Basic tasks such as washing windows, flipping mattresses, changing smoke detector batteries and furnace filters are often the most difficult for recipients to complete and the RSVP volunteers work throughout the day to assist each home owner.

This year, the approximate 100 RSVP Los Gatos-Saratoga District volunteers worked in small teams to work throughout the local area.  Gutters were cleaned, weeds pulled, and porches were swept during a beautiful Silicon Valley day.

Having participated in RSVP for the last several years, I am always so grateful for the experience of helping people of the local community who are in need.  The people we visit are typically longtime residents of the area and have contributed in some way to the history and culture of the area.

Sereno Group’s Mary Kay Groth was the RSVP Los Gatos-Saratoga chair and helped to organize, coordinate, and oversee the volunteer effort for this year’s event.  She did a fantastic job and the day was a wonderful success!

Thank you to all of the volunteers from Sereno Group and to everyone who participated throughout SILVAR in making this year’s event one of the best ever.  We made a difference.

Metech Recycling has an incredible 95% success rate with getting these items securely recycled for manufacture!

Items accepted:
Monitors/TVs
Computers/Laptops
Cell phones/Telecom Equipment
Wire/Cable/PC Boards/Scrap Metal
Video tapes
Mice/Keyboards
Printers/Fax/Copy Machines
Stereo Equipment, Speakers
DVD/CD/MP3 Players
Microwave Ovens

Please, No Household Appliances:
Vacuum Cleaners, Toasters, Ovens, Etc.
Also no lights of any kind, no batteries

Where to go to drop off the approved items?

Los Gatos/Saratoga
214 Los Gatos-Saratoga Rd.
Los Gatos 408-335-1400

Los Altos/Palo Alto
369 S. San Antonio Rd.
Los Altos 650-947-2900

Santa Cruz
2407 Porter St. #150
Soquel 831-460-1100

Service Provided by
GreenMouse, Inc. a CA State Approved Col lector , CEW ID# 103153
442 Reynolds Ci rcle, San Jose, CA 95112
(408) 464-9999
www.greenmouse.com

http://realtrends.com/products/rt500/top-50-sales-volume-per-agent

Luxury buyers and sellers in Silicon Valley and beyond will be interested to learn that Sereno Group ranked #5 in the United States for the highest Average Sales Price.

http://realtrends.com/products/rt500/top50-average-sales-price

Additionally,  Sereno Group is ranked #101 among all Residential Real Estate Firms in the United States for 2011 overall production (up from #124 last year).  Sereno Group is not a large company, so being named on this list and rising so well is a great accomplishment.

http://realtrends.com/products/rt500/real-trends-500-by-volume

Across San Jose and Santa Clara County, it had already been a seller’s market in general, with the lowest priced properties attracting not only first time home buyers with FHA backed financing, but also investors, who were often armed with all all-cash purchase offers.  Needless to say, this has made it challenging for the buyer with a small down payment and FHA constraints.  The under $300,000 and even under $500,000 houses and condos have been rife with multiple offers for many months.

So what’s new about what happened in early February?

Suddenly that severe seller’s market situation moved into many more price points and areas.

Most years, the inventory of homes for sale in the San Jose area (the Peninsula, Silicon Valley, Santa Cruz)  rises pretty noticeably somewhere after the Super Bowl or Valentine’s Day.  Usually there’s a little shortage as compared to the demand. This year, however, the inventory just didn’t come up to normal levels.  In fact, it was and has been about half of normal. Below please find a “live chart” from Altos Research (to which I have a subscription) of the inventory of San Jose houses for sale over the last few years. By way of comparison, please find the month of January for recent years and note how different the inventory has been year over year.

Buyers, though, did come into the market. Low interest rates, better employment, the rising value of tech stocks (especially Apple), and the IPOs of many companies translate into residents who no longer want to be renters.

What we have is a severe supply and demand imbalance. That is creating a very low months of inventory situation, multiple offers, overbids, non-contingent offers (no inspection, appraisal or loan contingencies) rising prices and discouraged and exhausted buyers in many areas and price ranges (rather than just in the least expensive pricing bands).  It is not everywhere, but it is now common, particularly in the areas with the best schools and shortest commutes to Cupertino, Palo Alto, Mountain View, Menlo Park or Sunnyvale.  This is the epicenter of the hot market.

Home buyers can find this to be a very frustrating time, particularly if they end up in a multiple offer situation where there are dozens of contracts on a property and they never see a counter offer or get a reason why their purchase agreement wasn’t accepted.

Sellers, too, find that with an over heated market, and everything they’re reading, worry creeps in that perhaps they “left too much money on the table”.  I’ve personally seen sellers who sold for over list price with multiple offers wonder if they couldn’t have gotten a little bit more, “if only….”

