{"id":243844,"date":"2010-09-03T00:00:00","date_gmt":"2010-09-03T07:00:00","guid":{"rendered":"https:\/\/sdnews.com\/the-state-of-uptown-real-estate\/"},"modified":"2010-09-03T00:00:00","modified_gmt":"2010-09-03T07:00:00","slug":"the-state-of-uptown-real-estate","status":"publish","type":"post","link":"https:\/\/test.sdnews.com\/es\/the-state-of-uptown-real-estate\/","title":{"rendered":"El estado de las propiedades inmobiliarias de Uptown"},"content":{"rendered":"

Por Dave Schwab
\nReportero SDUN<\/strong><\/p>\n

\"The<\/a>Despite news on the national level that home sales plunged last month, Uptown real estate agents say the local market is more of a \u201cmixed bag\u201d right now.<\/p>\n

\u201cInventory has certainly increased in Mission Hills along with average market time, and buyers are few,\u201d said Melissa Hernholm of The Hernholm Group, a family partnership that has specialized in urban and coastal property for 13 years. \u201cSimilar to the rest of San Diego, all economic indicators suggest a strong buyers\u2019 market.\u201d<\/p>\n

The good news for Mission Hills, she said, is that while average home prices have declined every year since 2006, there are hardly any short sales or bank-owned properties on the market.<\/p>\n

\u201cThere are few distressed sales in an established and centrally located community such as Mission Hills,\u201d she said. \u201cSo home prices are not as volatile as other neighborhoods.\u201d<\/p>\n

Though there is no doubt that overall sale prices have declined over the last few years, Hernholm said, several of her agency\u2019s recent sales \u201cprove there is still an emotional draw to this area, and buyers will pay a premium to live in Mission Hills.\u201d<\/p>\n

Noting Mission Hills has proven to be a very safe investment, Hernholm said San Diego is a desirable place to live, and there are certain neighborhoods\u2014Point Loma, Coronado, La Jolla\u2014that will always be desirable, no matter the economic indicators, and that list includes Mission Hills.<\/p>\n

\u201cIn our most recent Monday Market Update (hernholmgroup.com) we compare Mission Hills real estate to a solid long-term growth stock such as Apple Inc.,\u201d Hernholm said. \u201cMission Hills\u2019 \u2018stock\u2019 is more affordable than it has been in the last six years, so opportunities abound for buyers who otherwise could not afford to buy in this neighborhood. We\u2019re in a market where five years from now your neighbors will say, \u2018I could have had that house for X in 2010!\u2019 \u201d<\/p>\n

There are many factors attracting buyers to Mission Hills, Hernholm said.<\/p>\n

\u201cThere truly is no other neighborhood in San Diego that is more centrally located than Mission Hills\u2014within a 10-minute drive to beaches, downtown, Balboa Park, the airport and sporting events,\u201d she said. \u201cThe neighborhood is rich in both history and character as Mission Hills has more historic homes than any other neighborhood. Many of our clients say it\u2019s one of the few real neighborhoods in San Diego.\u201d<\/p>\n

One challenge for buyers in Mission Hills is that homes built there in the early 1900s were not constructed with the now-desirable large kitchens, master suites and walk-in closets. <\/p>\n

\u201cThese buyers feel like their dollar stretches farther in areas like Carmel Valley, Scripps Ranch or Mt. Helix where the homes have larger lots and tend to be newer construction,\u201d Hernholm said. \u201cOn a more macro level, given the price point of many of the current listings in Mission Hills, jumbo (loan) financing is required. The financing and appraisal process in this market creates a significant challenge to getting deals done.\u201d<\/p>\n

Hernholm said good agents and wise sellers are pricing homes more in line with today\u2019s market, and that while the headlines may lead buyers to believe that every seller is distressed, \u201cThat is not often the case in our areas of expertise.\u201d<\/p>\n

Hernholm said buyers get discouraged when \u201clow ball\u201d offers aren\u2019t immediately accepted. <\/p>\n

\u201cSo we would encourage them to recognize that the \u2018deal\u2019 is often already incorporated into the list price. A home purchase in San Diego is a considerable investment, so buy in a neighborhood where you love, so your investment is both a financial and emotional one,\u201d she said.<\/p>\n

In North Park, real estate agent Mary McTernan said the only challenge for buyers is if the home is priced under $400,000. <\/p>\n

\u201cThen they are competing with investors,\u201d she said. \u201cInvestors usually will come in with cash and can close faster\u2014making the offer stronger.\u201d<\/p>\n

For sellers, McTernan said, the challenge is that there are more homes coming on the market. <\/p>\n

