A Salute to San Diego’s Small Businesses

Posted on November 27, 2011 by Roberta Murphy

Seaside Market in Cardiff-by-the-Sea

We haven’t been on San Diego streets trying to “occupy” anything this year, but small businesses have definitely found a place in our hearts and wallets.

I don’t hate Wall Street, but am learning to distrust it thanks to the devastating financial shenanigans of hedge funds like Fletcher Asset Management and JGB Capital. Their slick and predatory lending/investment practices have left Main Street investors devastated–but that is another story.

And I have no bone to pick with the major supermarkets; rather, we enjoy local and family owned places like Seaside Market in Cardiff by the Sea and our favorite fruit, flower and vegetable stand at La Costa Farms market. And of course, who can fail to love the adventure of visiting San Diego’s colorful Farmer’s Markets that are available almost any day of the week throughout the county? As a major agricultural center, San Diego works well for small grocers and truck farmers–and is heaven for fresh food shoppers.

When local fundraisers for sports, schools and needy families are seeking support, most often it is the local markets, dry cleaners, breweries, restaurants, physicians, dentists et al who come to the aid of their communities and its causes. Check any school, Little League team or other local fundraisers and the vast majority of donations come from LOCAL sponsors.

It just so happens that we are also a small and local business serving the San Diego real estate market. San Diego Previews Real Estate is not a franchise, nor do we have “affiliated” relationships with title companies, escrow companies–or skim 10 percent referral fees off recommendations we make to local contractors. Our business is our business. We pay no franchise fees, don’t own title or escrow companies, and don’t show up as television commercials.

Instead, like Seaside Market and other local San Diego businesses, we stand alone and on our reputation. There are no “affiliated” businesses providing side profits or unions offering other protections. We make it or break it on the quality of our service–and hopefully, the loyalty of our clients.

We understand the plight of small businesses, and they will continue to earn our business. In exchange, we give thanks for the loyalty of our clients and continue to work hard to earn and maintain that trust and confidence.

Posted in Best of San Diego, Encinitas | Tagged , , , , , | 2 Comments

Warning to San Diego Home Buyers and Sellers

Posted on November 14, 2011 by Roberta Murphy

Real Estate Dangers

10 Dangers of Dealing with Poorly Trained Agents

by Kim Reid

Selling or buying a home can be one of the biggest transactions you ever make in your life. That fact alone makes having a qualified and knowledgeable real estate agent critically important. However, many are tempted to deal with the less trained, hoping to save a little money.

Dealing with a well-trained and educated real estate professional cannot only save you money by making sure the deal is done right, but they can answer loads of questions on real estate and give you a better view on what to buy. Below, we have gathered ten of the things you should know about real estate agents to help you learn what to look for, as well as what to avoid.

1. Realtor vs. Real Estate Agent

– The two terms are often interchanged, but actually
mean very different things. Both hold licenses to list and sell real estate, but the Realtor is a member of the National Association of Realtors and has subscribed to a 17-point Code of Ethics. A few of the points include refraining from misrepresenting facts, cooperating with other brokers, and working in the best interest of the client.

2. Experience

– Having loads of experience is crucial to any real estate transaction. Instead of asking how much experience your real estate agent has, ask how many times they have renewed their real estate license? Many states vary within the two to four year range to renew a license and experienced real estate agents who have found success will often renew their licenses on a regular basis.

3. The Deal

– Knowing how to buy something is as important as knowing what to buy. Having a real estate agent who is highly trained can help a deal go through, as well as get you the price you want. Poorly trained agents can become emotional or irrational during a deal, as opposed to the calm that comes from experience and education. Show Me More →

Posted in First Time Buyers, Tips for Buyers, Tips for Sellers | Leave a comment

Tough San Diego Real Estate Choices

Posted on November 5, 2011 by Roberta Murphy

by Rachel Hallendy

What is Best for San Diego Real Estate Sellers: Short Sale, Foreclosure or Deed in Lieu?

San Diego Foreclosure During the real estate “Bubble Years” from the late 1990’s to 2007, many people bought homes in San Diego using 100 percent financing, exaggerated income on loan applications, and high hopes for future appreciation on their real estate “investment.” Many also jumped into products like Option ARMS, that allowed them to make variable payments on their home loan, ranging from perhaps 1 percent to 6 percent. If the one percent option were chosen, the deficit would be added to the loan’s principle balance which further added to the home owner’s debt burden.

Fast forward to today, and many struggling San Diego homeowners are agonizing over what to do with their homes, their underwater mortgages, their credit ratings, and their financial futures. Many have big mortgages and no jobs–and life goes on for others, who are transferred, divorced or face other life transitions that necessitate a move. Online and neighborly advice, government programs, and scams abound for these distressed homeowners.

Should they pay an attorney to seek a loan modification? Should they discuss a short sale with a Realtor? Should they just throw in the towel and let their home go to foreclosure? Or would they be better off just mailing the keys into the lender and offering the property on a “Deed in Lieu of Foreclosure” to the lender? These are just some of the options being considered by distressed homeowners in not only San Diego and California, but throughout the United States. Below are listed some of the alternatives that might be available to homeowners:

San Diego Short Sales

Many of San Diego’s homeowners believe they would be able to avoid a foreclosure and get out from under their upside down mortgages, where they owe more than the home is worth, with a real estate short sale. The short sale might seem like an easy out, but it can be a long a drawn-out process. In interviewing several real estate agents, I learned that most home owners involved in a short sale have stopped making payments on their mortgage–which also seems to help motivate lenders to accept less than what is owed on the property.

