Monthly Market Overview North San Diego County May 2020

Posted by

While the effects of COVID-19 in the broader economy continue, real estate activity is beginning to recover across much of the country. According to
Freddie Mac, mortgage rates have been below 3.3 percent for more than four weeks and are hovering near all-time lows, spurring strong interest by buyers and lifting showing activity up 4% nationally versus a year ago in the final week of May.

  • Closed Sales decreased 48.3 percent for Detached homes and 49.3 percent for Attached homes.
  • Pending Sales decreased 6.1 percent for Detached homes and 5.1 percent for Attached homes.
  • The Median Sales Price was up 2.1 percent to $745,000 for Detached homes and 2.2 percent to $465,000 for Attached homes.
  • Days on Market decreased 15.6 percent for Detached homes and 17.2 percent for Attached homes.
  • Supply decreased 37.5 percent for Detached homes and 24.0 percent for attached homes.

Buyers have been quicker to return to the housing market in force than
sellers, who have been showing a bit more reluctance to list their homes than is typical for this time of year. But trends are improving and as states and localities continue to moderate their COVID-19 policies, real estate activity is expected to continue to improve in the coming weeks.

San Diego North County Monthly Housing Market Indicators May 2020

Use the ‘Pop-Out’ to view report or the link to download.

May-20-Monthly

Memorial Day

Posted by

Memorial Day is a federal holiday in the United States for remembering the people who died while serving in the country’s armed forces. The holiday, which is observed every year on the last Monday of May, originated as Decoration Day  after the American Civil War in 1868, when the Grand Army of the Republic, an organization of Union veterans founded in Decatur, Illinois — established it as a time for the nation to decorate the graves of the war dead with flowers. By the 20th century, competing  Union and  Confederate holiday traditions, celebrated on different days, had merged, and Memorial Day eventually extended to honor all Americans who died while in the military service.  It typically marks the start of the summer vacation season, while Labor Day  marks its end.

Many people visit cemeteries and memorials, particularly to honor those who have died in military service. Many volunteers place an American flag on each grave in national cemeteries.

Annual Decoration Days for particular cemeteries are held on a Sunday in late spring or early summer in some rural areas of the American South, notably in the mountain areas. In cases involving a family graveyard where remote ancestors as well as those who were deceased more recently are buried, this may take on the character of an extended family reunion to which some people travel hundreds of miles. People gather on the designated day and put flowers on graves and renew contacts with relatives and others. There often is a religious service and a picnic-like “dinner on the ground,” the traditional term for a potluckmeal in which people used to spread the dishes out on sheets or tablecloths on the grass. It is believed that this practice began before the American Civil War and thus may reflect the real origin of the “memorial day” idea.

Memorial Day is not to be confused with Veterans Day; Memorial Day is a day of remembering the men and women who died while serving, while Veterans Day celebrates the service of all U.S. military veterans.

Easter Sunday

Posted by
Icon of the Resurrection, with Christ having kicked down the gates of Hades and pulling Adam and Eve out of the tombs. Christ is flanked by saints, and Satan—depicted as an old man—is bound and chained.

Easter, also called Pascha (Greek, Latin) or Resurrection Sunday,  is a festival and holiday  celebrating the  resurrection of Jesus  from the dead, described in the New Testament as having occurred on the third day of his burial after his crucifixion by the Romans at Calvary c. 30 AD.  It is the culmination of the Passion of Jesus, preceded by Lent (or Great Lent), a forty-day period of fasting, prayer, and  penance.

Most Christians refer to the week before Easter as “Holy Week“—it contains the days of the Easter Triduum, including  Maundy Thursday, commemorating the Maundy and  Last Supper, as well as  Good Friday, commemorating the crucifixion and death of Jesus. In Western Christianity,  Eastertide, or the Easter Season, begins on Easter Sunday and lasts seven weeks, ending with the coming of the fiftieth day,  Pentecost Sunday. In Eastern Christianity, the season of Pascha begins on Pascha and ends with the coming of the fortieth day, the Feast of the Ascension.

