Hope Leitner, Realtor®, CRS

  If you’ve seen recent headlines about foreclosures surging in the housing market, you’re certainly not alone. There’s no doubt, the  stories  in the media can be pretty confusing right now. They may even make you think twice about buying a home for fear that prices could crash. The reality is, the data shows a foreclosure crisis is not where the market is headed, and understanding what that really means is mission critical if you want to know the truth about what’s  happening today . Here’s a deeper look. According to the  Year-End 2022 U.S. Foreclosure Market Report  from  ATTOM ,  foreclosure filings are up 115% from 2021, but down 34% from 2019.  As media headlines grab onto this 115% increase, it’s more important than ever to put that percentage into context. While the number of foreclosure filings did more than double last year, we need to remember why that happened and how it compares to more normal, pre-pandemic years in the market. ...

If you are a prospective homebuyer, things have changed in the past year.   Most notably, mortgage rates have more than doubled which has created an affordability gap that has taken approximately 15 million buyers out of the market. Inventories are growing but it isn't because more people are deciding to sell their homes; it is because it is taking longer to sell properties because less people are qualified.   Current housing inventory is a little more than a quarter of what it was in 2008. Buyers are wondering when the market will return to normal, as if mortgage rates at three and four percent should be commonplace.   The average mortgage rate between April 1971 and November 2022 is 7.76%. Predictions for mortgage rates in the third quarter 2023 range from 4.5% for Fannie Mae, 5.0% for Mortgage Bankers Association, and 5.2% for Freddie Mac. Traditionally, over the past 35 years, there is a 175-200 basis point difference between the 10-year Treasury and th...

This past weekend half the globe celebrated the Lunar New Year and welcomed the year of the Rabbit. Happy New Year to my friends and clients who are enjoying this beautiful holiday right now.  What the Lunar New Year means for the rest of us, is that it marks the first day when the sun sets after 5pm. The days are now noticeably getting longer and while it may still be chilly for us, pretty soon San Diego's long sunny summer will be here.  February also means that many of us are now gearing up for tax season. As a former accounting professional and a current real estate agent, I am here to help. Feel free to reach out. I'm happy to answer questions or make a good referral if needed.  On the calendar below are so many great events, I'm particularly interested in the chocolate and beer pairings at the Escondido Chocolate Festival, and the celebration of Black Comix Day will be fun to do with my grandkids. Finally, the Bird Friendly Home and Garden Show looks like a g...

  Spring is usually the busiest season in the housing market. Many buyers wait until then to make their move, believing it’s the best time to find a home. However, that isn’t always the case when you factor in the competition you could face with other buyers at that time of year. If you’re ready to buy a home, here’s why it makes sense to move before the spring market picks up. Spring Should Bring a Wave of Buyers to the Market In most years, the housing market goes through predictable seasonal trends in activity. Winter is typically a quiet point in the year, while spring sees a surge of buyers begin their search. And experts project that this year will be no exception. Right now, buyer demand is low due to a combination of normal seasonal trends and a reaction to last year’s rise in mortgage rates. But rates have started to come down since last November, which has more and more potential buyers planning to jump into the market. That means right now is a sweet spot if you’re in a ...

  Last year, the housing market slowed down in response to higher mortgage rates, and that had an impact on home prices. If you're thinking of  selling  your house soon, that means you'll want to adjust your expectations accordingly. As  realtor.com   explains : . . . some of the more prominent pandemic trends have changed,  so sellers might wish to adjust accordingly to get the best deal possible . In a more moderate market, how you price your house will make a big difference to not only your bottom line, but to how quickly your house could sell. And the reality is, homes priced right are still selling in today's market. Why Pricing Your House Appropriately Matters Especially today, your asking price sends a message to potential buyers. If it's priced too low, you may leave money on the table or discourage buyers who may see a lower-than-expected price tag and wonder if that means something is wrong with the home. If it's priced too high, you run the risk ...

If you're on the sidelines to buy a home, there are things you can do to be ready when you do get back in the game. Improve your credit score to qualify for the best mortgage rate available which are reserved for those with the highest scores.   Get a copy of your current credit reports from all three of the main credit bureaus: Equifax, TransUnion, and Experian.   You can get them at AnnualCreditReport.com without paying for them. While you won't see a credit score on these reports, you will see a history of your available credit accounts.   According to the Federal Trad Commission, one in five people have at least one error on one of their credit reports which can lower your score or increase the cost or likelihood of receiving new credit.   Identify and correct these mistakes.   Explain in writing the error in the report and include copies of documents that support your dispute.   Both the credit bureau and the business that supplied th...