Many sellers feel a sense of relief when they finally make the decision to let go of their home and turn the short sale over to a knowledgeable real estate professional. They are relieved to have made a decision, they are able to save some money from not making mortgage payments, and most recognize that their credit rating may be damaged for only a couple of years, especially if they stay current on all their other bills.
One of the other advantages of a short sale is the cost savings for the homeowner compared to a regular sale. All real estate commissions and closing fees are paid by the lender, not the owner. On a regular sale, the seller bears the burden of these costs. Finally, many lenders are also offering some owners financial assistance to help with moving and relocation costs, which can make the transition to a new home far easier.

Getting approved for a short sale, though, is not guaranteed. The borrower must be able to show financial hardship, which might include medical problems, loss of employment and/or income, job transfer, death or other life calamity. Basically, what the borrower has to do is “un-qualify” for the loan they currently have. Additionally, the lender will order an appraisal or BPO (Broker Price Opinion) to verify the home’s true market value. Lenders, however, frown on “strategic” short sales, where the hardship doesn’t exist, and the owner simply owes more than the home is worth. Those types of short sales usually won’t fly, according to my research.
To start the short sale process, the home is listed and the owner writes a hardship letter detailing events that make it impossible to continue paying on the mortgage. The lender will require the borrower to provide proof of income, debt, assets, tax returns and any other documents supporting the borrower’s stated financial situation. Additionally, the owner must sign an authorization letter allowing their lender to communicate with your real estate agent, attorney or whoever is assisting you with the short sale applicaltion.

Short sales are generally preferable to Deed in Lieu or Foreclosures when it comes to the borrower being able to purchase a home again. With a short sale, conventional financing may be available again in as little as two years, while foreclosures and deeds-n-lieu could hang up the ability to get a home loan for five years or more.
Finally, the home owner who does a short sale could end up with a deficiency judgment from lien holders who suffered a loss. For example, junior (or second and third) lien holders are usually wiped out in a foreclosure and may receive only pennies on the dollar for what is owed to them. This loss could lead to a deficiency judgment against the borrower, depending on regional laws. It is always advisable to seek the professional guidance of attorneys, accountants and knowledgeable real estate brokers.

Deed in Lieu of Foreclosure

This means of property disposition basically means that the home owner is allowed to turn in house keys and sign over deed to the home to the lender. This saves the bank or lender all the fees and costs associated with doing a foreclosure, but does not relieve them of the costs and aggravations involved in preparing a home for sale, its marketing and buyer demands. For the homeowner, there is the peace of mind in knowing that they are out from under the burden of home debt and they no longer have to worry about billcollectors calling.

On the other hand, their credit rating may be damaged almost as much as if the homeowners had let their home go to foreclosure, and it could be several years before they could once again qualify for a conventional or government home loan. The credit damage could also impact their ability to lease a home if a credit check is required–and could be an issue for future or current employers who demand a clean credit report. These are all issues that should be considered before letting a home go or turning in the keys to the home.

San Diego Foreclosures

Foreclosure probably ranks just above bankruptcy in terms of being a nuclear bomb for one’s credit rating. When this occurs, the owner’s interest in the home is foreclosed upon and the bank or an investor takes title to the home. Foreclosures always occur because of a default, but there are hazards for both the former homeowner as well as the buyer who may be an investor on the courthouse steps, or conventional buyer who acquires the home from the bank as an REO (real estate owned) or bank-owned property.

For the sellers, there is the burden of a damaged credit report that could preclude them from buying a home with conventional or government financing for up to five years or more. For some, there is also the shame that can come from letting a home go to foreclosure.
For buyers, there are no owner disclosures that are typically and even legally required in a conventional sale. Did a death occur in the property? Have there been any mold or water incursion issues? Foundation failure? Slope slippage? These (and so many others) are all issues that owners are required to disclose to buyers in a normal sale. When a home is a foreclosure or bank-owned, no disclosures are given and the home is essentially sold as-is.
For this reason, it is very important for the buyer to hire professional inspectors go through the home very thoroughly before making a final commitment. It might also be wise to talk to neighbors to see if there are any other issues that might impact the desirability of the home. Finally, a home warranty can go far in providing peace of mind about the purchase of a foreclosure or bank-owned property–but they too, will often want to see the results of the professional home inspection report.

The costs of a foreclosure for a lender, though, are very steep. To begin with, they lose payments on the mortgage, have collection costs, and then must pay attorneys and filing fees to accomplish the foreclosure. Then, should they get it back as an REO, they may be faced with evicting the owners and/or offering “cash for keys” to get them to move. After that, there will likely be rehabilitation costs involved in getting the home ready to market and sell. All of these costs can run into the tens of thousands of dollars and they might net no more (and possibly much less) than they would have netted with a short sale or deed-n-lieu of foreclosure.

