Barbara Slaton

Facebook Files for it's Long-awaited IPO

2012-02-01T16:00:00.000-08:00

Now THIS should shake up the Real Estate market!!!

Call me at (650) 888-6628 to see quality homes in Atherton, Menlo Park and Palo Alto.

I specialize in fine properties in the Mid-Peninsula, Stanford and Silicon Valley area.

Happy New Year!

2012-01-10T14:42:00.000-08:00

Happy 2012!!!

We are going to have a fantastic year. The Menlo Park Office of Alain Pinel Realtors had a wonderful year in 2011, and this one is going to be even better.

Sales are firm in Menlo Park and Palo Alto
WE NEED MORE INVENTORY.

For a Current Market Analysis of your property please contact me at (650) 888-6628, or to see quality homes in Atherton, Menlo Park and Palo Alto.

I specialize in fine properties in the Mid-Peninsula, Stanford and Silicon Valley area.

Sand Hill Road Tops List Most Expensive Office Address in North America

2011-09-07T11:44:00.000-07:00

Sand Hill Road Tops List Most Expensive Office Address in North America

1. Sand Hill Road, Menlo Park -- $114. per square foot

The epicenter of the technology universe, Sand Hill Road houses many of the venture capitalists that provide start-ups with funding to grow and spread the tech expansion.

4. University Avenue, Palo Alto -- $83. per square foot

With immediate access to Stanford University and abundant retail amenities, University Avenue has been a popular location for start-up companies and professional services firms, the most notable being Facebook, Inc.

Source: World Property Channel, Posted by Michael Gerrity

House of the Week -- 467 Gary Court, Palo Alto

2011-08-22T11:56:00.000-07:00

Lovely new home in Palo Alto

New construction Tuscan 4 bedroom, 4.5 bath home located in prime Midtown on cul-de-sac steps from Herbert Hoover Park. Quality workmanship, lots of natural light, high ceilings, stone, tile and hardwood floors no wall to wall! All bathrooms with unique and exquisite tile work, expansive kitchen and family room along entire back of residence. Generous rear yard with lush plantings. Rustic fireplace.

Call me at (650) 888-6628 to see this or other quality homes in Atherton, Menlo Park and Palo Alto.

I specialize in fine properties in the Mid-Peninsula, Stanford and Silicon Valley area.

LEASED in Menlo Park -- Elder Avenue in Central Menlo Park

2011-08-04T11:25:00.000-07:00

Lovely West Menlo Park Home just LEASED!!!

Close to best Menlo Park Schools, downtown Menlo Park, Stanford University and Silicon Valley.

Call me at (650) 888-6628 to see quality homes in Atherton, Menlo Park and Palo Alto.

I specialize in fine homes in the Mid-Peninsula, Silicon Valley and Stanford vicinity.

bslaton@apr.com

SOLD In Palo Alto -- 6 Offers!!!

2011-08-01T15:24:00.000-07:00

Great 4 Bedroom home in the Green Acres neighborhood of Palo Alto.

This home is two years new and boasts many designer features. Close to Juana Briones Park, Stanford University and Silicon Valley.

Call me at (650) 888-6628 to see quality homes in Atherton, Menlo Park and Palo Alto.

I specialize in fine properties in the Mid-Peninsula, Stanford and Silicon Valley area.

bslaton@apr.com

Tech Rebound Gives Housing a Lift

2011-06-29T16:02:00.000-07:00

Source: The Wall Street Journal
By YUKARI IWATANI KANE

The resurgence in the Silicon Valley tech industry is leading to a new boom in the area's real estate market, with rising rents and a scarce supply of homes to buy.

Sid Vismanathan, who sold his start-up to LinkedIn in January, purchased a three-bedroom house in Mountain View for $700,000.

When Ann Schneider advertised her 1,782-square-foot, three-bedroom town home in Mountain View for rent on online classifieds site Craigslist earlier this month, she was surprised to get nearly a dozen responses right away.

The modest house has a two-car garage and a backyard, and she had redone the master bath and repainted the walls so it looks in better shape than comparable units in the complex. But she also raised the rent 60% to $4,000 a month.

Nevertheless, she had one potential renter offer to pay two months up front, and another who came to look at the house ready to make an offer with a package of documents that included a copy of a completed rental application, a letter from his employer, additional letters of recommendation and a credit report.

"I've had offers over email without seeing it," said Ms. Schneider, adding that she hasn't experienced anything like it since she began renting the house five years ago.

Inquiries came from as far away as Spain, Germany and Finland, and many from people in the high tech or medical fields. She ultimately rented it to a family. The clincher was that they agreed to sign a two-year lease.

While the nationwide housing market continues to struggle, Silicon Valley is one among a small number of areas where demand is strong. According to website Rent.com, the amount of rent that tenants are paying rose 11% in the first quarter in the San Jose market, which includes Palo Alto, Mountain View and Cupertino, compared with a 2.5% increase nationwide.

Ann Schneider had many offers to rent her Mountain View town home.

Realtors and real estate experts, meanwhile, are reporting a dearth of properties for sale, which often is a precursor to rising home values. Real estate statistics firm Altos Research of Mountain View found that, this spring, an average of about 76 homes were on the market in any given week in Palo Alto—the epicenter of the boom—compared with 110 a year earlier and about one-tenth the number in a similarly sized market near Dallas or Atlanta.

While in some cities, a lack of homes for sale could mean that owners are taking their properties off the market because they can't sell them, Altos Research Chief Executive Mike Simonsen said the very small number of homes listed with reduced prices suggested that this isn't the case in Silicon Valley. Properties with reduced prices comprised just 4% of current listings in Palo Alto, compared with a little more than 40% six months ago and 25% a year earlier.

Additionally, properties that were relisted, most likely because they couldn't be sold, also comprised just 4% of listings in Palo Alto, at the low end of the area's typical range of 4% to 15%. The median sale price in Palo Alto has largely remained unchanged in the past year at about $1.7 million, he said.

Real estate agents already see evidence of a housing crunch in a handful of communities such as Palo Alto, Menlo Park and Atherton, which are known for their schools and are near many of the fastest-growing companies. They say a number of two- and three-bedroom houses that are less than 2,000 square feet have sold for $1 million to $2 million after receiving multiple bids.

"There's just not enough land to build [in this area]," said Keri Nicholas, a real estate agent in Menlo Park, though she added that the market appears to be heating up over the last five months at a slower pace and more unevenly than during the Internet bubble when "it happened very quickly and ended very abruptly." She said there were still pockets in the broader Silicon Valley area where homes are difficult to sell, especially in the lower-end price range where buyers might have a harder time qualifying for loans.

Those who aren't interested in buying or can't find adequate houses for purchase are looking to rent. Mara McCain, an agent at Alain Pinel Realtors, recently listed a three-bedroom 2,850-square-foot house in Menlo Park on Craigslist for rent for $9,500 a month. Despite the high price, she said she has received more than 20 inquiries. She ended up renting the house to a technology executive.

At the heart of the boom is the technology industry, led by heavyweights such as Apple Inc. and Google Inc., which has fueled jobs and created wealth in the area.

An additional factor has been the anticipation of public offerings from companies such as Facebook Inc., valued by some investors at more than $70 billion and expected to go public as early as next year. Already, employees and others who have received private shares can sell them through specialized markets.

"All of a sudden, there are a ton of millionaires coming out because of Facebook," said Katie Hammer Riggs, an agent at Coldwell Banker Menlo Park.

Already, the initial public offering of another tech company, LinkedIn Corp., a professional networking site based in Mountain View, is prompting some employees to upgrade their homes.

Sid Vismanathan is a 27-year-old co-founder of a business card reading app called CardMunch that was acquired by LinkedIn in January for an undisclosed amount. After the May IPO of LinkedIn, Mr. Vismanathan this month purchased a 1,500-square-foot, three-bedroom house in Mountain View for $700,000, upgrading from the $400 a month he paid for a two-bedroom rental apartment shared with two others.
"I felt like it was a good deal," he said, adding that he lucked out because the owners wanted to sell quickly. "It was on the higher side of my budget, but it was a single-family unit and nothing of that similar type of house has sold for less than $769,000 in the last year," he said.

Spring Roses Despite Unseasonably Cold Weather

2011-05-26T11:42:00.000-07:00

My favorite, Just Joey

Why Barbara Slaton for Fine Properties in the Heart of the Mid-Peninsula?

2011-05-24T14:47:00.000-07:00

Why should you work with me?
You should work with me because I’m smart, creative, hard-working and enthusiastic. I have twenty five years of experience handling multimillion dollar transactions. I understand investments, contracts, people and finance. I have a Bachelor of Fine Arts in Interior Design, which gives me an eye for beauty, proportion and elegance with a comprehension of building styles and techniques. This can be an enormous advantage to you when considering a home for remodel or redesign. I have an extensive arsenal of Trade Resources to tap into when you need assistance with home repair, inspection, appraisal, finance, design, building or landscaping.

What do I know about the San Francisco Peninsula?
Menlo Park and Atherton have been my home since the Fifties. I know the schools, churches, Country Clubs, restaurants, shopping centers, hiking trails, parks and neighborhoods. I have an appreciation for the subtle differences between the various communities, cities and towns. The advantages of living near Stanford University in the heart of Silicon Valley are crystal clear to me. I can advise you as to the best climates and commutes. I “get it”.

What you can expect of me?
You can expect my total commitment and fiduciary responsibility to you as my client. I offer my honesty, integrity, scrupulous attention to detail and the determination to produce your desired outcome. I spare no expense to provide my clients with the best technology and market research. Fine properties in the heart of the Mid-Peninsula are my specialty.

What is my business philosophy?
Most importantly, I am your advocate. I will provide impeccable service, communicate clearly, and achieve results for you. I am sincere, trustworthy and will negotiate tirelessly on your behalf.

House of the Week -- 2 Serrano Drive, Atherton

2011-05-10T12:51:00.000-07:00

WOW!
This house is the complete package...

Stunning, peaceful, park-like grounds, impeccable craftsmanship, woodworking, moldings, lovely windows and appointments -- all the bells and whistles!

The home has the ageless appeal of an East Coast home, all the hallmarks of outside-oriented California living, grace and charm galore! An ideal setting for your museum quality paintings or porcelains...

Call me at (650) 888-6628 to see quality homes in Atherton, Menlo Park and Palo Alto.

I specialize in fine homes in the Peninsula, Silicon Valley area.

bslaton@apr.com

Fabulous Townhome -- See the video Tour of the property

2011-05-05T15:33:00.000-07:00

Check it out!

http://www.youtube.com/watch?v=dBEKbjxRG6g

Fabulous Location for Homeowners -- between SF and Siilcon Valley

2011-05-02T23:30:00.000-07:00

Check out my NEW LISTING!

Beautiful, turnkey Townhome in Foster City, the sweet spot between San Francisco and Silicon Valley...
This home has it all, lovely designer finishes, fabulous architecturally interesting spaces, two Master Suites and more --

http://www.emeraldbaytownhome.com/

Call me for a personal Tour of this, or other, wonderful Bay Area properties.

Barbara Slaton
Alain Pinel Realtors
(650) 888-6628
bslaton@apr.com
http://www.barbaraslaton.com/

The Valley is BACK!

2011-04-14T21:44:00.000-07:00

Source: Excerpted from Venturebeat.com, Dean Takahashi

March 26, 2011

Dean Takahashi comments, "The bulls are back in Silicon Valley in a variety of ways. Let’s hope reports of the recovery are true and that the optimism doesn’t get overheated too fast and turn into a bubble of the dot-com era’s scale".
The front pages of the San Jose Mercury News and the New York Times both have stories today about the return of good times in Silicon Valley (and let’s not forget the Los Angeles Times). They point to both hard figures in unemployment data and anecdotal evidence of a recovery, rather than a bubble.

The Key to Happiness?

2011-04-10T16:54:00.000-07:00

"Joining a group that meets just once a month produces the same increase in happiness as doubling your income."

Read this marvelous and thought-provoking article in the New Yorker by David Brooks.

Annals of Psychology
Social Animal
How the new sciences of human nature can help make sense of a life.
by David Brooks

http://www.newyorker.com/reporting/2011/01/17/110117fa_fact_brooks?currentPage=1

Power Lunch Discusses the Midas 100 Venture Capitalists

2011-04-09T16:30:00.000-07:00

Forbes Editor, Nicole Perlroth

on CNBC's Power Lunch
with Michelle Cabruso Cabrerra

WATCH THIS:

http://www.dailymotion.com/video/xi15iy_nicole-perlroth-of-forbes-talks-to-power-lunch-about-vcs_news

The Forbes Midas 100

2011-04-06T15:09:00.000-07:00

Check out the Midas 100
2011's Top Tech Investors

Source: Forbes Magazine, Editor Nicole Perlroth

http://www.forbes.com/lists/midas/2011/midas-list-techs-top-investors.html

Fascinating local angle on this story --

30 of the top 100 live in Menlo Park, California

23 of the top 100 live in Palo Alto, California

2 of the top 100 live in Woodside, California

1 of the top 100 live in Atherton, California

High-end Housing Sales in Silicon Valley are Booming...

2011-04-04T12:48:00.000-07:00

The Menlo Park Office of Alain Pinel Realtors
just had their

BEST MONTH EVER!!!

The following article appeared in the Sunday
edition of the San Jose Mercury News --

Sales of houses in that price range were up 9 percent in January and February from the same period last year, according to DataQuick Information Systems.

The same trend isn't showing up yet in San Mateo County, where DataQuick shows sales in that range are down from a year ago. But DataQuick hasn't captured complete March figures yet, and agents are reporting a surge of activity in the past three weeks.

Beyond that, not every high-end sale gets into public records or the listings service that real estate agents use. The $100 million paid by Russian investor Yuri Milner for a home in Los Altos Hills on Feb. 3 wasn't known until Wednesday, when Santa Clara County Assessor Larry Stone released official records that had been confidential until then.

"The high end of the market is doing better than it has for the last several years," said Richard Calhoun of Creekside Realty in San Jose.

Twice as many sales

The highest end seems especially hot. Calhoun found that in the first three months of this year, twice as many homes were sold for $5 million or more in Santa Clara and San Mateo counties as there were during the same period of 2010.

Most of those sales for both counties took place in February and March,

Calhoun said. The number of sales in that price range is more than for any similar period since 2000, he said.

And most are taking place in the cities you'd expect: Los Altos Hills, Palo Alto, Atherton, Portola Valley and Woodside.

"People feel like they have money in their pockets," said Wendy McPherson, manager of Coldwell Banker's Menlo Park, Woodside and Portola Valley offices.

Wait-and-see stance
The trend is being repeated around the state. In January, DataQuick reported that the number of California homes sold for $1 million or more in 2010 rose for the first time in five years while overall sales dropped by 9 percent.

Catherine Marcus, who specializes in high-end valley properties for Sotheby's, said "the market right now on the high end is probably stronger than we've seen since 2007."

"Things that are coming on the market are selling," she said. "We're seeing a lot of foreign buyers, a lot of money from China. There are properties we've had where nothing had happened for six months, and all of sudden there are multiple offers."

The high end is "definitely picking up," said Diane Kneis, a Coldwell Banker agent who is listing the Atherton home of 49er football legend Jerry Rice -- 16,000 square feet, not counting a seven-car garage -- for $13.9 million. "There's a lot of interest from agents with qualified buyers who are looking for large homes that are well-built and can accommodate large families," she said.

McPherson of Coldwell Banker said that "all of a sudden in Menlo Park in the last three weeks, we had six sales over $3.5 million. In Atherton, we just had a $17.5 million listing and an $11.5 million listing sell," she said.

She said recent sales in Palo Alto include one for $9 million, two for more than $6 million and "lots and lots of sales" between $2 million and $3 million.

"There's been quite a few recent sales," said Gary Campi of Campi Properties in Los Altos. "It's been pretty promising." Campi is listing an equestrian facility on 11 acres in Los Altos Hills, with plans for a 15,000-square-foot home and eight-car garage, for $26.8 million.

At this point, DataQuick is taking a wait-and-see stance. "It's really early to know how this is going to shape up for the year," said Andrew LePage, an analyst for DataQuick. "In the next two or three months, we'll get a better idea."
Source: By Pete Carey, pcarey@mercurynews.com

Nadir is here!

2011-03-29T19:30:00.000-07:00

Nadir: The word is also used figuratively to mean the lowest point of a person's spirits, or the quality of an activity or profession.

NADIR IS HERE!