\u201cIf they are not willing to get their home in front of their competition by offering the buyers a better value, then they are ultimately running into receiving less by having it on the market for a longer amount of time,\u201d she said.<\/p>\n

According to McTernan, buyers should know that homes in North Park are older and, although they are beautiful and charming, they typically do not have new plumbing, new electric, new foundations, a new roof or new air conditioning. <\/p>\n

\u201cThey usually have only partial upgrades,\u201d she said. \u201cIf [buyers are] looking for all of these newer features and the thought of some of these things frightens them, they may want to look at other communities that have new builds.\u201d<\/p>\n

McTernan counsels homebuyers looking in North Park to \u201creally do their research and try and work with a local agent that understands older homes.\u201d<\/p>\n

For home sellers, McTernan stressed, \u201cBeing in front of your competition is crucial.\u201d <\/p>\n

Don\u2019t just throw your home on the market to test the waters, she said. <\/p>\n

\u201cYou must stage it. If your home is overpriced from the beginning, your listing will become stale and ultimately get less than you would have, had you priced your home at market value,\u201d she said.<\/p>\n

Working with an agent who is an expert in the neighborhood is crucial, McTernan said.<\/p>\n

\u201cSomeone who is selling homes in the area has their pulse on the market,\u201d she said. \u201cThey know exactly what buyers are coming in with because they are coming into all of their other listings and they see what type of offers are being presented.\u201d<\/p>\n

Despite North Park\u2019s age, McTernan said many people see it as an up-and-coming, desirable community.<\/p>\n

\u201cWithin the last 10 years so much has been done to revitalize the area and people have surely noticed,\u201d she said. \u201cIt\u2019s a hot neighborhood and the market is still hot.\u201d<\/p>\n

\u201cIt is a fantastic time for buyers to purchase a home,\u201d added Tony Azar of The Metropolitan Group, which specializes in the Hillcrest\/University Heights area. \u201cWith the decrease in prices, very low mortgage interest rates and the state tax incentive program, now is truly a \u2018buyer\u2019s market.\u2019 \u201d<\/p>\n

Azar said metropolitan San Diego is a very active buyer\u2019s market. <\/p>\n

\u201cWhen properties are priced properly at today\u2019s market rates,\u201d he said, \u201cit is not uncommon to have multiple offers on the homes that are for sale.\u201d<\/p>\n

That active buyer\u2019s market presents a challenge, as there are many buyers with whom to compete, Azar said. <\/p>\n

\u201cSo buyers need to be assertive when pursuing a property, particularly when there are multiple offers in on a property,\u201d he said.<\/p>\n

Azar said that although they have been modest, San Diego has led the nation this year in housing price increases.<\/p>\n

There are a multitude of reasons why metropolitan San Diego is desirable to home buyers, he said. It surrounds Balboa Park; it is just minutes to the beach, downtown, Mission Valley, Old Town and the freeways and each of the communities that make up the metro area is special in its own way.<\/p>\n

For example, Azar said, Hillcrest attracts thousands of locals and tourists each week to its numerous restaurants, coffee houses, specialty shops, clubs and farmers market\u2014and its \u201ccolorful vibrant atmosphere.\u201d<\/p>\n

\u201cSan Diego is a very special and unique city,\u201d he said. \u201cIt has one of the best climates in the world year-round. It is also located on the beautiful Pacific Ocean and Bay. People from all over the world come to San Diego to enjoy the weather and the beauty that the city has to offer. This is why it is an incredible place to call home.\u201d<\/p>\n

Real estate agent Jim Abbott covers the downtown and Little Italy markets. Despite the ongoing economic recession, he said it\u2019s still a desirable place to live. <\/p>\n

\u201cIf you want to be cool you live downtown,\u201d he said. \u201cThat\u2019s all there is to it: There\u2019s no life outside 92101. The arts are here. The real world is here. We have diversity. It\u2019s all happening downtown.\u201d<\/p>\n

But Abbott noted it\u2019s important for buyers and sellers to keep the \u201ceconomic realities\u201d of today\u2019s market in proper perspective. <\/p>\n

\u201cWe\u2019ve been in the same market, partly declining, roughly for two years,\u201d he said. \u201cThe high end remains soft, which means it\u2019s a great time to buy high-end property.\u201d<\/p>\n

Abbott referred to the current real estate market as \u201cthe new normal market.\u201d <\/p>\n

\u201cAnyone who\u2019s waiting for things to get back to the way they were in 2004-05 is going to be waiting a long time,\u201d he said, adding the continuing poor lending environment, particularly with large banks, is a drag on the market. \u201cBanks really don\u2019t want to loan money. They have no interest in tying up 30-year money at 4.5 percent. So what borrowers need to do in this environment is go to a reputable mortgage broker or credit union.\u201d<\/p>\n