Conclusion for San Diego Real Estate Market

The recession and downturn in the real estate market has affected so many homeowners, lenders and Wall Street and the losses have been enormous for all. And the pain has not yet ended. According to USNews.com, nearly one-quarter of all American homeowners owe more than their homes are worth–and that statistic raises even more questions about the state of the real estate economy and even the financial state of our entire country. Will home prices deteriorate even further as more homes are sold as short sales and foreclosures? Will unemployment stay high until the building trades and suppliers can get into motion again? Will that high number of distressed homeowners create even more pessimism on the part of the American consumer?

These are questions that concern us all and volumes could probably be written (and probably have been) about possible solutions to the crippled real estate market. Some say we should just open the flood gates and let the foreclosures and short sales occur freely until the market has flushed itself of these toxic assets. Others champion the government stepping in and directing the banks to offer principle reductions on these loans. I can see both sides of the arguments, but hope more than anything that real solutions can be quickly found and implemented.

Posted in Tips for Buyers, Tips for Sellers | Leave a comment

Government Loans Rock in San Diego

Posted on September 28, 2011 by Roberta Murphy

Conventional Versus Government Loans in San Diego

by Mark Murphy

Chart for San Diego Real Estate Market

Surge in Government Loans

Many of the problems in San Diego real estate were caused by lending excesses in the past, when almost anyone could get a mortgage and few buyers bothered to investigate the mortgages they were getting. Those excesses have resulted in fewer loan types being available today, especially when it comes to conventional financing.

During the Bubble Years, many mortgage borrowers in San Diego bought homes using 100% conventional financing, often with an 80 percent first mortgage and a 20 percent second lien. This was done to eliminate the need for expensive Private Mortgage Insurance (PMI), which helped to keep monthly payments down. Few people in our area used Government loans in those days because many of our prices were outside loan limits and conventional financing was so easy to get. Additionally, there was a perception with lenders and real estate agents alike that VA and FHA loans were just too complicated, expensive and took too long to process.

In today’s market, the tables have completely turned, and conventional loans are more difficult and expensive to obtain, especially for home buyers with limited financial resources. These days, a 20 percent down payment is almost always required for conventional loans and underwriting can be very strict. Buyers need excellent credit, employment verification, verification of funds, and properties also need to appraise at a value that will support the loan or the required loan-to-value ratio.

Currently, the two most common types of conventional loans are fixed rate mortgages where the interest rate remains the same for the life of the loan, which can range from 5 to 30 years, with 15 and 30 year mortgages being the most common. A second type of conventional financing is the adjustable rate mortgage, where the starting rate is usually lower for a set period of time, and after the first year, two or maybe seven converts to a rate that fluctuates with market conditions. Other types of conventional financing might include balloon mortgages, where for example, the full loan amount becomes due and payable at a certain point in time, while bridge loans provide money for home buyers to purchase homes before their existing home have sold.

Because I am an Army veteran, I will be able to use VA financing when I purchase a home. VA loans are available to military veterans and offer 100% financing, whereby the US Government guarantees the loan (as opposed to FHA, which insures the loan for a mandatory fee). With a VA loan, I may be able to get a seller to agree to pay my non-recurring closing costs as well as the 1% funding fee that is collected at closing of the loan process. The monthly payment on a VA loan (as well as FHA financing) will include an escrow account that budgets money for property taxes and homeowner insurance. This is done to insure that both taxes and insurance are paid in a timely fashion and that both veteran and lender are protected.

Those who have money to put down on a conventional mortgage and can also qualify for the mortgage loan they are seeking may prefer conventional financing over government loans because they are free to manage their own money and do not have to set up an escrow account if they don’t wish to do so. With excellent credit, they may also be able to get a better rate. Finally, most home sellers and their real estate agents prefer conventional financing because they feel there is less chance of a deal falling through because the buyer is putting down at least 20 percent and may not be as likely to ask for closing cost assistance.
In conclusion, both conventional and government loans have an important place in today’s real estate market. Without these mortgage financing vehicles, home ownership would be out of reach for most Americans and we would probably become a nation of tenants.

Posted in First Time Buyers, Tips for Buyers | Leave a comment

More than One Way to be Green in San Diego or Sacramento

Posted on July 5, 2011 by Roberta Murphy

Green is good.

Medical marijuana in California

Energy-savings and recycling make sense for our planet and there is endless information we as Realtors can and do provide to our clients and communities. But sometimes our clients end up educating us–and that is what my favorite and outspoken Sacramento RealtorGena Riede explains as this week’s guest author.  And who would have guessed she would be sharing her experience with someone from San Diego seeking a place to grow cannabis in the Sacramento area?

Sixteen states and the District of Columbia have legalized  medical marijuana. California has legalized medical marijuana prescriptions for conditions such as AIDS, anorexia, arthritis, cachexia, cancer, chronic pain, glaucoma, persistent muscle spasms (including those associated with multiple sclerosis, seizure disorders and epilepsy), severe nausea and other chronic and persistent medical conditions.

But Gena is the one with the story–and perhaps a new twist in the Sacramento real estate market.

A New Green in Sacramento Real Estate

As a Realtor in Sacramento I receive a wide variety of phone calls for real estate in the area, but this year there has been a new twist to “Going Green.” I used to think “Green” had to do with solar heating, dual pane windows, water sheds and the like. I am quickly learning, though, about a new kind of “green.”

Just last week, I received a phone call from a prospective transferring San Diego home buyer who was interested in purchasing property with land for growing. It seems San Diego government had recently put a ban on cannabis dispensaries and these people felt the Sacramento area might be more “friendly” to their growing intent.

