An article on the Bloomberg BusinessWeek website illustrates that, according to Freddie Mac, 3o-year fixed mortgage rates fell to an average of 4.93% this week, the 3rd-lowest rate on record in the United States.  As has been the case for the past year or two, interest rates on a variety of mortgage types (fixed and adjustable) continue to hover around historic low points.  However, a key point to take from the article is found in a quote from Metrostudy chief economist Brad Hunter, who states that rates are expected to climb, maybe as early as April.  If you are still on the fence about jumping into the San Clemente real estate market, don’t wait to long as it is an absolute certainty that rates will rise.

To read the complete article, click here: “Mortgage Rates on 30-Year U.S. Loans Fall to 4.93%”

To find out more information about current listings in the San Clemente real estate market, please contact San Clemente Coastal Living’s residential consultants.

With a tight housing market and large inventories of homes for sale, many sellers are looking for ways to gain an edge in the sale of their home.  Remodeling has always been an investment homeowners are willing to make as upgrades and additions add value to the home, both from a sales price standpoint and by making your home stand out from similar homes in your area.  On CNN’s website, there is an interesting article titled “6 Ways to Ensure a Remodeling Project Pays Off” that highlights specific rules that you may want to follow if you are planning to remodel your San Clemente home or condo.  From eco-friendly upgrades to completing simple repairs, the article demonstrates some effective ways to complete your remodel and realize a healthy return on your investment.  Simply adding granite countertops to your kitchen or making a large bedroom into two smaller rooms does not guarantee that your home will stand out in a crazy marketplace; you need to think outside the bubble yet get back to basics in order to make your remodel a success.  Another great point that the article makes is that if you are planning on staying in your home for awhile, now is a great time for remodeling and updating as home improvement contractor bids are 10-40% lower than they were a year or two ago (according to senior economist Bernie Markstein of the National Association of Home Builders).

A couple of months ago, San Clemente Coastal Living published a blog article (found here) explaining the extension of the $8,000 first-time home buyers’ tax credit along with the creation of a tax credit for repeat or “move-up” home buyers that would pay up to $6,500.  As tax time is now upon us, many people have been wondering how to apply for the credit since this is a brand new program.  The IRS has finally published the credit’s requirements on their main website, and a recent article in the Los Angeles Times breaks down the specific forms and documents you will need to successfully claim the tax credit from the IRS.  As we stated before, repeat buyers who have lived in their current principal residence for five of the past eight years and plan to use the new purchase as their primary residence may claim this credit.  The purchase contract must be dated between November 7, 2009, and April 30, 2010, and the close of escrow must occur no later than June 30, 2010; the maximum purchase price is $800,000, and eligible buyers will receive a tax credit of 10% of the purchase price up to $6,500.  Like the first-time home buyers’ program, there are income limits which have increased due to the program’s extension/expansion ($125,000 for single person, $225,000 for married couple filing jointly).  Also, the credit does not have to be paid back to the IRS unless you vacate this new primary residence within 36 months of purchasing the home; if this occurs, you will be required to pay back the credit to the government.  The IRS website has the forms you will need to submit with your 2009 tax return along with a layout of all additional documents you will need to prove that you are eligible for the credit. 

As you can see, this is a great program for first-time buyers or people looking to purchase a new primary residence for themselves, but keep in mind that you only have a few more months to take advantage of this program.  If you would like more information about purchasing a new San Clemente home or condo, please CONTACT US to schedule a personal consultation with one of our San Clemente real estate experts. 

For the year-ended December 31, 2009, San Clemente real estate sold was up 24% compared to 2008, suggesting that more buyers are priced into the market and believe that price points on many homes are at fair market value.   768 San Clemente homes and condos were sold in 2009 as compared to 620 in 2008, bringing sales back towards historical averages of 800-850 homes and condos per year. 

The median price for San Clemente real estate sold fell to $707,242 in 2009 as compared to $832,801 in 2008.  Much of this decline is attributed to continued market adjustments, however, another big chunk is due to the types of homes sold.  Throughout 2009, far fewer homes were sold for over $1 million as much of the inventory that cleared the market were short-sales and foreclosures, most of which were concentrated in the $300,000 - $700,000 price range. 

Total homes on the market at the end of the year, including a bulk of which are pending sales or in back-up offer status, was approximately 530.  Based on 2009 sales, this leaves total inventory in the San Clemente market a little over 8 months.  Backing out short-sales that are pending or in back-up offer status, adjusts this level closer to a historically stable market level of 5-6 months of inventory. 

The average days on market at the end of 2009 was 106, slightly above the 60-90 day range that suggests a stable market.  If short-sales begin to clear the market at a quicker pace in 2010 and not take the typical 6 months or more to get to closing, then we should see the average days on market adjust back to historical levels possibly by spring or summer.

