HOT TIME, SUMMER IN THE CITY…MARKET AND TRAVEL UPDATES

RATES...FIRST AND FOREMOST

Interest rates have moved off their record lows of the summer (and ever, for that matter) and are hovering slightly higher after news of stabilizing events in the EU as well as improved economic indicators here in the US.

Rates are subsequently up around .25% which brings them back to the levels of late June. I will not predict whether they will rise or fall in the near future since I, along with almost everyone else, thought we’d seen the bottom much earlier this year.

As I am fond of telling my clients, I threw away my crystal ball some time ago….there are just too many factors affecting rates today in our global economy.
Home values appear to be rising slightly in some markets, and there is no clear indication of the legendary “shadow inventory” of properties either owned by banks or not yet foreclosed…so your guess is as good as mine on the future of home prices!

VACATIONS AND FUN STUFF

In mid-June –Fathers’ Day weekend-- we went to our favorite camping spot on the bluff over the ocean in El Capitan where Steve painted some nice landscapes while I read. We kayaked in the ocean (alas no dolphin sightings except from shore) and took some bike rides.

One day we drove from our campsite, where it was at around 60 degrees, inland to the Los Padres National Forest (on the way to the San Ynez Valley) for a bike ride. When we arrived there, the temp was almost 100. No kidding! To cool off we went swimming in the river which was a hoot (yes we brought our swimsuits!)
Favorite eats were lunch at Brophy Brothers, dinner at Beachside Bar & Café in Goleta and Holdren’s Steakhouse.

Next up – In early July we drove to Napa Valley for some wine tasting and to visit close friends who live in Calistoga. We were accompanied by my daughter Katie and her boyfriend Paul, who had both flown out from Ann Arbor.

Favorite wineries were Rombauer, Frank Family, Clos Pegase and Cuvaison. We had a wonderful dinner out on our last night with our friends (including a local chef, and a winemaker) at the SolBar in the Solage resort.

http://www.solagecalistoga.com/solbar

Amazing food, accompanied by special bottles we brought in, plus a magnum of Zinfandel. I’ve become a Zin lover since I first tasted the Rombauer Zins. WOW! We partied on the 4th at our friends’ home… with an expansive view of the Valley from the hill above Calistoga, where we watched the fireworks at the State Fairgrounds below us. All in all a great time!

On the 6th we drove through San Francisco down to Carmel for a wedding. We had the great fortune to stay at the Mission Ranch in Carmel overlooking a vast meadow and Carmel Bay. http://www.missionranchcarmel.com/ The wedding party had booked about half the rooms at the Ranch where the rehearsal dinner was held, and I had the honor of creating the playlist and “dj-ing” the event. It was a blast and I’ve found my next calling for the future, after I become a professional dancer/Zumba instructor! HA!

The morning of the wedding Steve, Katie, Paul and I rode our bikes from our hotel through Carmel to 17 mile drive. It was beautiful and might I say somewhat strenuous (I’d forgotten how many hills there are). We returned just in time to grab a bite at the Rio Grill. http://www.riogrill.com I was super impressed with the menu and beer and wine list, and wished we’d had more time but we had to do a quick change to make it to the wedding, which was a full mass at the Mission Basilica. The artwork inside was impressive…and OLD! The wedding was awesome…afterwards we had a great party in Carmel Valley.

The next day, while in recovery, we rested and took a walk down to the beach below us. For dinner Steve and I browsed around Carmel Village and found ourselves at a restaurant named Grasings which was absolutely the best food we’d had in days (hmmm since the SolBar?) I highly recommend dining there next time you are in Carmel. http://www.grasings.com/ The bartender entertained us with stories of deep sea fishing and free diving off the Santa Cruz, Monterey and Marin Coasts. Fun and fabulous food!

Katie and Paul flew home Sunday, we drove home the following day, and I found I’d gained five pounds which I have had to work very hard to take off. AHHHHH! The joys of aging!

FINALLY Steve and I took his boys to Mammoth for a family vacation in August for a week where we stayed in a condo at Snow Creek. It was very lovely, beautiful views, wonderful warm weather, great biking, hiking and fishing. We ate our own freshly caught trout (from June Lake) and were skunked at both Lake Mary and Lake George. The hike up above Lake George to Crystal Lake offered wonderful views of the valley down past Mammoth to the Owens River Gorge.

One day we rented a pontoon boat on June Lake and lazed around, swimming, fishing and just chatting. These pontoon boats have apparently become very popular in the mountain lakes as well as SUP’s (Stand Up Paddle boards for the uninitiated.)

Home at last….until the next trip. I hope your summer has been an enjoyable and eventful as mine! Please call me if I can help out with your home financing needs.

Karen

A Sea Change in Rates & Spring Updates

Interest Rate Update

We have seen the bottom of the rate cycle, and it appears to be past us. Improving economic indicators coupled with increased stock market activity have pushed bond and mortgage rates higher the past week. Rates are still very attractive, but not quite at the 50 year record low mark. My recommendation is don’t wait if you have considered a refinance or purchase this year.

For 30 year fixed rate loans we are seeing 4.125% to 4.25% depending on loan size, for primary residence purchase or refinance. Remember that rates are all subject to FICO score, loan-to-value, property type and occupancy.

FHA and VA rates are still lower than those shown above, but as of the end of March FHA mortgage insurance premiums are rising AGAIN so time is of the essence.

SPRING IS HERE!

The last few months have been amazingly busy. I’ve been to Dallas with Steve to see his new pied-á-terre with a fabulous view of downtown. He stays there 3 to 4 days during the week, but continues to commute home for weekends. We had the opportunity to see the new musical version of Giant, based on the Edna Ferber novel about the transition in Texas from cattle ranching to the oil industry, with plenty of social commentary.

Business is booming at Museum Tower, his luxury condo development. The first models will be opening soon. I haven’t personally inspected the building since I don’t like open construction elevators…I’m holding out for the interior elevators to open up for my tour!

We ventured up to Napa Valley in late January for a surprise birthday event at Calistoga Ranch for a dear friend. We stayed “under cover” at their guest house—with sweeping views of the Valley—during the weekend, and feel like it is our special getaway! Of course we indulged in the best food and wines the valley has to offer, thanks to our hosts and friends.

Next, my mother stayed with us for six weeks while her master bathroom was being remodeled…and it is amazing! She is now dubbing it her “taj mahal” and it is complete with marble counter top and bench in the walk-in shower, and mosaic designs in the floor and shower tiles. A real showcase, and she’s selling tickets for entry. Any takers?

¡Viva México! I took a quick trip to Baja with my wonderful sister. We stayed with friends who live outside San José near El Puerto Cabo in a private community. Their home is fabulous with panoramic ocean views and amazing art pieces, and I felt like I was living the life of the rich and famous! We had massages en suite one day, dinner "in" with a professional chef, and took dune buggies down to a deserted beach on the East Cape called Shipwreck. One day we took their boat (ahem yacht) out for some sport fishing (no luck) but had a blast nonetheless. I returned home rested and with a slight sun rash. I think my high point of the visit was dinner at “the Farm,” a farm-to-table restaurant featuring organic produce grown on-site. The food, wine and music were all outstanding, and I can’t wait to return. Read about it at http://www.flora-farms.com/ or like them on Facebook. They also sell fresh produce, freshly baked items, and offer a interesting array of cocktails. It is a totally hip spot, located out of the way and hustle and bustle of Cabo San Lucas, and is frequented by many visitors as well as local ex-pats.

Next up: scuba diving on the Little Cayman Islands and then the Dallas Art Fair complete with Black Tie dinner event. Can’t wait!