San Diego Market Watch: November 2007

Type	Total Inventory	Pendings	New Listings	New Listings/Sales Ratio	Sales As Percent Of Inventory
Single Family Homes Encinitas West of I-5 (92024)	33	2	5	2.5 to 1	6%
Downtown Condos 2bed.2ba. 1200 sq.ft. plus (92101)	224	15	51	3.4 to 1	6.7%
2-4 Units San Diego (92101 - 92120)	443	23	95	4 to 1	5.2%

All areas showed a slight improvement this month, even with the Thanksgiving Holiday. October reflected the worst sales of the year, however that was the month most impacted by the constant negative news about the sub-prime and credit issues.

Downtown condos are back to normal! October had only two properties go into escrow, but we are now back to normal with 15 in November. Again, I attribute the “halt in sales for October” to the psychological impact on buyers of the constant barrage of negative news about the credit markets. Several new projects are coming on line for sale in the area of Balboa Park. One property at Sixth and Redwood has temporarily halted construction.

Luxury Condo Project On Hold

I’m excited about this project as it is in an awesome location, and I’m anxiously awaiting completion and pricing. Condos directly facing Sixth Avenue will be a limited supply product, i.e., there is not an infinite number of properties that can be built directly overlooking the park.

Multi-family sales were slightly lower than in October, however they have been pretty consistent though out the last six months. Rents are stable and multi-family prices are dropping, making multi-family once again “income property”. We’re not quite to the point where I am ready to buy or recommend a purchase to clients, but we are getting closer.

Note: New Listings also include any price ranges/modifications to a listing made during the month of September, thus the # of new listings most likely will be overstated. This is the way the MLS reports, and I’m unable to calculate this any other meaningful way.