The Real Estate market in our very special local area has changed!!! Palo Alto, Menlo Park and Atherton have lately been recognized by wealthy individuals from many countries to be valuable. These are actual, real dollar valuations. In the past four weeks we have seen numerous all cash transactions, full price Offers, and multiple Offers on single family homes.

We have a Sellers market! CALL ME.

Please call me at (650) 888-6628 to LIST YOUR HOME or see the special properties located within this valued and coveted area...

Barbara Slaton
Alain Pinel Realtors
1550 El Camino Real
Menlo Park, California 94025
bslaton@apr.com

Russian Billionaire Yuri Milner Drops $70M on Sweet New Digs

2011-03-29T15:24:00.000-07:00

In order for one to become a Russian billionaire, they make you take a test to determine whether you're committed to buying egregiously egregious real estate.

Shipping magnate Alexander Ponomarenko passed—he bought a Russian palace (from Prime Minister Putin's right-hand man) for $350M. As did Roman Abramovich—he owns more than 10 properties.

Now Yuri Milner, the billionaire founder of Moscow-based venture firm DST, has reportedly scooped up a 25,000-square-foot number in Silicon Valley for $70M. Apparently Milner has no real plans to relocate stateside, but as far as his portfolio goes, consider it seriously beefed up.

Source: Sarah Firshein, Curbed National

15 (other) Uses for Vodka...and you thought it was just for drinking

2011-03-28T16:42:00.000-07:00

These are real uses for vodka in Russia

1. To remove a bandage painlessly, saturate the bandage with vodka. The solvent dissolves adhesive.

2. To clean the caulking around bathtubs and showers, fill a trigger-spray bottle with vodka, spray the caulking, let set five minutes and wash clean. The alcohol in the vodka kills mold and mildew.

3. To clean your eyeglasses, simply wipe the lenses with a soft, clean cloth dampened with vodka. The alcohol in the vodka cleans the glass and kills germs.

4. Prolong the life of razors by filling a cup with vodka and letting your safety razor blade soak in the alcohol after shaving. The vodka disinfects the blade and prevents rusting.

5. Spray vodka on vomit stains, scrub with a brush, and then blot dry.

6. Using a cotton ball, apply vodka to your face as an astringent to cleanse the skin and tighten pores.

7. Add a jigger of vodka to a 12-ounce bottle of shampoo. The alcohol cleanses the scalp, removes toxins from hair, and stimulates the growth of healthy hair.

8. Fill a sixteen-ounce trigger-spray bottle, and spray bees or wasps to kill them.

9. Pour one-half cup vodka and one-half cup water in a Ziploc freezer bag and freeze for a slushy, refreshable ice pack for aches, pain or black eyes.

10. Fill a clean, used mayonnaise jar with freshly packed lavender flowers, fill the jar with vodka, seal the lid tightly and set in the sun for three days. Strain liquid through a coffee filter, then apply the tincture to aches and pains.

11. To relieve a fever, use a washcloth to rub vodka on your chest and back as a liniment.

12. To cure foot odor, wash your feet with vodka.

13. Vodka will disinfect and alleviate a jellyfish sting.

14. Pour vodka over an area affected with poison ivy to remove the Urushiol oil from your skin.

15. Swish a shot of vodka over an aching tooth. Allow your gums to absorb some of the alcohol to numb the pain.

Source: www.thespir.it

Neighborhoods -- Menlo Park

2011-03-21T13:56:00.000-07:00

In its earliest years of the latter 19th century, Menlo Park was awash with bucolic charm. Because of that, a temperate climate and a newly minted train station, many San Francisco businessmen chose to reside there. Leafy, secluded neighborhoods are still a hallmark, and with a small population plus a convenient Peninsula location, it remains an attractive place to live. The downtown's main artery, Santa Cruz Avenue, bustles with boutiques, shops and excellent restaurants, in addition to markets at either end: upscale Draeger's on one side and casual Trader Joe's on the other.

A favorite gathering spot is Café Borrone, across the street from downtown on El Camino Real. There's plenty of seating indoors and out, perfect for perusing material purchased at adjacent Kepler's, an independent bookstore that has been around more than 50 years.

The crown jewel of Menlo Park's architectural treasures is the Allied Arts Guild, a collection of shops, gardens and artists' studios. For golf enthusiasts, there is the highly regarded members-only 18-hole course at the Sharon Heights Golf & Country Club. Sunset magazine has its headquarters in Menlo Park, where every spring the facility hosts Celebration Weekend, a festival of activities featuring Sunset experts.

Of course, many residents just might cite Menlo Park's prime location as its No. 1 asset. It offers quick access to Interstate 280 and Highway 101, and is next door to Stanford University and Stanford Shopping Center. The city seems to straddle the bustle of the South Bay and the acres of lush woods and sprawling grasslands that form nearby open space. Quiet life in Menlo Park is deliberately reserved and protected.

Population: 30,785
Average household income: $89,100
Average household size: 2.4
Median age: 37.4
College graduates: 61.7 percent
Parks: 9

Source: San Jose Mercury Online

How does Google Know?

2011-03-09T14:27:00.000-08:00

This is what I encountered this morning when I logged on...if I move my cursor accross the image a message pops up "Happy Birthday, Barbara". WOW!

Venture Capital is Happening Here

2011-03-07T15:47:00.000-08:00

MENLO PARK, Calif. — Vinod Khosla and his Khosla Ventures took part in one of the biggest venture capital funding rounds of the year, joining some investing giants in backing WeatherBill to the tune of $42 million.

The San Francisco-based WeatherBill has developed a technology platform that enables the pricing and purchasing of weather insurance using global weather simulation modeling and local weather monitoring systems.

The recent funding was the company's second round of venture capital.

Khosla Ventures and Google Ventures joined previous investors NEA, Index Ventures, Allen & Co., First Round Capital, Atomico and Code Advisors.

WeatherBill said it will use the money to support "aggressive" product and sales expansion in the United States and internationally. Products pay out automatically based solely on measured weather conditions, requiring no claims process and no waiting for payment, according to the company.

"With a firm belief that technology can create new markets and address vital global challenges, Khosla Ventures immediately recognized the potential of WeatherBill to fundamentally change the risk profile of the global agriculture industry," said Khosla, founder of Menlo Park, Calif.-based Khosla Ventures. "WeatherBill is one of those rare companies that has the leadership and vision to apply new technology to an ancient and daunting problem — weather's impact on agriculture. Now WeatherBill can help farmers globally deal with the increasingly extreme weather brought on by climate change."

"Global agriculture production is more than $3 trillion per year, and it is at risk today from extreme weather conditions, as evidenced by the recent droughts in Russia and China and extensive flooding in Australia, which have decimated global commodity supplies," said David Friedberg, CEO and co-founder of WeatherBill. "More than 90 percent of crop losses are due to unexpected weather and climate change is increasing the frequency of extreme weather events. Dedicated to addressing this global concern, WeatherBill is applying the use of our technology platform to become the first company to provide every farmer, from the developing world to the technologically sophisticated, with a simple and effective solution for removing weather-related risk from their financial profile, in order to support and ensure the sustainability of the global food supply."

Source: IndUS Business Journal Online. March 7, 2011

Peninsula Cities Face Uphill Battle in Trying to Join Forces over High-speed Rail

2011-03-03T12:00:00.000-08:00

Source: By Mike Rosenberg, mrosenberg@bayareanewsgroup.com

Tired of being a national "laughingstock" on high-speed rail, a splintered group of San Mateo County cities is joining to form a lobbying effort they hope will put them on equal footing with San Francisco and San Jose.

San Mateo, Burlingame, Millbrae, Redwood City and South San Francisco have already banded together to form the San Mateo County Rail Corridor Partnership. Officials in Belmont and the county supervisors have also expressed interest, while other cities are set to discuss joining the effort.

The officials behind the idea think the county's 12 cities along the Caltrain line can relay their concerns about California high-speed rail to the state and federal governments more easily as a unified group. The problem is that many of the cities -- even the ones that have joined -- don't necessarily agree on many aspects of the massive project, which could run along the Caltrain line later this decade.

While leaders in Burlingame are fighting to slow down the project, for instance, their neighbors in Millbrae are pushing for the rail line to come to town as quickly as possible.

Burlingame Mayor Terry Nagel, one of the group's founders, acknowledged they may not be able to get every city along the tracks to join or agree on many controversial areas. But she argues the cities are helpless by themselves.

Nagel said the seeds of the group's founding were planted in a fall meeting between officials from several Peninsula cities and

"They basically told us we're not going to get any money for high-speed rail or transportation because all our cities do is fight," Nagel said. "One of them said we were the laughingstock of Washington, D.C., because of our constant bickering. They were saying cities have to work it out."

Extra federal funding is key because cities fear they will have to pony up for local parts of the project, such as rail crossings, and will almost certainly need more money to bury the tracks underground, as several cities want.

The cities say they also have had virtually no luck pleading their case with the California High-Speed Rail Authority. The authority declined to even study -- let alone implement -- a key part of the project local cities want, namely tunneled tracks.

Some cities simply may not fit in a larger coalition, however. Atherton and Menlo Park, for example, have sued the state to reverse its decision to run the high-speed railroad along the Caltrain line, but the new partnership group is pushing to "accept" the route.

"Our voice can get lost, when we join with all the (San Mateo County) cities," Menlo Park Councilwoman Kelly Fergusson said at a meeting this week to discuss the new group.

Menlo Park Mayor Rich Cline added that the group "doesn't make sense."

"It's another overlapping group of talking heads," Cline said. Nonetheless, he said Menlo Park's full council will vote on whether to join the group.

Yet there is some common ground. San Mateo Public Works Director Larry Patterson recently asked San Mateo County cities for a list of their high-speed rail concerns, and he found each jurisdiction's problems fell into five categories: track alignment, adjacent property impacts, land use and economics, traffic and construction.

Patterson, who is leading the coordination between cities, said one goal of the group is to make peace between the various cities, a process that is typically difficult regardless of the issue.

"But we need to find a way to do that," Patterson said. "We don't want to be lost in the shuffle. I think we make the task much more difficult if we try to do it as individual cities."

Bloomberg Launches West Coast Show from San Francisco

2011-02-28T11:24:00.000-08:00

Bloomberg News’ San Francisco team is launching a new one-hour show. Called “Bloomberg West,” the show will focus on technology news with a Silicon Valley angle on business information.

It will air weekdays at 3 p.m. Pacific time and then again at 8 p.m. It’ll will be available to 250 million people worldwide who have Bloomberg TV.

Bloomberg has 65 reporters and editors in the local bureau, up from 32 in 2007, and plans to add five more soon. The bureau itself has about 250 employees.

The new show is hosted by Emily Chang, formerly with CNN in Bejing, and Cory Johnson, who was most recently a hedge fund manager and was CNBC’s first Silicon Valley correspondent.

Bloomberg’s new show will cover the impact of Bay Area companies including Apple Inc., Facebook Inc., Google Inc. and Twitter Inc.

Johnson told the San Francisco Chronicle that “New York media looks at things they don’t understand as numbers and trades and stock charts. We don’t care if a company made their numbers or missed their numbers. We care what that tells us about the business and the technological changes that the company may be succeeding at or failing at.”

Source: Bloomberg News, by Robin J Phillips on Feb 28, 2011

Menlo Wants to Stop Traffic at Santa Cruz and Elder

2011-02-22T11:50:00.000-08:00

$291,000 in traffic signal changes coming to intersection near school

Source: by Sandy Brundage, Almanac Staff

The Menlo Park City School District and the city will each chip in $120,000 to add a new traffic light at the intersection of Santa Cruz Avenue and Elder Avenue, and take away a pedestrian signal in front of Hillview Middle School at that intersection.

The lighted, in-pavement pedestrian signal will shift to the corner of Santa Cruz Avenue and Olive Street.

The city will spend an additional $15,000 for staff time and $35,000 to create a right hand turn lane from Elder Avenue to Santa Cruz Avenue.

First things first, though. At the request of the City Council at its Feb. 15 meeting, Menlo Park will also spend $1,000 to create a "keep clear" zone in front of Atkinson Lane, a residential street that intersects Santa Cruz Avenue about a block from the school.

During the meeting, three Atkinson Lane residents expressed concern about traffic problems worsening if the city installs the traffic signal, saying it's already hard to pull in and out of their driveways.

"I do know that if we want to get into our driveway on Atkinson we're stopping all the traffic behind us and we can't go, because the cars are in front of our street," Anny Levin told the council. "Traffic is much more dangerous at that particular intersection than where it is now (on Seymour Lane)."

The residents asked the city to postpone the changes until it knows whether there truly is a problem with the current arrangement.

Data provided by the Menlo Park police department shows five accidents occurred at intersections around Hillcrest Middle School during the past two years. Three happened at the juncture of Santa Cruz Avenue and Olive Street, while Elder Avenue and Atkinson Lane had one each where those streets joined Santa Cruz Avenue.

Engineering services manager Chip Taylor told the council existing traffic issues would already benefit, and that waiting could make the problems worse. "The student population is going to slowly increase over the next four to five years," he said. "It takes time to get a signal in place, so if you wait until you see the problem, it could be six to eight months before you can get the signal installed."

The school district would like to see the changes made sooner rather than later since it plans to use bond money to pay for its half of the costs, Mr. Taylor said, and hopes to have construction start by May 2012.

The council unanimously approved the changes, as well as creating a "keep clear" zone as soon as possible.

Atherton Apparently Not on Obama's Circuit, but Woodside May Be

2011-02-17T13:51:00.000-08:00

Rumors that President Obama would be stopping by Atherton during his Bay Area visit today (Feb. 17) are apparently unfounded.

However, there are other reports that he might make a stop in Woodside. If so, that could result in the closing of parts of Interstate 280 near or during the rush hour.

The White House says the president is due to arrive at San Francisco International Airport at 5:45 p.m. and will meet with business leaders at 6:45 p.m. at an undisclosed private residence.

With respect to Atherton, Police Chief Mike Guerra said that no roads would be closed off in the town and no presidential visit is in the cards.

He said that, in connection with the president's visit, one police officer from Atherton's force would help staff a police unit in Redwood City or Millbrae as part of a mutual aid agreement with other Bay Area jurisdictions.

Below are the guests expected to dine with Obama tonight. Many are residents of Atherton or Woodside:

- John Doerr, partner, Kleiner Perkins Caufield & Byers
- Carol Bartz, president and CEO, Yahoo!
- John Chambers, CEO and chairman, Cisco Systems
- Dick Costolo, CEO, Twitter
- Larry Ellison, co-founder and CEO, Oracle
- Reed Hastings, CEO, NetFlix
- John Hennessy, president, Stanford University
- Steve Jobs, chairman and CEO, Apple
- Art Levinson, chairman and former CEO, Genentech
- Eric Schmidt, chairman and CEO, Google
- Steve Westly, managing partner and founder, The Westly Group
- Mark Zuckerberg, founder, president, and CEO, Facebook

Source: Almanac Online

Facebook friends Menlo Park

2011-02-09T12:55:00.000-08:00

Facebook is moving and hiring

Source: BBC, dot.Maggie, Maggie Shiels
09:20 UK time, Wednesday, 9 February 2011

A year and a half after cutting the ribbon on its Palo Alto HQ, Facebook has just unveiled plans to quit that complex and move six miles up the road to Menlo Park to a home that will house the social network's expanding employee base.

With a workforce of around 2,000, two-thirds of which are in the Bay Area, Facebook is busting at the seams. That is very evident when you walk around the place with people always milling around, the cafeteria's always brimming with employees and the overcrowded car park.

The world's biggest social network, which celebrated its seventh birthday last week, is growing like a weed and predicts that this year will see their hiring department working overtime to fill new posts.

There are 3,700 parking spaces at the new campus and room for 3,600 people, reporters were told during a news conference to unveil the new premises. When questioned, David Ebersman, chief financial officer admitted the company is planning to "add people". While he refused to be drawn on precise figures he did say "Facebook is growing 50% a year in terms of headcount and our growth plan is to continue hiring in the Bay Area."

The new digs which were built between 1993 and 1995, was Sun's corporate HQ until Oracle bought it for $7.4bn in 2010. The campus takes up 57 acres, has nine sprawling buildings and totals about one million square feet.

Facebook said it has also purchased an adjacent 22-acre tract that is connected to its new campus by a tunnel for possible future development.

Facebook did not say how much this is all costing but said Menlo Park did not offer any tax breaks to entice the hot Silicon Valley company to its neighbourhood.

