Archive for October, 2008
October 28, 2008
Dear San Diego Sweet Digs Readers,
As part of changes already announced two weeks ago, Redfin is changing up Sweet Digs to focus the format on proprietary, leading-edge indicators of what is happening to home prices in San Diego.
We had initially tried to provide a personal review of individual homes for sale in the area, but as a broker and an MLS member, we were not in an ideal position to be objective about other brokers’ properties. Since Sweet Digs was so local, it was also hard to keep pace with Redfin’s growth across the U.S.
The new format will largely focus on what you asked for, and what Redfin does best: hard data, delivered in a freakishly compelling way:
- Broker-only data on transaction-volume, median-price and inventory trends;
- Broker-only data on sale-to-list ratios by neighborhood;
- Redfin-only price-drop data, showing what neighborhoods have the highest fraction of price-reductions;
- Redfin-only reports on shifting search traffic patterns and price parameters;
- Local agent round-ups about how current-week offer dynamics anticipate pricing shifts;
- Analysis of Case-Schiller, Census and National Association of Realtor data.
It’s good stuff.
We’ve been preparing a change in format for several months, informed by a survey many of you completed earlier this summer, so we have reason to believe that you’ll like the new Sweet Digs.
For now, we just wanted to say thanks to the folks who helped us get Sweet Digs this far, for your dazzling wit and insight, your verve and dedication to your craft. And thanks to our readers for your steady support!
The new, more analytical blog posts start later this week. If there’s a particular type of analysis you’d like to see, just leave a comment to let us know. We’ll definitely be listening.
Regards, Glenn
Glenn Kelman, Redfin CEO
October 15, 2008
Previous Posts in this series:
Thinking Ahead: Retirement Property
Retirement Search: Initiation
Retirement: If Wishes Were Horses
Yesterday was spent on the road, checking out three north county cities. We started in Vista, which was listed as the seventh-best place in the United States for family life, based on factors such as jobs and business opportunities, education, climate, and cost-of-living in a 2008 review. Vista is a hop, skip and jump from Highway 5, via the newly paved Highway 78. The terrain is fairly flat, with some gently rolling hills around the edges. There is a diversity in neighborhoods, running from apartments to small post-war ranchers to larger elaborate mini-mansions. Strip malls abound, and we never did locate a proper “downtown” (despite using a brand new GPS system). They are building a new civic center, at the corner of Eucalyptus and Escondido, which is slated to be complete in the summer of 2010.
Some basic stats on Vista:
Population: 89,527 (based on the sign leading into town)
Median income (2006): $50,162
Below poverty line: 15%
Cost of Living Index: 121 (US Avg = 100)
Weather: Warmest Jul/Aug/Sept – low 80s Coolest Dec-March – 68
Crime: FBI crime stats show 50 per 10,000 residents (consistent with my current suburban location)
Miles from ocean: 7+
Because this is just a scouting trip, to see if we like SoCal, we have not contacted an agent to see listings. Our plan is to check out a few homes that fit our criteria, based on MLS listings, and then drive neighborhoods, visit downtowns and see what a city has to offer. My initial search turned up 12 properties of over an acre and under $600,000. As is typical of this area, many listings did not have addresses, and were listed as Undisclosed. In some cases, if I liked the look of a home, I would note the cross street and visit the neighborhood to see if it was of interest.
In Vista, we drove by three listings. The first, at 125 Kilby Lane sat amongst streets of palm and fruit trees. The home itself had no landscaping, was very vanilla in character, and overlooked an empty lot and a major thoroughfare. I had chosen this house because it came with 3 other parcels, had a pool, and had dropped in price from $1,196,000 to $519,900. Additionally, there were architectural plans for a second home. Unfortunately, it did not appeal to us.
As we drove around in a neighborhood on another side of town, we ran into 960 Phillips. A newer home, there were no flyers to check out, but we thought the neighborhood was nice. An added touch was the two peacocks strutting their stuff about 100 feet down the road. Turns out that the home is only on 6/10 of an acre (on 2 parcels), although it does have a pool. It’s in the price range at $485,000. Not quite what we are looking for, but nice nonetheless.
The neighborhood we liked best was off E. Vista Way. This was a very nice area, quiet, nice homes of varying sizes, all well-kept and landscaped. All seemed to be on generously sized lots with views of either the hills or the canyon. The home that brought us to this neighborhood is a newer French Normandy custom home on 1.18 acres. Unique, and all on one story, there were a number of high-end amenities in this listing and room for a pool or separate studio. Originally listed at $950,000, this home at 1925 Vista Grande is now priced at $625,000.
