Post Valentines Day Bliss

What is going on? I hope that everyone had a great Valentines Day; if you are in a relationship, I hope it went well, If you are looking for a relationship, good luck, if you hate everyone of the opposite sex, sorry, letter luck on Easter!

So what's going on in the wonderful world of Real Estate? Well, for first time buyers, it's a great time to take that first step and get that great house at a great price. For Investment properties, there are some real deals for the taking, if you're patient and willing to deal with a sort sale.

Here's the current numbers courtesy of Russell Foster at Extra Mile Financial 714-349-5452. You can contact him at Russell@goEMF.com.

Gas prices*
National
Current: $2.95 Last Week: $2.97 Last Year: $2.20
California
Current: $3.11 Last Week: $3.11 Last Year: $2.63

*Based on average price per gallon for Regular-grade retail Gasoline, figures released weekly on Monday

Mortgage Rates*
30 Year Fixed
Current 5.72% Last Week: 5.67% Last Year 6.30% My Rate: 5.625%
15 Year Fixed
Current 5.25% Last Week: 5.15% Last Year 6.03% My Rate: 5.25%
5/1 ARM
Current 5.19% Last Week: 5.21% Last Year 6.01% My Rate: 4.75%
1 year ARM
Current 5.00% Last Week: 5.03% Last Year 5.52% My Rate: 4.75%

*Based on Freddie Mac national average. Figures released weekly on Thursday. Yes, my rates are real.


Financial Markets and Info
US 10 Year Treasury
Current 3.77% Last Week: 3.66% Last Year 4.69%
This index is a good indicator for fixed mortgage rates. Generally, a decrease in bond yield is good for interest rates.
Prime Index
Current 6.00% Last Week: 6.00% Last Year 8.25%
This index is what home equity lines are based on.
Dow Index
Current 12,376.98 Last Week: 12,247.00 Last Year 12,765.01
Nasdaq*
Current 2,332.54 Last Week: 2,293.03 Last Year 2,497.10

*"current" stock index values based on prior day's close

Unemployment*
National
January 2008: 5.4% December 2007: 4.8% January 2007: 5.0%
Orange County
December 2007: 4.3% November 2007: 4.2% December 2006: 3.2%

*Not seasonally adjusted. Figures released monthly. National typically gets released earlier than OC

C.A.R. Home Affordability Index*
California
Q3 2007: 24% Q2 2007: 24% Q3 2006: 24%
Orange County
Q3 2007: 24% Q2 2007: 23% Q3 2006: 22%
Los Angeles County
Q3 2007: 20% Q2 2007: 20% Q3 2006: 19%

*This is the percentage of California households that can afford to purchase an median-priced home.

Real Estate Stats
Median Home Price*
California
December 2007: $402,000 November 2007: $414,000 December 2006: $472,000
Orange County
January 2008: $520,000 December 2007: $565,000 January 2007: $600,000

So what's it all mean? Even though medican home prices are down accross the board, there is light at the end of the tunnel. As I remind everyone I know, everything is cyclical; this rough period will pass and we'll all look back and say, MAN! that was a tough time, but I survived!

My wish is for everyone not just to survive, but to thrive.

God Bless, and hang tough!

Stephen