Yummy House of the Week

2011-02-08T16:56:00.000-08:00

I love this home!

an Art Gallery vibe, mixed with great small hotel, a pinch of Asia and a dash of Florida Keys -- all on a lovely West Atherton 1.24 Acre.
Ahhhhhhhhhhh

If you would like to Tour this home, or other fine properties in the Mid-Peninsula area, please call me at (650) 888-6628.

Sharon Park in Menlo Park

2011-02-05T11:44:00.000-08:00

Sharon Heights neighborhood, Menlo Park.

Check out http://www.inmenlo.com/
for more photos of Menlo Park.

Home of the Week --

2011-02-01T12:41:00.000-08:00

WOW! This home has it all

Light and bright with French Doors to the garden and expansive windows allowing the sun to fill the rooms.

A fine 1.25 Acre parcel in West Atherton with Heritage Oaks and a level garden area that could accomodate hundreds of guests for outdoor entertaining.

Six Bedrooms with all the amenities...extra-wide hallways, high ceilings and gracious rooms for gathering...

Priced at $6,900,000.

Please call me at (650) 888-6628 if you would like to see this or other fine properties in the Mid-peninsula area --

No McMansions for Millenials -- Gen Y Says NO!

2011-01-17T11:24:00.000-08:00

Source: Wall Street Journal
By S. Mitra Kalita and Robbie Whelan, Jan 14, 2011

Here's what Generation Y doesn't want: formal living rooms, soaker bathtubs, dependence on a car.
In other words, they don't want their parents' homes.

Much of this week's National Association of Home Builders conference has dwelled on the housing needs of an aging baby boomer population. But their children actually represent an even larger demographic. An estimated 80 million people comprise the category known as "Gen Y," youth born roughly between 1980 and the early 2000s. The boomers, meanwhile, boast 76 million.

"One-third are willing to pay for the ability to walk," Ms. Duggal said. "They don't want to be in a cookie-cutter type of development. ...The suburbs will need to evolve to be attractive to Gen Y."

Outdoor space is important-but please, just a place to put the grill and have some friends over. Lawn-mowing not desired. Amenities such as fitness centers, game rooms and party rooms are important ("Is the room big enough to host a baby shower?" a millennial might think). "Outdoor fire pits," suggested Tony Weremeichik of Canin Associates, an architecture firm in Orlando. "Consider designing outdoor spaces as if they were living rooms."

Smaller rooms and fewer cavernous hallways to get everywhere, a bigger shower stall and skip the tub, he said. Oh, but don't forget space in front of the television for the Wii, and space to eat meals while glued to the tube, because dinner parties and families gathered around the table are so last-Gen. And maybe a little nook in the laundry room for Rover's bed?

In his presentation, KTGY Group residential designer David Senden showed slide after slide of dwellings that looked like a cross between a hotel lobby and the set of "Melrose Place."

He christened the subset of the generation delaying marriage and family as "dawdlers."

"A house in the suburbs is not for them," Mr. Senden said. "At least not yet."

Places to congregate are more important than a big apartment, he cautioned. He showed one layout of a studio apartment-350 square feet, as big as Mom and Dad's Great Room. Common space has migrated to "club rooms," he said, where Gen-Y residents can host meals and hang out before heading to a common movie-screening room or rooftop swimming pool that they share with the building's other tenants.

The Great Recession and its effects on young people's wages will affect how much home they can buy or rent for years to come.

"Not too many college grads can afford a lot of space in the city," he said. "Think lots of amenities with little tiny units-and a lot of them to keep (fees) down. ...The things these places are doing is constantly coordinating activities. The residents get to know each other and it makes for a much livelier and friendlier environment."

It Takes a Village - An Old-Fashioned One

2011-01-06T12:37:00.000-08:00

Source: Playborhood Blog by Mike Lanza
Posted: 01/06/11 12:57 PM

I agree with Hillary Clinton that It Takes a Village to raise a child. I just don’t agree with her on what kind of village it takes.

In her bestselling book of that name, Clinton finds the original notion of a village to be quaint and outdated. She writes, “The village can no longer be defined as a place on the map.” Instead, “it is the network of values and relationships that support and affect our lives.” Many other writers agree with her that a village isn’t physically delimited. Even fifty years ago, communications theorist Marshall McLuhan coined the term “global village” to argue that mass communications technology had created a single, global culture.

The problem with this modern definition of a village for children is that they can’t use most of the technologies that adults routinely use to extend a village beyond a small local area. They can’t drive cars on their own until they reach the age of 16, and they can’t interact with others using interactive communications technologies like mobile phone texting until sometime in the elementary or middle school years. So, for children, this modern village concept would force them to depend on the the intervention of parents.

As I’ve argued repeatedly here on Playborhood.com, children have a deep need to experience things on their own. The more rich is the physical (not virtual) domain that children can access on their own, on foot, the better.

So, I strongly believe that it takes a village - i.e. an old-fashioned, tight-knit neighborhood - to raise a child. Not some “network of values and relationships.” Not a “global village.” This village is a place where children can wander safely on their own, where they have many meaningful relationships with people - children and adults - outside of their families.
Because children need parenting help when they’re outside our homes, our kids need other kids’ parents to step up and be surrogate parents to our kids when we’re not there. And, we need to do it for those parents’ kids.

We need to feed each other’s kids, soothe them when they get hurt, protect them from danger, and be a resource when they need something. If we parents in a neighborhood (or our surrogates - i.e. babysitters or nannies) join together and do these things for each other’s kids, our kids will feel comfortable wandering up and down the block on their own. We’ll be comfortable letting them do it, too.

Sociologist William Julius Wilson coined the term “reciprocal guardian behavior” back in the 1980s to describe the phenomenon of adults caring for children who aren’t their own in urban poor neighborhoods. Lyman Place in the South Bronx is an excellent example of such a neighborhood. Wilson thought this behavior was a key to making these neighborhoods safe, so that kids could feel comfortable going outside to play.

It’s clear to me that the benefits of reciprocal guardian behavior extend to all social classes. It’s about more than just safety - fundamentally, it’s about creating the conditions for a life of independent play in the neighborhood.

We parents can help make our neighborhoods into villages by spending time in our neighborhoods, socializing with other parents and encouraging our kids to play with neighbor kids. Playborhood.com is full of suggestions on how to make this happen.

Have you invested significant time in making your neighborhood into a village? Or, do you fill up all your kids’ free time driving them to activities outside your neighborhood?

Halloween for Kids in Your Neighborhood

2010-11-01T15:15:00.000-07:00

Source: Mike Lanza, Playborhood

My neighborhood is either the Disneyland of Halloween or the Ivy League of Halloween for our area (our streets are called Yale, Princeton, Harvard, etc.!). I strongly prefer the latter. I should explain.

We have a reputation for being so fun on Halloween that lots and lots of trick-or-treaters come by who would never pass by our house the rest of the year. We handed out a few hundred treats last night, and we would have handed out a few hundred more if we hadn’t shut down at 8pm.

You “Halloween Tourists” know who you are. Well, I have a message for you:

First, I welcome you, provided you’re respectful to our neighborhood, and provided there aren’t too many of you. Last night was fine on both counts. Thanks for sharing in the joy of our neighborhood.

Halloween is the most outstanding indicator of the quality of life our neighborhood offers our children. Your attendance in our neighborhood last night helps us appreciate what a truly great neighborhood we’ve built with our neighbors.

We don’t charge you admission, nor do we attempt to screen you in any way. However, I’d like to ask you to ask yourselves some hard questions, now that that wonderful night you had in my neighborhood is behind you.

1.Why isn’t your neighborhood sufficiently interesting for you to spend Halloween night there?

2.Why aren’t you working with your neighbors to make Halloween in your neighborhood better for your kids?

3.Do you consider your visit to our neighborhood last night mere Disneyland-like entertainment for you and your kids, or do you consider it to be a learning experience that will help you make your neighborhood and its Halloween better?

4.If you feel like your neighborhood does not have the potential to be a great place for your kids on Halloween night, as well as the rest of the year, do you think you will make this your highest priority the next time you move? If not, why not?

I sincerely hope you came here because you want to learn, not because you want to be entertained. I want our neighborhood to be your Ivy League of Halloween, not your Disneyland.

I want you to soak up everything you can about why our neighborhood works for kids, and then I want you to go home and make your neighborhood better. I want you to spend next Halloween at home with your neighbors, making it a better place for kids.

Or, if you conclude that your neighborhood can never be a great place for kids, I want you to make the huge decision to move. In your new home search, I want you to make quality of neighborhood life for kids your top priority, above the quality or size of the home itself. Then, once you find that home, buy or rent it, and move in, I want you to join with your new neighbors to make it the best place possible for your kids.

If you do one of these two things, you’ll be taking important steps toward making your kids’ lives better. That will make our work in our neighborhood, on Halloween and all year round, far more fulfilling than it already is. And we won’t miss you next year. Really…

Home Buying Etiquette

2010-10-25T15:56:00.000-07:00

1. Houses belong to someone even when they are on the market. Owners have a right to know who is asking about their home – wouldn’t you want to know? When you contact a real estate agent or call an office be prepared to give some basic information – name, address, phone number, and whether or not you are pre-approved for a mortgage.

2. If you are not pre-approved for a mortgage, don’t be offended if an agent won’t show you a house. Instead, ask who you can contact to get pre-approved. It’s a waste of everyone’s time and agents have a responsibility to show homes only to qualified buyers. If you’re not ready to get pre-approved, then you’re not ready to look at houses!

3. If you go to an open house be prepared to sign-in and give correct information. If you are under contract with a buyer agent make sure you write that on the sign-in sheet. If you don’t want the agent at house to contact you just write please do not contact next to your information. Refusing to sign-in is rude and sets a tone of distrust – what if you really like the house? You’ve already gotten off on the wrong foot. Giving false information is never ok. Remember, you’re in someone’s home!

4. Houses are shown by appointment, so plan aheadIf someone is living there, they need some notice to pick up and get out – very few people can keep their house ready for visitors with a moment’s notice – can you? Even new construction is shown by appointment – there might be workers at the house, etc.

5. Real estate agents have schedules too. It is not realistic to call an agent or an office from in front of a house and expect an agent come right out to meet you. Imagine calling your lawyer, dentist, hair-dresser, plumber, mechanic, financial planner, or anyone else … and expecting on the spot service!

6. The best thing for you is to set up a meeting with an agent at their office(or other convenient location) so you can talk about your needs and get to know each other. Buying a home is a big investment and can take several months – don’t you owe it to yourself to invest an hour upfront?

7. Buying a home involves the whole family, so it’s ok to bring the kids (although, you will certainly be able to focus better without them…) If you bring them, make sure they understand that they are visiting someone’s home. Keep them by your side at all times, especially in new construction where things are unfinished and may be dangerous. It’s for their safety and for the safety of the home-owners possessions – wouldn’t you feel awful if they broke something? And please don’t let them play with the home-owners’ kids toys – they wouldn’t want a stranger playing with their things.

8. Treat the house with respect. Of course you need to look in closets and cabinets, etc. but dresser drawers, medicine cabinets, personal belongings are off limits. Never sit on someone’s bed or use the master bath – sellers know they give up some privacy when their homes are on the market but again, put yourself in their shoes!

9. Relationships are about trust and mutual respect - loyalty matters. If you are under contract with a real estate agent, always contact that agent when you need information. People can get really impatient sometimes or they don’t want to “bother” their agent so they start calling offices or listing agents demanding information or pretending that they are going to be clients

Call your agent – he/she will call you back! If your agent doesn’t return calls and give you the information you need then find another agent. If you can’t stop yourself from calling an office or listing agent directly, make sure that you disclose that you are working with an agent right away and that you would appreciate some information.

10. Golden Rule/Common Sense – as with everything else, if you treat people (real estate agents) and property the way you want to be treated, the home-buying process will be efficient and the transaction will be a lot easier. If you’re not sure what the protocol is, just ask – we’re here to help!

Sunset Magazine Speaks to Now and Then

2010-10-20T22:35:00.000-07:00

The Original California Cuisine, Courtesy of Sunset Magazine

BEFORE Alice Waters picked her first Little Gem lettuce and Wolfgang Puck draped smoked salmon across a pizza, California cuisine meant something else.

The other California cuisine was being served on a million patios in the Golden State by relaxed cooks who grilled thick cuts of beef called tri-tip and built salads from avocado and oranges. They used red chili sauce like roux, ate abalone and oysters, and whipped sticky dates into milkshakes. It was the food of the gold rush and of immigrants, of orchards and sunshine.

And always, there was young, easy-to-drink wine that could be paired with salad or Mexican food, two staples of the patio table.

“It was California cooking before chefs got ahold of it,” said John Carroll, a West Coast food writer.

There to chronicle it — and help create it — was Sunset magazine, the stalwart regional publication that Southern Pacific Railroad executives began in 1898 to lure Easterners to the untamed West. Next week, Sunset has issued a collection of a thousand recipes, many of which helped define that other California cuisine. Although the magazine is Californian to its core, some of the recipes in “The Sunset Cookbook” (Oxmoor House, $34.95) are drawn from the other parts of the West that Sunset covers, like Hawaii and the Southwest. And any state in America might claim zucchini pickles. But laced throughout are some old-school California dishes like guacamole, grilled turkey, cioppino, barbecued oysters, Crab Louis and fish tacos.

Collectively, they summon a way of life that flourished in the postwar boom, when Sunset was a coffee-table staple. In those years the magazine articulated for aspirational newcomers the relaxed, open way people on the West Coast gardened, traveled and ate.

“Instead of being formal like it was back East, where they were worried about china service and having all the right silver, here you could put your bread in a basket and you could eat food outside and you didn’t have to have a maid,” said Linda Anusasananan, who spent 34 years developing recipes for the magazine before she left it in 2005.

“Anyone could be a Californian if they read Sunset,” said Gingi Kinninger, a longtime reader who makes the occasional pilgrimage to the Cliff May-designed ranch house that anchors the Sunset compound in Menlo Park, Calif.

The book comes at a period in which Sunset is getting something of a new life. With the ascent of celebrity chefs, flashy cooking shows on television and online food media, the appeal of Sunset faded — especially among younger readers, according to several chefs and food editors in California.

But its extreme dedication to regional food, its reputation among readers for reliable recipes honed in a skilled test kitchen and its forays into the D.I.Y. ethos of backyard beekeeping and home vinegar making has helped with a rehabilitation. It is, in some ways, the Betty White of food magazines.

Since 2006, Sunset has experienced a 62 percent increase in readers between ages 18 and 34, according to GfK MRI, a media research company. Chefs who typically snap to attention when magazines like Food & Wine call say they are now hearing from customers when a recipe of theirs appears in Sunset, too.

“I think it is hip again,” said Suzanne Goin, the Los Angeles chef whose restaurants include A.O.C., Lucques and the Hungry Cat. “People talk about it with a different tone in their voice now.”

Ms. Goin’s parents subscribed to Sunset for years, she said, and it influenced her childhood in Los Angeles, which subsequently influenced the way she cooks now.

Her cookbook “Sunday Suppers at Lucques” has a recipe for date shakes that is based on the rich, sweet drinks she used to have during pit stops on the highway to Palm Springs. She also substitutes tri-tip for a T-bone in a steak Florentine recipe. The tri-tip, a triangular cut from the bottom of the sirloin, can be hard to find outside California.

In the Sunset book, a recipe for barbecued tri-tip comes straight out of the traditional preparation found in the Santa Maria Valley, down to a suggestion to cook it over burning red oak.

“It’s very simply seasoned,” said Margo True, Sunset’s food editor. “They use garlic powder, for God’s sake, and dehydrated parsley. But it doesn’t taste right unless you use it.”

The book, like the magazine, tries to stay true to the origins of its recipes. It is by no means a historical book, although it does draw on the vast Sunset archives. (The magazine’s first enchilada recipe? A stacked New Mexican version in 1922.)

“The Sunset Cookbook” also reflects California’s changing demographics. Mexico is well represented, of course, and so is Vietnam and, to a lesser degree, the Philippines. Pho and the California roll even made it onto the list of 24 iconic Western dishes in Ms. True’s introduction to the book. It’s very much in keeping with the sensibility of Sunset and its longtime publisher, the late Lawrence Lane. He figured if you were adventurous enough to move west, you were adventurous enough to experiment and explore new foods — even if you needed a little encouragement.

“The first time they would ever see an artichoke was when they moved west,” said Ms. True, who noted that the magazine pushed readers toward new foods with a decidedly gentle hand. “There was this sweetness of tone, like don’t be afraid,” she said.

