Real Estate News for Tuesday, May 1st, 2007

Hey everyone! I have good news and bad news for you.

The bad news is that the United States Postal Service has decided to raise its postage rates on May 14th, 2007. A First-Class letter will increase from $0.39 to $0.41. Postcard rates will increase from $0.24 to $0.26. The last increase was on January 8th, 2006.

The good news is that I will be giving away sheets of $0.02 stamps! Just contact me and I will mail some to you!

Now for today's real estate news!

San Diego real estate market drags down UCLA Anderson Forecast. Weakness in the residential real estate market will continue to be a drag on San Diego's economy through 2008, according to a report released today by UCLA's Anderson School of Management. There are signs that the local real estate market is beginning to stabilize, but the economic "wild card" remains the historic high level of mortgage defaults, according to the UCLA Anderson Forecast. The Forecast said the combination of slower population growth and rising foreclosure rates suggests that the San Diego area's residential housing market will be weak for at least another year. "However, the absence of any serious economic weakness in the next two years suggests that a protracted bear market for housing is unlikely," according to the UCLA Anderson Forecast. "Thus, our forecast for the San Diego housing market is less building, weak sales volumes and flat to slightly falling home prices through 2007, with some improvements starting in mid-2008," the report states. Employment and income growth in the San Diego region will remain positive but sluggish through 2008 amid a slowdown in the leisure and hospitality industry and construction and mortgage finance sectors. The UCLA economists who produce the quarterly report will discuss the economic outlook for the nation, California and San Diego during a morning conference at the Manchester Grand Hyatt today. Click here to read more.

Agricultural land values increase. Farm and ranch land appraisers point to a moderating "Goldilocks economy"--not too hot and not too cold--for slower, more solid appreciation in California agricultural land values. Based on property sales in 2006 and the outlook for 2007, experts say most agricultural property values have inched upward, seesawing with economic shifts. Generally the past couple of years have offered fairly positive news for agricultural commodities and that has translated into steadily increasing land values, said Mark Clarke, Rabo Agrifinance lending affiliate. But that has not necessarily translated into ever-increasing income. Click here to read more.

Realtors' Chief Economist to Leave. David Lereah, chief economist of the National Association of Realtors, is leaving NAR to join Move Inc. as chairman and partner of a new business entity next month, NAR said Monday. Lereah has directed NAR's research division, regulatory and industry relations division and other activities. He will leave the association in mid-May, NAR said. As chief economist and senior vice president, Lereah is the NAR's spokesman on the U.S. economy and the housing and real estate markets. California-based Move Inc. provides homebuyers and renters with information about real estate and communities before, during and after moves, according to its Web site. Move Inc. operates NAR's Web site, Realtor.com. Neither NAR nor Move offered details about the new entity, but Move said more information would be forthcoming in the third quarter. The entity is "expected to be transformational for both consumers and real estate professionals," according to a Move news release. Click here to read more.

~Tina Jan~
Coldwell Banker Kivett-Teeters
1655 E. Sixth St.
Beaumont, CA 92223
Work: 951-845-5520 Ext. 105
Fax: 951-845-4916
Cell: 909-446-2666
Toll-Free: 1-877-TINAJAN
tina.jan@coldwellbanker.com
www.tinajan.com