San Francisco Real Estate Blog - by Luba Muzichenko, REALTOR®

Over, Under, At - SF Home Sales: February 16 - February 22, 2009

Luba Muzichenko, San Francisco REALTOR® (Zephyr Real Estate) — Mon, 23 Feb 2009 23:00:55 -0600

Welcome back to the "Over, Under, At" weekly feature. It's a simple breakdown taken from MLS data that shows the number of closed sales that sold Over Asking Price, Under Asking Price or At Asking Price.

*Just a reminder that new construction sales are rarely included in this list since they don't get posted on the MLS.

Happy Monday folks. I can report a little sign of what might potentially be good news (yes, I'm a little wary of jumping for joy just yet.) Sales SEEM to be crawling upwards. (OK, buyers, this may not be good news for YOU, but I think you still have plenty of time to take advantage of the good values out there.) And the Over/Under/At numbers are showing that not every property is selling for under the asking price.

In fact, last week, we had JUST TWO properties that sold over the asking price - this week we have TEN! Now, I'm not saying the market is recovered, or even already recovering... but I feel like things are stabilizing and that qualified buyers are jumping on the opportunities in the market. And eventually, we'll come out of this slump. And some of you will have a shiny new (or maybe old) piece of real estate to show for it!

Keep in mind that these reports are meant to be helpful for potential buyers and sellers - but to really understand the pulse of the SF real estate market, talk to a local real estate agent. We're in the trenches and these closed sales went into escrow a month ago (sometimes less, sometimes more). We are much better in tune with what's going on in the market TODAY and can give you much more in depth information than any set of statistics can. If you need advice from a San Francisco Realtor, feel free to email me or call me at 415-307-1392. I'm always happy to talk real estate.

Here's a quick breakdown of closed San Francisco home sales for the week from February 16 - 22, 2009:

Single Family Homes - 18 Homes Sold

7 Sold OVER Asking Price

7 Sold UNDER Asking Price

4 Sold AT Asking Price

Condos/Lofts/Co-ops's - 10 Homes Sold

2 Sold OVER Asking Price

5 Sold UNDER Asking Price

3 Sold AT Asking Price

TIC's - 3 Home Sold

1 Sold OVER Asking Price

1 Sold UNDER Asking Price

1 Sold AT Asking Price

Got San Francisco Real Estate Tools?

Luba Muzichenko, San Francisco REALTOR® (Zephyr Real Estate) — Tue, 06 Jan 2009 01:00:00 -0600

Are you looking to buy a house in San Francisco? Or maybe you're pondering selling that little SF condominium or TIC?

Whether buying a house, condo or TIC, investment property,etc. or looking to sell any of the above in the City, you want TOOLS!

I'm not talking hammers, table saws and drills - I'm talking about tools that provide you with HONEST and UNBIASED information about the San Francisco Real Estate Market!

So - you want to know what kind of tools you can get your hands on?

The City Update(TM) - The Best San Francisco Real Estate Newsletter Ever!

The City Update(TM) is a little SF real estate newsletter delivered straight to your inbox (almost) every Friday. It has ALL sorts of awesome features including:

San Francisco Market Reports from the Altos Research folks
All of the NEW San Francisco real estate listings from the previous week
All of the SOLD San Francisco real estate listings from the previous week
Links to SF Open Houses, SF Foreclosure Listings, and more
Commentary about the SF Real Estate market from yours truly
SF Property "Pocket Listings" that I hear about (properties that AREN'T available to the general public!)

You can SIGN UP HERE or you can check out the site (just keep in mind that frankly, the site sucks - but I created it myself and since my HTML skills are LACKING, I'm just happy I got THAT far with it!)

SF Real Estate Market Updates

If you just can't get enough San Francsco real estate market updates between this blog and The City Update(TM), you now have one more option when it comes to getting the latest deets on what the market is doing.

Again, brought to you by the Altos Research folks, you can narrow down your reports by zip code or property type AND you can sign up for as few or as many zip codes as you like (you just have to reenter your info for each new zip code/property type).

Go ahead, get your SF real estate data fix on! You can SIGN UP HERE.

100% Complete Access to the San Francisco MLS

Know everything that's on the San Francisco market in real time. Just like a REALTOR, you'll get access to ALL of the listings in the MLS.

Unlike other Real Estate search sites, Zephyr MLS Direct gives you the most complete, accurate and up-to-date listing information available, which lets you find properties as soon as they hit the market.

It also lets you save your searches and new listings that match your criteria emailed to you as soon as they hit the market! And you can save your favorite properties, watch them go into escrow, and if they're in your "favorites" folder, you can even see the price they sold for (which we all know is super secret data.) You also get notified of any changes that occur to the property listings that match your criteria AND Friday Open House reports. Cool or what?

You'll have to give up some personal info, and "agree" to work with me as your REALTOR (it's a technicality that the MLS requires), but I NEVER EVER EVER hold you to it. To really build a client/agent relationship, we have to meet in person to decide if we're a good fit to help you achieve your real estate goals. And you'll have to CONTACT ME to make it happen. WHY? Because I'm just not into stalking and I'm easy to find.

Want your own MLS access? You can SIGN UP HERE.

So, go ahead, sign up for one, two or all three of the San Francisco real estate tools above! And if you think you'd like me to represent you in the sale or purchase of a property, call me at 415-307-1392 or shoot me an email. I'm happy to schedule a free consultation with you to see if we'd work well together.

Oh, and as a reminder, should you sign up for any of the tools above, as always, your info will not be sold, rented, shared, abused, danced on, or in any other way misused. Just thought you'd like to know.

Tags: SF+MLS, San+Francisco+MLS, San+Francisco+Realtor, SF+Realtor, San+Francisco+Real+Estate, SF+Real+Estate, SF+Market+Data, San+Francisco+Market+Data

New San Francisco Open Homes Website

Luba Muzichenko, San Francisco REALTOR® (Zephyr Real Estate) — Tue, 06 Jan 2009 00:58:58 -0600

This was one of the headlines in the weekly email I receive today from the San Francisco Association of REALTORS®:

"Association's New Open Home Site Launched-Success Will Depend on Promotion by REALTORS®"

So, I'm doing my part to promote the site by throwing a little link love their way - as well as telling you a little bit about what the site is all about.