At the end of the year, there were 40 San Clemente homes and condos under contract, as compared to one in 2008, suggesting that January 2010 sales will be much stronger than 2009 and representing a solid indicator of a continued recovery in 2010.

For more information on how the San Clemente or Talega real estate market is performing as well as to be kept up to date on recent sales in your neighborhood, please do not hesitate to contact us.

The information above is deemed reliable but not accurate and should be independently verified.  San Clemente Coastal Living is not giving any investment advice in the statements made above.

Are you a troubled borrower and want help, but don’t know where to turn?  Do you want to find out if you are eligible for the Obama’s Administration’s mortgage modification and refinancing program?  There are free solutions available to you.

You can apply for help in working with your mortgage servicer through a local Housing and Urban Development (HUD)-Approved Housing Counseling Agency.  Orange County approved HUD Agencies include:

• Fair Housing Council of Orange County
• Neighborhood Housing Services of Orange County
• Consumer Credit Counseling Services of Orange County

If you want to find out if you are eligible for a loan modification and refinance under Obama’s plan, you can apply online for help from your mortgage servicer through MakingHomeAffordable.org .

For a list of local housing counseling resources and the latest events, visit the Orange County Home Ownership Preservation Collaborative or the website for the United States Department of Housing and Urban Development.

For a complete list of current San Clemente Foreclosures and Short-Sales, please contact us via the link or call us directly at 949-281-5444 and we will gladly provide it. 

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Welcome home to this wonderful property located in the foothills of the master-planned Talega community.  The home is situated on a corner lot in the quiet Amalfi neighborhood and features 3 bedrooms, 2.5 bathrooms, a 2-car direct access garage, and an estimated 2,150 square feet of living space.  The rent is $2,995 per month for a 1-year lease with a security deposit equaling one month’s rent.  Small dogs are allowed with an additional deposit of $500.  The lucky residents of this home will be close to the best amenities Talega has to offer, including the Talega Swim & Athletic Club, the Talega Village Center with a large Ralph’s and a variety of shops and eateries, and the gorgeous and challenging Talega Golf Club.  You are also a short distance from the award-winning Vista Del Mar Elementary and Middle School (K-8).

The two-story floor plan is open and modern, with numerous upgrades and a warm feel throughout.  Upon entering the home up the Spanish-tiled front steps, you will be struck by the formal living/dining room combo with great natural lighting and lovely ceramic tile flooring.  The family room, which opens to the kitchen and breakfast nook, features a cozy gas fireplace and media niche.  The gourmet kitchen is truly a chef’s dream and comes complete with granite countertops, stainless steel appliances, a large center island/breakfast bar, and a beautiful tile backsplash along the back wall – even if you don’t cook, you may take it up just to spend more time in this kitchen.  From the family room are French doors leading to the private backyard, which has a large patio area perfect for summer barbeques, a sizable lawn for children to enjoy, and a gated side courtyard perfect for the family dog.  The second level features Berber carpeting throughout, the three bedrooms, and a laundry room with an installed washer and dryer.  The two smaller bedrooms share a nice bathroom with Jack-and-Jill sinks, a shower/tub combo, and private entrances from each bedroom.  The large master suite enjoys a walk-in closet with built-in shelving and a huge bathroom with a soaking tub and separate shower.

The details above barely scratch the surface of all that this comfortable home has to offer.  With a private and quiet location in one of the newest areas of South Orange County, you will feel at home from the moment you unpack the first box.  For more information or to schedule a showing, please contact Matt Cabrera at (949)281-5444 or email matt@sanclementecoastalliving.com.

San Clemente home and condo sales are up 21% year-to-date compared to November 2008, suggesting that many buyers believe that the real estate market is priced correctly.  As of November 2009, the average sales price is down 17 % compared to prior year, which is less than most other luxury coastal markets in Orange County.  The San Clemente real estate market has held on stronger than other coastal communities in Orange County since it’s much more affordable than communities such as Laguna Beach, Newport Coast, and Corona Del Mar. 

The average days on market (DOM) for San Clemente real estate for the month was 106 days. In addition, the inventory at the end of November was averagin 8.5 months.  Historically, a stable market averaged 60-90 DOM and 5-6 months of inventory, suggesting that San Clemente continues to work its way back to stabilizing and improving each month for 2009.  In addition, the average price per square foot sold for San Clemente has remained flat, if not increased, over the past couple months, suggesting that the luxury market has struggled while the market in the $300,000 to $800,000 range has stabilized.  Nevertheless, much of this will be determined when the real estate market begins its busy season again in 2o10. 

