Another new record! But we are cruising into Plateau City. From cnbc.com:
Homebuyers are pulling back, and prices are finally following.
Home prices are still rising, but the gains are shrinking. In June, prices nationally rose 6.2 percent year over year, according to the S&P CoreLogic Case-Shiller Indices. That is down from the 6.4 percent annual gain in May.
Home prices in the nation’s 10 largest housing markets rose 6 percent annually, down from 6.2 percent in the previous month. In the 20 largest markets, prices were up 6.3 percent, down from 6.5 percent in May.
“Even as home prices keep climbing, we are seeing signs that growth is easing in the housing market,” said David Blitzer, managing director and chairman of the index committee at S&P Dow Jones Indices, in a release. “Sales of both new and existing homes are roughly flat over the last six months amidst news stories of an increase in the number of homes for sale in some markets.”
San Diego Non-Seasonally-Adjusted CSI changes:
January ’17
231.21
+0.8%
+5.7%
February
233.31
+0.9%
+6.5%
March
235.61
+1.0%
+6.4%
April
237.48
+0.8%
+6.6%
May
239.84
+1.0%
+6.5%
June
241.96
+0.9%
+7.0%
Jul
243.48
+0.6%
+7.1%
Aug
245.55
+0.9%
+7.8%
Sept
246.61
+0.5%
+8.2%
Oct
246.58
+0.0%
+8.1%
Nov
245.74
-0.3%
+7.4%
Dec
246.29
+0.2%
+7.4%
January ’18
248.16
+0.8%
+7.3%
February
250.91
+1.1%
+7.5%
March
253.41
+1.0%
+7.6%
April
255.81
+0.9%
+7.7%
May
257.46
+0.6%
+7.3%
Jun
258.69
+0.5%
+6.9%
The previous peak was 250.34 in November, 2005. We are 3% above that now. We can probably expect the SDCSI to cool down in the second half of the year, just like it did the last two years!
Let’s note that in 4Q17, the cumulative change for the index was -0.1%.
There are 117 NSDCC houses for sale listed under $1,000,000 today, which is the highest count of the year – even though the average cost-per-sf is near the low of the year ($430/sf). But the rest of the market is holding up, based on the average cost-per-sf of the active listings:
The MLS doesn’t publish the stats for the Above-$2M market for some reason.
In the other three categories, the number of houses for sale are at, or near, their highs for the year, which can be expected for the end of summer. The new-pendings are slowing down, which is normal too for this time of year:
A quieter Sunday at the open house – about half the people as the crowd on Saturday, which makes you think that the internet advertising is what brings them and they are happy to wait until the first open house:
Over 100 people attended my open-house on Saturday, which goes to show you that the market is alive and well if you can get the right combination of house condition and price.
I don’t worry about being under-priced, because I know that my method of maximizing the turnout at an open-house extravaganza will ensure that we will find top dollar. In fact, I prefer to have dozens of people mingling around at the same time, putting the fear of loss into each attendee.
Because I am willing to give each buyer and agent a fair crack at buying the house, the process naturally evolves into a slow-motion auction. I have two written offers in hand, and hopefully more to come – but we won’t wait around for days or weeks to pick a winner because buyers cool off quickly.
For those who work in Sorrento Valley and always wanted the convenience of living close – but Carmel Valley was always more than you wanted to spend – then this house might be for you!
Sold by Jim for $661,000 – over list price!
Sought-after Summerset Court home conveniently located on the edge of Sorrento Valley where you can walk/bike to Qualcomm and Green Flash Brewery! Remodeled kitchen with quartz counters and new appliances, open floorplan, vaulted ceilings, and dual-pane windows/doors. Garage has epoxy floor and storage cabinets too, and no Mello-Roos! Bring your lawnmower for the extra-large grass backyard in a VERY quiet neighborhood overlooking the canyon – great value!
List price is $649,000. Zestimate is $694,235!
Open house 12-3pm Saturday and Sunday August 25 & 26.
We have dispatched the lightweights around the Bay Area and have now passed those pesky VenCo guys, so only one more town in our way – Los Angeles!
We can do this! Keep being less-affordable San Diego!
The NAR didn’t list the criteria they used to create this graphic, so I’m not sure what we need to do to win, except tell your friends and family to move to Ohio or Scranton, PA?
But seriously. We’re America’s Finest City (though New York City is in the running – wow!). Shouldn’t more rich people be moving here to retire? And fewer retirees be willing to leave?
In a downturn, our housing market could survive better than other cities just because of the retiree influence.
We saw the NSDCC sales in May and June be 20% fewer than they were in 2017. We had 11 more sales in July this year, compared to July, 2017, but there was one extra day in 2018.
How are we doing so far in August? Can we just hang close to the mean this month, have a decent September, and cruise into the holidays?
NSDCC Detached-Home Sales, August 1-15
Year
# of Sales
Avg. $$/sf
Median SP
Median DOM
2014
133
$478/sf
$1,060,000
24
2015
133
$460/sf
$1,050,000
17
2016
115
$480/sf
$1,169,000
17
2017
138
$547/sf
$1,282,500
25
2018
125
$539/sf
$1,300,000
22
If sales stay within 10% of the previous year, we should be fine. We’re looking for disaster signs, not just the usual bouncing around (see previous years).
Kayla has moved to midtown Manhattan, and will be a realtor with Corcoran starting on Monday, the 27th! If, you or someone you, know is thinking of moving to or from New York City, contact her at kayla.klinge@corcoran.com
We’re going to see more of this – from the unfortunate ones to those who deliberately choose to live a life untethered.
Each night at 6 p.m., San Diego’s New Life Assembly church opens its parking lot to dozens of people who will spend the night in their cars. The church is one of three sites in the city where the homeless can park overnight without fear of being ticketed or towed—or worse. It’s part of a citywide safe parking program started in 2010 to confront an increasingly visible face of the state’s homelessness epidemic: Californians sleeping in their cars.
As housing costs soar in major cities, more Americans are living behind the wheel. The U.S. Department of Housing and Urban Development doesn’t collect national data on vehicle residency, but unsheltered homelessness—a category that includes people sleeping in vehicles—is on the rise.
In 2016, HUD counted 176,357 unsheltered people nationwide on a single night; last year, that number jumped to 192,875. In King County, Washington (which includes Seattle), about 3,372 people—more than half of the county’s unsheltered population—are living in vehicles. And in Greater Los Angeles, which has the largest unsheltered homeless population in the country, more than 15,000 people live in cars, vans, and RVs.
The car has become “a new form of affordable housing,” says Graham Pruss, a researcher and former outreach worker for Seattle’s Road to Housing program, a city initiative that helped residents living in cars find more stable housing.
In the tight housing markets of West Coast cities, it’s not just the destitute or the unemployed who see their cars as their best option. “I have met people who are working at Amazon and rent an RV to live on the streets of Seattle while they’re saving enough to get into their own place,” Pruss said.
After years of crackdowns, cities from Santa Barbara, California, to Kirkland, Washington, are trying a new strategy: safe parking programs.
San Diego’s program, run by the nonprofit Dreams for Change, has three lots with 150 spaces. The program has 325 residents—more than two people share a car, in some cases—ranging from families to retirees to tech workers making nearly $100,000 a year. And they sleep in models ranging from a Honda Civic to a Lexus. “Most of the time you walk through the parking lot, you wouldn’t know that they are a parking lot full of individuals living in their cars,” said Teresa Smith, CEO of Dreams for Change.
