Buyers Market: As the chart above shows, according to Altos Research, Saratoga CA has been a “buyers market” since late 2007.  This means that the rate at which homes are being absorbed (sold) is relatively slow compared with total available inventory.  This market condition is more the case in the upper price range, but there was a good price distribution of Saratoga home sales during 2010 as the detail below shows.  There was actually a hot market for homes within the Saratoga school district in the $1.3-1.5 million price ranges during the Spring, 2010.

Sales Volume: There were 287 homes sold in Saratoga, CA during 2010.  Note: this includes only those homes listed on the Multiple Listing Service and there were a few properties sold, but not listed.  This volume  is up from 2009 and 2008, but lower that previous years prior to the national recession.  The average and median price of Saratoga homes sold during 2010 was actually higher than in 2004.

Price Range: Prices of detached homes actually sold (closed escrow) in 2010 ranged in price from $5.6 million to $456,000.

Inventory : At the start of 2011 there were only 68 detached homes and 8 attached homes listed on the Multiple Listing Service in Saratoga, CA.  This is expected in increase seasonally this Spring.

Distressed Sales: There were only 20 detached homes sold through the MLS that were distressed (Real Estate Owner or Short Sales) – this represents less than 8% of the market!

Days on Market: Many overpriced homes have been on the market quite a while, but for those properties that actually sold (closed escrow) the DOM in 2010 was a reasonable 66 days.

Here is the detail for 2010 detached homes sales (closed escrow) in Saratoga, CA:

Here is the detail for attached homes sold (closed escrow) in Saratoga, CA:

Rick Bonetti | APR Referral Network | 408-8800 | DRE #01237009

Saratoga Homes For Sale Google Map Search

Search engine giant Google integrated homes for sale searches into Google Maps in July, 2009 and last week added a new functionality that automatically shows listings if the words real estate or homes for sale are added to a city name.

Google Maps is an aggregator, showing push pins for properties listed on www.APR.com, LuxuryRealEstate.com, foreclosure1.com, HotPads.com, and postlets.com and other brokerages.

You can get directions, search nearby, zoom to, save to My Maps and use the coolest feature Google Maps’ street view.  Clicking more information will also get you pictures, making homes for sale search easy.  You can also limit the search for rentals, for sale and foreclosures.  However, virtual tours and more detailed information is best obtained from MLS Listings.com or calling your Realtor.

I like MLS Listings Map search (powered by Google) better, because it shows pending sales as well as REO.  I know MLS data is always current, but I am not sure about the information that Google is aggregating from other sources.

Rick Bonetti | Alain Pinel Realtors | 408-857-8800 | mailto:rbonetti@apr.com

“The bottom line is rates are rising and will continue to rise so the sooner homebuyers can get a rate locked in the better off they will be.” says John Shapiro, PMA.

Keeping things in perspective, per the chart above, the cost of federal funds is historically low and mortgage interest rates too

Rick Bonetti | APR Referral Network | 408-857-8800 | DRE #01237009

Leslie Appleton Young, California Association of Realtors economist recently spoke about the California real estate market, giving CAR’s forecast for 2010.  Here are some highlights:

• 2004-2005 housing units sold peaked.
• 2007 CAR membership peaked (lagged 2 years), and has since declined.
• Median price of homes in California peaked in May 2007 and dropped to a low in February 2009.
• California  is a tale of two housing markets: Distressed and Non-Distressed.  Median Price Distressed: $250,000; Median Price Non-Distressed: $485,000.
• Santa Clara County: Median Price $555,000.
• New construction in California was down 50% in 2008 and another 50% in 2009.
• Housing starts are important to economic strength.  The prediction is for a “lack luster recovery next year” in 2010.
• The median home price in California is forecast to rise 3.3 percent to $280,000 in 2010 compared with a projected median of $271,000 this year.
• Sales for 2010 are projected to decrease 2.3 percent to 527,500 units, compared with 540,000 units (projected) in 2009.

“California’s housing market continued its strong sales rebound this year, resulting from the continued pace of distressed properties coming to market,” said C.A.R. President James Liptak.  “This follows two years of double-digit sales declines in 2006 and 2007.  Looking ahead, we expect sales to moderate to a more sustainable pace.” 

“After experiencing its sharpest decline in history, we expect the median price to rise modestly next year,” Liptak added.  “2010 will mark the beginning of the ‘new normal’ for California’s housing market.  This ‘new normal’ likely will feature a steady stream of sales driven by distressed properties in the low end of the market, coupled with moderate home-price appreciation.”

 “With distressed properties accounting for nearly one-third of the sales in 2010, invento

Meanwhile, the median listing price was stable through August and then started an upward surge.  This does not mean that prices of individual homes have not continued to drop as they found market accpetance, but there were relatively a greater number of higher priced homes as lowerer priced homes were being absorbed. 

For home buyers this relative scarcity means there will be greater upward pressure on home prices, particularly in the more affordable range. Home sellers need to remain realistic about the market value of their home so it sells quickly rather than languishes in the market.