Emotions are running a little high. Agents are exhausted too as buyers are in a feverish race to buy before price rise any further and they become priced out of the market.

How to respond to this market? We Realtors cannot tell you if prices will continue to rise or if they will fall.  We do know that when supply and demand are out of balance, it impacts where home values go.  Right now, inventory is critically low and demand is high in many areas. For the moment, we expect prices to continue to nudge up. A big influx of inventory could change that, but as of right now, we don’t see it happening.

Here are some highlights to pay particular attention to as you review the data/graphs through October 2011:

1. Median Price- The Median Price dipped down modestly again for the fourth month in a row to $472,000 from last month’s mark of $476,000.  October 2011’s median price is less than the same month for the past two years (2010/$521,000 & 2009/$512,000).  The two year average Median is $507,000.

2. Supply & Demand (Units)- What we are measuring in each of these categories is the two year average moving trend; The two year trend line for the following categories, For Sale (supply/inventory), Under Contract (pending sales) and Sold (closed escrows), are as follows – For Sale/inventory continued its downward slide @ -7.8%.  The number of under contract properties (pending sales) continued to trend up significantly +23.4% and the sold/closed escrows reversed the downward trajectory from last month turning back up  +1.5%. Pending sales, which continue in a positive, upward trajectory reached 1536 at of the end of October 2011 as compared to 1171 in October 2010 and 1520 in October of 2009 …this increase in pending sales indicates the potential for a strong final closing month of 2011.

3. Month’s Supply of Inventory (MSI) & Days on Market- The overall Months Supply of Inventory (months of inventory available based on the total existing supply divided by the rate of sales) amazingly, continues to decline and remained at or near a five year low of 2.1 months supply at month end,  down from last month’s figure of 2.7 months (and also less than the level of October 10’/4.9 month’s supply and also less than October of two years ago: 3.4 month’s supply). Days on market increased slightly for the fourth month in a row, up from 65 to 67 days month over month.  The Month’s Supply of Inventory is one marker that should be given particular attention as the lowest month’s supply in several years is keeping pressure on the market and is a key factor in sustaining valuation levels and leading to appreciation potential over time.

4. Sales Absorption- Measuring the two year average trend line in the following categories shows under contract properties continuing their upward climb (+40.5%) and number of closed/sold escrows also clicked up further into positive territory (+11.4%) over the past two years (both figures showing increasing strength when compared to the prior month).  Another compelling statistic in this graph remains Percent Under Contract (at a five year high)….28.1% of the active properties/listings were under contract at the end of October, which is up from 24% in September and 23.6% in August (as a further comparison October 2010/15.2% and October 2009/20.5%).  This percent under contract figure is another key marker to pay attention to as the two year average remains at 18.6% and we are presently north of this mark.  As we have discussed in our sales meetings, this is the highest percentage of active listings we have seen under contract in nearly 5 years.   Additionally, it has been suggested that 25% PUC is the mark of equilibrium in the Bay Area real estate where the market is no longer slanted in favor of the buyer or seller.

As we predicted at the end of 2010, Month’s Supply of Inventory and the Percent Under Contract have been key indicators to studying this year’s market.  The Month’s Supply has touched five plus year lows while the Percent of active listings under contract has reached heights not seen in over five years.  The other interesting and positive note has been the increased number of pending sales particularly during the latter half of this year.  In a supply and demand market such as real estate, the formula is simple; when you combine these statistics with increasing buyer demand and activity, the result will be a robust market and the beginnings of price appreciation.  We anticipate a strong finish for 2011 (particularly considering the large number of pending sales in the pipeline) with continued and increased momentum into 2012 throughout Silicon Valley and the Bay Area.

While there has been much concern surrounding the Euro and the resolution of sovereign debt throughout the region, there has also been some continued positive news about tech, jobs and improvements in the Bay Area and beyond…Although the Stock market has been volatile all year, there is some renewed hope today that Europe may be making progress on its debt solution and the market is reacting favorably…There were also solid reports on early Holiday Sales that were positively impacting the stock market today…We would be remiss in not mentioning the fact that Silicon Valley’s IPO activity is having a positive impact on real estate and will continue to do so in the coming year (see link/article below which includes a slideshow on several of the pending/upcoming IPO’s)…

U.S. Stocks Rise on Holiday Sales, Europe Progress

http://www.bloomberg.com/news/2011-11-27/u-s-stock-index-futures-gain-after-report-on-imf-planning-loan-to-italy.html

Slideshow: Silicon Valley IPOs line up behind Groupon

http://www.bizjournals.com/sanjose/news/2011/10/28/slideshow-ipos-ready-to-perk-up-again.html

As we head into December with a healthy pending pipeline, there is much to be optimistic and excited about in the Bay Area for the coming New Year ahead.