Easter and the holidays that are related to it are moveable feasts which do not fall on a fixed date in the Gregorian or Julian calendars which follow only the cycle of the sun; rather, its date is determined on a lunisolar calendar similar to the Hebrew calendar. The First Council of Nicaea (325) established two rules, independence of the Jewish calendar and worldwide uniformity, which were the only rules for Easter explicitly laid down by the council. No details for the computation were specified; these were worked out in practice, a process that took centuries and generated a number of controversies. It has come to be the first Sunday after the ecclesiastical full moon that occurs on or soonest after 21 March, but calculations vary.

Easter is linked to the Jewish Passover by much of its symbolism, as well as by its position in the calendar. In many languages, the words for “Easter” and “Passover” are identical or very similar.  Easter customs  vary across the Christian world, and include sunrise services, exclaiming the Paschal greeting, clipping the church,  and decorating  Easter eggs  (symbols of the empty tomb).  The Easter lily, a symbol of the resurrection, traditionally decorates the chancel area of churches on this day and for the rest of Eastertide. Additional customs that have become associated with Easter and are observed by both Christians and some non-Christians include egg hunting, the Easter Bunny, and Easter parades.  There are also various traditional Easter foods that vary regionally.

VA Loan Basics

Posted by

VA loans are becoming increasingly attractive home financing options for military borrowers faced with tough credit and down payment requirements. These flexible loans, which come with some significant financial benefits, are at an all-time high in terms of average loan amount and guaranty amount.

More than 740,000 military borrowers obtained a VA-backed loan in 2017, and the program’s growth is likely to continue in the year ahead. But as with any mortgage product, it can’t be all smiles and sunshine. Both VA loan pros and cons are a part of the game. Let’s take a step back and look at some of each.

If you haven’t gotten started on your VA home loan application, talk to Veterans United today. We’ll walk you through the process.

VA Loan Pros

Here are some of the major advantages of the VA home loan program:

  • No down payment: This is such a significant benefit. Qualified borrowers in most parts of the country can purchase homes worth up to $690,000 without making a down payment. FHA loans typically require a 3.5 percent minimum down payment, and for many conventional loans it’s a 5 percent minimum. On a $500,000 home purchase, that’s a $17,500 down payment for FHA and a $25,000 for conventional.
  • No private mortgage insurance (PMI): This is required for conventional borrowers who can’t put down at least 20 percent. FHA borrowers have a couple forms of mortgage insurance, one that’s paid up front at the time of purchase and another that’s paid monthly. PMI typically disappears once you have about 20 percent equity in your home. There is no PMI on a VA loan.
  • Higher allowable DTI ratio: Lenders will look at the ratio of your total monthly income to your total monthly expenses. The VA typically wants to see a debt-to-income ratio of 41 percent or less. That benchmark is higher than what you would see on conventional and even FHA loans. And it’s possible for qualified borrowers with a DTI ratio greater than 41 percent to still secure VA financing.
  • No prepayment penalty: You can pay off your VA loan early with no fear of getting hit with any prepayment penalties.
  • Refinance options: The VA home loan program has a pair of refinance loans that can help qualified buyers lower their monthly payments or get cash back from their equity. The Streamline refinance, also known as the Interest Rate Reduction Refinance Loan (IRRRL), is for homeowners with existing VA loans. The VA Cash-Out Refinance allows VA and non-VA homeowners to refinance and get cash at closing to pay down debt or take care of other needs.
  • Flexibility with bankruptcy and foreclosure: Some borrowers who qualify can be eligible for a VA home loan two years after a bankruptcy or foreclosure. The wait can be much longer for different loan types.