Abbott said the current financing impediment \u201cslices both ways.\u201d <\/p>\n

\u201cIf you\u2019re trying to sell your house there\u2019s very little financing,\u201d he said. \u201cFor the person trying to buy a house, there\u2019s very little financing. I\u2019m telling buyers on the high end to be aggressive. If you don\u2019t have a broker that will be aggressive on your behalf, find a new one.\u201d<\/p>\n

Abbott has advice for those seeking an ideal property. <\/p>\n

\u201cResearch is the key,\u201d he said. \u201cDo your homework. Get the smartest broker you can find. Get information from many sources, including more than one Realtor, before you make a decision on a person to work with.\u201d<\/p>\n

Afton Miller is a prominent real estate agent in the neighborhood of Talmadge. She said her 25 years of experience in dealing with metropolitan San Diego has shown her that \u201cno two homes are alike.\u201d <\/p>\n

Buyers appreciate the uniqueness of the older neighborhoods where there are lath and plaster walls, hardwood floors, fireplaces, arches, alcoves and niches, Miller said. <\/p>\n

\u201cMost buyers from the metropolitan areas can accept that they are not going to get a large master suite with a walk-in closet and master bath,\u201d she said. \u201cHowever, that is sometimes hard for [some] buyers to accept. They want all the amenities of a suburban home with the charm of a unique older home.\u201d<\/p>\n

The trade off, Miller said, is that \u201cliving \u2018in town\u2019 puts a buyer close to everything, whether it\u2019s downtown, airport or the freeways. The renaissance that has taken place in North and South Park puts homeowners in walking distance to restaurants, the North Park Theatre, pubs and boutiques. This is something you just can\u2019t get in the suburbs.\u201d<\/p>\n

In a neighborhood like Talmadge, which has just 1,200 homes, there is a tremendous sense of community via garage sales, neighborhood block parties and a citizen\u2019s patrol, Miller said. <\/p>\n

\u201cI am often asked who buys in these older neighborhoods,\u201d she said, adding her answer is, \u201cEveryone does who is attracted to living in town; there is no one profile. Sometimes it is people with children or people who want children and sometimes two guys or two gals.\u201d<\/p>\n

Miller said there is an amazing number of people in their late 50s and 60s moving from the suburbs into town because their kids have grown up and they are tired of the traffic.<\/p>\n

\u201cAs a buyer, the best question is \u2018What\u2019s the best house comparison to what else is out there?\u2019 Then just go for it. Don\u2019t get hung up in whether the market is going up soon. Buy your house for a home without putting a huge focus on appreciation. That will happen in time, but it\u2019s going to take longer than it used to,\u201d she said.<\/p>\n

Sarah Schoeffel of Rancho Buena Vista Real Estate, which mainly serves the South Park\/Golden Hill area, said, \u201cProperties are selling, but they need to be priced correctly. There are lots of buyers looking to take advantage of today’s low interest rates, but they are cautious.\u201d<\/p>\n

Nonetheless, Schoeffel is positive as she looks ahead to the future of the real estate market in both neighborhoods.<\/p>\n

\u201cThe future is bright,\u201d she said. \u201cThe neighborhood continues to evolve and is just getting better and better. We are seeing an influx of young families again, especially now that we have great public schools that they can walk to.\u201d<\/p>\n

Schoeffel said the South Park\/Golden Hill market is appealing.<\/p>\n

\u201cBuyers are attracted to this area because they love the classic architecture styles and the fact that every home is unique\u2014the vibrant mix of shops and restaurants and interesting people, along with the excellent central location and \u2018walkable\u2019 neighborhoods,\u201d she said.<\/p>\n

One challenge for buying and selling in the neighborhood, however, is \u201cdealing with issues that can come with older homes, such as foundation problems,\u201d she said.<\/p>\n

The Bankers Hill market is often served by agent Garold Wampler, who characterized the real estate \u201cmood\u201d in the neighborhood as \u201ccautiously optimistic.\u201d<\/p>\n

Wampler said the area considered to be Bankers Hill actually spans two ZIP codes\u201492103 and 92101. <\/p>\n

\u201cBecause each of those ZIP codes has other neighborhoods with characteristics as unique as Bankers Hill, statistics tend to indicate activity is on the upswing,\u201d he said.<\/p>\n

For the seven-month period ending July 31, Wampler said the number of closings in Bankers Hill has increased about 15 percent. <\/p>\n

\u201cPrices, too, have held steady with a year-to-date median price of about $42,000 compared to \u201909s median of about $400,000,\u201d he said, adding average prices also increased. \u201cBut it has taken a bit longer for properties to close. So a seller has had to be a bit more patient, but has reaped the reward of a stronger sales price.\u201d<\/p>\n

