Winter Market Outlook

As usual, the San Francisco real estate market is doing significantly better than the state numbers, or even the Bay Area region numbers would suggest. Sales have been noticeably improving since March and there is no reason to believe that a slow down over the holiday season is anything more than normal and expected.

The negative factors that do impact us include unemployment issues that are being experienced in the hi-tech industries that are located within commuting range of San Francisco. Consumer confidence numbers also appear to be weak.

There is some very good news to report, however. The number of San Francisco properties under contract is up 48% over what we were seeing at this time last year, and the number of closed properties is up 26% over this time last year!

Between buyer incentive programs, exceptional interest rates and great median home prices, there hasn’t been a better opportunity for buyers in recent memory. Since an improvement in consumer confidence only requires us to be optimistic, let’s expect a great Spring for 2010!

SFUSD Seeks Feedback in Redesign of School Assignment Process

San Francisco parents have long been frustrated by the daunting student assignment process currently in place in the San Francisco Unified School District. In fact, dissatisfaction with our schools is often cited as a cause for the noticeable outflux of young families from our city.

After many years of hard work, the SFUSD is preparing to move forward with a revamped and hopefully much improved student assignment process.

To get the new plan launched by spring, and in order to ensure that the new process is as effective and beneficial as possible, the SFUSD is reaching out to local families for feedback.

If you are an SFUSD family, please consider attending one of the following town hall meetings:

• December 2, 6pm to 8pm, Washington High 600-32nd Ave
• December 15, 6pm to 8pm, Dianne Feinstein 2550 25th Ave
• January 7th, 6pm to 8pm Drew Elementary 50 Pomona St
• January 14th 6pm to 8pm, Francisco Middle 2190 Powell St

If you can’t make it to a meeting, visit sfusd.edu to take a survey and share your thoughts on the process. And finally, the SFUSD Parent Advisory Council and Parents for Public Schools of San Francisco will organize a series of “Community Conversations” to keep busy parents in the loop.

Beneficial Legislation Gets a Much Needed Extension

We got word in late October that Congress sped through a resolution extending the current higher Fannie Mae, Freddie Mac and FHA loan limits through December, 2010. You might recall that lawmakers raised the limits for these federally-funded home loans back in 2008 as part of a national economic stimulus package, to $729,750 for high-cost areas such as ours. However, that was only a temporary measure and it was set to revert to previous lower limits next month.

Most industry insiders agree that extending the higher loan limits will encourage more buyers to enter the housing market, with National Association of REALTORS(R) President Charles McMillan noting that “higher limits, along with the home buyer tax credit extension, are necessary to keep the markets moving at this critical time.”

Also facing a premature expiration date was the highly successful homebuyer tax credit instituted last year. Since the $8,000 tax credit became available, the NAR reported that sales jumped 9.4 percent to a seasonally adjusted annual rate of 5.57 million units in September, and were 9.2 percent higher than the 5.10 million unit pace in September 2008.

The updated legislation applies to move-up buyers as well as first-time buyers. The $8,000 maximum first-timer credit is now available to couples with an income of up to $225,000, a nearly $55,000 increase above the level in existing law. A new $6,500 maximum credit will also be available to move-up homeowners who have lived in their current residence for five of the prior eight years.

I think it’s fair to say that this legislation is exciting not only to those in the real estate industry and current property buyers and sellers, but really anyone interested in the health of our economy. I’ll keep you updated on any future changes.

Make the Holidays Brighter for S.F. Families

Every year, Zephyr sponsors a holiday food and toy drive to benefit kids and families in need throughout our community. This year, more than ever, we invite you to participate by bringing unwrapped new toys and non-perishable food to any of our offices, now through December 23.