MORTGAGE RATES SINK TO RECORD LOWS

Mortgage rates slumped to record lows this week, Freddie Mac confirmed Thursday, with lenders on average offering 4.69% on a 30-year fixed-rateloan. The average rate on the 30-year loan fell from 4.75% last week, dropping below the previous record of 4.71% set in December. As recently as early April, the average was at 5.21%.

HIGH END HOME SALES IN URBAN AREAS SEEING LIFE

Bay area and San Diego home sales quoted recently are showing an upturn in their high end markets. Although too soon to sell if this is a real trend, this could be caused by lower pricing for larger homes then in the past .

Someone Has the Faith

The Wall Street Journal reported this week that KB Homes, one of the nation's largest homebuilders bought 490 home sites in Riverside County's Eastvale community and 174 in San Bernadino County's North Fontana this week.  They believe that things are coming back and they want lots to build on.  We are also seeing some SoCal developers coming back here looking for development property.  The smart money may know something.

MAY NORTH COUNTY REAL ESTATE STATISTICS

 97 properties closed escrow in the North County in the month of May which was a 1 % increase in closings from the month before in April.  It was a 13% decrease from the same month a year ago in 09.   There is less then a 1% decrease in the 1st 5 months of this year against the 1st 5 months of 2009 which means it is virtually the same amount of activity.   Pending Sales (properties in escrow) were down 3% in the month of May against the month before in April. 
  Summing this all up