Wampler noted the demographic for Bankers Hill is decidedly different than many other Uptown neighborhoods\u201480 percent of properties sold there are not single-family homes. <\/p>\n

\u201cSo one is looking at a demographic that wants the convenience of condominium living with close proximity to the amenities, such as Hillcrest shopping and eating, the downtown area five minutes away, walkability to Balboa Park and an airport less than 10 minutes from home,\u201d he said.<\/p>\n

Probably the biggest challenge right now in the Bankers Hill market is the increase in the number of property sales that are short sales, he said.<\/p>\n

\u201cIt is a trend that I see continuing for the next couple or three years in all neighborhoods,\u201d Wampler said. \u201cStatistically, short sales in Bankers Hill were about 19 percent of closings for the first seven months of last year, versus about 31 percent for the same period this year.\u201d<\/p>\n

But no one should be deterred from being in the market right now, he said. <\/p>\n

\u201cInterest rates are historically low. Prices are very reasonable. It is a great time to buy,\u201d he asserted.<\/p>\n

Mike Tristany of the Tristany Real Estate Group, which has an emphasis on real estate in the Kensington neighborhood, said he feels the challenges for buying real estate are not coming from the neighborhoods, the homes available or the prices. <\/p>\n

\u201cThe challenge is job stability\u2014and that is what is keeping many buyers at bay,\u201d he said. \u201cIf there is no concern about job stability then it is an incredible time to get into the market.\u201d<\/p>\n

Tristany stressed buyers should realize interest rates are at historic lows and that prices are down. <\/p>\n

\u201cOpportunity reigns,\u201d he said. \u201cMost sellers are also willing to negotiate on top of their lower prices.\u201d<\/p>\n

However, indecisive buyers do create an uncertain atmosphere in the real estate market, Tristany said.<\/p>\n

\u201cThey are getting mixed signals from the media and trying to time the market\u2014nearly impossible to do,\u201d he said. \u201cIf prices are down and rates are down, don\u2019t try to second guess what is going to happen. Buying is for the long term so regardless of what happens immediately, time will make it all worthwhile.\u201d<\/p>\n

Tristany added home prices are \u201cfluctuating a bit\u201d with some sellers coming down a bit more to make a sale happen.<\/p>\n

\u201cSan Diego\u2019s metro communities have always fared well over the long haul,\u201d Tristany said. \u201cEven with a slowdown and prices down, metro has always rebounded and rebounded well. We are central with low commute times and that is always desirable.\u201d<\/p>\n

Tristany\u2019s prediction for the future? \u201cToday\u2019s buyers are going to reap great benefits over the next 10 years,\u201d he said.<\/p>","protected":false},"excerpt":{"rendered":"

By Dave Schwab SDUN Reporter Despite news on the national level that home sales plunged last month, Uptown real estate agents say the local market is more of a \u201cmixed bag\u201d right now. \u201cInventory has certainly increased in Mission Hills along with average market time, and buyers are few,\u201d said Melissa Hernholm of The Hernholm […]<\/p>","protected":false},"author":840,"featured_media":243845,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_seopress_robots_primary_cat":"11555","_seopress_titles_title":"The State of Uptown Real Estate","_seopress_titles_desc":"","_seopress_robots_index":"","jnews-multi-image_gallery":[],"jnews_single_post":[],"jnews_primary_category":[],"jnews_social_meta":[],"jnews_override_counter":[],"footnotes":""},"categories":[11551,11555],"tags":[],"class_list":["post-243844","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","category-uptown-news"],"_links":{"self":[{"href":"https:\/\/test.sdnews.com\/es\/wp-json\/wp\/v2\/posts\/243844","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/test.sdnews.com\/es\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/test.sdnews.com\/es\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/test.sdnews.com\/es\/wp-json\/wp\/v2\/users\/840"}],"replies":[{"embeddable":true,"href":"https:\/\/test.sdnews.com\/es\/wp-json\/wp\/v2\/comments?post=243844"}],"version-history":[{"count":0,"href":"https:\/\/test.sdnews.com\/es\/wp-json\/wp\/v2\/posts\/243844\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/test.sdnews.com\/es\/wp-json\/wp\/v2\/media\/243845"}],"wp:attachment":[{"href":"https:\/\/test.sdnews.com\/es\/wp-json\/wp\/v2\/media?parent=243844"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/test.sdnews.com\/es\/wp-json\/wp\/v2\/categories?post=243844"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/test.sdnews.com\/es\/wp-json\/wp\/v2\/tags?post=243844"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}