Next Up: Escondido
October 13, 2008
Previous Posts:
Thinking Ahead: Retirement Property
Retirment Search: Initiation
Ahhh…the elusive and never-ending search for what we want. It goes on even now, at our age. We’ve had a hard time pinning down what we want, as we know circumstances may change. I’d be perfectly content with a 2 bedroom home, on at least an acre, for under $600,000, somewhere in California. But, my parents have expressed interest in sharing a property with us, so we could look for compounds, a property with two homes on it, for $1mil or so. I am also willing to buy land and build a green, pre-fab home, like a Dwell house, or something from Tiny Tumbleweeds. And further yet, to be near to all our family and really enjoy our retirement years, maybe a small condo in SoCal (San Diego, Palm Springs) and a cabin (near Tahoe or Pinecrest)? Makes me sound greedy, doesn’t it?
For our San Diego purposes, our retirement search will focus on a minimum 1 acre parcel, with minimum 2BR/1BA home, under $600,000. I will, however, keep my eye out for the perfect family compound, just in case one should pop up. Gotta keep those options open. As for other criteria, which would help us in narrowing our search:
Studio or separate building for office/guests
Right now we have a room in our home dubbed the “Brady B&B Room #2″ and it gets used on a regular basis. We have guests all the time, family and friends who visit the area. We love it, kind of like adult sleepovers. If we move away from our children, we do hope they will come to visit often, as well as other family and friends, so a space for them is crucial, as is an office for me. I am a freelancer and work 95% from home and need a dedicated space for myself.
Pool
I have never owned a pool in my life, unless you count those inflatable kiddie pools. If we live in a warm area, I’d like a pool. Of course, if we move close to the ocean or a lake, I’d be happy to forget this little option.
Single story (two story okay if there is one or more BR on first floor)
I have had rheumatoid arthritis for 13 years. I’ve adjusted my habits and try to keep it at bay, as best I can. But I am trying to think ahead, and stairs would not be the wisest choice for me (unless elevators are involved, which isn’t likely in this price range).
Style of home
I really, really don’t want a rancher. I want something with character: a barn, an old church, a Victorian, a cool mid-mod, a Craftsman or even a Spanish-style. Something unique, unusual. Doesn’t have to be in tip-top condition, in fact, I’d prefer a fixer, so I can put in the kitchen I have always longed for…..
I’ve been perusing real estate online in the following San Diego county cities:
- Vista
- Escondido
- Ramona
- San Marcos
- El Cajon
- Santee
- Lakeside
- Fallbrook
I’ve also been advised to check out Coronado (for a condo only), Valley Center (near Fallbrook), and I fell in love with Encinitas yesterday when we were driving around, so will put that on the list.
It’s rather ambitious of me to think I can check all these out in the week that I am here, but I’m going to do my best, in between working and visiting friends. First up will be Vista,Escondido and Ramona.
October 10, 2008
Right, most of you are thinking “I can’t even afford my first house, forget about retirement.” But there are those of us that are thinking about these things. There has been a large exodus from California urban areas in the last 10 years, and will continue to be, due to baby boomers cashing in their equity and moving to a slower-paced life, in a less-expensive, smaller home.
My husband and I are looking down the road a few years to retirement. It has been our intention and goal to semi-retire in our fifties. We’d like to move out of suburbia and have some room to stretch our legs. We’ve seen too many family members either work up until they died, or retire early and succumb to disease and illness in their sixties. We had our children young, so we’d like to spend our later years doing a bit of travel, gardening, and whatnot before infirmities or death set in. While we may very well live into our 80s or 90s, nothing is for certain and we’d like to take advantage of our stable legs and sound mind while we can.
While we don’t have the money to invest in a second home yet, it’s important for us to try and find the right fit, location-wise, which means some travel. There are a few things we are determined to have in our search for a new area to live. One is that we will stay in California and the other is that we want some land. Doesn’t have to be a lot of land, just an acre or so, just so we don’t have to hear our neighbors sneeze and we can sleep without loud music keeping us awake or leaf blowers waking us up. Beyond that we have criteria to help us whittle down the large number of potential sites available to us. They are in no particular order, but I’m sure over time that I will build some sort of spreadsheet and we will develop a rating system to help guide what is sure to be an emotional decision.