Should you have any specific questions, such as recent sales in your neighborhood, please contact us and we will gladly provide you a detailed market report.

Last week, Congress passed a bill extending the first-time home buyer tax credit from its original end date of November 30, 2009 to April 30, 2010.  First-time home buyers (defined as someone who has not owned a home during the three years prior to the current purchase) who enter into a binding sales contract between January 1, 2009 and April 30, 2010 are eligible to receive the credit providing that the sale is closed by June 30, 2010.  In addition, the income limits for buyers looking to qualify for this credit have changed.  The original limits for sales between January 1 and November 6, 2009 were $75,000 for single taxpayers and $150,000 for married taxpayers filing jointly; with the new extension, the limits have increased for sales occurring after November 6 to $125,000 for single taxpayers and $225,000 for married taxpayers filing jointly.  As before, the home purchase price must be $800,000 or less to qualify for the credit, and the tax credit will be 10% of the home’s purchase price up to $8,000.  Since this is a tax credit, it does not have to be repaid to the federal government.

The biggest change, one that will affect wider range of recent and future buyers in the San Clemente Real Estate Market, is the new tax credit for move-up and repeat home buyers.  Buyers who do not fall under the first-time home buyer definition may still qualify for a tax credit if they purchase a home after November 6, 2009 and by April 30, 2010.  The stipulations for qualifying for this credit are as follows: completing a binding sales contract to purchase a home between November 6, 2009 and April 30, 2010; completing the home purchase by June 30, 2010; showing proof that you lived in your previously purchased home 5 consecutive years out of the last 8; purchasing a new home priced at $800,000 or less; and meeting the new income requirements listed above ($125,000 for single taxpayers, $225,000 for married taxpayers filing jointly).  If you meet these qualifications, you are eligible for a tax credit equal to 10% of the purchase price up to $6,500, and like the first-time home buyer credit, these monies do not have to be repaid.

For first-time buyers still looking to purchase San Clemente real estate, you now have a longer window in which to find your perfect home and still qualify for the tax credit.  The best thing about the expansion of the tax credit to move-up and repeat buyers is that more people are now eligible to qualify for this free tax credit, not just first-time home buyers.  If you have recently entered into a sales contract or are thinking about buying that vacation condo or upgrading to a new San Clemente home, you now have an opportunity to get money back from the government for your home purchase (provided you meet the above criteria).  This is another sign that the federal government is committed to turning around the housing market, and the best part is that the benefits may be enjoyed by buyers, not the banks.  If you have been on the fence about purchasing your San Clemente Home or Condo, now is the time to start looking.

If you would like more information on the first-time or move-up/repeat buyer tax credits or have questions about the San Clemente Real Estate Market in general, please do not hesitate to contact us.

San Clemente homes and condos sold for the month of August 2009 were up 13.5% from 2008, representing the eigth consecutive month of increased home sales.  September also appears to be following the same trend with 61 homes and condos under contract at the end of August as compared to 38 in 2008, respresenting a 60.5% increase.

The average sales price for San Clemente real estate was $713,653 compared to $892,740 prior year, representing a 20.1% decrease.  While some of this is attributable to the market still adjusting, it should be noted that 87% of sales in 2009 were under $1 million as compared to 71% in 2008.  Much of this is due to the trouble in the jumbo financing market as well as people not purchasing as many luxury goods in the current recession. 

A more promising statistic for the market to better gauge how San Clemente home values have been holding up is the average price per square foot sold.  At the end of August the average price for San Clemente homes and condos sold was $360 per square foot, up 13% or $42 per square foot from the low in February of 2009.  Since the beginning of the year, the average price per square foot of San Clemente real estate sold has shown steady signs of increasing, a sign that the market may be stabilizing.

The current months of inventory on the market is 6.6, just slightly above the 5-6 month range that historically has indicated a stable market.

For more information on sales in a specific area such as Talega, your neighborhood, or what your home may be worth in today’s market, please contact us and we will gladly provide a free over the net report.

According to the San Clemente Times, NY Firm D.E. Shaw has bid $195 million to buyout some of SunCal Properties, including Marblehead Coastal, after the bankruptcy of Lehman Brothers.  Marblehead Coastal real estate will be one of the last new developments along the Orange County coastline and encompasses 247 acres on the western side of Interstate 5 between Avenida Vista Hermosa and Avenida Pico.  The hearing regarding this bid is expected to occur in October.  Hopefully this will bring back life to this fanastic development to come offering custom lots with ocean views, villa style homes, and new upscale dining and shopping.

For more information about Marblehead Coastal, please visit our page exclusively dedicated to this new development or give your exclusive San Clemente realtors a call at (949) 281-5444