Still, the magazine and many of its earlier cookbooks were edited from a decidedly Caucasian — or at least well-assimilated immigrant — point of view.

“It was sort of Anglicized California,” said Jacqueline Higuera McMahan, who writes a long-running column for The San Francisco Chronicle about California rancho cooking. Rancho cuisine comes from the estates, or ranchos, of California’s early Spanish settlers, and is characterized by chilies and a perfectionist’s approach to barbecuing meat.

“That’s kind of what people wanted in many ways, and still do,” she said. “How can I make the real cooking of California but not go too deep into one culture or another?”
Of course, she subscribes.

“What Sunset has done really well is reflect the changes in the way people in the West live,” said Barbara Fairchild, who will retire as editor in chief of Bon Appétit in November. “It’s a style of living and cooking that really is different.” She moved from the East Coast to Los Angeles with her family in the 1960s. It was the first time she had ever seen an artichoke or an avocado. Her father began grilling over the big built-in brick barbecue while the children cooled off in the above-ground pool.

Dinners, especially in the summer, were salads. Red meat gave way to chicken or fish — quite a radical departure for many family menus then.

Today, if you were to go to Ms. Fairchild’s house for dinner looking for a quintessential California meal, she would serve chili-rubbed grilled chicken, a pot of long-simmered pinto beans and a large green salad shot through with avocado and orange, and seasoned with red wine vinaigrette. There would be a pitcher of from-scratch margaritas. For dessert, fresh fruit and a lemon bar or maybe a brownie.

“The fresh with the indulgence — that’s very California,” she said.

What would Ms. True serve you if you wanted a quintessential old California meal? She would start with guacamole, move onto a Santa Maria tri-tip barbecue and end with a mini-date shake and either sopapillas or fortune cookies — a California invention and, she said, the most challenging recipe in the book.
But then again, it could be warm soba noodles, grilled ahi citrus salad and Mexican chocolate ice cream.
Sunset is now less for the wide-eyed newcomer and more for people who embrace cooking in a state varied enough to put kimchi in a taco or chorizo on a pizza.

“The whole point was to help people figure out how to live here, because everyone came from somewhere else,” Ms. True said. “Now it’s to remind them how lucky they are to live here.”

Source: NY Times By KIM SEVERSON

Forbes Magazine List of Most Expensive Zip Codes

2010-09-30T13:16:00.000-07:00

America's Most Expensive ZIP Codes
Francesca Levy, FORBES

2 94027, Atherton, Calif.

15 94022, Los Altos Hills, Calif.

15 94022, Los Altos, Calif.

18 94024, Los Altos Hills, Calif.

18 94024, Los Altos, Calif.

20 94010, Hillsborough, Calif.

31 94028, Portola Valley, Calif.

38 95030, Los Gatos, Calif.

41 94062, Woodside, Calif.

73 94301, Palo Alto, Calif.

83 95070, Saratoga, Calif.

84 95030, Monte Sereno, Calif.

92 94123, San Francisco, Calif.

151 94306, Palo Alto, Calif.

10 Reasons Why it's Good to Buy a Home

2010-09-17T16:20:00.000-07:00

Enough with the doom and gloom about homeownership.

Sure, maybe there's more pain to come in the housing market. But when Time magazine starts running covers that declare "Owning a home may no longer make economic sense," it's time to say: Enough is enough. This is what "capitulation" looks like. Everyone has given up.

But it's not enough just to be contrarian. So here are 10 reasons why it's good to buy a home.

1. You can get a good deal. Especially if you play hardball. This is a buyer's market. Most of the other buyers have now vanished, as the tax credits on purchases have just expired. We're four to five years into the biggest housing bust in modern history. And prices have come down a long way— about 30% from their peak, according to Standard & Poor's Case-Shiller Index, which tracks home prices in 20 big cities. Yes, it's mixed. New York is only down 20%. Arizona has halved. Will prices fall further? Sure, they could. You'll never catch the bottom. It doesn't really matter so much in the long haul.

Where is fair value? Fund manager Jeremy Grantham at GMO, who predicted the bust with remarkable accuracy, said two years ago that home prices needed to fall another 17% to reach fair value in relation to household incomes. Case-Shiller since then: Down 18%.

2. Mortgages are cheap. You can get a 30-year loan for around 4.3%. What's not to like? These are the lowest rates on record. As recently as two years ago they were about 6.3%. That drop slashes your monthly repayment by a fifth. If inflation picks up, you won't see these mortgage rates again in your lifetime. And if we get deflation, and rates fall further, you can refi.

3. You'll save on taxes. You can deduct the mortgage interest from your income taxes. You can deduct your real estate taxes. And you'll get a tax break on capital gains—if any—when you sell. Sure, you'll need to do your math. You'll only get the income tax break if you itemize your deductions, and many people may be better off taking the standard deduction instead. The breaks are more valuable the more you earn, and the bigger your mortgage. But many people will find that these tax breaks mean owning costs them less, often a lot less, than renting.

4. It'll be yours. You can have the kitchen and bathrooms you want. You can move the walls, build an extension—zoning permitted—or paint everything bright orange. Few landlords are so indulgent; for renters, these types of changes are often impossible. You'll feel better about your own place if you own it than if you rent. Many years ago, when I was working for a political campaign in England, I toured a working-class northern town. Mrs. Thatcher had just begun selling off public housing to the tenants. "You can tell the ones that have been bought," said my local guide. "They've painted the front door. It's the first thing people do when they buy." It was a small sign that said something big.

5. You'll get a better home. In many parts of the country it can be really hard to find a good rental. All the best places are sold as condos. Money talks. Once again, this is a case by case issue: In Miami right now there are so many vacant luxury condos that owners will rent them out for a fraction of the cost of owning. But few places are so favored. Generally speaking, if you want the best home in the best neighborhood, you're better off buying.

6. It offers some inflation protection. No, it's not perfect. But studies by Professor Karl "Chip" Case (of Case-Shiller), and others, suggest that over the long-term housing has tended to beat inflation by a couple of percentage points a year. That's valuable inflation insurance, especially if you're young and raising a family and thinking about the next 30 or 40 years. In the recent past, inflation-protected government bonds, or TIPS, offered an easier form of inflation insurance. But yields there have plummeted of late. That also makes homeownership look a little better by contrast.

7. It's risk capital. No, your home isn't the stock market and you shouldn't view it as the way to get rich. But if the economy does surprise us all and start booming, sooner or later real estate prices will head up again, too. One lesson from the last few years is that stocks are incredibly hard for most normal people to own in large quantities—for practical as well as psychological reasons. Equity in a home is another way of linking part of your portfolio to the long-term growth of the economy—if it happens—and still managing to sleep at night.

8. It's forced savings. If you can rent an apartment for $2,000 month instead of buying one for $2,400 a month, renting may make sense. But will you save that $400 for your future? A lot of people won't. Most, I dare say. Once again, you have to do your math, but the part of your mortgage payment that goes to principal repayment isn't a cost. You're just paying yourself by building equity. As a forced monthly saving, it's a good discipline.

9. There is a lot to choose from. There is a glut of homes in most of the country. The National Association of Realtors puts the current inventory at around 4 million homes. That's below last year's peak, but well above typical levels, and enough for about a year's worth of sales. More keeping coming onto the market, too, as the banks slowly unload their inventory of unsold properties. That means great choice, as well as great prices.

10. Sooner or later, the market will clear. Demand and supply will meet. The population is forecast to grow by more than 100 million people over the next 40 years. That means maybe 40 million new households looking for homes. Meanwhile, this housing glut will work itself out. Many of the homes will be bought. But many more will simply be destroyed—either deliberately, or by inaction. This is already happening. Even two years ago, when I toured the housing slump in western Florida, I saw bankrupt condo developments that were fast becoming derelict. And, finally, a lot of the "glut" simply won't matter: It's concentrated in a few areas, like Florida and Nevada. Unless you live there, the glut won't have any long-term impact on housing supply in your town.

Source: The Wall Street Journal, Brett Arends.

Newly Renovated Folger Stable in Woodside Opens to the Public September 19th

2010-09-13T15:09:00.000-07:00

One of the jewels of the Peninsula’s Great Estate period of a century ago stood dying of benign neglect until a remarkable public/private partnership was formed. Now thanks to the efforts of the Folger Estate Stable Committee the barn built by coffee heir James Folger II has been restored to its glory days.

Read full story on inmenlo.com

Source: www.inmenlo.com

Photo by Chris Gulker

Menlo Park Named by Two Irishmen in 1854

2010-09-02T10:47:00.000-07:00

It was in 1854 that Menlo Park received its official name when two Irishmen, Dennis J. Oliver and D. C. McGlynn, whose wives were sisters, purchased 1,700 acres (some sources say it was 640 acres) bordering County Road, now El Camino Real, and built two houses with a common entrance. Across the drive they erected a huge wooden gate with tall arches on which the name of their estate was printed in foot-high letters: "MENLO PARK", with the date, August 1854, under it.

When the railroad came through in 1863, this station had no name, it was just the end of the line, but it needed a designation. During a discussion about the choice of a name, a railroad official looked over at the gates and decided that "MENLO PARK" would be appropriate, and so the name was officially adopted. This station is now California State Landmark No. 955, the oldest California station in continuous operation.

Source: Menlo Park Historical Association

Death of the 'McMansion': Era of Huge Homes Is Over???

2010-08-20T15:18:00.000-07:00

Source: Excerpted from CNBC August 19, 2010

They've been called McMansions, Starter Castles, Garage Mahals and Faux Chateaus but here's the latest thing you can call them - History.

In the past few years, there have been an increasing number of references made to the "McMansion glut" and the "McMansion backlash," as more towns pass ordinances against garishly large homes, which are generally over 3,000 square feet and built very close together.

What sets a McMansion apart from a regular mansion, according to Wikipedia, are a few characteristics: They're tacky, they lack a definitive style and they have a "displeasingly jumbled appearance."

Well, count 2010 as the year the last nail was hammered into the McCoffin: In its latest report on home-buying trends, real-estate site Trulia declares: "The McMansion Era Is Over."

Just 9 percent of the people surveyed by Trulia said their ideal home size was over 3,200 square feet. Meanwhile, more than one-third said their ideal size was under 2,000 feet.

"That's something that would've been unbelievable just a few years back," said Pete Flint, CEO and co-founder of Trulia. "Americans are moving away from McMansions."

The comments echoed those made in June by Kermit Baker, the chief economist at the American Institute of Architects. "We continue to move away from the McMansion chapter of residential design, with more demand for practicality throughout the home," Baker said. "There has been a drop off in the popularity of upscale property enhancements such as formal landscaping, decorative water features, tennis courts, and gazebos."

"McMansions just look and feel out of place today, given the more cautious environment everyone's living in," said Paul Bishop, vice president of research for the National Association of Realtors.

And homebuilders are heeding the call: In a survey of builders last year, nine out of 10 said they planned to build smaller or lower-priced homes.

Kepler's on the List of Best Independent Booksellers on www.HuffingtonPost.com

2010-07-01T13:37:00.000-07:00

Kepler's Books at Menlo Center -- Menlo Park

Mortgage Rates Sink to Lowest Level on Record

2010-06-24T11:19:00.000-07:00

WASHINGTON – Mortgage rates fell this week to the lowest level on record, giving consumers added incentive to lock in low payments for home purchases and refinanced loans.

The average rate for 30-year fixed loans sank to 4.69 percent, from 4.75 percent last week, mortgage company Freddie Mac said Thursday.

That's the lowest point since Freddie Mac began tracking rates in 1971. The previous record of 4.71 percent was set in December. Rates for 15-year and five-year mortgages also hit lows.

Rates on 15-year fixed-rate mortgages fell to an average of 4.13 percent. That was the lowest on records dating to September 1991. It was down from 4.2 percent a week earlier.

Rates on five-year adjustable-rate mortgages averaged 3.84 percent, down from 3.89 percent a week earlier. That was also the lowest on Freddie Mac's records, which date back to January 2005 for such loans.

Average rates on one-year adjustable-rate mortgages fell to 3.77 percent from 3.82 percent. That was the lowest average since May 2004.

Mortgage rates have fallen over the past two months as nervous investors have shifted money into the safety of Treasury bonds. The demand for Treasurys has caused Treasury yields to fall. And mortgage rates tend to track the yields on long-term Treasurys.

Yet the falling rates have yet to spark a home-buying boom — or energize the economy. New-home sales collapsed in May after homebuying tax credits expired. The economy also remains under pressure from high unemployment. And many people don't qualify under tightened lending rules.

Source: Associated Press, By ALAN ZIBEL, AP Real Estate Writer

Fabulous City...

2010-06-15T15:56:00.000-07:00

Menlo Park Atherton Education Foundation -- Record Grant of 2.35M$

2010-06-08T00:01:00.000-07:00

Menlo Park-Atherton Education Foundation announced a record grant of $2.35 million to the Menlo Park City School District for the 2010-2011 school year. This gift will fully fund 17 teachers, including full time elementary music, art and library specialists. More than 1,100 families, teachers, district staff and community members supported the Foundation’s fundraising campaign this year.

Prices Dropped Most Everywhere Except California

2010-05-26T11:02:00.000-07:00

Prices Dropped!

Now let's dig into the data! As we expected, the Case-Shiller index of real estate prices published data about March home prices showing a decline across all of our markets except for Seattle, Boston and most of California.

Location                  Month over        Change
                              Month Change   from Max

Phoenix Area                 -0.5%            -51.8%
LA Area                       -0.7%          -37.7%
San Diego Area             1.5%            -36.0%
Bay Area                       1.5%          -37.4%
DC Area                        -0.7%           -30.2%
Atlanta Area                   -1.8%            -24.0%
Chicago Area               -2.3%           -29.0%
Boston Area                   0.0%            -17.0%
New York Area              -0.7%          -21.5%
Portland Area                 -0.1%            -23.0%
Seattle Area                    0.1%            -25.3%
20 City  Index               -0.5%            -30.6%

The U.S. market has now lost seven years of appreciation, with homes selling for the same prices as in July 2003. The eye-popper here is that the Phoenix market has lost 52% of its value from the peak, and still builders are finding new aquifers and paving new developments. Crazy. Nation-wide, housing starts for single-family homes increased 10.2% in April, so many developers now believe prices have stabilized.

House of the Week

2010-05-24T16:53:00.000-07:00

Best West Menlo -- Bay Laurel

West Menlo's most sought after street!
Exceptional 4 bd/3.5ba ONE level home -- rebuilt 9 years ago.
Elegant formal living & dining rooms, incredible gourmet kitchen, 3 fireplaces.
Huge lot w/gorgeous landscaping & built in BBQ.

For more information, or to view other quality homes, please call

Barbara Slaton, Realtor®
DRE#01855977
Alain Pinel Realtors
1550 El Camino Real
Menlo Park, California 94025

(650) 543-1215 DIRECT
(650) 888-6628 CELL
(650) 462-1199 FAX

Just Joey -- My Favorite Rose

2010-05-09T23:35:00.000-07:00

The Roses are spectactular this year, perhaps due to all the rainfall.

My favorite rose of all, Just Joey, is going nuts and producing blooms as fast as I can cut them. This rose is fragrant and absolutely lovely!

They are available right now at Roger Reynold's Nursey in Atherton and Wegman's Nursery in Redwood City.

Multiple, Multiple Offers!

2010-05-07T08:35:00.000-07:00

Offers, Offers, and more Offers...

1. 97 Stevenson, Atherton listed $5,999,000 had 3 offers

2. 506 Edgecliff Way, Redwood City listed $899,000 had 14 offers

3. 717 Oregon, Palo Alto listed $998,000 had 3 offers

4. 740 Layne Ct, Palo Alto listed $888,000 had 7 offers

5. 191 Lyndhurst, San Carlos listed $1,298,000 had 3 offers

6. 323 Santa Rita, Palo Alto listed $3,875,000 had 2 offers

House of the Week

2010-05-04T15:29:00.000-07:00

New on Brokers Tour today --
420 Sherwood Way, Menlo Park

Tastefully remodeled suburban ranch house in desirable Linfield Oaks neighborhood.
2,400 Square Feet of living space with plantation shutters, top-end appliances, recessed lighting and more.

For a tour of this home, or to view other quality homes,
please call –

Barbara Slaton, Realtor®
DRE#01855977
Alain Pinel Realtors
1550 El Camino Real
Menlo Park, California 94025

(650) 543-1215 Direct
(650) 888-6628 Cell
(650) 462-1199 Fax

Multiple Offers!!!