After a long conversation that involved a lot of tip toeing around, it became obvious to me that this home buyer was interested in a rural home with enough property to grow Cannabis.

Since this is not the first time I have had this same type of conversation, I simply cut to the chase and asked if Cannabis was what she had in mind for growing. That should come as no surprise in that Sacramento television stations are openly running commercials for Cannabis dispensaries and physicians who prescribe medical marijuana. Would you be surprised to know that talk-show hostMontel Williams has been in Sacramento lately to support full legalization of medical marijuana–support which has resulted from his successful use of Cannabis to treat his multiple sclerosis.

Had you told me as a Realtor® I would be having these conversations a year ago, I would have told you, you were nuts but growing the cannabis plant is becoming more accepted since there are obvious medicinal purposes for this plant which is legal in California with a medical license.

Apparently, San Diego has had some issues with the Cannabis dispensaries so growers are looking to locate where the issues are not so difficult to overcome.

So, going GREEN has taken on a whole new meaning for me in real estate, and has forced me to research the issue.  Last year, I was clueless about the medical benefits of marijuana and  had not knowingly ever met a medical marijuana patient. But openly sharing clients and my own research have led me to become more open to helping the new faces of Sacramento home buyers. –by Gena Riede

This entry was posted on Tuesday, June 14th, 2011 at 5:00 am and is filed under Best of San Diego, Relocation. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site. Edit this entry.

  1. Kristal Kraft said at June 14th, 2011 at 4:15 pmWe have medical marijuana dispensaries in Colorado too! As soon as the state made it legal we had more than you could possibily count! As time passes they are still around but now the ownership is changing. Investors with actual business plans are taking over. It’s very interesting to watch!
  2. Roberta Murphy said at June 14th, 2011 at 5:19 pmKristal: Connections could probably be drawn between Prohibition and legalization of medical marijuana usage. Eventually, alcohol production and distribution was pretty much taken over by big business with government taxation and control. Would not be surprised to see the same happen with cannabis production and distribution.Just imagine: Budweiser Buds, Marlboro Munchies…Who knows where this will lead?
  3. Kristal Kraft said at June 14th, 2011 at 7:21 pmRoberta you are so right! The tax increase from medical marijuana sales here in Colorado has been significant! No doubt California is experiencing the same benefit!
  4. Roberta Murphy said at June 14th, 2011 at 7:51 pmKristal, I don’t think California is really benefiting from marijuana taxes, most likely because they haven’t determined whether it’s a prescription drug or something else. I’m not sure, but it seems Colorado has state-administered rules and a PLAN for taxation. California should study Colorado and how it handles medical marijuana taxation. Would imagine the income is significant–and that is something CA desperately needs!
  5. Gena Riede said at June 15th, 2011 at 3:43 amAmazing the medicinal help and different varities as well as numerous ways the cannabis plant can be injested. Had I not received the calls, I’m not sure I would have taken the time to learn about mariguana.
Posted in Best of San Diego | 1 Comment

A Lesson for Banks–From Tucson

Posted on July 5, 2011 by Roberta Murphy

Dave Smith know real estate
Tuscon Realtor  Dave Smith should have been hired by the banks five years ago. Had they heeded his advice about dumping foreclosures onto the market in “as-is” condition, they might be in much healthier financial condition today.

This week we are so honored to have Tucson Realtor Dave Smith visit our San Diego real estate site and share his treasured perspective:

Is the Grass Always Greener?

Well,  in this case it is.  The grass is always greener on the other side of the Rockies.  I know I’m supposed to be writing an Ah Ha! insight into the Tucson Real Estate market in 2011.But honestly,  It’s pretty boring.

I’m following the market and provide a snippet update on the Closed transactions in the Tucson MLSsystem a few times a week for my regular readers.  Things aren’t as bad as they were a couple of years ago.  There are a lot of differences between then and now.  I’ll focus on two differences that stand out in 2011.

REO’s Stopped Selling “As Is”

The largest number of homes sold in Tucson each month are REO homes.  Yep, the banks own them. In 2009 those transactions accounted for about 17% of total sales.  Now they are about 50% or more each month.   They made a lot of rookie mistakes in the beginning. (They are still making them, just not as many or as fast)  One of the biggest mistakes they made was selling off their foreclosures “As Is”.  You see, they didn’t really think this through.  Then one day a light bulb went on and they suddenly realized what a big mistake “As Is” was.

Everyone else in a community knew the first time one sold.  They knew that when it comes to property appraisals there’s no distinction between a foreclosed “trashed” home that sells and their home that has been well maintained with TLC.  Unlike automobiles where there are “flood cars” and there are regular used cars.  No one buying or selling cars would consider the two together; but not so in real estate.  They are all lumped into one big pot for the purpose of appraisal.

Here’s the lights coming on experience.  The bank now owns 3 homes in a community.  Last year they sold 4 homes in that community “As Is”.  They were trashed, and the bank just wanted to “unload” them and get them off the books.  This year the 3 they have are in good condition.  And they have learned to come in and have those homes inspected, appliances replaced and in most cases have the homes in good working order.  But they can’t really get what they would hope for the homes.  Why?  because they won’t appraise.  Those 3 homes they sold “As Is” last year, well under market are now skewing the values in the community.  Ah, Ha!

