San Diego Housing Market Update September 2015

San Diego Housing Market is steady throughout San Diego County.

For the 12-month period spanning October 2014 through September 2015, Pending Sales in San Diego County were up 10.4 percent overall.

The Median Sales Price was up 4.5 percent to $527,500 for Detached homes and 3.6 percent to $347,000 for Attached homes. The price range that tended to sell the quickest was the $500,001 to $750,000 range at 37 days; the price range that tended to sell the slowest was the $1,250,001 or more range at 65 days.

Closed Sales decreased 4.9 percent for Detached homes but increased 4.1 percent for Attached homes. Don’t be surprised to hear that San Diego Home sales.

Market-wide, inventory levels were down 30.6 percent. The property type that lost the least inventory was the Single-Family Homes segment, where it decreased 21.4 percent. That amounts to 2.7 months supply for Single-Family Homes and 2.1 months supply for Condos – Townhomes.

Don’t be surprised if you hear “San Diego County Home sales are down” or “San Diego’s Housing Market has slowed down” during the next few months. We will be in a typical seasonal drop-off with lower inventory than last year.

It is a great time for sellers who have a Single-Family Home with un-permitted additions. With a lack of inventory, buyers will make some compromise and not be so particular.

For buyers, it might be tougher to find a perfect Home to purchase. Buyers needs to work with a great buyer's agent who will search some off-market listings (Cancelled Listings, Expired Listings, etc). Great news is that the one thing we were anticipating in September, an increase in interest rates, did not happen. It most likely will though before year’s end.

Mark Kunce

Keller Williams San Diego Metro - The My Home Team

Why Top Real Estate Agents Joined Keller Williams

The REAL Trends “The Thousand” featured 72 Keller Williams’ agent teams in its Top 250 ranking of real estate teams by transaction sides; those Keller Williams teams together represent 27,391 transactions. The 2015 listing also featured 36 Keller Williams’ agent teams in its Top 250 list of teams by volume, equating to more than $4.69 billion in sales. An additional twelve Keller Williams agent teams were similarly recognized in the average sales price-listing category for top teams.

So why are top real estate agents are with Keller Williams?

1. Cap system

Keller Williams Realty has a commission cap, which means that after you ”cap”, everything else you earn is yours. Often Top Real Estate Agents are a married couple team. If you have a married couple team and both are licensed agents and pay MLS fees, they would share one Cap. It means they would reach “cap” faster and earn 100% commission.

2. Profit Share, Build a Downline

Most of Top Real Estate Agents have his/her associates. When they joined Keller Williams office, associates would name their team leader as “Sponsor”, associates become “First Level”. If “Fist Level” is productive, hasn’t yet met the cap of what they’ll pay their Market Center, and the Market Center is profitable, a piece of that profit goes to the sponsors. So when Top Real Estate agents give their associate a lead, not only they can collect referral fee (or commission split) but also profit share. If associates refer someone who names them as their sponsor, they go to your “Second Level”. So the potential is exponential for Top Real Estate Agents or Broker (for example, Century 21 Carol Realty in San Diego joined Keller Williams San Diego Metro). Since profit share began in 1989, Keller Williams has shared more than half a billion dollars to it’s associates. In 2015, the company is tracking for it’s largest year to date, at nearly $130M shared. See more info.

3. Retirement Income

Once you have spent three years at Keller Williams, you secure your "downline" revenue for the rest of your life (and beyond), meaning you will continue to collect commissions on the agents you recruit to Keller Williams, even after you stop selling real estate. In fact, your heirs will continue to receive profit sharing checks even after you die. KW is the only national brokerage offering this type of generational financial security.

4. Training

Training fuels all of our success. But often times many Top Real Estate Agents do not have time to train their associates. At Keller Williams, they can guide new associates through Keller Williams training programs so new associates can get into production quickly and build their businesses. Providing education to associates is a core belief of Keller Williams. Training Magazine named the real estate giant the world’s No. 1 training organization across all industries.

JOIN KELLER WILLIAMS

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We are always available to answer your questions. In fact…we love doing it! Feel free to contact us. We look forward to helping you grow your real estate career.

100% Financing Home Loan in San Diego, Home Ownership Made Easier

For some borrowers, saving up 3% for a down payment is still a hurdle they can’t quite clear due to the rising rent (44.6% up from 2005, according to the San Diego County Apartment Association reports. CBRE projects rents to increase by more than 3 percent in each of the next three years, until slowing to 2.4 percent annually in 2020.)

However, we have teamed up with a Bank that has a new program… 100% Financing Home Loan in San Diego (Zero-percent down mortgage).

This program is to help low- and moderate-income borrowers become homeowners by helping to overcome one of the “most significant barriers” to home ownership, the down payment.

It allows qualifying borrowers to finance up to 100 percent of a home’s value, with the bank contributing up to $4,500 toward certain closing costs.

Under this 100% Financing Home Loan program there are no private mortgage insurance, or PMI, requirements with a home mortgage, which can easily add $150 or more each month to the typical home loan payment.

To qualify for the program, certain eligibility requirements must be met. Those eligibility requirements include, but are not limited to (1) the property must either be located in a low-to-moderate income census tract (https://www.ffiec.gov/geocode/), or (2) the applicants on the loan cannot have an income greater than 80% of the HUD median income for the area. A lender credit not to exceed $4,500 will be applied at the time of closing, after final underwriting and product eligibility has been confirmed. (3) Minimum credit score of 620.

Other benefits of the program:

• Borrowers can move into a new residence with as little as $500 of their own funds. Seller funds and cash gifts can be used to pay remaining closing costs and so-called “prepaids” — expenses such as taxes and insurance that must be paid at closing before they are technically due.
• The program offers flexible fixed-rate mortgage terms, with 30-, 25-, 20-, 15- and 10-year options available.
• No income limits apply when the property is located in a Low or Moderate income census tract.

In some cases, borrowers participating in the program will pay a monthly mortgage payment that is as much as or less than what they currently pay as renters. And that’s an important point: This program will be helping people who’ve already proven their ability to make that monthly payment.
Contact us for details and complete eligibility requirements.

Mark Kunce

Keller Williams San Diego -The My Home Team