Straight from the horse's Association's mouth:

The San Francisco Association of REALTORS® has finally launched its new real estate portal, www.sfopenhome.com. The portal features listings of properties that are being held open for public viewing (including details relating to the property and relevant showing information).

www.sfopenhome.com offers multiple search criteria to make finding the right homes to view fast and easy. And, it's interactive features will offer site visitors an enhanced user experience.

Appearing below is a description of the features that make www.sfopenhome.com unique.

* * * * *

Interactive features offer site visitors an enhanced user experience.

Listings of properties being held open are presented in "thumbnails" with a picture of the property to the left and a brief description of the property to the right. By clicking on the listing, multiple photographs of the property and full property detail information is available.

Visitors viewing any property are able to click through to the web site of the REALTOR® who has the listing or send an e-mail communication to the REALTOR® containing an inquiry about the property.

www.sfopenhome.com also contains an interactive REALTOR® member directory and other real estate-related content, including market statistics, and links to the Association's Spotlight videos and its homeowners' web site, www.sfbaywindow.com.

This new portal features an easy-to-read, enhanced open home report for consumers to download and print, featuring a thumbnail photo of the property, marketing remarks and property details.

Menu Selections:

Search Open Homes

View Properties for Sale (the most complete listing of properties for sale in the San Francisco and Daly City available anywhere)

Market Statistics (displayed in data and chart form)

Find a REALTOR® (a complete listing of REALTOR® members of the San Francisco Association of REALTORS®, by office)

Hot Topics (current news on real estate subjects)

sfbaywindow.com (a web site designed to make ownership of property in San Francisco and Daly City more rewarding)

Spotlight videos with Tom Sinkovitz (timely stories on real estate subjects)

What's Coming

A new map-based search function that will make neighborhood open home searches even faster and easier.

A "Create a Tour" feature that will allow a portal visitor to create a tour of selected properties that can be displayed on a map with a route.

A "Protect Your Rights" section describing current legislative proposals likely to affect the rights or interests of property owners that would include an opt-in feature allowing portal visitors to leave their e-mail addresses and intermittently receive "Political Alert" newsletters from the Association.

The San Francisco Association of REALTORS® is committed to improving www.sfopenhome.com to make it more serviceable to REALTORS® and more valuable to the public.

So there you have it. You now officially have a new place to search for San Francisco open houses, condos and TIC's.

But, while you should definitely check out www.sfopenhome.com, what you REALLY should do is sign up for is Zephyr MLS Direct.

With Zephyr MLS Direct, you'll know everything that's on the San Francisco market, in real time. Enjoy 24/7 access to the MLS - just like a REALTOR®. you'll see the most accurate, complete and up-to-date listing date available, enabling you to find properties first, as soon as they come on the market. Plus you'll get email alerts for new listings meeting your search criteria, automatic notifications of price or status changes, Friday Open home reports and more. You will be required to give some personal information to satisfy MLS rules, but once you've signed up you will not be contacted by ANYONE unless you request contact! Best of all, you get it FREE! Go ahead, SIGN UP! You'll be cool if you do!

Tags: Open+House+San+Francisco, Open+House+SF, SF+Property+Listings, San+Francisco+Property+Listings, San+Francisco+Real+Estate, SF+Real+Estate

Whose Agent Am I Anyway?

Luba Muzichenko, San Francisco REALTOR® (Zephyr Real Estate) — Wed, 27 Aug 2008 20:14:47 -0500

If I'm already working with you on the sale or purchase of a home, you already know the answer to the question. Otherwise, the answer can be really simple, or it can be really complicated... it depends on the situation. Sometimes I'm the seller's agent, sometimes I'm the buyer's agent... and on rare occasion, I might even be both! How can that be? Do I have split personalities? No... but depending on who I am working with, my role will be very different.

First, I guess I should back up and explain what it really means to be an "agent." It means that I am authorized to act on behalf of my client in the purchase of real estate. This agency relationship creates a fiduciary duty on my part , which is essentially a legal relationship between me and my clients. In fact, according to Wikepedia...

A fiduciary duty is the highest standard of care imposed at either equity or law. A fiduciary is expected to be extremely loyal to the person to whom they owe the duty (the "principal"): they must not put their personal interests before the duty, and must not profit from their position as a fiduciary, unless the principal consents. The fiduciary relationship is highlighted by good faith, loyalty and trust, and the word itself originally comes from the Latin fides, meaning faith, and fiducia.

When a fiduciary duty is imposed, equity requires a stricter standard of behavior than the comparable tortious duty of care at common law. It is said the fiduciary has a duty not to be in a situation where personal interests and fiduciary duty conflict, a duty not to be in a situation where their fiduciary duty conflicts with another fiduciary duty, and a duty not to profit from their fiduciary position without express knowledge and consent. A fiduciary cannot have a conflict of interest. It has been said that fiduciaries must conduct themselves "at a level higher than that trodden by the crowd."

This essentially means that my clients' interests come first... all of the time.

When I'm working with buyers, I am the buyer's agent. I represent the buyer's best interests. While some of the things I do for buyers go above and beyond fiduciary duty (no where does it say that I have to celebrate the purchase of my client's home with a bottle of champagne or be their real estate consultant for life, but I do these things). Essentially, my goal is to get my clients the best possible place at the lowest possible price and best possible terms.

On the other hand, when I am the seller's agent, I represent the seller's best interests. Again, I go above and beyond fiduciary duty (such as giving all of my clients access to Zephyr MLS Direct which provides them with access to 100% of MLS data, and allows them to keep their eye on the competition or referring them to contractors that can help them make their home look its absolute best for the sale).

Of course, there are rare occasions when I am a dual agent! This can present huge limitations. I can no longer represent either client's best interests... instead, I have to be impartial and am not able to negotiate, or fight for one client's position over the other. When I say that these occasions are rare, I mean they are RARE! Typically, the only way that I will take on such a situation is when both a buyer and seller approach me to handle the details of the transaction, rather represent either party's interests. However, such a situation has the potential to crop uo if I am listing a property for sale, and one of my clients is interested in buying it. In those rare cases, I typically refer my buyer client to another agent that I trust for the offer writing and negotiations. There is no way that I would be able to be impartial in such a situation, and having my client be taken care of by someone I know and trust is almost as good as taking care of them myself. The goal is for their interests to be taken care of, not matter what!