Last year they were hurting the resale market in that community for home owners.  This year they have ruined it for “THEMSELVES.”  And no one thinks the foreclosures are going to stop any time soon.  Slow down, sure, but stop . . . we are a ways from there.  Fixing up homes, getting them ready for market, keeping the utilities on for inspection, all the things a typical home owner does to entice the highest price for their home is now what the Banks are finally beginning to do.  How long will it take . . .  stay tuned.

Cash, Cash, Cash

Even with near record low interest rates, people feel betrayed by banks.  Why?  BECAUSE THEY WERE BETRAYED BY BANKS!

Cash wins by half a length!

They don’t want a mortgage.  They want it own the home and be done with it.  No monthly mortgage payments.  No wondering if they will have some bank “Foreclose” on them even if they are making their monthly payments on time and have never missed a payment.  Yes, that is happening, NOW!

No need to risk some paper pusher at a bank putting the wrong address on a piece of paper or a file and suddenly one day the sheriff is on your door step and you are being evicted.  Cash, no monthly payments.  Cash, no Snidely Whiplash to fear.  Cash, cash, cash.

No future interest revenue for the bank on these 439 homes.  The buyers bought them and that’s exactly what they end up paying for them.

Those are two big difference in our real estate market in Tucson.

So, let’s talk about grass (the kind you mow).  I’ve been a year getting my back yard ready for “grass”.  When I moved to Tucson two things I happily gave away.  My snow shovel and my lawn mower.  Now 11 years later, my strong desire to see green grass has out weighed my dislike for mowing.  I’ll gladly water, fertilize and remove weeds.  The new bermuda grass seed I spread two weeks ago is now up and growing.  My backyard is going from brown to green.  From dead hard dirt to a living growing sponge which holds water for the aquifer instead of running it off the barren ground.

It took a lot of prep work.  A lot of planning, sweat, preparation and hard work, but finally, I’m seeing results.  I’m seeing a green future.  It’s been awhile coming, and the grass isn’t the same blue grass we had back in Iowa.  But it is growing in the environment we have.  There are lessons to be learned about real estate today from growing grass.  I’ll leave you to figure out what those are.  Thanks for reading.  Have a great week.  And if you are out mowing, and smelling that great scent of cut grass, remember there’s a guy in Tucson that can’t wait to smell it himself.

Comments

  1. Gena Riede said at May 31st, 2011 at 3:56 pmFabulous! Dave does such a great job and I enjoy reading him. Such a sense of humor and what can I say…right on with the banks. It’s come back to bite them in the butt. Amazing how they did not see this coming!!
  2. Kristal Kraft said at May 31st, 2011 at 4:23 pmGreat observations by Dave regarding the “as is” sale of reo’s. Sadly banks didn’t learn from our real estate cycle of the 1980′s. Of course the downturn then was much different that it is now, but the end result is the same. Values won’t go up until we sell off the inventory. We aren’t going to sell it off until it becomes so attractive to investors and regular folks that they buy it.
Posted in Foreclosures, Market Trends | Leave a comment

Coronado Does Battle with Clearwater

Posted on July 5, 2011 by Roberta Murphy

Gloves are off!

Cyndee Haydon, premier Clearwater Beach Realtor, seems to think that muggy Clearwater can somehow best Coronado Beach real estate!

Cyndee is a dear friend and prolific blogger, but San Diego real estate and Coronado homeowners in particular, should take note of Miz Haydon’s observations.

Do YOU think Clearwater playgrounds are superior to San Diego beaches? Is pricing built into value?

Here’s what Cyndee writes:

Recently I was reviewing the Top 10 Best Beaches in America by Dr. Stephen Leatherman, aka “Dr Beach”.

Every year he goes in search of the best beaches in the US – now that’s a job I think I would love. He has developed quite a sophisticated scoring system to determine his pick of the top 10 best beaches in America list based on over 50 items like current, sand quality and water clarity.  Even though both Clearwater Beach and Coronado Shores have made this list you might be surprised how different these beaches, the lifestyle and cost of living can vary from east coast to west coast.

Coronado Beach CA vs. Clearwater Beach FL

Clearwater-Beach-FloridaClearwater Beach

Three of Pinellas County’s local beaches have ranked in the top 20 of this prestigious list. Clearwater Beach, Ft Desoto  and Caladesi Island State Park have all been recognized in the past.  Caladesi Island was actually named number 1 Beach in the US in 2008.  This primitive beach is only accessible by walking from North Clearwater Beach or by ferry. This year I also saw that Coronado Beach is  #3.  So it got me thinking for 2 places with award winning beaches, how do Clearwater Beach condos for sale compare in price to condos for sale in Coronado Shores in Coronado, CA?

Well first I checked Sperling’s Best Places to see how Clearwater real estate compared to Coronado real estate and what I found was they only have information available at the city level (which 90% is not beach properties) so when you compare buying real estate in Clearwater versus buying real estate in Coronado, I was surprised to learn that  overall Clearwater is 76 percent cheaper and living in Clearwater Florida is 48% cheaper.

Basically housing is the area where you see the biggest difference between these two beach communities. (See chart included). I decided to dig a little deeper since these statistics include all of the City of Clearwater which is over 100,000 people and Clearwater Beach, our 2.5 mile barrier island, is only a small piece of the whole cities population and real estate out there and obviously those Clearwater Beach condos are much more expensive than real estate in the rest of the city.

