Contributing Member of the Real Estate Councils

GLG News by this Author

GLG News is now G+ Insights

G+ is a community for professionals, academics and entrepreneurs to connect through online discussions and in-person meetings. You will continue to see G+ Insights (formerly GLG News) here as well as on the G+ website, where you can share and discuss the G+ Insights you read.

California Dreamin!

July 31, 2007

Analysis of:Sales down but prices, inventory rise in California | inman.com

The statistics published by the California Association of Realtors is not reflective of the reality of the market in California.  The California Association of Realtors has a vested interest in encouraging buyers to act now rather than postpone their decision to buy a home.   The reality of the situation is this.  The market for most of California is in a decline.  The days on market has increased substantially, well over the long term averages with some markets with several years of supply on the market given the current sales activity.  Also, foreclosures are increasing in both the the sub prime market and the regular market.

Subprime Woes

July 25, 2007

Analysis of:Countrywide profits fall 33% | www.inman.com

In Monterey County, California, the subprime market has evaporated for the most part.  Consequently, home prices on the lower end of the market have experienced a dramatic decline of between 15% to 30% depending upon the location of the property.  The number of bank owned properties has risen over the past several months.  In the beginning of the housing correction, most of the foreclosures consisted of fixer uppers.  Recently, this has changed.  We are seeing properties that are in good condition being foreclosed upon.  I would classify these properties as more middle tier properties in the $600,000 range.  In my opinion, the next 12 to 24 months, the subprime market will continue to worsen with an increasing number of foreclosures and eventually bank owned properties occurring.  Many of the owners of these properties do not have adequate incomes to refinance at the current interest.  It may take several years for this segment of the market to stabilize.  

FSBO (FOR SALE BY OWNERS)

October 31, 2006

Analysis of:FSBOs (For Sale by Owners) may be LM (losing millions) | www.kathysrealestate.com

Studies involving FSBO's and their inability to obtain a higher price or fair market value as compared to a real estate agent are flawed. Most of them have been prepared by the large franchises to combat the FSBO trend as well as to combat competition by discount real estate brokers. The reality is that anyone can sale a property;  it is just not that difficult or complicated of a process.

Antitrust Lawsuit is well deserved

October 27, 2006

Analysis of:DOJ Lawsuit against NAR Moves Ahead | www.isucceed.com

NAR is an organization that is anti-competitive in nature and deserves the scrutiny of the Department of Justice.

Land Values

October 26, 2006

Analysis of:Agricultural Land Values Still Going Up | www.wisconsinagconnection.com

Overall, agricultural land values have increased, but nothing in compared to residential and commercial real estate.  Agricultural land generally appreciates in the low single digits per year (if you are lucky) and has done so since the beginning of time. 

Key Components of Value:
- Population Growth
- Increased Demand for New Construction
- Real Estate Price Appreciation, Low Interest Rates
- Commodity Inflation

Zillow is weak

October 26, 2006

Analysis of:Zillow Lets Real-Estate Owners Add Their Own Estimates | www.informationweek.com

Zillow provides consumers with incorrect information about the value of their home.

Consumers have a false sense of wealth because of the simplicity of these systems.

Valuing a home is not complicated, but it requires adequate information and oftentimes a physical inspection of the property (at least on the outside).

Reality is setting in

August 30, 2006

Analysis of:New Signs of Cooling in Housing | www.nytimes.com

Supply and Demand Impbalance
Lower Housing PricesInterest Rates Stabilization

Gradual Adjustment Over Time Will Lead to A Soft Landing.

Where is the Bubble? It is here and it is slowly leaking.

August 18, 2006

Analysis of:California July Home Sales | www.dqnews.com

Analysis from a real estate broker in regards to the slow down in the real estate market in general and more specificly in Northern California.

Page : 11 to 8 of 8