You would think that due to the conflict of interest dual agency presents, most agents would avoid it. But often times, a listing agent will meet a potential buyer at an open house and try to get the to make an offer on their listing. This is a lose-lose situation for all parties involved, except for, of course.... the agent.

If you're a seller, you probably already have your own agent listing your property. But if you're a buyer, watch out! Make sure YOUR interests are represented. Find an experienced agent to really represent your best interests, and hopefully go that extra mile for you as well. Remember, working with a buyer's agent doesn't cost you a thing! And it's the best protection you can get to make sure you have a smooth and problem free home purchase.

Tags: San+Francisco+Real+Estate+Agent, SF+Real+Estate+Agent, SF+Real+Estate+Fiduciary+Duty, San+Francisco+Real+Estate+Fiduciary+Duty, SF+Realtor, San+Francisco+Realtor

San Francisco Real Estate Sales Data - July 2008

Luba Muzichenko, San Francisco REALTOR® (Zephyr Real Estate) — Wed, 27 Aug 2008 20:13:36 -0500

As I do every month, I ran the latest San Francisco real estate sales figures from the month of July for you. The last few months, I've been a little bit behind schedule (I like to do these at the beginning of each month,) but hell, I'm not a superhero or anything! I'm just a human Realtor that occasionally gets busy, or has life get in the way of this little humble San Francisco Real Estate Blog. I'm a San Francisco Realtor by addiction, I'm a San Francisco blogger by choice.

Enough about me though, right? You want to talk about SALES!

Single Family homes sales volume is down, median price is up, days on market is down. Condo/Loft and Co-op sales volume is up, median price is up, days on market is down. TIC sales volume is down, median price is down, days on market is slightly up.

What I am noticing across the board is that the list to sales price ratio for properties that are selling within 30 days is climbing. And as far as medians go, the median list to sale price ratio is telling me that places are mostly selling for close to the asking price. Whether it's an indication of better pricing strategy on the side of sellers and their listing agents, or if it's an indication that the market is stabilizing - it's an indication that you're not able to go and steal anyone's property out from under them. You can get a good place at a good price, but no seller needs to just give it away to you.

Though I still sing the same tune from last month... I think we're still moving along at a pace that's great for buyers, not so great for sellers and is still, overall, ok for the City.

So here's this month's summary of home sales pulled directly from the MLS. Remember, these are all closed sales and not pending sales.

Check back monthly to get the latest facts and figures - and if you have any questions about these statistics, or the market in general, feel free to give me a holler! I'm always happy to talk "real estate!"

Here's a quick snapshot of the market from July 1, 2008 through July 31, 2008:

Single Family Homes

219 Homes Sold
Median Sale Price was $849,000
Minimum Sale Price was $190,000
Maximum Sale Price was $7,700,000
Median Selling Price was 100% of asking price
Median Days on Market was 29
Median Selling Price for homes that sold within 30 days was 104.5% of asking price

Condominiums, Lofts & Co-ops

230 Homes Sold
Median Sale Price was $795,900
Minimum Sale Price was $150,000
Maximum Sale Price was $5,000,000
Median Selling Price was 99% of asking price
Median Days on Market was 41
Median Selling Price for homes that sold within 30 days was 102.5% of asking price

TIC's

33 Homes Sold
Median Sale Price was $544,500
Minimum Sale Price was $265,000
Maximum Sale Price was $1,750,000
Median Selling Price was 102% of asking price
Median Days on Market was 77
Median Selling Price for homes that sold within 30 days was 105.77% of asking price

Tags: San+Francisco+Real+Estate, SF+Real+Estate, SF+Market+Data

Got San Francisco Real Estate Tools?

Luba Muzichenko, San Francisco REALTOR® (Zephyr Real Estate) — Wed, 27 Aug 2008 20:11:37 -0500

Are you looking to buy a house in San Francisco? Or maybe you're pondering selling that little SF condominium or TIC?

Whether buying a house, condo or TIC, investment property,etc. or looking to sell any of the above in the City, you want TOOLS!

I'm not talking hammers, table saws and drills - I'm talking about tools that provide you with HONEST and UNBIASED information about the San Francisco Real Estate Market!

So - you want to know what kind of tools you can get your hands on?

The City Update(TM) - The Best San Francisco Real Estate Newsletter Ever!

The City Update(TM) is a little SF real estate newsletter delivered straight to your inbox (almost) every Friday. It has ALL sorts of awesome features including:

San Francisco Market Reports from the Altos Research folks
All of the NEW San Francisco real estate listings from the previous week
All of the SOLD San Francisco real estate listings from the previous week
Links to SF Open Houses, SF Foreclosure Listings, and more
Commentary about the SF Real Estate market from yours truly
SF Property "Pocket Listings" that I hear about (properties that AREN'T available to the general public!)

SF Real Estate Market Updates

Go ahead, get your SF real estate data fix on! You can SIGN UP HERE.

100% Complete Access to the San Francisco MLS

Know everything that's on the San Francisco market in real time. Just like a REALTOR, you'll get access to ALL of the listings in the MLS.

Want your own MLS access? You can SIGN UP HERE.

San Francisco Condo Sales: May 2007 vs. May 2008

Luba Muzichenko, San Francisco REALTOR® (Zephyr Real Estate) — Tue, 24 Jun 2008 19:11:20 -0500

Here’s the latest Fast Facts update from the SFAR. Updates are provided almost weekly and each week is a different sector of the market (ie. Condos, Single Family Homes, 2-4 unit dwellings, etc.). Check back next week for more statistics.

