Timely Real Estate News……………………………………… 1 December 2008
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The holidays have arrived…
I don’t know about you, but it seems that once we have finished one event, another is just around the corner…and that’s the way it is this time of year with Thanksgiving, Hanukkah, Holiday parties, bowl games and New Years. One down, more to come. I am tired already! I have received many compliments from many of you regarding The SchifferLine, especially after the terrible fire we had in Sepulveda Pass on October 22, and I thank you for that. It’s nice to know you are reading my newsletter — I take a lot of pride in this semi-monthly newsletter, and it gives me great pleasure to serve my friends and clients this way. If you have any neighbors who would like to get The SchifferLine via e-mail, please let me know.
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What direction is Westside real estate moving? Forward or back or treading water?
“The important thing in this world is not so much where we stand…as in what direction we are moving.” Oliver Wendell Holmes.
So, in what direction are we moving on the Westside? As we enter the final month of 2008 (where has the year gone?), we find that we are holding our own. There is “life out there”…and while there is less volume than two years ago, prices are for the most part holding their own. Obviously sales volumes are down, and the prices are a little softer, but contrary to some news reports, there are buyers in our market because we have the most attractive real estate on the Planet. And as grim as it might appear, we’re still getting multiple offers on homes that are priced right, and we are seeing as many as 30 to 40 ‘groups’ visiting open houses. These are positive signs….. and loans are being made. It is just a little more difficult to obtain one, the banks are being more cautious and the buyers need to have a larger down payment and good credit.
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Open house news
Homes located in gated communities, such as Bel Air Crest, Mountaingate, Brentwood Circle, and Beverly Park, of course, do not get the traffic found with open houses in non-gated neighborhoods such as in Westwood or Santa Monica….but that is to be expected. The good news is that there are active buyers in the marketplace today who are pre-approved and who are looking to move into one of the world’s most desirable residential areas.
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So, what about the money, John?
In my conversations with one of Coldwell Banker’s preferred mortgage lenders, John Ciolino of First Capital of Santa Monica, he strikes a positive view for 2009 for the availability of home loans… “The good news is that interest rates are back down where they should be. We have seen 30 year fixed rates stay at levels about 1% higher then where they should have been for the last year. With the investor community hesitant on purchasing mortgage backed securities, these in turn left consumers with taking higher rates. Well with the recent government involvement in putting cash into the banking systems we are seeing affordable financing again. For example several weeks ago, interest rates came down to 5.25% with a 1 point loan fee for loan amounts up to $417,000. And for a loan amount up to $625,500 only .125% higher at 5.375%. That is amazing pricing!”
John’s opinion is “….if these rates FINALLY stay down it will stimulate buyers to step back into the market. This will help the start of 2009 for hopefully a recovery in the real estate market.”
And even though the week started off today with some lower standings, Federal Reserve Chairman Bernake did not rule out bringing rates down even further.
Now that the election is over, it just seems that everyone is pulling together to get us out of this mess, and that in itself is encouraging. And seeing how consumer spending was up 7% over last year, we all have much to be thankful for.
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Keeping fit and the environment
Simple Ways To Help The Environment And Keep Yourself Fit.
Why not help the environment, save on gas, generate less greenhouse gases and burn more calories, particularly with all of the holiday parties, all at the same time? What a win-win situation. Improving not only the health of the world, but your health as well. Follow some of these simple ways to save the environment and also improve your own fitness:
Walk.
For shorter distances why not walk? Starting up the car and driving it around the block, to the local shops, or the school, can use a lot of fuel. Walk the kids to school. Everyone will benefit and you will be able to listen to your children attentively instead of concentrating on traffic. Your children will also burn up a few calories as well, which is no bad thing with the global childhood obesity pandemic.
Ride your bike
..for distances that are too far too walk. Riding is another extremely environmentally friendly form of transport. You will be amazed at how much fuel you will save in a week by biking to the office instead of driving. Riding a bike is an excellent way to burn calories and improve your aerobic fitness.
Taking the stairs
Your legs and butt will get a real workout, while you in turn are not using the power needed to drive an elevator or step machine.
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I hope you have a wonderful holiday season, and again, I want to thank everyone one of you for your support, and kind wishes.
