the PSAR member considered his selfless act of sacrifice to be “no big deal.” Following is one such story.  REALTOR®s

Our story begins with a 911 call from a condo on Fourth Avenue in Chula Vista. It was 9 a.m. this past week. Police and an ambulance had responded. A 63-year-old woman (name withheld upon request) had passed away from natural causes following several years of failing health. The woman’s longtime companion, a 70-year-old man named Steve, was distraught and in deep grief.

Also responding to the 911 call was Scott Vinson Sr., a long-time broker in the South Bay and volunteer with the Chula Vista Citizens Adversity Support Team (CAST).

CAST volunteers are dedicated to assisting emotionally traumatized people during emergency situations. They are trained to assist the victims of trauma who may need emotional support, counseling, advocacy and referrals to community resources. They are respectful, calm, support without judgment and are great listeners to people who may be experiencing the absolute worst day of their lives.

According to Scott, “The police had major concerns about the elderly gentleman’s state of mind and his ability to cope with the death of his girlfriend. The man did mention any next of kin to either himself or the deceased. All were concerned about his personal safety. The first to respond were discussing the possibility of a psychiatric evaluation."

“Grief is something that can result in a range of emotions. Some people will stuff it, push it down, pretend it’s not there, act like it doesn’t exist. It’s even tougher to cope without the support of nearby family members.”

After nearly two hours, the elderly man finally looked at Scott and said he only had one friend who could be contacted. It was a fellow broker and PSAR member. His name was Andrew Schmidt.

“I was impressed that of all the people in the world, this man’s closest friend was a REALTOR®,” said Scott. “Sometimes, REALTORS® get a bad rap or a bad reputation. But, we can make a huge impact on people’s lives when we do our jobs right. This event made me even prouder to be a REALTOR®.”

Andrew arrived on the scene and hugged the grieving Steve. “Andrew then agreed to take over, remain with the guy and help stabilize him,” said Scott.

“It was really no big deal what I did,” said Andrew, who has been a PSAR member since 2007. The native of Oregon City, Oregon, has lived in San Diego since 2004.

According to Andrew, “I first met Steve back in 2007. He was sitting outside my office on National City Boulevard in National City. He had just moved here from Florida and didn’t know anybody in town and he didn’t have a home. Over the years, I’ve helped him with four different deals, including a home purchase and three condos.

“More importantly, we’ve become close friends. I call him every couple of days. We talk about life. He doesn’t have any family members anywhere. I’m the closest person he knows.

But, to me, that's a description of a REALTOR®. The best REALTORS® become friends with their clients. I know that PSAR members can relate to what I’m saying. We all have a handful of clients whom we really care about. And, we are willing to go the extra mile to help people.

I feel so blessed to be in real estate. And, I want to make sure that I’m paying it back. If somebody needs help, I’m there. But, REALTORS® do that on a regular basis. We will set-aside everything and go help someone in need. I don’t want to be a stingy zero sort-of guy.

Happiness comes from serving and giving in life. A happy heart comes from generosity and shifting the focus away from yourself. A person who thinks only about him or herself is pretty miserable. So, if you truly want to be happy in life change your focus, be unselfish, pay attention to others and care about the needs of those around you. You have to be focused on the needs of others or you will miss opportunities.”

Andrew is helping Steve with the arrangements of a memorial service for the deceased woman. Also, Andrew is planning to hire a house-cleaner for Steve’s home.

“Helping others is what being a REALTOR® is all about,” said Andrew. “REALTORS® can have a lot of influence by helping others. We can speak up for those in need of help . We can be a raincoat during the storms of life. No matter which of our friends or family members are going through a storm, we can all help each other because no one has it all together. People who are committed to one another will protect each other in tough times.

“We’re not on earth just to live for ourselves. We’re here to make the world a better place. We’re here to spread love and peace and care for one another, help one another and support one another. Nothing is insignificant when we’re serving each other.”

Topics: Marketing, Industry

WHICH DIRECTION ARE PRICES INCHING IN SAN DIEGO

Posted by Rick Griffin on Dec 15, 2019 8:45:00 AM

blog_191214_411 (1)


San Diego County’s housing market saw an optimistic increase in home sale prices and number of sales in October 2019, according to a recent report from California Association of REALTORS® (C.A.R.).

The median sales price of an existing single-family home in San Diego County in October, 2019 was $652,000, compared to $636,750 in September, 2019 and $635,500 in October, 2018. That’s an increase of 2.4 percent in October, 2019, when compared to September, 2019, and a 2.6 percent increase when compared to October, 2018.

Meanwhile, San Diego home sales in October, 2019 saw an increase of 1.7 percent, over those of September, 2019, with an 11.2 percent increase in sales over October, 2018.

Statewide, it’s a different story for the housing market. Shrinking inventory subdued California home sales and held home sales and prices steady in October, 2019.

The median price in October, 2019, slipped 0.1 percent to $605,280, compared to $605,680 in September, 2019. In a comparison to October, 2018, the median price in October, 2019 was up 6.0 percent from last year’s $571,070 figure. The annual price gain was the largest since July, 2018.