Fast Facts

Condominiums

District 1	May 2007	May 2008
Number of Sales	17	15
Median Selling Price	905,000	850,000
Average DOM	30	62

District 2	May 2007	May 2008
Number of Sales	1	3
Median Selling Price	790,000	937,000
Average DOM	2	33

District 3	May 2007	May 2008
Number of Sales	4	3
Median Selling Price	440,000	380,000
Average DOM	50	86

District 4	May 2007	May 2008
Number of Sales	7	5
Median Selling Price	585,000	606,000
Average DOM	37	40

District 5	May 2007	May 2008
Number of Sales	42	32
Median Selling Price	911,000	938,500
Average DOM	29	52

District 6	May 2007	May 2008
Number of Sales	15	8
Median Selling Price	842,000	831,500
Average DOM	26	35

District 7	May 2007	May 2008
Number of Sales	31	32
Median Selling Price	1,295,000	1,075,000
Average DOM	36	50

District 8	May 2007	May 2008
Number of Sales	51	45
Median Selling Price	699,000	775,000
Average DOM	36	47

District 9	May 2007	May 2008
Number of Sales	59	42
Median Selling Price	750,000	795,000
Average DOM	46	77

District 10	May 2007	May 2008
Number of Sales	8	4
Median Selling Price	509,500	349,475
Average DOM	64	34

District 11	May 2007	May 2008
Number of Sales	7	3
Median Selling Price	478,000	539,500
Average DOM	51	79

San Francisco Home Sales Data - April 2008

Luba Muzichenko, San Francisco REALTOR® (Zephyr Real Estate) — Tue, 06 May 2008 00:56:17 -0500

Do you realize that it's MAY??? I mean, a third of 2008 is now but a memory. Winter is over (though I couldn't really tell by today's weather) and Spring isn't far from being over too.

Other things that typically happen this time of year is that San Francisco Real Estate Sales pick up - and this year is no less typical (in this regard at least) that others. With that being said - I went ahead and ran the sales from the MLS as I do every month and found some interesting stuff.

Notables from April 2008 sales figures:

Median sales price rose across the board from last month.
The selling price vs. listing price percentage increased in single family homes and TIC's, but dropped in condos.
Days on market decreased across the board.
In terms of sales volume, single family home and condos increased drastically over last month, but we had just 2 more TIC sales than we did in March.

Last month I had a theory about TIC buyers. And I'm starting to think I was right. I'm also noticing better deals on condos due to less competition. In fact, I was just able to help my client negotiate an offer on a condo for $50K under the asking price. We did provide the sellers with other concessions such as a short escrow and free rent back, but we got the price we wanted - so I think everyone is happy. The point is, there are good values out there right now - and if you're hunting for a home right now, you might find a good deal. And sellers, don't be afraid to sell now - but do be prepared to be realistic about the sales price.

So here's this month's summary of home sales pulled directly from the MLS. Remember, these are all closed sales and not pending sales.

Here's a quick snapshot of the market from April 1, 2008 through April 30, 2008:

Single Family Homes

193 Homes Sold
Median Sale Price was $935,000
Minimum Sale Price was $350,000
Maximum Sale Price was $5,625,000
Median Selling Price was 104% of asking price
Median Days on Market was 30
Median Selling Price for homes that sold within 30 days was 105% of asking price

Condominiums, Lofts & Co-ops

184 Homes Sold
Median Sale Price was $815,000
Minimum Sale Price was $335,000
Maximum Sale Price was $4,625,000
Median Selling Price was 98% of asking price
Median Days on Market was 35
Median Selling Price for homes that sold within 30 days was 104% of asking price

TIC's

40 Homes Sold
Median Sale Price was $664,000
Minimum Sale Price was $263,500
Maximum Sale Price was $1,799,000
Median Selling Price was 102% of asking price
Median Days on Market was 45
Median Selling Price for homes that sold within 30 days was 102% of asking price

San Francisco Real Estate - Is it a Buyer's Market or a Seller's Market?

Luba Muzichenko, San Francisco REALTOR® (Zephyr Real Estate) — Tue, 22 Apr 2008 17:34:37 -0500

So I was just surfing the San Francisco real estate blog-o-sphere after a long hard day of looking at properties that are currently on the market - and I noticed an interesting trend. I noticed that there are properties on the market right now that have had offer dates come and go - and they haven't received offers.

Now - you've heard me say that I think now is a great time to buy San Francisco real estate. If you check out my last few posts about mortgage rates or the rising cost of SF Rents, you'll get my drift. And I'm sticking to that point of view.

And I just read a post that further solidified my belief that NOW is a great time to buy! I read on the Daily Pundit that not only are buyers out there making low-ball offers on properties, but when sellers try to counter those low-ball offers, buyers just walk the hell away. I'm hearing the same things from agents that I work with also. I'm also seeing that with some of my own clients.

Why? Because smart buyers know that RIGHT NOW - they will be able to find a decent property at a decent price and they don't need to get into a bidding war to get it!

Don't get me wrong - there are still rockstar properties out there that will get a ton of offers and go way over asking. But (and I am surprised about this) I am seeing properties that a year ago would have commanded at least 5 offers not getting a single one come offer date.

In fact, I recently told a client of mine that I was convinced that a San Francisco condo she was interested in would sell for at or a little over asking, and it ended up selling for below asking - $16K under asking to be exact. OK - so we're not talking $100K, but shoot - $16K can get you most of the furniture you need for a 2BR condo if you know where to shop! Oh - and yes - I just admitted in public that I was wrong. It doesn't happen often though folks - so don't get used to it! ;-)

So what's my point? The title of this post has something to do with sellers and I haven't mentioned them yet. So here it goes...

Sellers - it's time to get realistic about selling your home in San Francisco.

You might have a great place, but unless you have a rockstar property, you likely will not get 10 offers. Right now - you just need to get one good solid offer that doesn't have shaky financing or some other quirk. One good offer is all it takes to get your place sold.

I've mentioned many times that I don't take listings that I don't think will sell, and I've had to turn down many sellers in the past because their expectations of what the market was going to bring them just weren't realistic.

Some have delusions that their property appreciated $100K or more from a year ago for no reason. Others are convinced that the improvements they made added hundreds of thousands of dollars in value, when the improvements they made actually took away from the value. Others still think they are living in 2004 or 2005 when you stuck a for sale sign in your yard and your property sold before it even hit the MLS. I'm not saying that's every seller - but I've met a lot of those, turned them down and their properties are STILL on the market to this very day.

A personal note to the San Francisco Home Seller - if you want to sell your home, you need to get realistic about what someone will be willing to pay for it. And if you get a good strong offer, don't look a gifthorse in the mouth, be happy with the bird in the hand, and know when to hold them and when to fold them - If the cliches didn't get my point across, let me put it another way - take the strong offer, because even though it might not be what YOU thought your home was worth, but it is what the market thinks it's worth.

Is it a good time to buy? Yes - if you're a serious buyer looking for a property at a fair price.

Is it a good time to sell? Yes - if you're realistic about the market and don't expect a miracle.

People are buying and selling properties all over San Francisco. If you are trying to buy or sell and you can't seem to make it happen, it's time to re-examine your expectations. Feel free to contact me and I'll be happy to help you set some realistic goals.

