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Real Estate and Divorce. Interview with Pota Perimenis and Stephanie LeBeau on Kim Hess Divorce Guru” on Energy Talk Radio.com. Click here to listen http://www.energytalkradio.com/programsshows.html&show=13&recording=417
San Francisco Real Estate Brain interview with Pota Perimenis.
Sound off, SFChronicle interview with Pota Perimenis regarding SF real estate market, Aug. 15, 2010
Jeremy Schnitker from the SFChronicle asked Pota:
Q. Would you say people have been less afraid to sell their homes in the past 6 months than during the same 6 months in 2009?
A: People base their decisions to sell on two main factors: what they need to accomplish today, or what they want to accomplish in the future.
If they need to make a move right now, then they will sell regardless of current market conditions. If their goal is to maximize the return on their investment, then they need to decide if today’s market is better or worse than a future market. Since no one has a crystal ball, sellers’ personal predictions about the future and confidence levels about the present rest on various factors such as political orientation, personal experiences, and their feelings about being able to time the market.
If we look at the numbers of properties sold between Feb. 2009 and August 2, 2009 versus Feb. 2010 and August 2, 2010 in Districts 1, 5, 6, 7 we see some interesting trends. For the most part the amount of inventory sold has increased across the board since the same times last year with a significant increase in the number of 2-4 unit buildings regardless of neighborhood.
Home and condo sales have increased since 2009 but no where near the volume of 2-4 unit buildings. Home and condo sales tend to be driven more by personal decisions while 2-4 unit buildings are more reflective of investor decisions. For example, in district 7, a two-fold increase (217%) in the number of 2-4 unit properties sold means either those owners think this year is a good time to sell, or they are concerned that next year will be a worse time to sell. The 25%, 42%, and 18% increase among condos in district 7, 6 and 1 respectively can have several explanations such as: those owners have been adversely affected by the economy and thus need to sell, or, they think the lower interest rates and prices make it a good time to sell and trade up and thus are choosing to sell. Only 3 more SFRs (5% increase) in district 7 sold in 2010 than 2009, in contrast to the 19% of district 6 and 43% of district 1. This could indicate that sellers in that economic tier are less influenced by the external economic factors in their decision to sell.
To summarize, no matter what the motivation, be it fear of the future market, confidence in the present one, or personal circumstances necessitating change, the numbers show that more people in general are deciding to sell this year over last, with investors leading the way in this trend. It will be interesting to see how next year’s numbers will compare with this year’s data.
http://articles.sfgate.com/2010-08-15/real-estate/22220332_1_market-sound-numbers-show