2010-04-30T16:42:00.000-07:00

WOW! Things are heating up...

4127 Wilkie Court          Palo Alto                         12 Offers

740 Layne Court            Palo Alto                           7 Offers

210 McKendry              Menlo Park                       5 Offers

266 Lowell                     Redwood City                   2 Offers

1347 Sierra                    Redwood City                   2 Offers

2033 White Oak            San Carlos                        3 Offers

House of the Week

2010-04-29T13:54:00.000-07:00

New Listing on Broker Tour this Week --
1111 Middle Avenue in Menlo Park

Stunning contemporary home in West Menlo Park.

Get ready for a runaway recovery?

2010-04-26T14:57:00.000-07:00

Source: Excerpted from Inman News

SAN FRANCISCO -- The financial crisis is over and the economy is growing at a fast enough clip that the Federal Reserve and other policymakers have already fallen behind the curve in preventing the next asset bubble, economist Ken Rosen said today.

Rosen, the chairman of the University of California, Berkeley's Fisher Center for Real Estate, said, "The financial crisis is over," but the Fed appears to be committed to keeping short-term rates at or near zero for at least six months. "I think short-term rates should be 2 to 3 percent today -- we are encouraging asset bubbles in the stock market, bond markets and global real estate."

Downsizing in Menlo Park?

2010-04-22T13:21:00.000-07:00

People are downsizing. There are many reasons for this; the kids have grown and moved away, your large home has gotten to be too much maintenance-wise, or you're spending more time at the place in Carmel, Scottsdale or Tahoe...perhaps you have divorced or lost a spouse. Whatever the reason, many people are looking for smaller homes but are not willing to give up the proximity to friends, family and amenities.

This home in Menlo Park is charming and gracious, private, homier than a condo and well-priced at $799,000. Check out 940 Timothy Lane in Menlo Park.

For a tour of this home, or to view other quality homes, please call –

Barbara Slaton, Realtor®
DRE#01855977
Alain Pinel Realtors
1550 El Camino Real
Menlo Park, California 94025

(650) 543-1215 Direct
(650) 888-6628 Cell
(650) 462-1199 Fax

Dog People

2010-04-16T16:18:00.000-07:00

Time to admit it...I am an incorrigible DOG person.

My little 19 1/2 year old dog has only been gone for 2 weeks and I find myself looking with envy at people with their dogs (especially puppies)...

Let's admit it, a house is really a home with a DOG in it -- WOOF!

Great Pick-up in Inventory for Area Homes

2010-04-13T17:18:00.000-07:00

Oh my goodness, I saw 17 homes today on Brokers Tour and many of them were great! What a relief to have more inventory and realistic pricing.

I had FOUR favorites -- all quite different from one another!

710 Lemon Street, Menlo Park
Great home, great yard, great West Menlo neighborhood. Priced at $2,799,000.

2170 Ashton, Menlo Park
Nice 3 Bedroom home in West Menlo with Heritage Oak and fabulous azelias. Priced at $1,095,000.

285 Catalpa Drive, Atherton

Gorgeous Estate property in Lindenwood (Lindenwood has changed since my childhood!). Priced at $7,600,000.

48 Campbell Lane, Menlo Park
Wonderful 4 Bedroom home in Stanford Hills, priced attractively at $1,650,000.

For more information, or to view other quality homes,

please call me

Barbara Slaton, Realtor®
DRE#01855977
Alain Pinel Realtors
1550 El Camino Real
Menlo Park, California 94025

(650) 543-1215 DIRECT (650) 888-6628 CELL (650) 462-1199 FAX

Saturday Open House at 2405 Sharon Oaks Drive in Menlo Park

2010-04-10T11:53:00.000-07:00

Stunning contemporary Townhome with a serene vibe --

This beautiful home combines comfort, convenience, elegance and impeccable style. The Floor Plan is spacious and flexible, accommodating children, guests or a home office with equal ease. There is an ultra-private garden area ideal for alfresco entertaining and offering Zen-like privacy and serenity.

Effortless commute to Stanford Medical Center, Stanford University and the famous Sand Hill Road Venture Capital Community.

Close proximity to both SFO and SJC for business and pleasure travelers alike.

Award-winning Las Lomitas School District.

Less than 1/4 mile from the new 4 Star Rosewood Sand Hill Resort, a world-class hotel. Dine at Madera or indulge in pampering at Sense, the Rosewood Spa.

Close to superb golf courses, tennis facilities, riding stables, parks, hiking and biking trails.

Steps away from numerous stores, services and restaurants…

For more information, or to view other quality homes, please call –

Barbara Slaton, Realtor®
DRE#01855977
Alain Pinel Realtors
1550 El Camino Real
Menlo Park, California 94025

(650) 543-1215 DIRECT (650) 888-6628 CELL (650) 462-1199 FAX

The Most Expensive Home in Menlo Park?

2010-04-08T17:08:00.000-07:00

This lovely home on Hermosa is no longer for Sale...
The Selling price will remain a mystery until the Close of Escrow!

Menlo Park to Hire High-speed-rail Lobbyist

2010-03-31T15:46:00.000-07:00

Source: Sean Howell, Almanac Staff

The city of Menlo Park has hired a lobbyist to make the city's case to Sacramento when it comes to the California high-speed-rail project, and has devoted $200,000 for the upcoming fiscal year to rail issues.

The expenditures highlight the importance of the issue to city officials, as Menlo Park strains to balance its budget following the economic recession. The upcoming year will be a particularly crucial one for the rail system, with a decision pending on how high-speed trains would make their way through the city.

Ravi Mehta, the lobbyist in the city's employ, also advocates for Palo Alto on the issue. He works on a retainer of $5,000 per month, plus expenses. Mehta will represent the city to the rail agency board and to legislators, and will report to city officials on new developments, according to Mayor Rich Cline.

"It's not really equitable," Cline said. "The High-Speed Rail Authority has the ability to call a public hearing pretty much whenever they want. ... We have to schedule who's going to Sacramento, and most of the time it ends up being a resident. It's a great disadvantage for the city."

City officials spend a lot of time drafting and revising letters to the rail agency that end up going "straight into a file" once they reach Sacramento, Councilwoman Kelly Fergusson said, adding that the city needs an advocate who's present at the meetings if it wants to be heard.

Fergusson sits on the city's high-speed rail subcommittee with Cline, who chairs a regional advocacy group made up of representatives from five Peninsula cities. Cline estimates that he spends 15 to 20 hours per week in his role on the committee, almost as much time as he devotes to other city business issues.

Part of the city's rail-related budget will go to hire experts who will help to interpret technical documents released by the rail agency. It's scheduled to publish an analysis in April of how the Caltrain corridor would accommodate high-speed trains.

Opportunity Exists at the Moment to Take Advantage of up to $18,000 in Tax Credits

2010-03-31T14:53:00.000-07:00

Californians have a brief window of opportunity to receive up to $18,000 in combined federal and state homebuyer tax credits. To take advantage of both tax credits, a first-time homebuyer must enter into a purchase contract for a principal residence before May 1, 2010, and close escrow between May 1, 2010 and June 30, 2010, inclusive. Buyers who are not first-time homebuyers may use the same timeframes to receive up to $16,500 in combined tax credits if they are long-time residents of their existing homes as permitted under federal law, and they purchase properties that have never been previously occupied as provided under California law.

Under the federal law slated to soon expire, a first-time homebuyer may receive up to $8,000 in tax credits, and a long-time resident may receive up to $6,500, for certain purchase contracts entered into by April 30, 2010 that close escrow by June 30, 2010. Additionally, under a newly enacted California law, a homebuyer may receive up to $10,000 in tax credits as a first-time homebuyer or buyer of a property that has never been occupied. The new California law applies to certain purchases that close escrow on or after May 1, 2010 (see Cal. Rev. & Tax Code section 17059.1(a)(4)). California law generally allows buyers of never-occupied properties to reserve their credits before closing escrow, but buyers seeking to combine the federal and state tax credits will not be able to satisfy the timing requirements for such reservations (see Cal. Rev. & Tax Code section 17059.1(c)(1)(A)). Other terms and restrictions apply to both tax credits.

Mortgage Rate Update -- Wells Fargo

2010-03-22T14:30:00.000-07:00

Weekly Rate Update

All programs quoted are with zero points.

30 Year Fixed

To $417,000 - 5.000%
To $729,750 - 5.125%

Jumbo

Jumbo to $2,000,000 - 5.625%

5 Year Fixed

To $417,000 - 4.000%
To $729,750 - 4.375%
Jumbo to $2,000,000 - 5.250%

Rates

Rates have stabilized over the past few weeks and remain extremely buyer friendly. Fears that the Feds pulling out of the mortgage backed securities markets have been unfounded. Investors have not reacted to losing the largest purchaser on mortgage backed securities the way the markets had predicted. There is some sense of comfort to the markets that there are buyers waiting in the wings to pick up where the Feds leave off. Good news for buyers who are still on the fence. It appears that the markets will remain range bound for the next few weeks until the real impact of the Feds ending the MBS purchase program can actually be felt.

Economic News

Three economic releases this week—industrial production, the Philadelphia Fed index and the leading economic index—all support the view of continued economic growth. Meanwhile the housing starts data suggest that this recovery will be more modest than other recoveries.

Inflation remains low as measured by the Consumer Price Index. The details of this report highlight the slow pace of inflation, which partly reflects the ongoing housing correction. Medical price inflation continues to outpace the overall price index.

Nab a Deal!

2010-03-11T15:13:00.000-08:00

Source: CNN Money
Nab a real estate deal – while you still can

The combination of affordable home prices, low interest rates, and the federal tax credit for home buyers have created an opportune time for many buyers to purchase a home. Many real estate analysts also believe that most housing markets have stabilized, but that some markets may decline further.

MAKING SENSE OF THE STORY FOR CONSUMERS

Buyers should keep in mind that housing markets are local and can vary greatly from one neighborhood to the next. Working with a REALTOR® familiar with the area in which the buyer is searching can help the buyer select a house that best suits their needs.

California’s housing market has shown signs of stabilization since early last year. Sales of existing, single-family homes bottomed out in August 2007, and the median home price reached its trough in February 2009. In January, California’s median home price was 17.2 percent above the low for the current cycle.

The federal tax credit for home buyers was extended and expanded late last year. Qualified first-time buyers may be eligible to receive a tax credit of up to $8,000 on homes purchased before April 30, 2010. Repeat buyers may be eligible for a tax credit of up to $6,500. Visit http://www.irs.gov/newsroom/article/0,,id=187935,00.html for more information about the federal tax credit for home buyers, including eligibility requirements.

The Federal Reserve has helped maintain low interest rates, which, in turn, has assisted home buyers. However, the agency plans to stop purchasing mortgage-backed securities at the end of this month, which likely will increase rates on 30-year fixed mortgages. Buyers may be able to lock in a low interest rate by working with their lender.

Mortgage News -- Updated 3/8/2010

2010-03-08T11:50:00.000-08:00

Source: Peter Pham, Private Mortgage Advisors

Rates

People are talking. The Fed's have been know to be very accommodative to the markets sentiment. As we learned with Chairman Greenspan, surprising the market, good or bad can lead to wild speculation and mood swings in the markets behavior. The "market" assumed last fall that rates would be rising in 12 to 18 months. This is still within line of the expectations. This article from the Washington Post summarizes where economist predict rates will go in the next six months.

Most U.S. business economists expect the Federal Reserve to raise benchmark interest rates within six months by between a quarter and a half percentage point, according to a survey released on Monday.

A majority of economists in the National Association of Business Economists' semiannual survey found the Fed's current stance of rates near zero percent is appropriate. A growing number, however, believe the U.S. central bank's policy's are too simulative, according to a poll of 203 members taken February 4-22.

"A majority believes that a rise in interest rates is both likely and appropriate in the next several months," said NABE President Lynn Reaser.

The Fed has said continued high rates of unemployment and low inflation warrant holding rates exceptionally low for an extended period. Still, reports show the economy is recovering gradually, and some policy makers believe the Fed should begin to prepare markets for the beginning of the process of tightening financial conditions.

Economic News

Employment and consumer spending are important indicators as the market looks for signs of recovery.

Employment losses have steadily declined over the past six months. In fact, private sector jobs (ex-construction) have risen over the past two months. There is a cyclical recovery in private sector jobs while the structural problems in real estate limit the recovery. Job gains have also appeared in manufacturing sectors such as machinery, primary metals and electrical equipment. Meanwhile the index of hours worked has risen over the last three months, consistent with sustained economic growth. Combining hours worked and average hourly earnings, our income proxy has broken into positive growth territory. This suggests positive income and therefore spending gains in the months ahead.

Retail sales continue to post respectable gains, considering the continued drag on household spending power due to high unemployment and slowing wage growth. Consumer balance sheets, while healing, remain severely impaired from continued high debt levels and reduced wealth, while access to affordable bank credit remains difficult for many. Still there appears to be real pent-up demand for necessities like clothes since many consumers delayed purchases of these items during the worst of the recession last spring. Moreover, stabilizing employment and steady stock market gains have helped more fence sitters to go ahead with their purchase plans, especially among the higher income bracket households. We expect February retail sales to advance another 0.2 percent following a 0.5 percent increase in January. Retail sales less autos could advance even more, rising 0.6 percent in February.

First Time Homebuyers Tax Credit

The first-time homebuyer tax credit of up to $8,000 and the move-up homebuyer tax credit of up to $6,500 expire at the end of April. The home has to be under contract by the end of April, and the deal has to close by the end of June. The maximum home price is $800,000 according to the link below. As a reminder for clients who want to take advantage of the tax credit before it expires, I have provided the link with answers for your clients.

http://www.federalhousingtaxcredit.com/home.html

The State of the Markets

2010-03-03T13:49:00.000-08:00

Source: Cirios Real Estate

This post first appeared in the March edition of: Cirios Trends: In Search of Real Estate Opportunities.

Last month, we discussed the role confidence plays in the housing market. The better Americans feel about the economy (using the stock market as a barometer of the country’s economic fortunes), the more likely they are to go out and buy a house.

Sticking with the theme of market psychology, let’s now examine the other side of the transaction: Sellers.

In today’s market, sellers basically fall into two categories: Those who can, and those who can’t. In other words, if you still have equity, you can sell. If you are underwater on your house, you can’t.

The decision for the latter of whether to sell is, unfortunately, pretty simple. So let’s consider the former, those fortunate homeowners who still have equity left in their homes.

Selling into a weak market is a drag. With so many homes to choose from, buyers can drive a hard bargain. And thanks to unrealistic expectations and bad advice from Realtors trying to win clients with lofty promises, thousands of sellers over-listed their homes and subsequently chased the market down throughout 2007, 2008 and 2009.

Very few voluntary sellers dipped their toes into the market because it was just so bad. The only true sellers were those who had to sell for some reason or another.

So what now? Housing isn’t nearly as bad as it was this time last year, and in many markets the worst of the price declines are likely over. Stocks rallied fiercely last year, rebuilding many damaged nest eggs. And even though there are looming threats out there to our nascent - and very governmentally influenced - economic recovery, things are not nearly as dire as they once were.

We wrote back in May 2009 that “Willing and able buyers are pouring back into the market. And as they do, sellers - buoyed by newfound confidence - are prepping their homes for the market.” Although inventory remained constrained throughout 2009, the percentage of distressed sales relative to regular sales is slowly dropping.

Recent data is seeping out that supports our view, and the trend is picking up steam so far in 2010. The graph below, courtesy of SocketSite, shows active listed inventory in the city of San Francisco. Notably, the black line representing 2010 has reached to the orange 2008 line … and check out that slope!

Anecdotal evidence supports the data. Sellers are trying to get in ahead of the summer buyer season, particularly with the (latest) expiration of the homebuyer tax credit just around the corner in June.

Brookside Orchids in Menlo Park -- Hiding in Plain Sight

2010-03-01T15:32:00.000-08:00

Source: www.inmenlo.com
A hyper-local Blog by Chris Gulker, Linda Hubbard and Associates

There they sit, row after row – the boarders whose owners have put them under the care of Mark Pendleton, manager of Brookside Orchids Boarding Department. “We have about 250 boarding customers,” says Pendleton. “We take care of the plants year round, delivering them to their owners when they bloom. How much of the year they’re in our care depends on the plant and the customer.”

