Fremont Ca Home prices and homes in the Bay Area have dropped because of the boom that happened in from 2000-2006. Statistics show that the home values appreciated about 26.5% form 1980 to 2000. From 2000-2006, home prices appreciated 89%. prices are now adjusting , rather the marking is moving toward stability, which mean healthier markets in the future. View Fremont Ca and Bay Area homes prices online

A normal balanced market has about 6 months of inventory. If there are 100 homes sold in a market, there should be about 500 in active inventory. If there is less than this, there will be a lack of supply which will cause large appreciation due to the buyers fighting over homes.
Currently, we are approaching a stable market. Homes appear to stay on the market longer because of the short sales properties that can take 7 months to close. In reality however, these homes have offers rather quickly so the market is not as unstable as it appears. Currently, in the Fremont ca bay area, properties under 500K are receiving multiple offers and the rent value is almost equal to the mortgage payment. view home Prices on line

Many buyers have the misconception that they can purchase homes hundreds of thousands below the asking price. The news media has created this misconception. Homes have dropped in value in Fremont CA including real estate in the California Bay Area, but, the drop is reflected in the asking price. Many short sale and foreclosure transactions, the asking price is so low that the actual sales price is above the asking price. Again, there are great deals to be had in the Calif Bay Area the deals are already some what reflected in the asking price. There is wiggle room but not hundreds of thousands like the news media suggests. Review the below statistics that show listing price, sold price and the difference between the two. Information was taken between 11/08 and 03-09 in Fremont CA. Price range 380,000-625,000

ASKING PRICE….. SOLD….. PRICE DIFFERENCE
382,900………….. 450,000……..+67,100
449,900 …………..453,500……….+3,600
449,900 …………..472,200……..+22,100
451,000 …………..456,000………..+5000
459,900 ……………460,000……….+1000
464,900 ……………490,000……..+25,100
469,950 ……………460,000………. -9,950
474,900 ……………455,000…….. -19,900
489,900 ……………492,500 ……….+2,600
499,888 ……………480,000…….. -19,888
499,950 ……………490,000………. -9,950
509,900 ……………517,500………. +7,600
525,000 ……………530,000………. +5,000
525,000 ……………573,000…….. +48,000
529,999 ……………505,000…….. -24,999
534,900 ……………507,000…….. -27,900
537,000 ……………530,000………. -7000
539,900 ……………524,900……….-15,000
549,000 ……………573,009……….+24,000
546,000 ……………495,000……….-54,000
549,000 ……………545,000……….. -4,000
554,900 ……………561,000………..+6,100
559,900 ……………550,000……….. -9,900
565,000 ……………560,000……….. -5,000
569,000 ……………563,000……….. -6,000
569,900 ……………570,000…………. +100
570,000 ……………571,000 ……….+1,000
589,950 ……………562,000 ………-27,950
599,800 ……………610,000……….+10,200
599,888 ……………615,000………. +15,112
625,000 ……………590,000………. -35,000

All data collected from BEAR in Bay Area Ca

It has been suggested from some that Obama’s budget proposal would include a reduction in interest rate deduction for people earning $250,000 per year.

As a Bay Area Real Estate Broker, I think this is a horrible idea especially In Fremont California and surrounding cities. First off, Real Estate in the California Bay Area is one of the most expensive area on the planet! In order to afford these properties, income level has to support the prices. In other words, 250,000 income in California, Fremont and especially the Bay Area is not an excessive income. Other states have less expensive homes and therefore do not need the income to support the housing.

If California Bay Area has a lot of foreclosures now, just wait to see the disaster if the mortgage reduction program passes. Those who need that deduction and counted on it when they purchased the home will no longer be able to afford it. I think this is a bad idea especially for the Bay Area Ca. to view home prices in Fremont and surrounding cities in the Bay Area visit Http://www.BayArea-Homes.com

Lawrence Yun, Senior Vice President and Chief Economist, NAR gives an overview on video of the economic environment and its implications for real estate. Lawrence Yun, economist believes that the real estate market is stabilizing especially in certain areas such as homes for sale in California including the California Bay Area. An example of this would be Homes for sale in Fremont Ca have increased by about 50% which has caused active inventory to decreased thus stabilizing prices. Enjoy the video below

National Association of Realtor Market Update

View 1000’s of foreclosed properties on line at http://www.BayArea-Homes.com

Obama Unveils Homeowner Affordability and Stability Plan that will help purchasers buy homes in the US including the California Bay Area. California Bay Area including Fremont CA is one of the most expensive place to live.