Chris Trapani is an owner, founder and CEO of Sereno Group, the premier real estate firm in Silicon Valley. You can read more about him on his online profile (though the company is now up to about 160 agents and 5 years in existence!).

What do you need to know?  Here are the contest rules:

Absolutely No Carving!

Decorate your own small pumpkin, or pick up a complimentary pumpkin at one of our offices in Los Gatos, Saratoga, Soquel/Santa Cruz, Los Altos, or Palo Alto.

3 age groups: toddler, early elementary, late elementary

All contestants will receive a gift goodie bag

One grand prize per age group, per office, will be awarded

Any carved or punctured pumpkins will be disqualified due to rotting

All entries must be dropped off at your nearest Sereno Group Office by Friday, October 21st at 5pm. Judging will happen the week of October 24th during our regular real estate marketing meeting.

Where and when can you drop off a pumpkin?

Please find the office locations and hours below (Palo Alto, Saratoga, Los Gatos, Santa Cruz/Soquel – next year the Willow Glen office will be open too!). We are looking forward to seeing some wonderful kids’ creations!

A patron of Grapevine sits outside and enjoys "The Avenue."

Whether you choose to start your morning at a Starbuck’s or at Peet’s, or want to end your day with a glass of wine or a Margarita, Lincoln Avenue in downtown Willow Glen offers a bevy of gastronomical delights to satisfy everyone’s taste and budget. A walk down “The Avenue,” can be just what you need to satisfy your taste buds.

Soon to be the home of Sereno Group Willow Glen, our goal of Redefining Real Estate will be a lot more fun being in the heart of downtown and just walking distance from a host of “good eats.”

Starting at the corner of Lincoln Avenue and Willow Street, Bill’s Café is a long-time favorite of the breakfast crowd. The smell of good old fashioned pancakes and waffles, traditional bacon and eggs or the more fanciful Eggs Benedict draws you in like a moth to a flame. Bill’s serves up a healthy portion for a reasonable price. Just be ready for a short wait.

If you are in a bit more of a hurry, there are our old standards, Noah’s Bagels, Jamba Juice and Pete’s Coffee. Of course, Starbuck’s is not far away located at the other end of the avenue at Lincoln and Minnesota Avenues.

A cornerstone of the neighborhood is Willow Street Wood-Fired Pizza. With an excellent selection of entrees, pasta dishes, great salads and delicious thin crust pizza, Willow Street is a family favorite for lunch and dinner. I recently had the Grilled Salmon with Fresh Mango Salsa, which was done to perfection. Their daily specials are fresh, imaginative and mouth-watering.

Aqui Cal-Mex, serves a unique fusion of fresh, healthy and scrumptious California-Mexican wraps, salads and entrees. Aqui’s provides outdoor seating in their rear patio, which is heated during the cooler season. My wrap of choice is the Crisp Crabcake Wrap with chipotle dressing, jicama and organic spinach. You can enjoy your meal with a fresh Mango Margarita from the restaurant’s full service bar.

La Villa Deli & Gourmet Shop is famous for fresh home-made ravioli, cooked and cured meats, cheeses and Italian sweets. Many weekends the outdoor BBQ tempts you from blocks away with the aroma of grilling meats. This is a MUST shopping adventure when visiting The Avenue

Top rated Taiwan Restaurant specializes in Szechwan, Cantonese and Taiwan dishes. Taiwan has been a landmark of The Avenue for over 14 years. Pay attention to the little red “pepper” on the menu. When they say “hot,” they mean HOT!

John’s XLNT Foods, established in 1976 has been a longstanding family restaurant serving Greek, Italian and American comfort foods. Almost any weekend you can expect a line outside waiting for breakfast or lunch. The corn beef and hash is “best of show” on their menu.

New on the scene is Hay Market Willow Glen. Owner, Joe Cirone presents a menu focused on faire that is fresh, local, seasonal and organic. Seating is shared across three large communal tables, seating groups of 10 to 12. Good reviews so far. No reservations.

Opa Authentic Greek Cuisine prides themselves on affordable, fresh, homemade foods prepared daily in the homemade traditions. This location is small and seating is tight but the atmosphere is friendly. The braised lamb is always a good call and the smell of garlic fries fills the place, a personal favorite.

If you are looking for just one big, delicious slice of pizza then go no further than Pizza My Heart. Founded in 1981 near Capitola Beach, Pizza My Heart has an eclectic menu of meat and vegetarian pizzas and salads. Treat yourself to a slice of the chicken-bacon pizza, you will not regret it!