  It's a new year full of all new possibilities. While we are not wizards who can predict the future with any certainty, we can look to the past and look at the present and make some "educated guesses". Right now, San Diego is not in any danger of bursting a real estate bubble. Housing prices will most likely hold pretty steady, with only a slight decline, as more inventory comes available in the Spring and Summer. Interest rates are fluctuating as the Fed tries to balance curbing inflation with a healthy economic appetite for credit, but this won't deter determined buyers from putting in offers. The Market Report below is a reflection of these predictions.    If you know anyone who might be interested in receiving this market update every month, please have them sign up at this  link.   January - Ponder this -  “We are born in ignorance, we die in ignorance, but maybe sometimes we learn something important and pass it along to others before we die. Or we w...

 I want to share the HOMEOWNER'S TAX GUIDE with you. I trust you will find the information contained within is helpful to you.  Click here to view the guide . If you know of anyone who would find this information useful, please pass it along to them or have them give me a call. This guide is an overview of the Federal Tax Code as it relates to homeowners. Please note the guide is for informational purposes only.  For information and advice related to all tax matters, please contact your tax professional. If you need a referral for a tax professional, please let me know.  If you have any questions about this summary, please give me a call! (858) 382-3763. Your trusted real estate agent, Hope Leitner

  2023 is already making headlines for the Real Estate Market. Don't let the bad news scare you. There really is no crash in sight according to the professionals. San Diego is even less likely to experience a steep downturn. There's just too much demand for what comes on the market here. The gains in 2020, 2021 & 2022 were so extreme, any decline at all just indicates a stabilizing market.   Rising interest rates may mean that some buyers will look into risky loans, this article below will arm you with the knowledge necessary to avoid a mortgage pitfall.    I love hearing from everyone on this email list. I am here to support you whatever your real estate needs might be.     January - Ponder this -  “We are born in ignorance, we die in ignorance, but maybe sometimes we learn something important and pass it along to others before we die. Or we write it down in a little book.” - Greg Bear - Reading is what helps us overcome our ignorance, our fe...

The seller wants the most for their home and the buyer wants to pay the least possible.   From the very beginning of the homebuying process, there are adversarial positions between the principals.   If you happen to be in a multi-offer situation, it just complicates things further. Then, there are the emotions that tend to cloud the decision making on both sides of the transaction.   Sellers have lived in the home for years, possibly, with cherished family experiences and maybe, having put considerable effort and money into capital improvements. On the buyer side, they may have lost out on several homes due to competing offers and now, this year, interest rates have doubled, and the discretionary funds required to pay for a home could be causing cuts in their budget in other areas. A year ago, buyers were waiving contingencies for financing, appraisals, inspections, and other things just to be competitive.   Today, to make the home more affordable with ...

As the expression goes, "if I could turn back time", maybe you'd would do some things differently.  If you're wanting to buy a home, the regret may come from not getting a mortgage when rates were half of what they are today.  There may not be a way to literally "turn back time" but you may still be able to get a mortgage with last years' rates. Let's say a home was sold in the fall of 2021 for $350,000 with a 3% FHA loan.  Today, winter of 2023, the home is on the market for sale at $400,000.  There are buyers who have $40,000 for a down payment, who like the home, and want to purchase it. At today's mortgage rate of 6.42%, the $360,000, 30-year mortgage payment would be $2,2565.54 for the principal and interest.  They have been looking for a year and in the past 12 months, the mortgage rates have doubled which will stretch their finances along with all the other inflationary pressures. Their incredibly savvy agent has learned ...

The real estate market has held steady in San Diego despite all the doom and gloom reporting around rising interest rates. We are seeing a normal seasonal dip in average home value and inventory. This shortage is considered seasonal. While we don't anticipate 2023 to be the wild real estate ride that was 2021-2022 we also don't expect much of decline in home values. I'm including October's and November's reports at the bottom here, so you can see the changes as we moved into the winter real estate season.    If you know anyone who might be interested in receiving this market update every month, please have them sign up at this  link.   Ponder this - “ Winter is a season of recovery and preparation. ”- Paul Theroux -  Paul Theroux is best known as a slow travel writer, inspiring us to move through the world via train rather than by plane, or to stay for a while, rather than running to the next destination. We go on adventures to live. Sometimes it’s amazing and s...