Where Are Mortgage Rates Headed in 2008? (And How Do They Affect San Francisco Real Estate?)

Luba Muzichenko, San Francisco REALTOR® (Zephyr Real Estate) — Mon, 21 Apr 2008 15:49:19 -0500

The beginning of the year brought us some declines on the mortgage scene - along with the addition of the strange new agency jumbo loan which covers the area between the traditional conforming loan of up to $417K but below a "real" jumbo loan which starts at $729K. Interest rates are historically low and while they're expected to stay that way through 2008, they are expected to creep upward as the year progresses. From The Real Esate Daily News:

Mortgage Rates Hit Low Point The 30-year fixed rate mortgage currently sits at 5.88 percent, and analysts say they are unlikely to fall any further for the rest of the year. The rate on the fixed loans is only down a quarter of a point this year, as the credit markets have cut the link between it and yields on 10-year Treasuries; and while skittish investors have moved to Treasuries to trim the yields, mortgage lenders have not eased lending standards. Mortgage rates are likely to close 2008 at about 6 percent as investors in bonds focus on rising inflation, driving interest rates higher. Long-term rates will also increase due to the additional supply of Treasuries as Congress borrows to raise money for the growing federal budget deficit.

That's great news for people that are ready to buy San Francisco real estate right now - the rates are slowly creeping up, and if you don't wait too long to buy, you can still take advantage of the great rates out there. That's also not horrible news for people waiting a bit - yes, interest rates will be higher by the end of the year, but not drastically. If you can't afford to buy just now, or aren't able to for another reason - you will still fall likely take advantage of historically low interest rates, they just won't as low as they are today. If you need advice about whether the interest rates make "now" a good time for you to buy, contact me. I'm always happy to talk about SF real estate! :-)

Renting in San Francisco Becomes an (Even More) Expensive Affair

Luba Muzichenko, San Francisco REALTOR® (Zephyr Real Estate) — Fri, 18 Apr 2008 02:19:32 -0500

According to this article in SF Gate, San Francisco rents shot up 14.4 percent from a year ago! So here's my hypothetical question to the renters that can afford to buy - (and I'd love to hear from some of you readers if you feel like answering): If you can afford to buy and aren't planning on moving outside of SF in the next five years, why are you still renting? Now - don't get me wrong - I get it. Buying a home is expensive. Lenders aren't exactly giving money away. In fact, there's all sorts of stuff they want you to do to get pre-approved. They want money in reserves in addition to your down payment. They want good documented income. They want your first born child. (Just checking to make sure you're still following along :-)) But the reasons I hear for not buying real estate just don't make sense to me. Shoot, they don't even make sense to Donald Trump. In fact, the Don's blog says:

Are you the type of investor that waits for a stock price to escalate before you buy? Do you wait for that sale to end before going into the store and purchasing the item you have been dreaming of? Of course not! “Buy low, sell high” is capitalism at its finest. The best times to make money in real estate as well as the stock market, is when you have volatility.

The emphasis at the end was added by me. But it's a damn good point! Now - we're not exactly seeing what I'd call "bargains" right now in the San Francisco real estate market, but we ARE seeing relatively good deals that you can buy without a lot of competition from other buyers. In fact, the people that have the most at stake to lose if the real estate market collapses (that would be REALTORS) are the people that are out there and buying real estate right now! They are "buying low!" or as low as this market will let them buy, that is. So, if you're renting but have good income and a ton of money for a down payment AND aren't planning on moving out of San Francisco in the next few years, get off your behind and buy something. And then you can call me in five years and thank me for telling you to do it!

Got SF Real Estate Questions?

Luba Muzichenko, San Francisco REALTOR® (Zephyr Real Estate) — Thu, 17 Apr 2008 23:49:57 -0500

I forget sometimes that people actually read this blog. In fact, I'm often surprised when I run into people that actually know who I am after reading my thoughts about San Francisco real estate. Usually, the people that recognize me are other agents that read this blog, but sometimes, I run into strangers at open houses or other place that actually recognize my name - and they say that it's from here! It's nice to be reminded that people actually read what I write, and even nicer when someone takes the time to write in and ask a question to get my advice! Occasionally, I find the questions (along with my answer) worthy enough to publish (with occasional edits to keep some of the person's information confidential). So here's a question I recently received that I thought I'd share with the rest of you out there in blog land.

Q. I love reading your blogs! Your advice and expertise is awesome, I was wondering if you can give me some advice? I have the opportunity to buy a family home in district 1 for $650,000. It needs approx. $80,000 of work. Is this a good deal in the overall spectrum of the real estate market? Do you forsee the market dropping more, and if so, for how long?Thank you, thank you, thank you for your time.

A. Hi S.M.!

Thanks for the kind words about the blog. It’s always nice to hear positive feedback!

First – about the place on (location not being revealved) Avenue. On the surface, it sounds like a great deal for district 1. (How many bedrooms/bathrooms does the place have?) But a lot of other factors can make it a horrible deal – from the neighbors, to the layout of the property, to the fact that the $80K estimate to repair the place can easily double. (Who gave you the estimate for repairs?) So what looks like a good deal on the surface may very well turn into a bit of a nightmare once you actually buy the home. The key is to look for neighborhood comparables, and if the price is good ($650K for District 1 sounds good, but to say for sure, I’d have to see it and see the repair estimate).

As for the market in general – there are certain areas where there really hasn’t been depreciation. There hasn’t been any major appreciation to speak of either, but prices in District 1 haven’t gone down (in fact, even with fewer sales, median price has increased slightly). So in my crystal ball – I foresee that the market isn’t really going to be dipping down much further except for a few select neighborhoods in parts of Districts 3 and 10 where values during the “boom” skyrocketed to levels that were out of control, and in my opinion, the dropping values there are more a sign of a market correction (prices there shouldn’t have grown that rapidly) than a sign of the market falling.

A lot of it is also going to depend on your goals. How long do you plan to stay in a place? Are you single? Married? Kids? Dogs? Do you have plans for marriage, kids or dogs? There are going to be more decisions that you’ll need to make to decide whether this home is right for you. For that matter – the size of your down payment as well as cash reserves will make a difference as well. As will who does the repair work – are you handy? Is the work just cosmetic? Or is there structural work?