Brookside Orchids is a Menlo Park enterprise that’s been hiding in plain sight for almost 30 years. Its seven greenhouses, packed with every orchid variety imaginable, sits on an acre of land behind the Webb Ranch produce market on Alpine Road. The business, founded by Jim Heierle in 1981, was the main supplier to Smith & Hawken, the specialty garden store that recently went out of business. That prompted Brookside to put on a more public face, including a new sign on Alpine Road welcoming visitors (Monday-Friday from 7:30 am to 3:00 pm and Saturday from 10:00 am to 3:00 pm). An e-commerce website is also in the works.

Brookside grows popular orchid species as well as a few rare flowers outside of the orchid family, including Bat Lily and Ornamental Ginger. Every flower is hand-cultivated, and special care goes into ensuring the plants receive the perfect balance of water, fresh air, and indirect sunlight. Orchids are grown in a mixture of fir bark, charcoal, and perlite and treated with a synthetic fertilizer.

In addition to his boarding manager duties, Pendleton is Brookside’s hybridizer – there are currently a half dozen or so hybrids on display – and resident orchid expert (with a caveat). “There are a lot of orchid experts,” he notes with a smile.

He lends his service to orchids in distress, brought in by their worried and anxious owners. “I can resuscitate an orchid but I can’t resurrect one!” he says.

Kepler's Mentions My Niece's Book in Their Blog

2010-02-25T12:58:00.000-08:00

Source: www.thebookbind.blogspot.com from Kepler's Books in Menlo Park

So the book I've just read about and want, really want to read right now is

Prophecy of Days by Christy Raedeke

Here's what the back cover says about it:

When her safe-cracker mom and code-breaker dad inherit a Scottish castle on the Isle of Huracan, sixteen-year-old Caity Mac Fireland is the only one in the family who's not happy about it. Ripped from her comfortable life in San Francisco, taken away from her best friend Justine whom she's known since preschool, and relocated to the dreary island fortress, Caity's secret fantasy of being discovered by a Hollywood agent, talent scout, or even just a pageant coach seems more unlikely than ever.

But when Caity stumbles across a hidden room in the castle, its walls covered in strange symbols, her life takes a bizarre turn. She finds herself center stage in an international conspiracy involving warring secret societies (complete with their own scouts, double agents, and assassins), the suppressed revelations of the Mayan Calendar and the year 2012, plus the fate of humanity. With the help of her friend Justine back home, and Alex, the mysterious and gorgeous boy next door, Caity must rely on her own courage and creativity as she races to decipher the code and reveal its message to the world before time runs out.

Sounds a book worth waiting for.

Borrone's is the Best Thing That Ever Happened to Menlo Park

2010-02-24T12:04:00.000-08:00

Our beloved Cafe' Borrone now has it's very own Facebook page

Go to Facebook and Search for Borrone's and click on the tab to join.

Check it out at http://www.cafeborrone.com/

Call me at (650) 888-6628 if you would like to meet there for a coffee in the heart of Menlo Park!

Menlo College Named a “Best in the West” College by the Princeton Review

2010-02-23T14:02:00.000-08:00

Source: Excerpted from the Princeton Review

Menlo College, "Silicon Valley's Business School," is one of the best colleges and universities in the West according to The Princeton Review. The education services company selected the school as one of 123 institutions it recommends in its "Best in the West" section on its website feature 2010 Best Colleges: Region by Region that posted July 27, 2009. The Princeton Review, reported that students are "roundly positive in their summation of academics at Menlo, students prize Menlo's "incredible faculty" and say that, "the student to teacher ratio is awesome." The "small class sizes" and "close-knit community" work in conjunction to "provide a unique experience that wouldn't be possible at a larger university."

Says Robert Franek, Princeton Review's V.P., Publishing, "We chose Menlo College and the other terrific schools we recommend as our 'regional best' colleges primarily for their excellent academic programs. We also work to have our roster of 'regional best' colleges feature a range of institutions by size, selectivity, character and locale. We choose the schools based on institutional data we collect from several hundred schools in each region, our visits to schools over the years, and the opinions of independent and high school-based college advisors whose recommendations we invite. We also take into account what each school's customers—their students—report to us about their campus experiences at them on our 80-question student survey."

"Menlo College is riding on a positive wave of great news," said President G. Timothy Haight upon hearing of The Princeton Review recognition. "With our three new majors in accounting, finance, and marketing, reaffirmation of WASC accreditation, plus the addition of several highly qualified—academically and professionally—faculty, we are producing the next generation of business leaders.

At Filoli, Opening Celebration — Daffodil Daydreams

2010-02-22T14:39:00.000-08:00

Friday and Saturday,
February 26 and 27, 10:00 am – 3:30 pm
Sunday, February 28, 11:00 am - 3:30 pm

Delightful and dreamy, daffodils are the first to bloom and lead the floral parade each spring. From the smallest to the largest, whether planted in a formal flower bed or naturalized in a field, their cheerful annual display brings enjoyment to all. They are one of the easiest and hardiest of the garden flowers, giving you more with each passing year.

This year Filoli has planted more than 50,000 additional daffodils throughout the grounds and has been named an American Daffodil Society (ADS) Display Garden. An ADS Display Garden displays a wide variety of daffodil cultivars and educates visitors about daffodils and how the bulbs can be used effectively in the landscape.

Source: www.filoli.org

Mortgage Update

2010-02-17T13:27:00.000-08:00

Source: Ken Mason, Mortgage California

Wednesday’s bond market has opened in negative territory following slightly stronger than expected economic data and a positive open for stocks. The stock markets are extending yesterday’s afternoon rally, but to a much less degree. The Dow is currently up 44 points while the Nasdaq has gained 12 points. The bond market is currently down 9/32, but we may still see a slight improvement in this morning’s rates compared to yesterday’s morning pricing due to strength in bonds late yesterday.

This morning’s first piece of economic data was January's Housing Starts. It revealed a larger than expected increase in starts and an upward revision to December’s starts, hinting that the housing sector may be stronger than thought. Rising starts of new homes indicates more sales or stronger levels of optimism by builders. But, this data is not considered to be highly important to the markets or to mortgage rates. It is the week’s least important data and has not had much of an influence on this morning’s mortgage pricing.

Also posted this morning was January's Industrial Production data. It showed a 0.9% increase in output at U.S. factories, mines and utilities that exceeded forecasts. That indicates a level of manufacturing sector strength that is considered bad news for bonds and mortgage rates. However, this data is considered only moderately important, so it has not hurt mortgage rates this morning.

The third event of the day will be the release of the minutes from last FOMC meeting later today. Traders will be looking for any indication of the Fed’s next move regarding monetary policy. They will be released at 2:00 PM ET, therefore, any reaction will come during afternoon trading. I am expecting some volatility in the markets after the minutes are released.

The Labor Department will post January’s Producer Price Index (PPI) early tomorrow morning. It measures inflationary pressures at the producer level of the economy and is considered to be an important measurement of inflation. There are two portions of the report that analysts watch- the overall reading and the core data reading. The core data is more important to market participants because it excludes more volatile food and energy prices. It is expected to show an increase of 0.8% in the overall reading and a 0.1% rise in the core data.

Good news for bonds would be a decline in both readings, particularly the core data. Also tomorrow morning will be the release of the Leading Economic Indicators (LEI) for January. This Conference Board report attempts to predict economic activity over the next three to six months. It is expected to show a 0.5% increase, meaning that economic activity may rise in the near future. A smaller than expected rise would be good news for the bond market and mortgage rates.

Mortgage Update

2010-02-09T12:10:00.000-08:00

Source: Ken Mason, Mortgage California

Tuesday’s bond market has opened in negative territory following strong gains in stocks. The stock markets are on the rebound with the Dow up 126 points and the Nasdaq up 23 points. The bond market is currently down 9/32, which will likely push this morning’s mortgage rates higher by approximately .125 of a discount point.

There was no relevant economic data scheduled for release today, so look for the stock markets to be the biggest influence on bond trading and mortgage rates the remainder of the day. If the major stock indexes remain near current levels, expect the bond market and mortgage rates to follow suit. If they give back this morning’s gains, the bond market may improve, possibly improving mortgage rates this afternoon.

The first economic report of the week comes tomorrow morning, but it is the least important of the three scheduled. December’s Goods and Services Trade Balance data will be posted early tomorrow morning. This report measures the U.S. trade deficit and can affect the value of the U.S. dollar versus other currencies, but it usually does not cause enough movement in bond prices to affect mortgage rates. It is expected to show a $35.5 billion trade deficit.

The two important Treasury auctions come tomorrow and Thursday when 10-year Notes and 30-year Bonds are sold. The 10-year sale is the more important one as it will give us an indication for demand of mortgage-related securities. If the sales are met with a strong demand from investors, we should see the bond market move higher during afternoon trading the days of the auctions. But a lackluster interest from buyers, particularly international investors, would indicate a waning appetite for longer-term U.S. securities and lead to broader bond selling. The selling in bonds would likely result in upward revisions to mortgage rates.

2010-02-06T16:22:00.000-08:00

Flegel's Fine Funriture has long been a fixture in downtown Menlo Park. I think they have done a marvelous job of adapting to the needs and face of the community over the years. Below is an article from the hyper-local Blog, InMenlo, authored by Linda Hubbard Gulker. The photograph is by Chris Gulker, co-creator of InMenlo.

Source: http://www.inmenlo.com/

It’s nearly impossible to visualize downtown Menlo Park without including one of its most enduring fixtures, Flegel’s. That the furniture store has survived 56 years, including a major fire in 1983, is due in large part to the tenaciousness and vision of the Flegel family.

“My father was in the furniture business in San Mateo when he decided to go out on his own,” says Mark Flegel (pictured), who’s been running the business since 1984,
“He looked at different Peninsula communities and settled on Menlo Park. There was lot of construction going on and a lot of young families moving in, so it seemed like it had good potential.

“There were also 13 furniture stores within a five-mile radius! Advisers told him that he’d last only six months, that he was under-capitalized. History, of course, has shown otherwise. Flegel’s is the only one of the 13 left.”

To meet changing needs, Flegel’s has adapted over the years. As the surrounding community prospered, the store elevated the caliber and quality of the furniture lines it offered. It also innovated.

“My father introduced interior designers into the furniture store business,” recalls Mark. “Before that designers and furniture were always separate. He sensed that offering both in the same place is what the community wanted. That turned out to be very true.”

Flegel’s the store and Flegel the family are both such Menlo mainstays there is little that’s not known about them. But here are a couple of nuggets, courtesy of Mark: “Most people don’t know we have clients all over the world. We furnished the Chancellor of Education’s palace in Stockholm, which is located next to the King’s palace.

“There’s also a version of our store in Yokohama thanks to the interest of a Japanese businessman who came in one day. We have no interest in it but I think of it as a kind of branch office!”

Photo by Chris Gulker

The State of the Markets

2010-02-03T13:40:00.000-08:00

If someone were to wake up from a 5-year coma and ask about the state of our country’s economy, the chart below pretty much sums it up.

The past five years in the housing market, the financial market and the economy have been anything but boring.

With respect to the housing market, we are at a critical juncture. Pundits and so-called experts are lining up on opposing sides of the recovery debate. Optimists will point out that after historic price declines, affordability is at all-time highs and government support for the housing market has helped mitigate the negative effects of tightened credit and mounting foreclosures. The bottom, they say, is in.

Meanwhile, pessimists urge caution. Foreclosures continue to rise, more borrowers are falling behind and the government is considering removing some of the programs that have kept interest rates low.

Ultimately, both arguments have merit. But they both miss the point.

Take another look at the graph above. It’s no coincidence that during the time of most uncertainty in the stock market (2008), the housing market experienced its steepest declines. It’s also no accident that the recent bottom in stocks (March 2009) matches almost exactly with the turning point in housing.

The answer to the riddle is simple: Confidence.

In a new book called This Time is Different, economists Kenneth Rogoff and Carmen Reinhart dissect hundreds of years of financial crises and try to assess how societies keep getting themselves into the same mess over and over again.

A common thread in the discussion, specifically surrounding debt crises like the one we experienced (and indeed are still experiencing), is the notion that confidence plays a far larger, and far less understood role in economic panics than most people think. According to Rogoff and Reinhart: “Economists do not have a terribly good idea of what kinds of events shift confidence and how to concretely assess confidence vulnerability.”

Since most people equate the stock market with the economy, swoons on Wall Street send the message that all is not well with our economic future. Accumulate enough of these swoons and confidence gets punctured to the point where people start acting differently. As risk aversion grows, consumers delay purchases, businesses delay expansion and banks stop lending.

In March of last year, the housing market was beyond bleak. Liquidity dried up and buyers were terrified. Ditto on Wall Street. But as stocks recovered through the spring, hope emerged that maybe the worst was behind us.

Now, as the recent surge in stocks is tested, so too will the surge in home buying: The two are far more linked than most understand.

This post first appeared in the February edition of: Cirios Trends: In Search of Real Estate Opportunities.

House of the Week

2010-02-02T12:06:00.000-08:00

Today on Tour...

This morning I had the privilege of seeing the home where one of my dear friends lived for many years prior to our meeting.

This fabulous contemporary home sits upon a beautiful forested setting in Portola Valley. Here you can entertain in grand style, dine in the tree tops!

The spacious rooms include a dramatic foyer, Family Room, enormous kitchen, Living Room, home office, 4 Bedrooms and more, all on 1.52 acres.

Please call me at (650) 543-1215 for a personal tour of this property.

Are you concerned about what High Speed Rail will look like in our city?

2010-02-01T12:08:00.000-08:00

Do you want to see what designs they are considering?

Please join us on Tuesday, February 9th from 3:30 pm - 6:00 pm in Council Chambers at Palo Alto Civic Center (250 Hamilton Avenue) for a preview of the Alternatives Analysis for the High Speed Rail Project.

Representatives from the California High Speed Rail Authority will present a preview of the design alternatives that are being studied for the high speed train that is planned on the CalTrain right of way. We have been told there will be engineers on hand to answer technical questions.

There will be a period for public comment and each speaker will have 2 minutes. This meeting will be video taped and made available on the city's website for those who can't attend.

The Alternatives Analysis will officially be presented to the Board of Directors for the High Speed Rail Authority on March 4th. From that point on, the public will have 30 days to provide any official comments to the alternatives presented. We are hoping that the deadline for comments will be extended - but we are not sure, so please plan ahead.

It is very important that citizens get involved in the process and offer their feedback. If you do not comment, under the law your silence means you agree with the plans put forth 100%.

Please note, if you have comments for the High Speed Rail Authority, you will need to turn those in in writing in order for them to be part of the official record.

If you'd like additional information about this presentation, please contact Steve Emslie, Deputy City Manager at steve.emslie@cityofpaloalto.org or 650-329-2354.

For more information, please see the City's website at: http://www.cityofpaloalto.org/living/news/details.asp?NewsID=1223&TargetID=4

If you have not yet seen the conceptual video that the Authority put out for Palo Alto, please see: http://www.cahighspeedrail.ca.gov/gallery.asp?s=alma-street.

Other sources of information:

Official California High Speed Rail website: http://www.cahighspeedrail.ca.gov/
Peninsula Cities Consortium: http://www.peninsularail.com/
CARRD - Californians Advocating Responsible Rail Design: http://www.calhsr.com/

Hope to see you there!

Nadia Naik
Co-Founder
CARRD
Californians Advocating Responsible Rail Design
nadianaik@carrdnet.org

Rates at a Glance

2010-02-01T11:46:00.000-08:00

Source: Mortgage California

30 Year Conf Fixed
4.875% 1 point

5/1 Conforming
3.500% 1 point

30 Yr Agency Jumbo
5.00% 1 point

30 Year FHA
4.750% 1 point

5 Year Jumbo
5.00% 1 point

10 Year Jumbo
5.375% 1 point

Rates are subject to change and are for illustrative purposes ONLY

California Gets $2.25B in Stimulus for High Speed Rail

2010-01-29T13:12:00.000-08:00

WASHINGTON (Associated Press) — High-speed rail projects in California, Florida and Illinois are among the big winners of $8 billion in grants announced Thursday by the White House – the start of what some Democrats tout as a national rail-building program that could rival the interstate highways begun in the Eisenhower era.

President Barack Obama announced the awards during a town hall meeting in Tampa, Fla. – a follow-up to Wednesday's State of the Union address that focused on getting Americans back to work. Thirteen passenger rail corridors in 31 states will receive grants, which are funded by the economic recovery act enacted last year.

Obama said focusing on building 21st century infrastructure projects is an important element of the country's economic recovery.

