Entries by Peter A Larson (1)
Your San Diego Real Estate Resource
Welcome to your San Diego real estate resource! This site is geared to help you have a resource to answer some general real estate questions and dispel some of the real estate myths that are floating around in the media. The first step to buying or selling a new home is finding the right agent or Realtor to work with to accomplish your goals. Talking to a Realtor can be a bit intimidating the first time so in the meantime, please feel free to browse this site and see if any of your questions are answered. When you are ready to start interviewing Realtors to work with, I would love to hear from you!
What are the big trends in the San Diego real estate market? FORECLOSURES ARE THE HOT ITEM RIGHT NOW! BElieve it or not, more will be popping up from the interest only backlash of recent years and we are not out of the woods yet. You could probably throw a rock and hit a foreclosure from where you are sitting right now! Is buying a foreclosure or an REO property different than a non-foreclosure home? You bet it is! Please visit the scoop on foreclosures page of this website.
Peter A Larson
I have many people ask me when the San Diego Real Estate market is going to come back. Many agents will answer that the market is already coming back or it will be fine next year...wait a few months before you buy. My less that popular opinion is that the market will not stabilize, let along begin to climb, for at least 2 to 3 more years. People that think that the market will come back within the next year or so are wearing huge blinders!
You may think that my opinion is strange as my job is to sell real estate. Although I don't think that the market will come back for another few years, it does not mean that it is not a good time to buy for anyone. If you are looking for a home that you will be living in for 5 or more years, this may be a great time to buy a home. The interest rates are very low right now, close to the lowest in history. There are hundreds of foreclosures and REO homes for sale that can often lead to a good deal. If you qualify for a home loan right now, the chances are that you can really afford the home as the lending guidelines have become much tighter. The lenders are not as comfortable with giving out "bad loans" with little information about the borrower that can ultimately lead to foreclosure.
Why not rent for the next 3 years? Taxes! If you are interested in buying a home right now and you think that you can afford it, the tax breaks may be worth while. You do not get any tax benefits for renting. If you can write off against your home mortgage and property taxes, you will be saving some money and increasing your tax returns over the next 3 years. In the short term, you may loose some of your property's value in the declining market. If you are staying in the same home until the market does come back up so that you can sell then, who cares! You will need to hold on to your property for a while to get your money back out via appreciation. If you think that you may move within the next couple of years, it could be a gamble.
There are many factors in San Diego and the national economy that play into why I feel that the market will not come back soon. If you are interested in finding out more or letting me know why you think that the market will come back sooner, please feel free to call or email me! Thanks for reading!