Relentless Negativity…or Not?

Map
It’s always seemed to me that the local media has had an overwhelming rain of negativity onto almost every Real Estate story it’s done for several years now. They were breathlessly awaiting the “bubble” bursting…in 1998! Here’s a few gems of collective media wisdom :

Houses cost too much for the mass market. Today’s average price is out of reach for 2/3’s of all buyers…Science Digest 1948

The goal of owning a home seems to be out of reach for more and more Americans…Business Week 1969

The era of easy profits in Real Estate have drawn to a close…Money Magazine 1981

If you’re looking to buy be careful, rising home values are not a sure thing anymore…Miami Herald 1985

Most economists agree…a home will become little more than a roof and a deduction, certainly not the lucrative investment it was…Money Mag 1986

A Home is where the bad investment is…San Francisco Examiner 1996. I LOVE this one most. Home prices have more than doubled since 1996 and the SF Examiner is a once a week freebie.

The map here actually tells a great story about the overall strength of our area in the middle of this current downturn. There are areas all around the Bay that are truly devastated. I’m sure glad we don’t live in Antioch or Oakley! Yet even closer to home there is a striking difference between Foster City and other communities in San Mateo county. For example, in Foster City there are currently 18 single famliy homes actively for sale and 10 pending sales. The small amount of inventory certainly contributes to higher property values. Of the active homes 2 of them are short sales. (A short sale happens when a homeowner owes more than the market will bear and they hope to get an offer and negotiate with the seller’s lender to accept less and close the deal.) In Daly City right now there are 211 active listings and 90 short sales or foreclosures! That’s 43% of the active listings! You’ll note that Foster City is in an area on this map that shows values have risen. It really is remarkable the disparity between areas like San Jose, Daly City and others compared to Palo Alto, Los Altos, Cupertino, and Mid-Peninsula cities like Foster City.

This map is a great antidote those old Real Estate Blues!

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