President Obama unveiled his plan to help stabilize the housing market and keep millions of borrowers in their homes.

The Homeowner Affordability and Stability Plan include two initiatives to help struggling homeowners. One is a refinancing program for homeowners with less than 20% equity in their homes, or who owe more than their home is worth. The second program attempts to lower monthly payments for homeowners at risk of losing their home. In addition, the plan includes a third initiative to support low mortgage rates by strengthening confidence in Fannie Mae and Freddie Mac.

Many of the plan’s details are still being worked out and will not be announced until March 4, here is an overview of the plan’s main components.

Refinancing Initiative
Under current rules, those families who own less than 20% equity in their homes have a difficult time refinancing and taking advantage of the historically low interest rates. Therefore, the refinancing initiative in the new plan provides refinancing help for homeowners with less than 20% equity in their homes or who owe more than their home is worth. This initiative is open to homeowners who have conforming loans which are guaranteed by Fannie Mae and Freddie Mac, and who owe up to 5% more than their home is worth.

According to the plan, “credit-worthy” or “responsible” homeowners can refinance their mortgage into a 30- or 15-year, fixed-rate loan based on current market rates. The refinanced loan, however, cannot include prepayment penalties or balloon payments. For many families, this low-cost refinancing may help reduce their mortgage payments by up to thousands of dollars per year.

As with the rest of the plan, details about this initiative will be released at a future date—including what, if any, credit score requirements will be included.

Stability Initiative
This initiative aims at providing help to individual families as well as entire neighborhoods by helping reduce foreclosures and stabilize home prices. It is intended to help homeowners who are struggling to afford their mortgage payments, but cannot sell their homes because prices have fallen significantly.

The goal of this initiative is simple: “reduce the amount homeowners owe per month to sustainable levels.” To accomplish this, lenders are encouraged to lower homeowners’ payments to 31 percent of their income by lowering their interest rate to as low as 2% or by extending the terms of the loan. In addition, lenders can also lower the principal owed by the borrower, with Treasury sharing in the costs.

Homeowners who are current on their mortgages but are struggling can still apply for this program. As such, this is one of the few programs designed to help homeowners who may face delinquency soon, but are current at the moment.

Since the focus of this initiative is on helping families and neighborhoods, investment properties do not qualify. This initiative also includes a number of additional elements and incentives that benefit homeowners and lenders alike, including:
∑ Incentives to Help Borrowers Stay Current: To provide an extra incentive for borrowers to keep paying on time, the initiative will provide a monthly balance reduction payment that goes straight towards reducing the principal balance of the mortgage loan. As long as a borrower stays current on his or her loan, he or she can get up to $1,000 each year for five years.
∑ Reaching Borrowers Early: To keep lenders focused on reaching borrowers who are trying their best to stay current on their mortgages, an incentive payment of $500 will be paid to servicers, and an incentive payment of $1,500 will be paid to mortgage holders, if they modify at-risk loans before the borrower falls behind.
Supporting Low Mortgage Rates
As part of the Homeowner Affordability and Stability Plan, the Treasury Department is increasing its funding commitment to Fannie Mae and Freddie Mac to ensure the strength and security of the mortgage market and to help maintain mortgage affordability. This portion of the plan will use using funds already authorized in 2008 by Congress for this purpose.

The increased funding will enable Fannie Mae and Freddie Mac to carry out ambitious efforts to ensure mortgage affordability for responsible homeowners, and provide forward-looking confidence in the mortgage market.

Again, the government plans to unveil the final details of the plan on March 4, 2009. For now, you can download a sheet of common Questions and Answers produced by the government

View 100’s of homes on line in the California Bay Area & Fremont CA

or email me at info@BayArea-Homes.com

Click on the link below to view housing statistics for Fremont California. The chart will show average days on the market, median single family home price for the last 12 month, number of active listings and more in Fremont Calif. If you would like statistics for any other Bay Area real estate city including Santa Clara county and Alameda county, email me at sandi@bayarea-homes.com or visit Http://www.bayarea-homes.com

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