Year-to-date statewide home sales were down 2.6 percent in October, 2019. Statewide, existing, single-family home sales totaled 404,240 in October, 2019, on a seasonally adjusted annualized rate, up 0.1 percent from September, 2019’s figure of 404,030, and up 1.9 percent from home sales in October, 2018 whose revised total was 396,720.

After 15 straight months of year-over-year increases, active listings statewide fell for the fourth straight month as of October 2019, dropping 18.0 percent from a year ago. The decline was the largest since May 2013.

“The California housing market continued to see gradual improvement in recent months, as the current mortgage environment remains favorable to those who want to buy a home,” said 2020 C.A.R. President Jeanne Radsick, a second-generation REALTOR® from Bakersfield, Calif. “With interest rates remaining historically low for the foreseeable future, motivated buyers finding that homes are slightly more affordable, may seize the opportunity and resume their home search. Additionally, the condominium loan policies that went into effect mid-October could help buyers for whom single-family homes are out of reach.”, she stated.

“The latest surge in home prices is the consequence of an ongoing mismatch between supply and demand,” said C.A.R. Senior Vice President and Chief Economist Leslie Appleton-Young. “While low interest rates will reduce borrowing costs for buyers and temporarily alleviate affordability concerns at the micro level, without an increase in housing supply, including new housing construction for sale or rent, fundamental issues remain at the macro level, which will worsen the affordability crisis down the road.”, she explained.

Even with near record low mortgage rates, consumers still see challenges in the current housing market conditions. According to a monthly Google poll conducted by C.A.R. in November, less than one-fourth of respondents (24 percent) believe that it is a good time to buy now. This figure is lower than last year (27 percent), when interest rates were more than 100 basis points higher. Less than half (47 percent) believe it is a good time to sell, down from 51 percent a year ago.

Other key points from the October 2019 resale housing report included:

-- At the regional level, non-seasonally adjusted sales rose on an annual basis in all major regions. Central Valley increased the most at 7.1 percent, followed by Southern California (7.0 percent), Central Coast (3.9 percent) and the Bay Area (1.4 percent). 

-- Also, regionally speaking, median home prices rose from a year ago in all major regions except the San Francisco Bay Area. In the Southern California region, median home prices increased  in every county, led by San Bernardino County, which recorded a 10.4 percent jump from a year ago.

-- The Unsold Inventory Index (UII), which is a ratio of inventory over sales, was 3.0 months in October 2019, down from 3.6 in both September 2019 and October 2018. It was the lowest level since June 2018. The index measures the number of months it would take to sell the supply of homes on the market at the current sales rate. 

-- Statewide, the median number of days it took to sell a California single-family home fell from a year ago, declining from 26 days in October 2018 to 24 days in October 2019. That compares to 24 days in September 2019, 23 days in August 2019 and 21 days in July 2019.

-- In San Diego County, the median number of days a home remained unsold on the market stood at 18 days in October 2019. That compares to 18 days in September 2019, 17 days in August 2019, 15 days in July 2019, 13 days in June 2019, 14 days in May 2019, 17 days in April 2019, 19 days in March 2019, 22 days in February 2019 and 24 days in October 2018.

-- The statewide sales-price-to-list-price ratio was 98.5 percent in October 2019, unchanged from September 2019 and up from 98.1 percent in October 2018. The ratio was 98.7 percent in August 2019 and 99.0 percent in July 2019. Sales-to-list-price ratio is an indicator that reflects the negotiation power of home buyers and home sellers under current market conditions. The ratio is calculated by dividing the final sales price of a property by its last list price and is expressed as a percentage. A sales-to-list ratio with 100 percent or above suggests that the property sold for more than the list price, and a ratio below 100 percent indicates that the price sold below the asking (list) price.

-- The 30-year, fixed-mortgage interest rate averaged 3.69 percent in October 2019, down from 4.83 percent in October 2018, according to Freddie Mac. The decrease of 114 basis points for the 30-year fixed-mortgage rate was the largest decline in any 12-month period since November 2009. The five-year, adjustable mortgage interest rate was an average of 3.38 percent, compared to 4.08 percent in October 2018.

In other recent real estate and economic news, according to news reports:

-- San Diego County experienced the largest decline in active listing inventory in the nation, falling 28.1 percent year-over-year in November, 2019, according to Realtor.com. The Phoenix-Mesa-Scottsdale region also experienced a significant drop in November of this year with its active listing count declining 24.1 percent year-over-year.

-- Realtor.com also recently reported that it expects that the U.S. housing market will continue to slow in 2020 as inventory reaches historic lows and economic uncertainty prompts consumers to pull back on their spending. In San Diego, single-family home sales are expected to drop 3.2 percent in 2020, while prices remain nearly unchanged. Realtor.com also said prices will drop in more than 25 of the 100 largest U.S. metros, including San Francisco, Las Vegas and Miami. Kansas City homes will experience the biggest drop at 4.0 percent.