Coronado Shores Prices vs. Clearwater Beach Condos for Sale

So I compared the current price of a Clearwater beach condos for sale compared to a beach condos for sale in Coronado Shores.

I wasn’t totally surprised to discover that Coronado Shores condos for sale are definitely more expensive than those here on Clearwater Beach. For example, one of my favorite communities is the Grande Condos Sand Key FL.  Below you can get a great feel for this community on this short video slide show of one of our luxury listings there…

How do you think it compares with Coronado Beach and condos on Coronado Shores?

When I compared the Grande Condos I found that the $/sq ft for the most expensive property on Clearwater Beach is a Sand Key condo penthouse at the Grande which is currently listed for $728/sqft and asking over $3,750,000. Now typically we find that even the best Clearwater beach condos for sale are commanding a minimum of $400/sq ft and right now the most expensive beach condo for sale here is a unit at The Sandpearl which is actually asking for $775/sq ft which is currently the highest dollar per sq ft of Clearwater beach condos on the market.

So how do Clearwater Beach condo prices compare with Coronado Shores condos for sale?

  • I checked the most expensive condo listing and then comparing  cost per/sq ft, found a  Las Palmas condo for sale asking a whopping $1,848/sq ft;
  • I found right now it’s up to 60% more expensive to own a condo in exclusive Coronado Shores California than in Clearwater Beach Florida.  Who said living on one of the best beaches in the US wouldn’t have it’s price – but I gotta tell you if you can afford it, I can assure you the lifestyle is priceless.

Well the good news is if you’re moving to Clearwater Florida from the San Diego area your money goes a lot further; however if you’re moving from Clearwater Florida to San Diego living on the best beaches will cost you more.

Thanks Cyndee!  And if you want to cool off in the summer, come spend a week with us:-)

This entry was posted on Wednesday, May 18th, 2011 at 4:14 am and is filed under Best of San Diego, Coronado, San Diego Beaches. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, ortrackback from your own site. Edit this entry.

Comments:
  1. Cyndee in Clearwater Fl said at May 18th, 2011 at 4:54 amRoberta, I gotta tell you, your beaches are beautiful and I’d love to spend time out there anytime – especially with someone like you who knows San Diego inside and out.I was really surprised to see how similar the cost of living was when you took away “real estate” – so there are no bad choices here..Coronado or Clearwater, as I’ve got my flip flops I’m happy!!!
  2. Gena Riede said at May 18th, 2011 at 5:14 pmLooks like those Coronado Shore condos and Clearwater condos got a thorough dissection…now, where to live
  3. Paula said at May 23rd, 2011 at 10:14 pmAbout now, I could go for a SUNNY beach in either Clearwater or Coronado, but San Diego is my all time favorite and any beach there would include great weather year round.Something I’m missing here in Indy.
  4. Roberta Murphy said at May 23rd, 2011 at 10:30 pmIndy and San Diego could probably match weather today and San Diego would lose. We are cool, overcast and cloudy! Paula, hope you are distant from tornado activity!
  5. Kristal Kraft said at May 27th, 2011 at 5:54 pmWow! I guess Clearwater wins out in the budget beach category! I’ve been to both places and suspect I could be perfectly happy digging my toes into the sand of either place!
Posted in Best of San Diego, Coronado | Leave a comment

Miami v San Diego Beach Homes

Posted on May 13, 2011 by Roberta Murphy
In San Diego real estate searches, we often have Europeans, Canadian Snowbirds and others who just have a hard time deciding whether to buy a beachfront, waterfront or ocean front home or condo in San Diego–or Miami Beach.
Life should always offer such tough choices.  I mean, who can’t help but love Miami Beach with its azure waters, white sandy beaches, high rise condos and….er….its bargain real estate prices (or so we hear)?  And what’s not to love about San Diego’s incomparable weather, world class beaches, surfing, and nearby mountains?
Friend and top notch Miami real estate broker Ines Hegedus-Garcia is our guest author this week and sets us straight on the similarities and differences in waterfront homes in San Diego and Miami.
I love her comparisons and contrasts!

In Miami Beach and San Diego, when you think second home, think beach front.

Where do you get the most bang for your buck when it comes to second homes in San Diego and Miami Beach?

I’m always astounded at similarities in certain real estate markets, even if they are in completely separate parts of the United States.  When a client asks where is the most soundMiami Beach real estate investment? The answer is always where you have sand under your feet – OCEAN FRONT!!  and although we have a lot of different types of water-front properties in Miami, having direct access and views of the beach is the absolute best.

When it comes to ocean front condos, there are the ultra-luxury ones like this private retreat at The Fontainebleau Resort (a condo-hotel) that is currently listed for$11,750,000.  - It has 5,673 square feet, 5 bedrooms / 6.5 bathrooms, direct ocean views, over 4,000 square feet of balconies, impeccably decor, private elevator, full steam room and spa, private terrace with pool, jacuzzi and BBQ. Monthly maintenance runs $8,814.

Or a more modest beach front condo at The Sterling, listed for $699,000. – It’s a 2 bedroom / 2 bathroom, 2-story penthouse with 1,700 square feet of living space, 2 oversized balconies in a newer building on 67th Street and Collins Avenue (built in 1992). Monthly maintenance of $871.

