Real Estate News, Part 7

[Gordon Hamachi]

Real Estate News Summary, Part 7

56. Builder advertises: $50,000 Price Reduction! Executive homes in San
Jose's Blossom Hill area from only $325,000. [San Jose Mercury News]

57. Builder advertises: $50,000 Price Reduction! Luxury view homes in the
Almaden Valley from $525,000. [San Jose Mercury News]

58. As a slowdown settles over the Bay Area, people wonder how they can keep
up the high expense of life here. Jean Bishmann, a credit counselor with
the non-profit Consumer Credit Counseling Service of Santa Clara County
believes that many people in trouble are living on credit cards and 2nd
mortgages rather than scaling back spending. She predicts that in another
5 or 6 months "the bottom is going to drop out." The people who face real
troubles, said Dan Feshbach, head of the Mortgage Information Corp., are
first-time home buyers who purchased at the market peak, especially those
with adjustable-rate mortgages. [San Jose Mercury News]

59. If you must sell now, be prepared to make significant concessions. House
prices and sales are stagnant because prices rose out of the reach of
most buyers. [San Jose Mercury News]

60. The soft real estate market spread from luxury and middle-priced
properties to include three of the Peninsula's more affordable cities
during the past 6 months, according to a new survey by Coldwell Banker
Residential Services. Residential real estate in Daly City, San Bruno,
and South San Francisco depreciated from 5% to 13.5% since May 1990.
[San Francisco Examiner]

61. The University of Michigan reports that formerly strong real estate
sites in California, such as Anaheim, Orange County, San Francisco,
and Los Angeles now lead the list of the nation's riskiest real
estate markets. [San Francisco Examiner]

62. Household growth slowed sharply from 1989 to 1990, to 0.6%, compared
with an average increase of 1.6% during the 1980s. [Business Week]