In December 2011, San Diego Uptown News asked several local realtors about their projections for the New Year. Three months later, many of them agree the market continues to climb. Several have weighed in on who can benefit from this increase, and the state of Uptown Real Estate.

Tugg Snowbarger of Grand Pacific Properties Group:

“Uptown real estate is looking up! Non-short sales that are priced well tend to sell right away. Short sales are lingering on the market, but the best ones are going under contract in reasonable time. We have shifted to a neutral buyer/seller market with a slight favoritism to the seller due to inventory constraints. The high-end market is also seeing renewed activity with more higher dollar transactions. In reviewing the last three years, it is clear we have bounced off the bottom of the market in a positive direction.”

Ron Oster of Ascent Real Estate:

“The single family and multi-family market is moving up price-wise and inventories are coming down; in February, sales of single-family homes [were] up 10 percent over February 2011. Prices were up three percent over last year – that shows the market is improving. The biggest improvement is in the $300,000 to $500,000 range as we are seeing a lot of first-time buyers coming in to the market.

“Hint to buyers: get out there and start looking, it may take some time to find the home you are looking for. Also in the spring, the market is much more active so you might be in competition with other buyers. Hint to sellers: talk to a realtor who knows the area, prepare your home for agents who know the area that will be able to sell your home in a reasonable amount of time and net you the most dollars on the sale.”

Mary McTernan of Mary McT Real Estate:

“Homeowners with property in the North Park neighborhood are discovering the benefits of selling property in this popular area. Not only can one find an affordable selection of North Park homes for sale, but many of these homes are being offered at extremely competitive prices. While this area of San Diego may be gaining interest every day, there are still many great equity sales in North Park that the savvy investor or potential homebuyer can use to their advantage.

“Whenever there is an area with high demand and available properties at an affordable price, it will pique the interest of those who buy and sell real estate, or even those who want to find great rental property to add to their portfolio. In fact, many investment buyers choose to purchase property like this as one of their first rental properties. It is always helpful to start off with an affordable project that has high demand and an excellent chance of profitability. Of course, proper research of the market conditions is certainly in order, but North Park offers many investors an excellent opportunity for some wonderful real estate.

“While many people have chosen to downsize and move to smaller and more affordable homes, this trend has still left many people looking for the advantages of owning a home in the beautiful North Park neighborhood.

“One reason why homes are in such high demand these days is simply a natural result of the great low interest rates currently available for most people. When interest rates are down and properties become available in a desired neighborhood, the effect is often very positive for all parties involved.”

Afton Miller of Afton Group, Inc:

“The real estate market has improved substantially. The homes that are selling today would have sold for less in August or September of 2011. The houses that are selling for the highest prices, and in many cases are getting multiple bids, are remodeled houses that are congruent and don’t have any major deficiencies such as a busy street, odd floor plan, over-developed for the location… If the quality of the remodel is good, and the location and the floor plan are good, the sales prices have definitely improved. This is not only great for the sellers, but it is also great for buyers because the interest rates are so low that they can buy so much more house now than they could have several years ago.”

Anton Fox of Anton Fox Homes:

“San Diego Uptown communities continue to attract homebuyers to the area due to the location, lifestyle and beautiful historic homes… The Uptown business districts provide amenities that buyers seek out when deciding on a home purchase. Availability of great local restaurants, shops and nightlife within walking distance from many homes is a big attraction. Scenic and walk-able areas can be found throughout all of the Uptown neighborhoods.

“Real estate sales remain steady and the appeal of owning a classic Craftsman, Prairie or Spanish-Style home will endure. Homeowners and investors are still improving upon Uptown neighborhoods by taking properties in need of restoration or renovation and preserving them for future generations. Many well cared for “turn-key” properties are available for homebuyers searching for move-in ready homes. The wide variety of attractive home styles available will continue to be a positive draw to the area as well as keeping home values strong.”

Melissa Hernholm, Hernholm Group:

“There are presently fifty-five homes for sale in 92103, thirteen of which (24 percent of market share) made their MLS debut [the week of March 19]. Inventory levels have increased along with both list and sale prices. This year there have already been twenty-four homes sales in 92103, averaging $925,000 ($450 per square foot) which is a definite increase from the median price of $840,000 ($415 per square foot) just six months ago. As for the higher end sales, thirteen homes have sold in 92103 for over [one million dollars] in the last six months averaging $446 per square foot.

“Our group recently represented the sale of 2223 Guy Street for $2.4 million, which was the highest 92103 sale since August 2008. Compare this with the twenty-three homes presently for sale in 92103 over $1 million, averaging $521 per square foot, and one might question whether such an increase in list prices is justifiable and/or sustainable. Ultimately the market will decide. As evidenced by the sale of our listing at 4165 Miller St. for $1,185,000, which received multiple offers and will close within one percent of its list price, sellers who remain in line with the neighborhood comps will continue to have success given buyers remain wary of paying a premium in a recovering market.”

Mike Tristani of Tristani Real Estate Group:

“In Kensington, the number of homes available is increasing slightly but we are also seeing properties go into escrow fairly quickly depending, of course, on location and condition. The lower and middle market (up to $750,000) continues to do well while the upper end, with a few exceptions, is a bit slower. Overall the appearance is of some ‘revival’ in the marketplace with the most noticeable difference in the amount of showings that are occurring as well as traffic at open houses. As long as interest rates remain constant we could be in for a pretty good 2012!”

Tony Azar of The Metropolitan Group:

“It continues to be a very active buyer’s market in Hillcrest [and] Uptown neighborhood with mortgage interest rates being historically low and housing prices down from four to five years ago.

“Here are some MLS activity numbers from March 23 for Hillcrest, 92103: Condos/Townhomes- 38 active, price ranging from $145,000 to $1,450,000, and 26 pending with 31 days average on the market. Detached/houses- six active, price ranging from $379,000 to $1,377,000, and six pending with 40 days average on the market.

“It is common to have multiple offers on listings particularly when they are priced properly, like a recent listing in the Uptown District complex.
“Also, listings do not last long when priced right, like a recent listings at the Atlas complex where I had a listing on the market only three days before getting it into escrow.”