 -- The UCLA Anderson School forecast for 2020 says that California’s economic growth will slow next year, but it is likely to outshine that of the nation overall as Golden State employers boost payrolls. National economic growth is slowing, but not as quickly as previously anticipated, leading to a slightly more positive outlook for California.

-- CBRE Group, in its 2020 Real Estate Market Outlook Report, says the U.S. economy will continue its lengthy expansion in 2020, supporting multiple asset classes. CBRE said while growth will be tempered due to next year’s election, weakness in manufacturing and an uncertain trade picture, the fundamentals of the commercial real estate market remain solid.

-- Fifty-five percent of homebuyers make some type of financial sacrifice in order to purchase their house, according to the Zillow Group’s 2019 Consumer Housing Trends report. San Diego is one of six metropolitan areas where the mortgage on a median-valued home costs more than 30 percent of the median household income.

-- The typical American homeowner has spent 13 years in their home, up from eight years in 2010, and the median tenure was 14.2 years in San Diego County, according to a Redfin report. The report found the median home tenure for a family in San Diego County was 10.7 years in 2010. Families staying put for longer has resulted in a 46.2 percent drop in homes for sale in the county from 2010 to 2019.

-- The unemployment rate in San Diego County was 2.8 percent in October, up from a revised 2.7 percent in September and below the year-ago estimate of 3.2 percent, the state Employment Development Department reported. This compares to the unadjusted unemployment rate of 3.7 percent for California and 3.3 percent for the nation during the same period.

-- The November national jobs report was exceptional. The Bureau of Labor Statistics said 266,000 jobs were created and the unemployment rate dipped again. It rests at a solid 3.5 percent, a 50-year low. The jobs creation total beat expectations. Analysts had forecast roughly 180,000 new jobs for the month.

Topics: Marketing, Industry

PSAR HELPING THOSE IN NEED

Posted by Rick Griffin on Dec 6, 2019 6:00:00 PM

PSAR Charity Presents Checks to those in need

 

Congratulations to the PSAR Charity Committee.

At a recent PSAR Rally & Ride pitch session, in addition to hearing information about available properties, attendees recognized the outstanding efforts in 2019 by members of the PSAR Charity Committee.

Four local nonprofits were presented with checks from proceeds resulting from two events organized this past year by the Charity Committee.

Three of the nonprofits benefited from proceeds generated by the 2019 PSAR REALTOR® Games, held Friday, June 21. The nonprofits included South Bay Community Services, Unity 4 Orphans and Meals on Wheels San Diego County. Each received $3,500, for a grand total of $10,500, which exceeded the amount raised last year.

The fourth nonprofit, San Yisdro Health Center, was presented with a check for $3,000. These proceeds were generated by, the 2019 PSAR Zombie 5k Run-Walk, held Saturday, Oct. 12.

“PSAR is very proud to support these nonprofits and the extraordinary service they provide to our local communities,” said Laurie MacDonald, 2020 Charity Committee chair. “REALTORS® care greatly about supporting our local communities. We are active volunteers who play an important role in improving neighborhoods to the benefit of homeowners who want to share in the American dream and have a better place to live, work and raise their families.”

PSAR’s third annual PSAR REALTOR® Games, held at Scobee Park, located at 2390 Boswell Road in Chula Vista’s EastLake community, drew more than 200 participants.

The REALTOR® Games featured teams competing in mental and physical challenges. The competitions included agility activities, such as a sack race, free-throw contest, balloon catch and cornhole, plus mental challenges, including a spelling bee, board puzzle and “REALTOR® Feud,” a game resembling TV’s “Family Feud.” Another competition cwas “Jenga,” a game of skill featuring players taking turns removing one wooden block at a time from a tower constructed of several dozen blocks.

Members of PSAR’s Charity Committee who organized this year’s REALTOR® Games were Robert Cromer, Laurie MacDonald, Angie West and Rhonda Beathard.

The 2019 PSAR Zombie 5k Run-Walk, held at Rohr Park, located at 4548 Sweetwater Road, Bonita, drew an enthusiastic crowd. Participants dressed in their best zombie attire, including Halloween costumes. A contest was held for best-dressed pet and child. Additional activities included face painting, a jumpy inflatable, trick-or-treat booths and a raffle with prizes. Food was also provided. The event was a lot of fun and organizers received rave reviews from participants.

This year’s organizers of the PSAR Zombie 5k were Robert Cromer, Laurie McDowell, Rhonda Beathard and Juliet Montoya. The 2019 Zombie 5K was held in partnership with John and Susan Carroll as a fundraiser to benefit cancer screenings at the San Ysidro Health Center.

The PSAR Charity Committee is a wonderful group of caring PSAR members who are willing to share PSAR resources and talent with the community through outreach and service. The committee goal is to provide the support necessary to make a positive charitable impact in the communities served by PSAR members. The volunteers serving on the PSAR Charity Committee evaluate and review requests from nonprofits in the communities and they select charitable causes that will benefit from committee support.

 

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