July 2007 Newsletter

• To My Valued Clients and Friends...
  
  Builder Confidence Falls to Lowest Level in 16 Years
  Win a $100.00 gift certificate from Trader Joe’s
  
  Dear Friend,
  
  Concerns about rising interest rates, increased sales cancellations, and sizable inventory levels continue to negatively impact builder confidence. The Housing Market Index (HMI), which gauges builders' perceptions of current and future home sales, now stands at 28, down two points from May and down 14 points from a year ago. The HMI has not fallen below 30 since February 1991. An HMI below 50 indicates more builders view sales conditions as poor versus good. I think locally we will see some slowing of new homes sales but not the same as the rest of the nation. Over the next 6 months, there will be approximately 200 new condos in the downtown area in the 1-1.6 million dollar price range hit the market; more than likely there will be longer market times, but only time will tell.
  
  I have enclosed an updated chart of the median home price and as you can see, the Santa Barbara median home price still stands at $1,250,000 and condos have inched up to $640,000. So far this year, sales continue to outpace last year and could continue to keep that pace until September or maybe October.
  
  Free Food at Trader Joe’s
  
  That’s right, I am giving away one $100.00 gift certificate to Trader Joe’s. All you have to do is fill in all the blanks on the reply card (no stamp required), drop it in the mail and you will be entered to win. The receptionist at my office will pick a card from a bowl on the 16th of July and I will send it right out to the winner. This would also be a great time to write any feedback right on the card, I would love to hear what you think. Good luck and I hope you win.
  
  Words of wisdom, what were they thinking???
  · There is practically no chance communications space satellites will be used to provide better telephone, telegraph, television, or radio service inside the United States." -- T. Craven, FCC Commissioner, in 1961 (the first commercial communications satellite went into service in 1965).
  · "Stocks have reached what looks like a permanently high plateau." -- Irving Fisher, economics professor at Yale University, 1929.
  · "Drill for oil? You mean drill into the ground to try and find oil? You're crazy." -- Associates of Edwin L. Drake refusing his suggestion to drill for oil in 1859.
  Because of my high level of service and attention to detail I have very satisfied clients, most of my business comes from referrals. Your referrals are the foundation of my business and I will always show my appreciation for your consideration. Anytime you have a question about real estate or need a referral for contractors, please call me. Being a resource for you is part of what I do. I look forward to your referrals.
  Be well and prosper,
  
  
  Michael Farris
  COLDWELL BANKER
  (805) 637-3300
  mike@mikewfarris.com
  http://www.mikewfarris.com/
• www.mikewfarris.blogspot.com