So – sorry for the lack clarity in my answer, there just aren’t any black & white or yes & no answers in real estate. Every buyer/seller/house/neighborhood/lender etc. is different and that makes it difficult to give a cookie cutter answer to any question.

If you want to talk more though, I’m happy to help you to try to get to the bottom of whether this place is a good deal for you. My advice is always free and without any obligation to meet in person or to work with me as your agent. However, if you do want to meet in person and do need help – well, I’m available for that as well. Just let me know how I can help and I’ll be happy to accommodate!

Please don’t hesitate to call me or email me if you want to talk further.

Hope my answers helped a little – even if they were just food for thought!

Best regards,

Luba Muzichenko

How to Settle Your Real Estate Disputes - The FREE Public Seminar

Luba Muzichenko, San Francisco REALTOR® (Zephyr Real Estate) — Thu, 11 Oct 2007 04:09:03 -0500

So you hate your landlord, or your tenant? Or maybe you own a TIC and you and your co-owners can't seem to agree on anything? Or is your neighbor the neighborhood nuisance? No matter what the situation, Elizabeth Erhardt, a litigation attorney and partner of Sideman & Bancroft LLP will provide you with answers at the upcoming FREE public seminar sponsored by Zephyr Real Estate and yours truly.

The presentation will feature attorney Elizabeth Erhardt. Liz concentrates her practice on resolving real estate disputes including:

landlord-tenant matters

co-owner disputes

purchase and sales agreements

boundary disputes

nuisance actions

probate disputes involving real property

Ms. Erhardt will be discussing recent legal decisions affecting real property acquisition and retention and will be available to address real estate questions and concerns for you.

When: October 20th - 10:00am to 12:00pm
Where: Contract Design Center, 600 Townsend Street, San Francisco
RSVP: E-mail Luba or 415-695-7707 x 167

Light refreshments will be served.

That Chicken Took My Parking Spot! - PARK(ing) Day 2007

Luba Muzichenko, San Francisco REALTOR® (Zephyr Real Estate) — Sun, 23 Sep 2007 02:04:06 -0500

If your usual parking spot has a chicken running around, or has a park bench, or looks like an art gallery, don't be surprised.

September 21, 2007 - PARK(ing) Day

Conceived by REBAR, a San Francisco-based art collective, PARK(ing) Day is a one-day, global event centered in San Francisco where artists, activists, and citizens collaborate to temporarily transform parking spots into "PARK(ing)" spaces: temporary public parks.

Check out these links for more info:

Got Eggs
PARK(ing) Day 2007
PARK(ing) Day 2007 Locations
PARK(ing) Day 2007, Turning Parking Spaces Into Parks

San Francisco Rents on the Rise

Luba Muzichenko, San Francisco REALTOR® (Zephyr Real Estate) — Sun, 23 Sep 2007 01:59:36 -0500

Rents in San Francisco are (surprise) on the rise! As less people qualify for loans due to the tighteninig restrictions in the mortgage industry (restrictions that I agree with wholeheartedly), more people need to rent, rent, rent their homes in San Francisco. And what happens with supply & demand? As demand goes up, supply goes down, and prices skyrocket.

One analysis points out that "In San Francisco, a full-time worker needs to earn nearly $30 an hour to afford a modest two-bedroom apartment. In West Virginia, the same "housing wage" is about $10 an hour."

Check out these thoughts from across the internet on the San Francisco rental market:

Bay Area rental market roars back
Rents on the rise in San Francisco
As rent prices rise, families seek shelter

San Francisco Realtor Seeing Goats!

Luba Muzichenko, San Francisco REALTOR® (Zephyr Real Estate) — Sun, 23 Sep 2007 01:55:00 -0500

OK... so maybe it isn't an invasion, maybe they were invited. And maybe they're not all over San Francisco, but confined to a hillside that's part of the Laguna Honda Hospital Campus in San Francisco's Forest Hill neighborhood.

But when I drove down Laguna Honda Boulevard today, I nearly broke my neck when I caught a glimpse of the goats grazing on the hillside! The goats didn't run away from home to party in the City, but were brought in from Sycamore Farms of Monterey County to gobble up some the hazardous grass on the hillside that might, under the right circumstances, end up as fire hazard.

Apparently, this is the third year in row that the goats have visited Laguna Honda, but just the first year that I wasn't too oblivious to notice that they were there. They'll be staying through the end of the month, so if you want to catch a glimpse for yourself, here's how to get there:

View Larger Map

Read the full update: Laguna Honda Hospital Gets Its Goat – 600 of Them

San Francisco Realtor Visits Dwell on Design

Luba Muzichenko, San Francisco REALTOR® (Zephyr Real Estate) — Tue, 18 Sep 2007 01:14:40 -0500

I missed the Mayor, but I had a great time anyway! As I mentioned a few weeks ago, I got the opportunity to go to the Dwell on Design conference and exhibition today. I hear that our green Mayor Newsom swung by today... but even though I didn't get a chance to meet Gavin and see his perfect hair in person, I still had a great time at the exhibition and couldn't believe how much fun stuff I saw (not to mention the cool environmentally friendly bag I got that I'll be using to carry my groceries in until it falls to pieces). Here's a partial list of stuff that caught my attention and got my design juices flowing:

EcoSmart Inc - The EcoSmart™ Fire is an Australian innovation - an environmentally friendly open fireplace. The EcoSmart™ Fire is flue less and does not require any installation or utility connection for fuel supply, which makes it ideal for just about any architectural environment. Fuelled by a renewable modern energy (Denatured Ethanol), it burns clean and is virtually maintenance free. Featuring remarkable design flexibility, the simplicity of the EcoSmart™ burner and the modular nature of its design grants consumers with significant versatility and choice.

Bison Deck Supports - A great and inexpensive product for a roof deck! Adjustable BISON Deck Supports elevate concrete pavers, wood tiles, composite materials, industrial grating, conventional wood truss systems or natural stone over roof and plaza decks, on-grade, in water features... over any structural surface!

Heath Ceramics - Heath Ceramics is one of the few remaining mid-century American potteries still in existence today. We have been making tableware and tile for over a half-century right here in our Sausalito, California factory. Our crew of 40 skilled artisans (many having been here for 20+ years) still makes every product on premises, often utilizing the methods and techniques developed by Edith throughout her career.

