As I was going through my e-mail this morning I was really interested in one e-mail that came from Zillow talking about Fourth Quarter 2008 Market values in our neck of the woods, the one I lovingly call Fantasy Island. As I write this we’re hearing how far the real estate market has dropped in many parts of the country and since this is the only news anyone hears any more — negative blurbs on-line, on-the-air, or in the paper, should you read one, I have some news that is meaningful to us and our market! What a concept. Let’s find out what’s going on in San Mateo County and specifically in the mid-Peninsula. Well folks, the news ain’t so bad.
The real estate market expected a correction in our market for years. In fact, we thought it would come by mid-2004. We were wrong. The market peaked first quarter 2006 and then dropped but not really because of the sub-prime mess as much as fear. Fear is in the air here. Fear for our real estate values. Fear for our jobs. Fear for our economy. Fear. Fear. Fear.
Here’s the good news, kinda…. This data is a reflection of a decline over one year, Q4-2007 to Q4-2008.
If you were one of the many who did not buy a home during the past couple of years, you are just fine. You have good equity in your home and even with this correction your home values have pretty much held. The city with the biggest drop, San Mateo, really is in better shape than the 12.3% drop in value shows since the portion of this city, the second largest in the County, that saw the most decline was in entry level homes. North and South Shoreview, Parkside and pockets around downtown did drop dramatically in value. The westside area homes did not drop as far. I am seeing a drop in most of our areas of around 5%, over all. If you didn’t use your home as a piggybank, you are likely okay today.
Both Millbrae and Burlingame corrected about the same. There are few entry level homes in either city so we didn’t see a lot of short sales last year. Belmont and San Carlos were the same. Few entry level homes or condos meant few 100% loans out there.
Hillsborough had about a 5% correction, and Foster City wasn’t far above that and since Foster City is only one of two planned communities on the Peninsula with many condos for first time buyers, it’s pretty amazing that prices held so well. We have really only seen short sales in the condos in Foster City, so far. The year is young and what is going to happen in our community this year is yet to be seen.
If you’d like to know exactly what your home value is today we’re happy to provide that for you, just ask. You can send us an email or if you prefer, call us, and we are here to help you. If you are thinking about refinancing your mortgage to one with a much lower rate we have four fantastic lenders we refer our clients to and they can help with that here. If you are thinking about selling your home to move to something larger or smaller, we can assist you. If you are considering a purchase for the first time. We’re here for you. Call us at 650-696-2820.
We know the market and we are here to Make Your Real Estate Dreams a Reality in 2009!