"It creates jobs immediately and it lays the foundation for a vibrant economy in the future," Obama said.

Though the administration bills the program as "high-speed rail," most U.S. projects won't reach the speeds seen in Europe and Asia. California's trains would be by far the fastest, exceeding the 200 mph achieved by some trains overseas.

Source: Exerpted from the Associated Press via Huffington Post

Case-Shiller Data Show Strong California Growth, Weakness Elsewhere

2010-01-29T01:10:00.000-08:00

Case-Shiller Data Show Strong California Growth, Weakness Elsewhere

The Case-Shiller report was mixed, with weakness in the Northeast and Midwest, but strong growth in California, especially the San Francisco Bay Area.

Overall, the 20-city composite index showed a November 2009 gain of 0.2% over October.

House of the Week

2010-01-26T10:50:00.000-08:00

This morning on Tour a lovely West Menlo Park traditional one story home was introduced. This home is situated on a 13,800 Square Foot lot and is in a fabulous location close to schools and stores with good access to Stanford, Silicon Valley, commute routes and both major Airports.

Charming French Doors, light-filled rooms and inviting garden with swimming pool round out the amenities.

Please call me at (650) 543-1215 or (650) 888-6628 to see this home or others that will suit your specific needs.

Daily Mortgage Commentary

2010-01-25T10:55:00.000-08:00

Monday’s bond market has opened down slightly despite a much weaker than expected housing report. The stock markets are posting minor gains with the Dow up 25 points and the Nasdaq up 5 points. The bond market is currently down 2/32, but we will still likely see an increase in this morning’s mortgage rates of approximately .125 - .250 of a discount point due to weakness late Friday.

The National Association of Realtors reported late this morning that home resales fell a whopping 16.7% last month. Analysts were expecting to see a sizable decline in sales, but this was much larger than thought. The surprising drop indicates that the housing sector still is not stable, which is good news for the bond market and mortgage rates. Some of the loss is being attributed to the initial expiration of the home buyer tax credit, but I don’t believe many analysts are blaming the entire loss on that factor. This raises further concerns about the housing sector and makes a broader economic recovery less likely to be in the near future.

The rest of the week is extremely busy in terms of economic data scheduled for release and will likely be an active week for mortgage rates. There are six more relevant economic releases scheduled for the week in addition to a Federal Open Market Committee (FOMC) meeting.

January’s Consumer Confidence Index (CCI) will be released late tomorrow morning. This report is considered to be of high-importance to the bond market and therefore can move mortgage rates. It is an indicator of consumer sentiment, which is important because a decline would be construed as a sign that consumers may be less willing to make large purchases in the near future. Since consumer spending makes up two-thirds of the U.S. economy, market participants are very attentive to related data. A reading smaller than the expected 53.5 would be ideal for the bond market and mortgage rates.

And if we didn’t have enough to watch already, there are two relatively important Treasury auctions for the markets to digest. The Fed will auction 5-year and 7-year Treasury Notes Wednesday and Thursday, respectively. If they are met with a strong demand from investors, the broader bond market may rally during afternoon hours those days. However, a lackluster interest in the sales could lead to bond selling and higher mortgage rates.

Source: Ken Mason, Mortgage California

The Future of the "Wine Room"

2010-01-21T13:45:00.000-08:00

When we Agents go on Tour, we visit multi-million dollar homes with amenities galore! One room that stands out in the newer homes is the "Wine Room". Traditionally this room is outfitted with custom shelves for bottles and cases of wine, is temperature controlled and is usually located in the lower level of the home.

I have often wondered whether anyone actually drinks wine in the wine room. Personally, I would probably elect to take it upstairs to enjoy it, where the chairs are more comfortable and the cooking is close by.

My friend, Buff Giurlani, and a couple of other local business men have now opened a facility for storing both one's wine and fine automobiles -- Autovino. Visit their site at http://www.autovino.com/

Perhaps this will mark an end to the necessity or obligation for the builder/developer to build a wine room at all.

Here is a bit about Autovino from their website --

If you are a collector of wines for long term appreciation or for your own enjoyment and your personal cellar is close to capacity Autovino provides the optimum environment for storing and aging your collection in our state of the art wine storage department.

Temperature and humidity control.

Our wine storage section features its own dedicated temperature and humidity control system to assure your wine is kept in optimum cellar conditions.

Secure access.

AutoVino provides 24-hour-a-day access to the wine storage area through an advanced key-pad security system.

Professional Security.

Trained security personnel monitor the building inside and out around the clock.

Intrusion Detection.

We employ the most advanced motion detection and laser technology throughout the facility to instantly identify any intrusions. In the event of any security breach, the system emits a piercing alarm and automatically notifies security, AutoVino management, and the police via a separate cell phone system in case phone lines are severed.

House of the Week

2010-01-19T13:23:00.000-08:00

New Construction in Menlo Park

In my opinion "Spec" homes often miss the mark. Today on Tour we viewed a home that has great light and nice usage of space. It was built by BK Development Corporation.

Please call me at (650) 543-1215 or (650) 888-6628 to see this, and other desirable homes.

Crisis in Haiti in the Aftermath of Earthquake

2010-01-16T16:53:00.000-08:00

We CAN all help!!!

Just text "Haiti" to 90999 to send $10.00 to the Red Cross. It will be automatically debited from your phone bill...Easy. Let's do this. See exceprt from ABC New report below.

Tensions are becoming dangerously high on the streets of Port-au-Prince, Haiti, as increasingly desperate Haitians search for food and water while tons of supplies remain stuck at the country's airport.

"What's going on? We can't even breathe! Who is helping us?" a man cried out today to an ABC News camera crew. Wearing a yellow bandana over his face and surrounded by other young and angry men, he said, "It takes one night to get the U.S. troops here, you know. It takes just a second for the military to get here."

"We're waiting, we're waiting for three or four days. Just cannot do nothing," another Haitian man said. "The president is staying at the airport while he does nothing for us."

"People have been almost fighting for water," aid worker Fevil Dubien said as he distributed water from a truck in a northern Port-au-Prince neighborhood.

ABC News has witnessed looting of damaged buildings in the capital with people walking off with boxes of T-shirts, a cabinet and kitchen appliance along with food and water.

Source: ABC News

West Menlo Park

2010-01-16T12:46:00.000-08:00

Source: From Wikipedia, the free encyclopedia

Location in San Mateo County and the State of California

Coordinates: 37°26′1″N 122°12′11″W / 37.43361°N 122.20306°W / 37.43361; -122.20306

West Menlo Park is a census-designated place and an unincorporated area in San Mateo County, California, located between the City of Menlo Park, the Town of Atherton, Sharon Heights neighborhood and Stanford University. As of the 2000 census, the community had a population of 3,629. It consists of suburban housing and a small business district along the Alameda de las Pulgas (spanish for road of the fleas) and Sharon Road. It has the highly rated Las Lomitas School District and Menlo Park Fire District. More recently, West Menlo Park has gained a reputation as one of the most desirable places to live in North America. A notable newspaper recently ranked West Menlo Park #4 on its "top residential areas in California" article.

Menlo Park Real Estate Update -- Seven Day Snapshot

2010-01-15T15:50:00.001-08:00

The last seven days in Menlo Park the Real Estate market picked up considerably

17 New Listings
High $3,595,000.
Low $ 275,000.

3 Pending Sales
High $1,695,000.
Low $1,029,000.

7 Closed Sales
High $ 935,000.
Low $ 225,225.

4 Cancelled Listings

1 Expired Listing

There has not been much inventory since mid-December so it is a joy to see some quality properties coming to the market!

Please call me at (650) 543-1215 to schedule a property tour or for more information.

Mortgage and Interest Rate Update

2010-01-14T12:51:00.000-08:00

THURSDAY AFTERNOON UPDATE:

The bond market has improved from early gains following a fairly strong 30-year Bond auction. The stock markets have not moved too much from this morning’s levels with the Dow currently up 30 points and the Nasdaq up 8 points. The bond market has improved from this morning, currently up 19/32. This will likely improve this afternoon’s mortgage rates slightly, even after this morning’s improvement. But, many lenders may opt to wait until tomorrow’s pricing to reflect this improvement.

The Commerce Department reported this morning that retail level sales fell 0.3% last month, falling well short of expectations. Analysts were expecting to see a 0.5% increase in sales, meaning consumers spent less last month than many had thought. This is good news for bonds and mortgage rates because drops in consumer spending eases inflation and economic recovery concerns. That creates a favorable environment for the bond market and mortgage rates. However, minimizing this news was a sizable upward revision to November’s sales, indicating that consumers spent more in November than was previously thought.

There are three economic reports scheduled for release tomorrow morning. The first is December’s Consumer Price Index (CPI). This is also one of the most important monthly reports that we see since it measures inflationary pressures at the consumer level of the economy. The overall index is expected to rise 0.2% while the core data is expected to increase 0.1%. Weaker than expected readings should lead to bond improvements and lower mortgage rates tomorrow morning.

December’s Industrial Production report is the second report. It will be released at 9:15 AM ET and measures output at U.S. factories, mines and utilities. This gives us a good indication of manufacturing sector strength or weakness. Current forecasts are calling for an increase in production of 0.6% from November’s level. A smaller than expected increase would be considered good news for bonds and should lead to lower mortgage rates as long as the CPI doesn’t reveal any negative surprises.

The final report of the week is January’s preliminary reading to the University of Michigan’s Index of Consumer Sentiment. This index measures consumer willingness to spend and can usually have enough of an impact on the financial markets to change mortgage rates. Good news would be if it shows a reading weaker than the 73.8 that is expected. However, it is not one of the week’s more important releases and probably will have little impact on tomorrow’s mortgage rates due to the importance of the CPI and production reports.

If I were considering financing/refinancing a home, I would.... Lock if my closing was taking place within 7 days... Lock if my closing was taking place between 8 and 20 days... Float if my closing was taking place between 21 and 60 days... Float if my closing was taking place over 60 days from now...

Source: Ken Mason, Mortgage California

Mortgage and Interest Rate Update

2010-01-13T14:07:00.000-08:00

Wednesday’s bond market has opened in negative territory as investors prepare for today’s auction. The stock markets are in positive ground with the Dow up 28 points and the Nasdaq up 6 points. The bond market is currently down 8/32, but we likely will see little change in this morning’s mortgage rates due to strength late yesterday.

Today’s only relevant economic news will come from the Federal Reserve this afternoon when they post their Beige Book report. This report, which is named simply after the color of its cover, details economic conditions throughout the U.S. by region. Since the Fed relies heavily on it during their FOMC meetings, its results can have a fairly big impact on the financial markets and mortgage rates if it reveals any surprises. It will be released at 2:00 PM ET, so any reaction to its results will come later today.

Also on tap today is the 10-year Treasury Note auction. If there is a strong demand for them during the sale, we should see the bond market move higher during afternoon trading. But a lackluster interest from buyers, particularly international investors, would indicate a waning appetite for longer-term U.S. securities and lead to broader bond selling. The selling in bonds would result in upward revisions to mortgage rates. We will repeat this scenario tomorrow for the 30-year Bond auction.

Tomorrow morning brings us the release of December’s Retail Sales data. This is one of the more important reports we see each month it measures consumer spending by tracking sales at retail establishments in the U.S. Since consumer spending makes up two-thirds of the U.S. economy, any related data is watched closely. Current forecasts are calling for an increase in sales of approximately 0.5%. A smaller than expected increase would be good news for bonds and mortgage rates tomorrow.

The Labor Department will post last week’s unemployment figures tomorrow morning also. They are expected to show that 436,000 new claims for benefits were filed last week, but I doubt this data will cause much movement in mortgage rates. It tracks only a week’s worth of new claims, so its impact on the markets is usually minimal.

Source: Ken Mason, Mortgage California

inMenlo -- a Hyper Local Blog

2010-01-07T15:41:00.001-08:00

My dear friends, Linda Hubbard and Chris Gulker have been Blogging in a new "Hyper-local" Blog about life here in Menlo Park.

They are featured in the January 6th edition of the Almanac.

Here is a link to the Blog -- inMenlo.com

Here is their story --

News - Wednesday, January 6, 2010

Menlo Park blog captures local life, people, vignettes

by Sean Howell

It's a cool winter's day here in Menlo Park, California, latitude 37 degrees, 44 minutes; longitude 122 degrees, 11 minutes. The sky is beginning to show some sneaks of light in the east there, over the Stanford foothills.

The shops on Santa Cruz Avenue are opening up, getting ready for business. They're already open at Peet's at the corner of Santa Cruz and University, serving steaming coffee to the early risers on their way to work, or on their way home from an early morning walk.

Dan Dowler over at Cook's Seafood is preparing crabs; he's optimistic about this year's catch after talking with some of the fishermen in Half-Moon Bay and seeing the first haul. Dr. Bill, a chiropractor and a familiar face around town from his days coaching Little League and chairing the Chamber of Commerce, is greeting patients in his practice in the Sharon Heights Shopping Center.

A custom '53 Corvette is sitting in one of the public lots; a lone protester is standing on Sand Hill, holding a "Condi lied" sign; some road work's going on at one end of Sharon Park.

And in a Sharon Heights home, Linda Hubbard Gulker, Chris Gulker and Scott Loftesness are blogging about it, all of it — that is, assuming they're not out on the street already, talking to their favorite local people, poking around in unfamiliar territory.

They are the founders of a "hyper local" community blog called InMenlo (inmenlo.com), and they're striving to convey some sense of what it's like to live here. While the news divisions of traditional print newspapers, including this one, tend to focus on what's changing — warning residents of land development proposals or pending school expansion, for instance — InMenlo sketches the community, and the people in it.

"We love unearthing characters, scouting out stories," said Mr. Gulker, who handles most of the photography for the site (with rare exceptions, each story comes with a photo).

They catalog local people, hang-out spots, community events, trends, and weather reports. They give shopping tips. They look into complaints of increased ticketing by police — but not too deeply.

"We aren't a news site," said Ms. Gulker, who does most of the writing. "We want to focus on people."

There's not much "negative" news, the blog's founders admit, though they did post a blurb about a community meeting on preventing teen suicide. Though they say they would welcome contributors, they're wary of the blog getting hijacked by political activists.

The stories tend to focus on Sharon Heights and the downtown area, where the founders spend most of their time, though there have been a few posts from east of Middlefield Road. At the moment they are seeking topical rather than geographic diversity, though they say they will look to expand their scope as the number of contributors grow.

For now this is just a hobby; Mr. Loftesness pays the fees to maintain the site out of pocket. Visitors fluctuate wildly day-to-day, a sign that the site hasn't yet gained a toehold, according to Mr. Gulker.

Still, for a project that started on a whim, the bloggers have been remarkably persistent, posting at least one short story per day. The goal is to establish a "daily cadence" that readers can get used to, Mr. Loftesness said.

Ms. Gulker's favorite stories are the ones about places that people tend to overlook. She particularly enjoyed writing about the cemetery on Santa Cruz Avenue, where the street kinks.

"For most people, it's just noise, it's part of the landscape," she said. If her story gets people to pause for a moment the next time they pass the cemetery, she's done her job.

Looking Forward to a New Decade

2010-01-04T23:15:00.000-08:00

Happy New Year!

2010 -- Bring it on...Who else is weary of the greedy bastards, the business debacles, the good people getting screwed by the system they trusted and abided by?

Are you tired of paying taxes when others don't? Paying your Mortgage on time when the one's who couldn't afford their home in the first place let it slide? Credit card fees levied after years of a perfect record. What the hell happened to responsibility? Where is Mighty Mouse when we need him?

The GOOD NEWS is that we have a NEW year, a NEW Decade, a fresh start. This is going to be a fabulous year!

There are some wonderful opportunities out there to buy a first home, invest in property or finally move into the home of your dreams. WOW.

Let's all make this a fantastic 2010 -- Happy New Year!

The Grinch Loses One!!!

2009-12-18T12:53:00.000-08:00

LENDERS TO HALT FORECLOSURE EVICTIONS OVER THE HOLIDAYS

Fannie Mae and Freddie Mac will suspend foreclosure evictions from December 19, 2009 through January 3, 2010. To help struggling families over the holidays, both owner-occupants and tenants living in properties foreclosed upon by Fannie Mae will not be evicted. Freddie Mac's suspension of evictions will be limited to properties up to four units.

In a similar move, Citigroup Inc. will suspend foreclosure sales and evictions for 30days through January 17, 2010 for loans it owns. Citigroup's foreclosure moratorium, however, does not extend to loans it services on behalf of other investors. Given these developments, other lenders may follow suit, so check with the lender if appropriate.