GeoCrete by Cheng Designs - Just as nature formed granite and marble, skilled artisans shape Geocrete™ into the sculptural, luminous, concrete forms made famous by Cheng Design. Artful compositions of gently sloping plains let water flow naturally to the sink. Subtle contours cradle fruit or flowers. Integral trivets and cutting boards fuse art with function — function into award winning design.

EQ3 - Cool furniture, at decent prices. No more needs to be said.

Prefab, Prefab, and More Prefab - Too many prefab construction companies to name them all, but they are all super cool, with super low construction costs, and they all seem to think they have a chance at one day building prefab in San Francisco, even though no one has been able to convince the Department of Building Inspection here that they're OK to build here. I suggested to a few of the companies that they form a trade organization and lobby the City of San Francisco to allow prefabricated construction to be built here. If they ever do that, I'll be happy to take credit for it.

Modwalls - Cool tile. Really cool tile. All kinds of shapes, and some of them with tattoo art painted on the inside (these might get outdated pretty quickly... but they do look cool today.)

Bamboo Sourcery - An incredibly knowledgable company that was able to warn me away from black bamboo at my home on Great Highway. While everyone else has said it would be great there, their knowledgable representative explained to me that not all bamboo likes salt air, and black bamboo especially would look like crap in a short amount of time.

There where tons of other exhibitors there today that had amazing things. The Dwell Outdoor section was pretty damn cool too, especially the odd hot tub that doubles as a bar-b-que (I kid you not). Overall, it was as fun as I had expected, and I learned way more than I expected.

I can't wait till next year! Dwell on Design 2008, here I come!!!

The San Francisco Real Estate Report - August 2007

Luba Muzichenko, San Francisco REALTOR® (Zephyr Real Estate) — Tue, 18 Sep 2007 01:09:00 -0500

It's been a hectic Monday. Trying to function in the real estate world without email is like trying to catch a criminal without the ability to process fingerprints. It's possible, but it sure is hard work. Our IT department is still trying to rebuild our email database, so that still means, no email for Luba. The first phase was denial, then it was anger, then it was acceptance.... now it's just patient waiting. In the meantime, my "Official" The San Francisco Real Estate Report was just released so I thought I'd give you access to it. This is more thorough than the feature I recently started in September that I plan on publishing on the 1st of every month. Those numbers are rough, while the numbers in The San Francisco Real Estate Report are complete, and have pretty charts and graphs to go with them. A quick summary of the report:

The median price for condos in San Francisco in August rose 0.6% to $820,000 from July, up 10% compared to last August. The average price for condos gained 2.3% to $847,209, month-over-month. The average price was up 7.3% year-over-year.

San Francisco condo sales rose 1.5% in August, but was down 3.3% year-over-year. Year-to-date, condo sales are up 0.2%.

The median price for single-family, re-sale homes rose 2.9%, a year-over-year gain of 10.1%. The average price fell 9.8%, up 13.7% compared to last August.

Home sales fell 4.8%, month-over-month, and were down 7.4% year-over-year. Year-to-date, home sales are down 6.5%.

To read more, and see the breakdown my district, and check out the pretty charts, check out The San Francisco Real Estate Report .

Buy a Home with Other People's Money

Luba Muzichenko, San Francisco REALTOR® (Zephyr Real Estate) — Sun, 16 Sep 2007 19:54:50 -0500

SFGate.com ran an article back in July that talked about a concept that we're seeing again called equity sharing. I had a few clients ask me about it, so I approached Monica Di Perna to get some more information on the topic. Here's what she had to say:

Equity shariing was very popular when I first started in the business 12 years ago. In 1994, when I was going to business school during the evening, my old boss, Rob McNab taught me how to underwrite, process, and originate loan files. He was a REALTOR®, Asset Manager, CFP/Financial Planner and Tax Preparer. He had about 500 clients that he serviced all their financial needs. He was the one that taught me about the concept of Trust Deeds.

Basically, when he had a client that wanted to buy a house but didn't have the down payment, he would send out a notice to all of Rob's clients. We would alert our clients as to opportunities of making 8/9/10% returns on money that would be collateralized against properties or by partnering up to benefit from future appreciation. Many clients would call and of course, want these high returns/appreciation. If they didn't have the cash, they most likely had the equity in their home. At that point, we would do a quick cash-out refinance. Then with that money, we would use that as a down payment on a property for our other client.

This would create a situation where we would have two sets of clients basically owning one property.

Scenario 1: Client A, who didn't have the down payment, would own, say, 80% of the property and Client B who was providing the equity/down payment would own 20%.

Or Scenario 2: Client A, would own the entire property, and pay Client B, the interest for borrowing the money.

In Scenario 1, we have Equity Sharing and in Scenario 2, we have a purely interest investment with a Trust Deed attached to the Property. In either case, Equity Sharing provided the opportunity to purchase for Client A and the opportunity to diversify Client B's Equity. Client B, is able to make his equity grow in 2 properties, not one. We would produce the Trust Deeds between the clients, and I would personally go down to the Recorders office in downtown San Jose and record the transaction. In the early to mid '90's, real estate had been hit, and so lenders were more restrictive, similar to our new mortgage environment today.

As it stands, zero down loans are very difficult, lenders are threatening to take away No Doc loans and stated income loans, and it is simply becoming a far more restrictive and tightening market. I believe Equity Sharing, may be a creative way to not only attract more opportunities for buyers, but to enable owners to take advantage of investing in the subtle real estate opportunities that exist today. Today, down payments are a BIG opportunity.

By placing this spin on these possible joint ventures, we could really create more real estate opportunities by circumventing lender guidelines.

There is an in-depth manual on equity sharing written by TIC and co-owndership guru (and attorney) Andy Sirkin. If you would like to get evern more information on equity sharing, or would like to find a partner to help you purchase a home, give me a call. I'm happy to talk to you about it.

When Good Email Goes Bad

Luba Muzichenko, San Francisco REALTOR® (Zephyr Real Estate) — Sun, 16 Sep 2007 03:41:43 -0500

As a REALTOR®, my email is my life line. On an average day, I get anywhere from 40 emails and on a busy day, 100 (or many more) emails are not uncommon. I'm connected to my email just about everywhere I go. My Palm Treo gives me access to my email on the go. I opted for the Windows based model when I bought my smart phone because it works better with my email, even though sometimes it's worse as a phone (imagine having to reboot your cell phone a few times a day.) Even with all of my phone's quirks, I am assured that every 10 minutes, almost without fail, I have access to my emails. I prioritize when I answer them... my phone's keyboard is quite small, and frankly, my typing thumbs cramp up rather quickly, so some emails must wait to be answered when I get to my computer, but others that are more urgent can be answered right away. Nothing makes a REALTOR's® job smoother than being able to answer urgent emails promptly rather than waiting to put out fires when I can finally read them. And at times, it's worth the sore thumbs.