Keep in mind that “beach-front” is limited to condos in Miami Beach and most will be high-rises, where in San Diego, it’s  not so.  Our beaches are “swimmable” year round which attracts vacationers from all over the world! No wonder we always make “best beaches” lists.  A lot of second home owners choose to rent their properties, and buying in condo-hotels makes that easier.

The next best type of vacation home when it comes to desirability in Miami Beach are bay front properties and these can vary from single-family homes, smaller density condos to high-rises.  The advantage of not living on the ocean is the fact that you can have a boat.  Boating in Miami is popular, so we get a lot of second home buyers asking about dockage for their vessels (no matter the size).  Some buildings will have full-service marinas, others will have docks available, and in some cases, some will have deeded dock space which means you will own and maintain the actual dock space.  Here are some examples of Miami Beach bay front properties:
If your budget doesn’t allow for a water-front property, then you’ll want to be close to the water and the choices are endless.  Because Miami IS in fact a metropolitan city with a very diverse population, you’ll have to narrow down your parameters according to proximity to entertainment, shopping, restaurants, easy-living …. and pretty much any lifestyle of your choice.

Funny differences about the two cities when talking to Roberta are Mojitos versus Margaritas!  And since I’m known locally as “the Mojito Queen”, I can tell you where you can get the best ones in town!  Whatever you do, please do not ask me about Palmetto Bugs….they are few and in-between, but you are lucky not to have to deal with those pests in San Diego, OR our humidity! :)

Related posts:
Posted in Best of San Diego, Relocation, San Diego Beaches | Leave a comment

Relocating to San Diego–or Denver?

Posted on May 13, 2011 by Roberta Murphy
Moving and relocation can be the best of times–and the worst as well.

It’s a time of new beginnings, new chapters and fresh starts. It may also involves sad farewells to friends, neighborhoods and streets well-known.  Kristal Kraft, a wonderful friend and fine Denver Realtor, is an invaluable resource when it comes to Denver relocation and real estate. In fact, when we have San Diego real estate clients considering a move to Colorado, we have them call Kristal–who is our star guest blogger this week.
(Please don’t let Kristal Kraft’s luscious photography lure you away from San Diego! She’s a pro–just check out her Denver Photo Blog :-)
Please welcome Kristal to San Diego as our guest writer of the week!

 

Relocating? Embrace the Challenge!

The challenges of moving to a new area are universal.  It hardly matters if one is moving within the state to a new city or across the country to a new time zone, both types of relocation bring with it the same kind of planning, research and considerations.

Feeling overwhelmed at first is natural, there are so many concerns; cost of living comparisons, state and property taxes, quality of education, commute times, etc.  Most transferees (the lucky ones who are employed) plan around work and their lifestyle.

They look at a map, mark the employers address then draw a circle to determine their commute zone.  If they are lucky their housing budget and all the amenities they desire will be found within that zone!

Telecommuters and road warriors who aren’t tied to a  physical location have the whole world open to them.  Their main considerations may be finding a home that delivers the lifestyle they enjoy.

Relocation First Steps

Once the decision is made to move, start collecting information, dig-in, gather data on neighborhoods, schools, transportation options and commute times.  Ask friends in the area what they like about where they live.  Of course advice may or may not be helpful or relevant!

Where would you live?

As a specialist in Denver Relocation, I have the pleasure of working with many people who have relocated to Metro Denver.  I always enjoy hearing about the areas people suggest to their friends.  Typically friends want their friends to be close to them.  Other times they rattle off areas that they’ve heard are good.

Well-meaning friends have little or no idea of budget constraints or other really important factors to consider.

Once I had a client who told me his friend said he had to live in Cherry Hills Village because it was the best neighborhood.  Well this is a lovely area, but 95% of the population cannot afford to live there, including my client.  Despite my polite response, he insisted upon looking for a home in this neighborhood because his friend told him too!

Well we never did find one, but we did find another very nice neighborhood that suited his needs perfectly.  He purchased it.  I always wonder if the friend misunderstood the question or wanted to make his buddy feel bad.

Relocation Considerations

In addition to the obvious, budget, school, drive times, one should think about location.  Everyone knows the 3 most important rules in real estate are location, location, location.  Home buyers should consider more than just the house.

Amenities such as parks, shopping, recreation are very important.  One factor many miss is the orientation of the house.  In Colorado, like San Diego we get lots of sunshine (300 days a year).  Think about how you would like to enjoy that sunshine.  Are you a morning person or an afternoon evening person?

Do you like to Bar-be-que  in the sun or the shade?  Do you like to wake up early with the sun shining on your face?  Do you prefer the coolness of a north-facing home.  There’s no one-size-fits-all answer.  The right answer is the one that makes you happy.

Future Forecasting

Many people make the mistake of buying a home that fits them right now.  Young couples don’t think about how quickly the cute bungalow can get small in about 9-months.  Seniors fail to consider their legs might object to stairs.  Since most homeowners purchase and hold for over 7-years visualizing and planning ahead is wise.