Promixity to family (by plane or car)- Proximity to major airport
- Price of real estate
- Weather ( we like it warm/hot)
- Quality of medical facilities
- Cost of living
- Safety
- Ability for additional residence on property (for aging parents)
A few months ago I found a link to a site that recommended areas to live based on a few minimal criteria (and which I cannot seem to locate now). It seemed a bit half-assed, but I’m game to try these things in the interest of research. What came back was 8 of the 10 recommended cities were in San Diego County, a place we had never entertained thoughts about (as we live in the SF Bay Area). But it got me searching and wondering, and given that a friend just relocated to Carlsbad, I though it might be a good idea to check it out. So, today my hubby and I are off on a road trip to visit said friend and look at possible cities to retire in San Diego County. I’ve done my homework and there are quite a few, at least on paper. So follow along, and please feel free to chime in on locations, secret places, great restaurants, etc. I look forward to making the acquaintance of your fair county.
October 8, 2008
Two hours of Congressional grilling yielded no apology from Lehman Bros. CEO Richard S. Fuld. The fired exec earned over $350 million dollars in the last 7 years—a figure which he calls “appropriate”—and yet watched his company go down in flames, taking no direct responsibility during testimony. Why shouldn’t I be surprised? Apparently, he wants to know “Why Lehman didn’t get a federal rescue while others did.” A bit more business acumen might have not only kept his company afloat, it might have benefited from the recent bailout bill. Bur we’ll never know, and that’s probably a good thing.
But who will the bill bailout? That has yet to be seen, but Carolyn Said over at the SF Chronicle has an idea of some measures the government could make to help out you, me, and the economy: An interest rate cut to stimulate the economy [note: a key rate was cut this morning by .5%]; a stimulus package—think tax cuts, maybe another tax incentive to buy a house, and money to create jobs; further deposit insurance, beyond the $250,000 current limit; restructure mortgages to prop up housing and prevent further wholesale foreclosures; and, direct capital injections to keep companies afloat—in return for a share of the profits. This last idea is one I wrote about September 24th in the weekly news, in which Sweden stopped a similar crisis by participating as owners in companies they helped fund. It was win-win for the companies and the taxpayers.
As if it wasn’t enough that the Feds are bailing out what seems like everyone but those who read this blog, our illustrious Governator is asking the Feds for a $7 billion loan to help pay the bills for our fair state. After an 80+ day budget stalemate that he could not negotiate, he goes hat in hand to D.C. to make payroll. Not that I want state employees going without, that is not the point. The point is that we should be paying closer attention to local happenings. With the election, the credit crisis, mortgage meltdown, Wall Street taking a hit, we hardly have time to catch out breath. But if I were the federal government, I’d get the ruler out and slap his wrists. With Louisiana still trying to play catch-up and Texas in crisis due to recent natural disasters, why should we get money? There are countries that run on budgets smaller than ours….
So, what do you all think about Coldwell Banker’s 10 Day Sales Event (October 10th – 19th),
where you can get 10% off Coldwell Banker listings nationwide? I’ve been hearing about it, but I have to say that trying to confirm the 10 day/10% was difficult. The main CB website doesn’t even make mention of it all. The CB event website (which I googled) came back with 2 sentences and no details. The Buy section of CB doesn’t mention it either. The CaliforniaMoves.com site that CB owns does have an ad for it in the sidebar. Clicking on it gives you a downloadable pdf, which makes no mention of the 10% off, only a vague reference to “specially reduced prices.” Blessings go to the San Francisco Real Estate Blog, which posted part of the press release. I read the fine print and it does say that the 10% is for “participating home sellers,” which could mean 1 or 1,000 or 10,000. That’s the kicker. You have to contact them to find out which homes are participating. A great marketing ploy, to be sure. It may also help to sell houses, which is an even bigger result. Although if they don’t do better getting their message out and available, no one is going to take advantage.
October 3, 2008
Previous Posts:
A Kitchen Odyssey: Follow Along If You Dare
A Kitchen Odyssey: From the Beginning
A Kitchen Odyssey: What Needs to Be Done
When we moved into our current home there was old cracked and stained linoleum on our kitchen floor. Due to our limited budget and construction time, we opted to put down vinyl sheeting over the existing floor. As I mentioned before, this linoleum lasted 11 years, until a dishwasher leak forced us to tear it up. We also had to try and tear up two older linoleum layers that had fused together. This was practically impossible, and we finally gave up, installing FLOR carpet tiles as an interim fix.
This brings us up to the present. What complicates matters, when thinking about kitchen flooring, is two adjoining spaces. Through an open doorway (no door) is what was originally designed as a dining room. The previous owners used it as a family room, and we bought the house with the intention of using it as my office, which it has been for the 13 years we have owned the home. When we go to sell, down the road, it will be staged as a dining room, which is its most efficient use given the layout of our home. Currently this room is carpeted in the same FLOR squares used in the kitchen. We also have a foyer, which upon entering the home connects to a hallway on the left (to the bedrooms/bathrooms), the kitchen to the right, and opens into the living room. Currently this foyer is tiled in 6×6 gold tile with thick brown grout. Very ’60s-’70s. In other words, hideous. It needs to be replaced, so we will consider replacing it, depending on our final kitchen floor choice.