Frankly, I'm addicted to my email. Without it, I wouldn't even know how to function. Without it, I go into withdrawals. My name is Luba, and I am an email junkie.

For the last 24 hours, and still counting, my email server has been down. My IT department is working on the fix, and I know that relatively soon, I will get my email back. Soon, I will able to read my clients' emails, and I will be able to respond. But for now... I find myself holding my phone and trying to force the emails to jump back into it. I look at my MicroSoft Outlook and hit the send/receive button over and over and over, waiting for the miraculous moment when that first email trickles back into my inbox. I catch myself wondering what is in that inbox? What if there is something there that needs immediate attention? What if someone needs me and I can't jump to the rescue? I can imagine that this is what Bruce Wayne would feel like without his Bat-Signal. Yes, people can call me, but if you're used to calling Bat Man by using the Bat-Signal, it might take you a while to figure that you should call his Bat Phone when he doesn't respond right away.

I know I'll be ok eventually. I know that my email will be back, and I know that the citizens of San Francisco will again be able to count on me to promptly answer their real estate needs via email. But for now, I'm looking into support groups for those that have lost their emails. If you have any suggestions... don't hesitate to share.

Free Passes to West Coast Green Conference in San Francisco

Luba Muzichenko, San Francisco REALTOR® (Zephyr Real Estate) — Sat, 15 Sep 2007 02:52:43 -0500

Yours truly scored a handful of free passes to the West Coast Green Conference! (I had mentioned the conference in a recent post.) Most days of the conference are open to the trade only, but Saturday, September 22nd is Homeowner's Day.

You can get FREE passes while they last by emailing me with your request. Only requests made by San Francisco residents that do not work in the trade will be honored.
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Mini-Golf Meets Hayes Valley History

Luba Muzichenko, San Francisco REALTOR® (Zephyr Real Estate) — Sat, 15 Sep 2007 02:48:46 -0500

News & Politics: The Snitch - Putts From the Past

For all of you miniature golf fans... especially FREE miniature golf fans, swing by the vacant lot at Hayes & Octavia this Saturday. (Don't wait till Sunday, it will be too late). Each hole represents a different era of the Hayes Valley neighborhood.

Even cooler... there may be plans for another mini-golf course in the near future that will depict ALL of San Francisco history, and not just Hayes Valley.

If you can make it, have fun put-putting out there!

Mortgage Rates Drop Swiftly This Week

Luba Muzichenko, San Francisco REALTOR® (Zephyr Real Estate) — Sat, 15 Sep 2007 02:46:51 -0500

Not all mortgage news is bad news this week. Interest rates for conforming loans (those $417,000 and under) are dropping... and this is great news for homeowners whose ARM's (Adjustable Rate Mortgages) were just about to reset. This means that they have a damn good chance of not facing the "F" word (foreclosure). While San Francisco homeowners seem to be better off than most, even here, some people got into some hot water.

Even better news... the Fed looks like it will cut mortgage rates even further at their meeting next week.

For more details, check out these two great articles:

Fed rate cut likely next week

Mortgage rates drop swiftly this week

Who Loves SF Architecture?

Luba Muzichenko, San Francisco REALTOR® (Zephyr Real Estate) — Thu, 13 Sep 2007 02:35:41 -0500

One of the many reasons that I love real estate so much is the amazing variety of architecture we have in the City. September in San Francisco is an entire month dedicated to the City's architecture and design. You'll find films, home tours, studio tours and much more. I know where almost half-way through the month, but I swear, there is still plenty left to enjoy!

Celebrating San Francisco's unique built environment and design community, Architecture and the City is the first series of its kind in the Bay Area to feature architectural tours, film screenings, exhibitions, design lectures and more. Now in its fourth year, the month-long celebration engages members of the public, design enthusiasts and architects and designers with a deeper appreciation for San Francisco 's rich architectural and design community.

Whether you hope to become more involved with the local architecture and design community, are looking for an architect, or want to learn more about San Francisco's impressive architectural past, present, or future, Architecture and the City is bound to offer you an unparalleled opportunity to experience our city in a new way. In honor of the annual series, Mayor Gavin Newsom has officially proclaimed the month of September a time for San Franciscans to celebrate "Architecture and the City."

Visit American Institute of Architects San Francisco Chapter for more information!

Get a House in Marin for $150!

Luba Muzichenko, San Francisco REALTOR® (Zephyr Real Estate) — Thu, 13 Sep 2007 02:33:04 -0500

Totally unrelated to this post... but before I start, I ran into someone today, a fellow agent, that recognized me from my blog! How cool is that? I'm getting famous! :-D

OK... on to somewhat serious matters... I received a link today to this Dream House Raffle in Marin. First, I'd like to point out that I'm not advocating moving to Marin. If you like Marin, go for it. It's a great place to live, it's pretty sunny, it's close to all sorts of hiking trails, and I'm sure it's got all sorts of other stuff going for it. But I'm not a huge fan, and you wouldn't catch me living there - I'm a City girl, always have been, always will be. But for a whopping $150, you have a chance of winning a home in Marin (or $1.7 million if you prefer to take the money, and buy yourself a beautiful home in San Francisco... which is my recommendation, and please, do call me if you take my advice... I'll be happy to help you find the perfect place in the City.)

I'm AMAZED to think that it really makes more sense to raffle a house (they are hoping to get 35,000 entries, which would bring in $5.25 million) than it would to sell the house and use the proceeds. At minimum, it would take around 12,000 tickets just to break even. Really, there may very well be that many people that are willing to gamble on such a raffle... and there may even be people willing to just call the raffle ticket a donation (I don't think that it's tax deductible though... check with your CPA if you'd like to confirm) and decide to help a good cause, but it's hard for me to imagine buying a $150 raffle ticket. That's all.

Anyhow, if any of you decide to enter the raffle, let me know how it goes! If you win, you can buy your favorite San Francisco REALTOR® dinner for telling you about it! :-)