VA Loan Cons

Now here are some of the potential drawbacks of the VA loan:

  • VA Funding Fee: All VA loans come with a mandatory VA Funding Fee charged by the VA. This fee goes directly to the agency and helps keep the VA home loan program running for future generations. It’s a cost you can finance into the loan, and borrowers with service-connected disabilities are exempt from paying the fee. But this isn’t something you’ll pay on a conventional loan or FHA loan. You can learn more about how much the VA Funding Fee is, who pays what and who is eligible for a refund.
  • They’re intended for primary residences: This isn’t a loan program you can use to purchase a second home or an investment property.
  • Sellers aren’t always on board: Some home sellers aren’t open to receiving offers from VA borrowers. A lot of this undoubtedly has to do with some of the myths and misconceptions surrounding VA loans.

Move Over, Solar Panels! Home Wind Turbines Are the Latest Green Energy Source for Homeowners

Posted by

Wind power is one of the most popular forms of renewable energy, and in some parts of the country, you can drive by huge fields of turbines with their fanlike blades. Home wind turbines, like solar panels, capture energy and help lower your electricity bill. But can this clean fuel source actually power your entire house? And if so, at what cost?

How do home wind turbines work?

If you’ve ever seen a wind farm, you already have a general idea of what the turbines look like when they’re operating. But how exactly do they work?

“They convert the kinetic energy in wind into mechanical power, which in turn is used to run a generator that makes electricity for the home,” says Dan DiClerico, a home expert at HomeAdvisor. The turbine’s long, narrow blades are aerodynamically designed to capture the maximum energy from the wind.

“As the blades rotate, they turn a shaft that is connected to a generator, which produces electricity that is delivered directly to the home,” he explains.

Are home wind turbines practical?

Residential wind turbines are a good option if you live in an area with consistent wind flow—but not gale-force winds, which would cause the National Weather Service to issue a wind advisory.

“Wind turbines operate within a range of wind speeds, below which they do not produce power and above which they will cut out to protect themselves from damage,” says Michael Ginsberg, author of “Harness It: Renewable Energy Technologies and Project Development Models Transforming the Grid.”

So, what’s a good wind speed range? Typically, 8 to 55 mph.

“The rated power output of the wind turbine is based on the rated speed, usually 25 mph to 35 mph,” Ginsberg says.

Continue reading →

Mortgage Rates Fall Back

Posted by

Given the recent volatility of the ten-year Treasury yield, it’s not surprising that mortgage rates again have dropped. These low rates combined with high consumer confidence continue to drive home sales upward, a trend that is likely to endure as we enter spring.

How Much Home Insurance Do I Need? What Every Homeowner Should Know About Their Coverage

Posted by

Have you ever wondered, “How much home insurance do I need?” Well, you might, especially when you’re faced with a lengthy list of policy options from your insurance agent. Do you really need all that coverage?

On average, at least 6% of homeowners make a claim to their home insurance company each year. This might not seem like many, but those claims are far from small. The Insurance Information Institute estimates that insurers paid out an average of $10,592 to homeowners last year, covering everything from fire and lightning damage to theft.

Choosing the right level of insurance is key—if you don’t buy enough, you’ll be out of pocket for any shortfall. Buy too much, and you’ll be paying for coverage you don’t need.

Here’s how to make sure your major costs are covered in case of an emergency, and why taking a close look at your policy can save you money and heartbreak down the road.

So really, how much home insurance do I need?

The goal of any home insurance policy is to ensure you’re covered in case of a total loss of your home, says Ralph DiBugnara, president of Home Qualified.

“This means if the home was destroyed, the policy will cover the cost to completely rebuild it to the exact condition of when it was insured,” DiBugnara explains.

If you have a mortgage on your home, your lender will likely require your coverage to equal 100% of the replacement cost of the home. And even if your home is paid off—or no requirement is in place—it’s still a good idea to buy enough coverage to cover complete replacement, DiBugnara says.

Continue reading →

What Is a Tankless Water Heater? The Key to Endless Hot Showers, but With a Catch

Posted by

What is a tankless water heater? Also called “demand-type” or “instantaneous water heaters,” these devices deliver warm water only when you want it. Conventional water heaters, on the other hand, perpetually heat water whether you need it or not.