Right now there are four options in my mind:
1) Wood: there is hardwood in the living room, hall, and all bedrooms. Only the living room floor is currently exposed, as the other floors were ruined by pet urine from the previous owners. If we were to choose hardwood, it would only go in the kitchen and dining room, and it would most likely match the living room, to some extent. While I
would like to consider bamboo for my kitchen, all voices warn me against this choice. Bamboo is softer than many woods, and dings and mars more easily. Because our kitchen is a very high traffic area and gets a lot of use, it just would not be prudent. With the appropriate finish, wood can wear very well in a kitchen.
2) Linoleum: I’m not talking vinyl here, I’m talking real old-fashioned linoleum, made from linseed oil, not some synthetic petroleum-based product. Linoleum has come a long way from your grandmother’s kitchen, and is a very durable surface, not to mention hypoallergenic. The newer types of linoleum come in some great colors, and can be solid, marble, flecked, or with a pattern. (Like the Armstrong Marmorette in Terazzo Gray seen here.) It comes in sheets or tiles. This would be an option for the kitchen only.
(3) Stone or Tile Squares: Floor tiles come in a variety of sizes, but since my kitchen is relatively narrow, I would be hesitant to use the larger 18×18 tiles. I think the 12×12 would be better suited, and could work in the foyer and dining room, as well. Or there are multiple sizes that can be combined to form a pattern. Indoor stone choices include granite, travertine, limestone, slate, marble, and manufactured stone. Tiles come in a variety as well, such as terrazzo, encaustic, ceramic and terra cotta. Both are fairly easy to maintain, with a mop and warm water; they don’t stain easily, and are hypoallergenic.
(4) Concrete: This is a very durable option, and could be used in all three areas, kitchen, foyer and dining room. It wears well, cleans well, and I really like the contemporary look of the concrete floors. You can polish them, stain them, tint them, stamp them. (I like the look of the polished concrete at right, by A. Pellizari & Co.) They can look like marble or granite, or even like conventional tile. It can be somewhat cold and hard, but that doesn’t bother me in the least. A large area rug could be used in the dining room for color and warmth, and I like a functional kitchen that cleans easily.
I’ll be exploring each option in future postings. Please weigh in if you have recently put in flooring, particularly in a kitchen. I’d like to hear how things are holding up, if prices are reasonable and/or worth it, as well as any pros or cons.
October 2, 2008
As of this moment, the Health Care/Bailout Bill has passed the Senate (74 to 25) with both presidential candidates voting in favor of the bill. This morning there is an extended drum roll, waiting…waiting…waiting for the House to do the same. Wall Street, and the economy as a whole, is still on a downturn, not taking anything for granted (for a change). Investors are nervous, and I’m not talking just the big guns here, I’m talking about Everyday Janes and Joes like you and me. Citizens have been actively contacting legislators with their opinions on this matter and registering to vote in record numbers, hoping that their voices will be heard.
I must admit, early on in this crisis I thought very selfishly and with a tinge of jealousy, I might add. We had worked to buy our home, constantly improving it, assuming that one day our biggest financial asset would be sold and would help fund us in our “twilight” years. I, like many other Americans, saw our homes as a source of retirement funding. It’s a particularly popular notion in California, where home prices have gained ground threefold in less than 20 years. As the mortgage crisis began and prices started tumbling, I saw part of my future go with it. (no lectures here, I see the error of my ways, thanks to Sweet Digs readers.) What was worse is that we have friends who got out at the height of the market, buying down in places like Florida and having a comfortable nest egg to add to retirement funds. Lucky them. Only 50, my husband and I had planned on a semi-retirement in the next few years, relocating to a less-expensive area and continuing to freelance until we were too old or tired to do so. So far our house has taken a hit of $150-200,000. Not something I’m likely to get back if we plan on selling in the next 5 years.
On the other hand, what this crisis has done is bring the market closer to my children. Home prices are becoming more realistic and they are seeing a glimmer of hope that some day they will be able to afford a home of their own. It is also making them much more financially savvy; investing in 401(k) plans, building up a saving account, keeping the credit card balance paid off or at a minimum, and watching the market more closely than I ever did. It’s also making them more politically aware and active, which can only be a good thing for them and our country.
So there are winners and losers. Hopefully the American people will continue to have the strong resolve to weather this storm, like they have countless others.