Cash for Caulkers Could Seal $12,000 a Home

2009-12-16T15:42:00.000-08:00

Under President's proposal, homeowners would be reimbursed for energy-efficient appliances and insulation.

NEW YORK (CNNMoney.com) -- President Obama proposed a new program Tuesday that would reimburse homeowners for energy-efficient appliances and insulation, part of a broader plan to stimulate the economy.

The administration didn't provide immediate details, but said it would work with Congress on crafting legislation. Steve Nadel, director at the American Council for an Energy-Efficient Economy, who's advising on the bill, said a homeowner could receive up to $12,000 in rebates.

The proposal is part of the President's larger spending plan, which also includes money for small businesses, renewable energy manufacturing, and infrastructure.

We know energy efficiency "creates jobs, saves money for families, and reduces the pollution that threatens our environment," Obama said. "With additional resources, in areas like advanced manufacturing of wind turbines and solar panels, for instance, we can help turn good ideas into good private-sector jobs."

The program contains two parts: money for homeowners for efficiency projects, and money for companies in the renewable energy and efficiency space.

The plan will likely create a new program where private contractors conduct home energy audits, buy the necessary gear and install it, according to a staffer on the Senate Energy Committee and Nadel at the American Council for an Energy-Efficient Economy.

Big-ticket items like air conditioners, heating systems, washing machines, refrigerators, windows and insulation would likely be covered, Nadel said.

Based on earlier bills, consumers might be eligible for a 50% rebate on both the price of the equipment and the installation, up to $12,000, said Nadel. So far, there is no income restriction on who is eligible. That would mean a household could spend as much as $24,000 on upgrades and get half back.

Homes that take full advantage of the program could see their energy bills drop as much as 20%, he said. The program is expected to cost in the $10 billion range.

It's not clear how the home efficiency plan would be administered - the government may issue rebates to consumers directly, homeowners might get a tax credit, or the program could be run via state agencies.

If consumers have to spend a lot of money up front to get the credit, it could throw a wrench in the works, David Kreutzer, an energy analyst at the Heritage Foundation, told CNN.

"This will not be something that's attractive to people who are having trouble already making their budget payments month to month or week to week," he said.

To keep consumers from having to spend thousands of dollars before getting reimbursed, Nadel said, one idea is to have contractors or big box retailers pay part of the cost up front.

Fraud issues could also come up, Kreutzer said.

"Any program that is going to run through a third party and is going to distribute billions of dollars needs to have lots of checks and balances to make sure there's not abuse," he said.

Nadel noted that as a way to guard against fraud, contractors would have to be certified to participate.

Energy company boost
Obama's new spending plan also calls for renewable energy companies to get additional support. That could come in the form of loan guarantees - basically, money the government uses to secure loans for startups.

In the original stimulus bill passed earlier this year, $6 billion was earmarked for such loan guarantees. But then lawmakers took away $2 billion to fund Cash for Clunkers - the popular program that paid people to turn in their old cars.

The $4 billion from the original bill has funded about $40 billion in loans, said the staffer on the Senate Energy Committee. Meanwhile, firms are hoping for another $4 billion in loan guarantees, since they have another $40 billion worth of projects that need funding.

A bill on energy efficiency reimbursements already has supporters in the Senate.

"Not only will [such legislation] increase our energy security and transform our energy infrastructure to a modern, clean and efficient one," Senate Energy Committee Chairman Jeff Bingaman, D-N.M., wrote in a recent op-ed column in the Hill, a Capitol Hill newspaper. "But it also will position the United States to lead in the development of clean energy technologies."

Source: Steve Hargreaves, CNNMoney.com

Fondly Remembering the 50's and 60's

2009-12-15T13:48:00.000-08:00

What were we thinking?

How could these pastel tubs have ever seemed like a good idea? Was it just the novelty of not being "white"? It makes me wonder what the next big design goof is or will be...

Source: Sunset at Ohmega Salvage in Berkeley

Benefits of a Buyers Agent

2009-12-08T16:17:00.000-08:00

For most of us, buying a home is the biggest single investment we’re likely to make and we’re only likely to do it maybe once or twice in a lifetime. The process is, by nature, filled with checks and balances – and many complex details. Traditionally, agents were legally obligated to protect the interests of the home seller. Today preferences are changing. One of these changes is that more homebuyers are choosing to have their own real estate agent, known as a buyer's agent, to legally represent them.

A buyer’s agent represents you, the buyer, not the seller, and has full fiduciary duties, including loyalty to you. By definition, the buyer’s agent has your best interests in mind throughout the transaction. The percentage of homebuyers with buyer representation has grown significantly in the past decade. According to a recent National Association of Realtors® survey, nearly half (46%) of home buyers used the services of a buyer’s agent last year, and four out of every five buyer’s agent agreements were in writing.

The benefits of buyer representation is the dedication of a buyer’s agent to the home buyer. The buyer’s agent and homebuyer establish a mutual agreement, known as a buyer agency agreement, that will entitle the homebuyer to, but is not limited by:

Loyalty The real estate agent must act in the best interest of the buyer.

Disclosure All material facts such as relationships between agent and other parties, existence of other offers, status of earnest money, seller’s financial condition, property’s true worth, commission split with other brokers, and legal effect of important contract provisions.

Confidentiality Any discussions, facts, or information that should not be revealed to others but does not include responsibility of fairness and honesty in dealings with all parties.

Accounting in dealings Reporting of where any money placed in the hands of the broker is kept.

Reasonable Skill and Care Arriving at a reasonable purchase price and advising the buyer of such, affirmatively discovering material facts and disclosing them to the buyer, investigating the material facts related to the sale. With a buyer agency, the interests of the homebuyer will be represented in the purchase of the home. This scenario is different from a typical transaction where the buyer is not technically represented.

The Fed’s all in and throwing in the kitchen sink for good measure

2009-12-01T11:24:00.000-08:00

"The Federal Reserve will employ all available tools to promote the resumption of sustainable economic growth and to preserve price stability"

Stock and bond markets are celebrating in the wake of an FOMC statement that exceeded nearly all expectations for a substantial easing of policy today. At the time of this writing, the Dow is up about 340 points, and the 10-Yr Treasury yield has plunged to 2.36 percent from 2.50 percent yesterday. Throwing all caution to the wind, the Fed is betting that drastic rate cuts are needed immediately in order to support consumer and business borrowing in the face of a rapidly deteriorating economy and the specter of deflationary forces afoot. Such drastic measures only highlight the scale and scope of the current economic and financial crisis that still lies ahead. The Fed is now pulling nearly all its policy levers and only time will tell if it is pushing on a string, or if monetary policy still has a viable channel in which to operate.

For the first time in its history the Fed has decided to establish a target range for the Fed funds rate of between zero and 0.25 percent, effectively making 0.25 percent its interest rate ceiling. This is also an admission that the Fed has been having trouble maintaining its target as massive injections of about $1.0 trillion into various credit facilities, bank re-capitalization, and the payment of interest on bank reserves make an explicit target nearly impossible to achieve. The movement to a target range also rightly puts the focus of additional policy actions on the scope and scale of outright purchases of MBS, and agency debt. The committee is also exploring the potential benefits of purchasing longer-term Treasury securities as well.

Moreover, the FOMC signaled that they expect to maintain an exceptionally low fed funds rate target of some time. This signal is designed to push longer-term Treasury yields even lower, and from today’s action it seems to have worked.

The FOMC statement begins by describing an economy mired in a deepening recession, with little prospect for near-term relief, stating that labor market conditions have deteriorated, and consumer spending, business investment, and industrial production have declined. The Fed’s view of credit market conditions has not improved, and their outlook for the economy has weakened further.

Finally, the Fed doesn’t mention the prospect of deflation in the statement, but did highlight the prospect for inflation to moderate further in the coming quarters.

Expect further expansion and utilization of the Fed’s existing credit facilities, as well as the addition of new ones in 2009 as the Fed moves further down the path of quantitative easing.

Source: Scott A. Anderson, Ph.D.
Senior Economist, Wells Fargo Economics

Daily Commentary

2009-11-24T12:21:00.000-08:00

Tuesday’s bond market has opened fairly flat after this morning’s economic data gave us mixed results. The stock markets are giving back some of yesterday’s gains with the Dow down 36 points and the Nasdaq down 12 points. The bond market is currently up 2/32, but we will likely see an improvement in this morning’s mortgage rates of approximately .250 of a discount point due to strength in bonds late yesterday.

This morning’s release of the 3rd Quarter Gross Domestic Product (GDP) revision revealed a downward revision, as expected. It revealed a 2.8% annual rate of growth during the third quarter that nearly matched forecasts. This means that the economy did not grow as much during the 3rd quarter than previously thought. That is good news for bonds and mortgage rates, but since the 2.8% increase was nearly what analysts had predicted, the impact on this morning’s trading and mortgage pricing has been minimal.

November’s Consumer Confidence Index (CCI) was posted late this morning, showing a reading of 49.5. This was higher than forecasts were calling for, indicating that consumers were more optimistic about their own financial situations than many had thought. That is considered negative news for bonds because rising confidence means consumers are more apt to make large purchases in the near future, effectively fueling economic growth.

We have two more events to watch for later today. The first are the results of the 5-year Note auction being held today. They will be posted at 1:00 PM ET. If there was a strong demand from investors, we could see bond prices rise and mortgage rates fall this afternoon. But a lackluster interest in the sale could lead to higher mortgage pricing.

The FOMC minutes may be a major mover of the markets or a non-factor, depending on what they say. The key will be concerns over inflation and the Fed’s next move. If the Fed members were concerned about inflationary pressures and overly optimistic about economic growth, we may see the bond market move lower and mortgage rates higher after they are released at 2:00 PM ET.

There are four reports scheduled for release tomorrow morning. October’s Durable Goods Orders is the first and will be posted early morning. This data helps us measure manufacturing strength by tracking orders for big-ticket items, but is known to be quite volatile from month-to-month. It is expected to show a 0.5% increase in new orders. A smaller than expected rise would be considered good news for the bond market and mortgage rates.

The second is October’s Personal Income and Outlays data. This data is thought to measure consumers’ ability to spend and their current spending habits. This is important because consumer spending makes up two-thirds of the U.S. economy. It is expected to show that income rose 0.2% and that spending increases 0.5%. Smaller than expected readings would be good news for bonds and could lead to improvements in mortgage rates.

The revised November reading to the University of Michigan Index of Consumer Sentiment will be posted late tomorrow morning. Analysts are expecting to see an upward revision of 1.0 to the preliminary reading of 66.0. Unless we see a significant variance from the forecasted reading of 67.0, I don’t think this data will cause much movement in mortgage rates tomorrow.

October’s New Home Sales is the last report, but it is the least important. I don’t think this data will influence mortgage rates unless it varies greatly from forecasts and the rest of the day’s news matches forecasts. It is expected to show a slight increase in sales of newly constructed homes.

Source: Ken Mason, Mortgage California

Daily Mortgage Commentary

2009-11-17T12:37:00.000-08:00

Monday’s bond market opened in positive territory despite early stock gains and mixed economic news. The stock markets are kicking the week off in positive ground with the Dow up 119 points and the Nasdaq up 27 points. The bond market is currently up 5/32, which with Friday’s late gains should improve this morning’s mortgage rates by approximately .250 of a discount point.

The Commerce Department reported this morning that October’s Retail Sales rose 1.4%, exceeding forecasts of a 0.9% increase. At first look, this headline number is bad news for bonds. However, two factors prevented the bond market from selling. The first was a sizable downward revision to September’s sales that indicated consumers were spending even less than previously thought. Last month’s estimate was a decline of 1.5% in sales, but it now believed that sales fell 2.3% that month. The second piece of positive news was the reading that excludes October’s more volatile auto sales. With those transactions excluded, sales rose only 0.2%, which was weaker than the 0.4% that was expected. So, today’s report can’t really be considered favorable or negative for bonds and mortgage rates. Its impact has been fairly neutral.

Fed Chairman Bernanke is making a lunchtime speech to the Economic Club of New York today. I don’t believe that we will see too much reaction to his speech, but the possibility always exists whenever he speaks. Therefore, we should not ignore it, but if we see the markets move noticeably between noon and 12:30 PM ET, it likely is a result of something he said.

There are two reports scheduled to be posted tomorrow morning. The first is October's Producer Price Index (PPI) that is one of the two key inflation readings this week. The PPI measures inflationary pressures at the producer level of the economy. There are two portions of the index that are used- the overall reading and the core data reading. The core data is the more important of the two because it excludes more volatile food and energy prices. If it reveals stronger than expected readings, indicating that inflationary pressures are rising, the bond market will probably react negatively and should drive mortgage rates higher. If we see in-line or weaker than expected numbers, mortgage rates should fall tomorrow. Current forecasts are calling for an increase of 0.5% in the overall reading and a 0.1% increase in the core reading.

Tomorrow’s second report is October's Industrial Production data. It gives us a measurement of manufacturing sector strength by tracking output at U.S. factories, mines and utilities. It is expected to reveal a 0.4% increase in production. Stronger levels of production would be considered bad news for the bond market and mortgage rates, but this data is not as important as the PPI readings are.

Source: Ken Mason, California Mortgage
November 16, 2009

Senate Votes to Renew Tax Credit for First-Time Home Buyers

2009-11-05T11:49:00.000-08:00

Senate Votes to Renew Tax Credit for First-Time Home Buyers --
Provision for $8,000 Refund Part of Bill to Extend Jobless Aid

Source: Washington Post, By Dina ElBoghdady
November 5, 2009

The Senate voted Wednesday to renew the government's $8,000 tax credit for first-time home buyers through the first six months of next year as part of a broader bill designed to extend unemployment benefits. For the first time, the tax credit program would also enable many homeowners who buy a new primary residence to receive a $6,500 refund. The bill, which passed 98 to 0, should reach the House floor by Thursday, House Majority Leader Steny H. Hoyer (D-Md.) said in a statement. His office said the legislation would then go to the White House for the president's signature.

Under the bill, first-time home buyers would receive the $8,000 tax credit if they sign a contract by April 30 and close on it by June 30. The plan would also make those who buy a new primary residence eligible for the $6,500 credit if they owned their current home for at least five consecutive years in the previous eight years. But the measure limits the purchase price of the home to $800,000. It also imposes income caps so that people who make more than $125,000 annually and couples who make more than $225,000 would not be eligible for the program, which is estimated to cost $10 billion.

In the Senate's measure, taxpayers would be able to claim the credit on their 2009 income tax return for purchases made in 2010.

Extension of Current Loan Limits

2009-11-02T11:06:00.000-08:00

WASHINGTON, D.C. (October 29, 2009)

The Mortgage Bankers Association (MBA) today applauded passage of legislation that will maintain the existing loan limits for Fannie Mae, Freddie Mac and the Federal Housing Administration (FHA) through December 31, 2010. An extension of the current loan limits (which had been due to expire December 31, 2009) was included in the continuing resolution (H.R. 2996) that passed the House and Senate today.

MBA's Chairman, Robert E. Story, Jr., issued the following statement.

"Given the lack of a private secondary mortgage market, FHA, Fannie Mae and Freddie Mac are pretty much the only game in town. Extending the current loan limits through 2010 will allow more loans to qualify for these important programs and will help keep mortgage credit more accessible and affordable for qualified borrowers.

"As we try to maintain the momentum of the housing recovery, providing affordable financing for qualified borrowers is critical. Extending the loan limits, along with other initiatives such as extending and expanding the homebuyer tax credit, will help restore stability to the housing and mortgage markets."

All of my girls --

2009-10-29T15:44:00.000-07:00

All my girls together last evening!

Topics To Move Fence Sitters

2009-10-27T13:45:00.000-07:00

Topics To Move Fence Sitters:

High Balance Conforming of $729,750 ends 12/30/2009. Reverts back to $625,500. Simultaneous Closing, 1st and 2nd 80% CLTV to $1,250,000 (San Mateo County)

First Time Homebuyers Tax Credit ends 11/30/2009.

Economic News:

Leading economic indicators for September were up 1% and up 11.8% for the last 6 months. Strongest showing since 1983.

New home sales were up for the fifth consecutive month in August. Inventory of new homes are down to their lowest levels since 1990.

The report on Real GDP to be released this week is expected to show an increase of 3.7% annual pace for the 3rd Quarter. By comparisson, first quarter Real GDP was (-6%) Another sign that the economy may have hit bottom and is on a recovery path.