Growth in spring home prices leads to sizable drop in California housing affordability, C.A.R. reports

Growth in spring home prices leads to sizable drop in California housing affordability, C.A.R. reports

Comparing the Santa Cruz Bay Area first quarter Real Estate sales of 2015 to the second quarter of 2015, the buyer affordability index has dropped from 34% to 30%. This will continue to be the trend as prices go up and inventory levels stay low. One other looming factor is interest rate, there is current speculation that the Fed will raise the lending rate in September.  If this becomes a reality the index might experience an even bigger drop. If you are in the market for a home it might be wise to lock your rate in this month.

To read the entire article, go to: http://california.realestaterama.com/2015/08/12/growth-in-spring-home-prices-leads-to-sizable-drop-in-california-housing-affordability-c-a-r-reports-ID03898.html

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New Milpitas homes sell for more than $1.2 million

New Milpitas homes sell for more than $1.2 million

The East Bay and South Bay have been hitting some record prices for home sales. Take a look at this interesting comparison of previous vs current home sales in Fremont, Newark and Milpitas.

To read the entire article, go to: http://www.santacruzsentinel.com/general-news/20150804/new-milpitas-homes-sell-for-more-than-12-million

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REALTORS confident about market conditions over the next year

REALTORS confident about market conditions over the next year

Everyone keeps asking me, "How long are the Santa Cruz, Silicon Valley, etc Real Estate markets going to keep going up?" The simple answer is, when either the interest rates go up, the home prices get so high it reduces the affordability index. or we get a flood Real Estate inventory (or a disaster natural or financial). These events are what eventually shift the market. Recently a poll was done with California Realtors asking them about their sentiment for next year, majority agreed that we should expect the same of better market conditions. I definitely agree with the majority and actually I feel we have another 4 years. 

To read the entire article, go to: http://california.realestaterama.com/2015/08/03/realtors-confident-about-market-conditions-over-the-next-year-ID03869.html

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Santa Cruz County housing plan brings questions, support

Santa Cruz County housing plan brings questions, support

This is an extremely hot topic in Santa Cruz right now. Rents are incredibly high and the affordability index for purchasing is shrinking. Both these problems stem from low inventory (among other factors). It will be interesting to see what Santa Cruz County does in terms of increasing density and encouraging more housing while preserving the Santa Cruz way of life (if you live here, you know what I mean) .

To read the entire article, go to: http://www.santacruzsentinel.com/20150722/santa-cruz-county-housing-plan-brings-questions-support

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