Traditional hot water tanks use electricity or gas to heat and store hot water until that magic moment you decide to take a shower or wash your dishes. As faucets dispense hot water, cold water refills the tank, and the heating process begins again.

If you use hot water faster than your tank can warm the water, you’ll find yourself feeling the side effects, in the form of a cold shower.

Tankless devices, on the other hand, heat water on the way to your faucet; as the name implies, there is no the storage tank. When you turn on the hot water tap, cold water flows into your tankless unit, which uses a much more intense electric current (or blast of gas) to quickly heat water on the way out your tap. Theoretically, the supply of hot water is unlimited.

Tankless water heaters, which can be as small as a suitcase, can produce hot water at the rate of 2 to 5 gallons per minute. If only one person is taking a shower, which requires a flow rate of about 1 to 2 GPM, then you’ll have a lovely, long-lasting hot spray.

Granted, a traditional hot water tank could also deliver the necessary 1 to 2 GPM for a long hot shower… but suppose you are taking a shower while someone is washing dishes (3 to 7 GPM), or your washer is cleaning a load of clothes (1.5 to 3 GPM). Add up all those GPM figures, and a regular heater falls short of your total hot water demand.

The solution is to either stagger hot water usage, install more than one hot water tank, or install a tankless water heater.

How much do tankless water heaters cost—and how much will they save you?

The U.S. Department of Energy says that if you use 41 gallons or less of hot water each day, tankless water heaters can be 24% to 34% more energy-efficient than conventional hot water storage tanks. If you use 86 gallons a day, the efficiency drops to 8% to 14%. The energy ratings institution Energy Star estimates a typical family can save $100 or more a year with a tankless water heater.

But here’s the rub: Tankless water heaters cost up to three times more than conventional heaters to buy and install. A whole-house tankless water heater costs $800 to $3,000, and installation—including upgrading electrical and gas pipe systems— can add $1,000 to $3,000 to those costs. As a result, it might take decades to recoup the cost of your energy-saving appliance.

On top of that, tankless water heaters can be expensive to maintain.

“I’m not a big fan,” says Tom Bigley, a Pittsburgh plumber for 36 years and director of plumbing services for the United Association of Journeymen and Apprentices of the Plumbing and Pipe Fitting Industry. “They are maintenance-intense and expensive to repair. With parts and a basic service call, you’re at $300 to $400. Is the money you’re saving on energy bills worth that?”

Bottom line: As is the case with most energy-saving appliances, you should carefully weigh the costs of a tankless water heater against the long-term savings to determine whether one’s right for you. If your current setup gives you enough hot water, you’re probably fine as is; but if you’re cringing every morning at the prospect of a cold shower, a tankless water heater could be worth its weight in gold.

Original Article

The Week’s Most Popular Home Is a Mansion That’s Never Been Lived In—and You Won’t Believe Why

Posted by

An art-stuffed mansion in Illinois is this week’s most popular home on realtor.com®. And as if its 9,721 square feet of extreme opulence weren’t enough, the enormous residence comes complete with a shocking twist.

Built in 2002, the $2.9 million home has been used exclusively to house the owners’ extensive art collection—and has never been lived in. Two decades later, it’s like buying a brand-new home.

The odd backstory and colorful art in the home’s listing photos make the place extremely clickworthy. Loaded with paintings, sculptures, and objets d’art, the interiors look otherwise untouched since the home was built 18 years ago.

For a buyer interested in breaking into the art market, any of the art inside or outside the home is available for negotiation, separately from the purchase price.

Aside from the mansion-museum, other homes you clicked on this week included the lovingly restored Baywood mansion in Pittsburgh, a hulking Victorian sitting on the Mississippi River Delta, and the architecturally significant Goodkind residence in Minnesota—all antiques in search of new owners to usher them into the future.

As you ponder the logistics of purchasing a mansion simply to house your art collection, we ask you to cast aside those dreams for a few moments and scroll down to peruse all of this week’s popular homes…

Read the Rest Here homes HERE