The Exit Plan

Seldom do excited new homeowners (particularly first-timers) consider their exit plan.  Yes, this part of buying a home is extremely important.  Nothing is forever (unless you are planning to deed it to your heirs!) so be sure to take a look at values and future values.  Of course no one has the power to predict, but there are elements that aid in the prediction based on historical data.  Some of those factors are:

  • a good school district or proximity to private schools
  • a good floor plan (this is very local!)
  • a minimum requirement on size for the area (also very local, neighborhood to neighborhood)
  • no offensive busy freeways in the back yard, street lights blinking in the bedroom windows, etc.

Be Sensitive to Local Knowledge

My list of resale factors will vary from area to area.  For example I bet in San Diego or Carlsbad they won’t care which side of the house your driveway is on.  In Colorado I will simply ask, “do you like to get your exercise shoveling snow?”  (big smile on face)  Based on the answer received, I get out my compass to verify the driveway direction at every house we visit, because only south-facing driveways enjoy solar-powered snow removal!

This example is just one of many that validate the importance of hiring a professional who knows the territory.  Even as a REALTOR® for over 27 years, I would never attempt to make a long distance move and not consult an authority in the area.  A local REALTOR® brings insider knowledge to the transaction, without proper guidance one risks making an innocent mistake.

Relocation can be a fun and enjoyable experience when you approach it with logical good sense and someone who will illustrate both the good and the bad.  When you have all the information you and only you can make that important decision with confidence and it will feel, oh so good!

Yes, moving to a new area can be fun. I hope  you enjoy the journey!

Kristal Kraft
Denver Real Estate and Relocation

Posted in Best of San Diego, Relocation | Leave a comment

Real Estate Stars Shining on San Diego

Posted on May 13, 2011 by Roberta Murphy

by Roberta Murphy

Carlsbad, CA–In the weeks ahead, we will be featuring top Realtors and writers who will be giving advice, sass and opinions on our San Diego real estate site. Coming from around the country, these talented real estate brokers, agents, writers and friends will be each writing an article a week for our fortunate readers here.  These are real estate professionals I respect and to whom I would not hesitate to refer our most treasured clients.

Denver Realtor Kristal Kraft
Kristal Kraft: Denver Real Estate

 

The first week, we’ll be honored  be hearing from Denver Realtor Kristal Kraft–who is also the  Denver relocation queen and a most highly-regarded real estate writer and photographer. Kristal, who publishes Denver Dwellings, the Denver Photo Blog and Colorado’s ever-popularKristal Sells Denver is a frequent speaker at real estate gatherings and is a mentor to many grateful Realtors. She is a broker-associate with The Berkshire Group in Denver.

 

 

Ines Hegedus Garcia: Miami Real Estate Broker
Ines Hegedus Garcia: Miami Real Estate

 

Lots of second home shoppers look not only at coastal San Diego, but at Miami beach homes as well. Ines Hegedus-Garcia is Miami’s premier Realtor, and brings enormous knowledge and a 1000-watt smile to each Miami beach real estate transaction. Ines writes with grace and style at the ever-popular Miamism, which she also publishes and frequently speaks at real estate functions.

 

 


Cyndee Haydon, Clearwater Real Estate Broker
Cyndee Haydon, Clearwater Real Estate

 

Cyndee Haydon knows Clearwater real estate better than anyone and is full of tips on how she sells luxury homes in Clearwater Clearwater.  Cyndee’s a terrific writer and videographer, who can be found almost anytime at Sandbars to Sunsets when she’s not showing Clearwater Beach condos and homes.  She and husband Jack are top-producing Realtors in Clearwater who also take time to give back generously to their community and other grateful real estate professionals.

 

Paula Henry is the premier Indianapolis real estate professional.
Paula Henry, Indianapolis Real Estate

 

Paula Henry publishes Home to Indy, which is the authoritative guide to Indianapolis homes for sale.  We love Paula, but hesitate to publish a link to her site, fearing that it could start a rebellion here over San Diego real estate prices.  In all seriousness, though, I wouldn’t hesitate to call Paula, an outstanding Realtor and broker associate for any of your Indianapolis real estate needs!

 

 

Dave Smith knows Tucson real estate!
Dave Smith, Tucson Real Estate

 

Nobody knows Tucson real estate like Dave Smith and you can count on him to give you the straight story not only about market conditions in Tucson, but where markets are headed in general.  Dave is also the one I call with WordPress questions and problems, many of which are answered on his Real Estate Blog Lab site. He’s not only the guru for Tucson real estate, but also computer and blogging solutions.

 

 

Ledyard Real Estate Broker Linda Davis
Linda Davis, Ledyard Real Estate

 

Linda Davis is a seasoned and very knowledgeable real estate broker with one of the sharpest wits around. Nobody in Connecticut knows Ledyard real estate better than Linda–and she is equally adept with the technologies we use–or should be using.  Linda publishes Simply Ledyard, is a founder of the Real Estate Cyber Professionals and has a fan club of real estate professionals that spans the globe.

 

 

Gena Riede is Sacramentos Best Realtor
Gena Riede, Sacramento Real Estate

 

Gena Riede is a dear and longstanding friend-andthe indisputable authority onSacramento real estate, Sacramento homes and all things related to Sacramento. She writes for and published the  Sacramento Real Estate Voice, where she regularly tells it like it is to her large following.  This Sacramento Realtor is certainly a real estate professional to follow–and one to whom I refer all clients relocating to Sacramento!

Posted in Best of San Diego, Relocation | Leave a comment