VENICE REAL ESTATE MARKET UPDATE

COMPARE THE LAST SIX YEARS ...

#1 The number of homes listed for sale has remained relatively constant with a small increase in 2006. The number of homes sold annually has shown a steady decline.

#2 The percent of listed homes that sold each year has decreased dramatically from 82% in 2003 to less than 40% in 2008.

#3 The dollar sales volume increased steadily through 2006. 2007 showed a small decrease; while 2008 had a significant decrease.

#4 The average selling price increased significantly between 2003 and 2007; however, it has leveled off over the past two years.

#5 The average dollar per square foot also increased significantly between 2003 and 2006; however, it has declined and leveled off over the past two years.

#6 The average days on market (selling time) has doubled over the past 5 years.

The above stats were compiled from the Multiple Listing Service/CLAW and represent only those properties that were listed on the MLS. Source deemed reliable; however, no representation of any kind is made as to its accuracy.

And a positive side ...

FORBES NAMES VENICE IN TEN BEST SUBURBS TO SELL A HOME

Submitted by one of our faithful readers

In these spots, those looking to unload their home are finding buyers.

Berkeley, Calif., known sometimes as a hippie haven, is becoming a hotbed for home sales.

Prices in the Bay Area suburb are up 9% this year, with homes selling for a median price of $790,986. Properties are sitting on the market for 73 days on average, the lowest of any area with positive price trends within the confines of the country's 75 largest Census-defined metro areas. Only 37% of sellers have been forced to reduce their prices, one of the lowest rates in the country.

It may not be a boom, but given regional problems it's a good market to be in. Berkeley joins Venice, Calif.; Bedford, Texas; Kennesaw, Ga.; and Montclair, N.J., on our list of suburbs with the best conditions for sellers.

More of the article ...

RISK INDEX INDICATES BROADER RISK OF HOME PRICE DECLINES

The risk of lower house prices two years from now increased broadly across the nation, rising in 369 of 381 Metropolitan Statistical Areas (MSAs) or 97 percent, highlighting the breath of the economic and housing downturns, according to the Winter 2009 Economic and Real Estate Trends Report, produced by PMI Mortgage Insurance Co.

PMI estimates that half of the nation's 50 largest MSAs have an elevated or high probability of seeing lower house prices by the end of the third quarter of 2010, relative to the third quarter of 2008, the report said. A growing number of MSAs in the Midwest and along the East Coast show an increase in probability of lower home prices in two years.

"The two primary drivers of increased risk scores are the continued high level of foreclosures and rising unemployment," said David Berson, PMI's chief economist and strategist. "These factors will put additional upward pressure on risk, with increases in affordability and lower mortgage rates providing some offset."

The Riverside-San Bernardino-Ontario and the Los Angeles-Long Beach-Glendale MSAs were ranked in the top 10 riskiest of the 50 largest MSAs.

To read the full story, please click here.

FANNIE MAE EXTENDS FORECLOSURE SALE AND EVICTION SUSPENSION

Fannie Mae last week announced it would extend the suspension of foreclosure sales and evictions from single-family properties through Jan. 31, 2009, enabling the company to work with mortgage servicers to further implement the Streamlined Modification Program (SMP) announced on Nov. 11 and initiated on Dec. 15. The extension also will provide additional time for the company to operationalize its new National REO Rental Policy.

The temporary suspension of foreclosures will allow affected borrowers facing foreclosure to retain their homes while Fannie Mae works with mortgage servicers to implement the SMP. Foreclosure attorneys and loan servicers have been instructed to use the additional time to reach out to borrowers and continue to pursue workout options. The initiative applies to loans owned or securitized by Fannie Mae.

The SMP is aimed at the borrower who has missed three payments or more, owns and occupies the primary residence, and has not filed for bankruptcy. The program creates a fast-track method for getting troubled borrowers into an affordable monthly payment through a mix of reducing the mortgage interest rate, extending the life of the loan, or even deferring payments on part of the principal. Servicers have flexibility in the approach, but the objective is to create a more affordable payment for borrowers at risk of foreclosure.

To read the full story, please click here.

FAST FACTS