A Daily Shot of News

The Kahala real estate market, an upscale portion of the larger Oahu and Hawaii housing markets, started to stage a strong recovery in the most recent tracking period. According to a June 8, 2010 article from Pacific Business News, “Home sales on Oahu rose considerably in May, while prices for single-family homes and condominiums posted modest gains compared to the same month last year. The median price of a single-family home in May was $606,000, which was a 12 percent boost over May 2009, when the median price was $542,000, according to statistics from the Honolulu Board of Realtors.” The piece went on to say that “That was based on 284 home sales, which was a 31.5 percent increase over 216 sales in May 2009. Condo sales on Oahu soared 35.5 percent in May to 355 units sold, up from 262 units sold in 2009.”

The number of Kahala homes for sale which were actually purchased, along with housing units in the rest of the island, increased substantially in the month of May. According to a June 8, 2010 article in the Hawaii News Now, “Honolulu home sales are picking up, prices are mostly higher, and two other metrics show the strength of the market is growing. In May on Oahu, 284 homes went to closing, about a third more than in May of last year, for a median price of $606,000 that was up $64,0000 from back then.” The piece, written by Howard Dicus, went on to state that “The Honolulu Board of Realtors reported Tuesday that 355 condos went to closing for a median price of $312,500 that was up more than $12,000 from last year at the same time. This continues a trend of some months, but deep detail in the version of the report transmitted to real estate agents themselves showed not two but four factors that point towards economic recovery.”

This good news for Kahala real estate was echoed in a June 8, 2010 article from KITV 4 News, which reported that “The median prices for resold single-family homes and condominiums in May climbed while the number of units sold dipped slightly, according to the Honolulu Board of Realtors.”

An unincorporated community in San Diego County, 4S Ranch, California, is east of Santa Fe Valley and home to some high-profile residents, like pro sports stars. The community has miles of paths and trails connecting it to shops, parks and schools, attracting those looking for a more secluded lifestyle, and leading 4S Ranch real estate to be rather expensive since it is in high demand but with only a limited supply.

In March, according to the San Diego Union Tribute Zip Code Real Estate Chart, there were 26 resell homes sold in 4S Ranch, and the homes were sold for a median price of $720,000, up 2.9% from a year prior. The market for resell condos in the community was much more robust: There were 20 condos sold in the community during March at a median price of $311,000, an improvement of 54.5% year-over-year.

The median price per square foot in March of 4S Ranch homes for sale was $239 per square foot, up 8.3% from just $221 per square foot in 2009. The price per square foot for condos saw an annual improvement as well. It stood at $262 per square foot, up 13.7% from March 2009, when it was just $231 per square foot.

For all of the year 2009, 4S Ranch saw 342 resell single-family homes sold, at a median price of $700,000, down a slight 6.7% year-over-year. There were 243 condo sales on the year at a median price of $288,000, up 2.9% from the previous year, and there were even 124 sales of new homes, which came in at a median price of $539,000, down 11.1% annually. All total, there were 709 residential properties sold in 4S Ranch, and altogether they had a median price of $510,000, down nearly 18% from the end of 2008, showing that the year 2010 has left plenty of room for the market to improve and rebound from 2009.

The Sarasota real estate market may finally be starting to emerge from a long decline precipitated by the nationwide economic recession. According to a March 23, 2010 article in the Bradenton Herald, “Sales of existing single-family homes and condominium units continued to climb in February, according to figures released today. Realtors closed 747 sales of single-family homes in the Sarasota-Bradenton market last month, a 32-percent increase from the same month in 2009, Florida Realtors said in its monthly sales report.” The article, written by Duane Marsteller, went on to say that “The median price was $154,000, up 7 percent from $144,000 in February 2009 – the apparent bottom of the three-year housing slump. But last month’s median price was down from January’s $156,700, a sign that the market is still treading the bottom. Local Realtors also closed 258 condo sales in February, a 48-percent increase from February 2009’s tally of 174 but only slightly better than January’s reading of 243 sales.”

The possibility that the price of Sarasota homes for sale may have finally bottomed out was explored by a March 28, 2010 article in the Herald Tribune. This article stated that “The great home price decline that began on the Gulf Coast more than four years ago finally shows signs of ending. In the Sarasota-Bradenton market, the median price for single-family homes hit a low of $144,000 in February 2009. Since then, it has bounced around, creeping as high as $167,400.” The piece, composed by Michael Braga, also stated that “Some skeptics warn that more bad news lurks, thanks to an unexpected flood of foreclosures and a paucity of bank lending. But a growing number of market watchers see signs the price decline has ended.”

A more upbeat prognosis for Sarasota real estate was provided by an April 15, 2010 article also in the Herald Tribune, which noted that “Though the number of foreclosure filings in Southwest Florida jumped in March, a closer look at the data shows that the region might be finally digesting the problem – and at a quicker pace. All told, the three-county region stretching from Manatee County to Charlotte County, registered 3,376 foreclosure filings last month…”

In October 2008, the median home price of homes sold in San Jose, California was $490,100. This is down from $495,000 in September and $600,000 back in July. This is significantly lower than the median home price of $737,000 in October 2007.  The number of homes sold has increased dramatically from as few as 191 in February 2008 to as many as 515 homes sold during the month of October 2008.

Since this summer, the number of homes for sale in San Jose has fallen but it’s still up on a year over year basis. As of October 2008, the number of homes for sale in San Jose was over 3,537 compared to a high of 3,951 homes for sale in July of this year. In October 2007, there were only 3,129 homes for sale.

The increase in the number of sales and the decrease in the median home price can be credited to the fact that banks have lowered the asking prices for foreclosures they are trying to sell. Currently, foreclosures make up a large percentage of monthly home sales and these have caused the median home price to drop. An increase in the number of homes for sale, similar to what we saw over the summer, also caused a decrease in home prices in most cases.

So, the question in everyone’s mind is “have we hit the bottom?” The answer is No. Although, that depends on what type of house you want and where in San Jose you are looking to buy – which will be the subject of another article.

Please do keep in mind that the statistics above are from M.L.S Listings Inc, and account only the homes sold through this multiple listing service. These statistics are only for single family residences and do not take condominiums or other property types into account.