Wrap things up with a nice glass of wine at The Grapevine at the south end of Lincoln near Minnesota Avenue. This relaxing and inviting venue opened on the avenue about 6 years ago. They carry mostly California wines (about 75%), and seem to specializing in small production wines (5000 cases or less) at reasonable prices. Wine tasting events are scheduled and available on-line.

Next time you are having a cup of coffee, a glass of wine or a meal at any of the fantastic restaurants along “The Avenue,” take a look around and you might just see me at the table next to you.

Follow Nora Sandoval on Twitter, www.twitter.com/norasellshomes/ or read her blog www.sjrosegardenrealestate.com for real estate news and market updates.

These remarkable birds travel 39,000 miles from their breeding grounds in New Zealand and Chile. Taking advantage of prevailing winds along different parts of the migration route, the birds trace giant figure eights over the Pacific Basin.

The birds travel that distance in one season and stop little to eat on the way. They then feast on shrimp, krill and fish, often diving to 225 feet! Electronic tags have recorded birds diving to these depths to capture their prey. Average dive depth was about 14 meters (46 feet).

Sooty Shearwater fly 65,000 km (39,000 miles) in a roundtrip journey each year. It is the longest recorded animal migration.

These noisy birds fly by dipping from side to side on stiff wings with few wing beats, the wingtips almost touching the water. Its flight is powerful and direct, with wings held stiff and straight, giving the impression of a very small albatross. This shearwater is identifiable by its dark plumage which is responsible for its name. In poor viewing conditions it looks all black, but in good light it shows as dark chocolate-brown a silvery strip along the center of the underwing.

When a dense fog hung over the coast on August 18th, 1961,the birds got confused and followed the lights from Pleasure Point to Rio Del Mar. Residents woke up to dead and dazed birds all over the ground. The birds had disgorged their fishy feast so the whole neighborhood was pretty stinky!

At this time, famed movie director Alfred Hitchcock, occasional resident of Scotts Valley, was preparing to film Daphne du Maurier’s novel The Birds. He called the Santa Cruz Sentinel requesting a copy of the article about the invading birds!

So when you come to Santa Cruz beaches in May-June or early July, watch for the huge gathering of Sooty Shearwaters and the dolphins that join them in a fishy snack. It’s an amazing site to see them swirl in a side circle devouring a meal!

A video of their seaside residence: Sooty Shearwaters

For more information on Monterey Bay properties, Please contact Terry Ballantyne.

If a Silicon Valley condo, house or townhouse isn’t getting any offers, it’s important to take a hard look at the situation and see what’s happening.  Potential culprits could be neighborhood conditions (too many cars on the street, close proximity of high voltage power lines, neighbors who don’t keep up their yards – these things we cannot change but perhaps can only address via price), interior problems such as clutter, cooking odors or poor staging, structural issues, showing difficulties (sellers hanging around during showings, no lockbox, appointment only viewings, overly restrictive showing schedule);  geologic or natural hazard issues (being on a major earthquake fault zone or flood plain, having property or access which is scary or steep – these can’t be fixed, in most cases), bad feng shui or a myriad of other issues, some of which can be changed and some of which cannot. 

Ineffective or below par marketing  can be at fault sometimes.  The most common marketing error I see is bad photography or a lack of photos altogether.  A  low commission rate offered to the buyer’s agent may play a role in low showings too so scrutinize that also – this is also a marketing issue.  (I have a few times seen compensation offered to the buyer’s agent at $1 or just a little more – that won’t really entice a buyer’s agent to show the property.)  But please realize that even if an agent did all the marketing in the world, it won’t work if the price is wrong – so that must be on target for the marketing to be effective for San Jose, Los Gatos, Saratoga and Santa Clara County homes.

How serious is the problem?  We can understand it if we begin with some basic questions: 

1. Are there showings? Do cars pull up and drive by rather than having its occupants get out to see the property?  If they aren’t getting out of the car at all, we have a big problem!
2. Are there only a few showings?  We like to see 3-5 per week at least. If it’s fewer than that, we need to find out why and discover a way to boost the showings.
3. Are there enough showings but no offers? If that’s the case, pricing or condition or marketing is probably not too far off.  Perhaps only small tweaks are needed to get a market value offer!

If your home isn’t selling, it’s helpful to take in the feedback (assuming some has been provided), spend a great deal of time understanding current market conditions so you don’t over price, and make sure that the property has great marketing, access, and appeal.   Find out what’s scaring buyers off and if possible, correct that first. Sometimes it’s hard to hear negative feedback about your landscaping, decor, or whatever it may be (and please don’t shoot the messenger!) but working with a good real estate professional should be a little like working with other professionals on your team – they need to be able to tell you the truth, even if it’s not fun to hear.  Make sure you welcome the feedback!

Smoke detectors have been a part of our homes for many years and most of us hope never to need them.  The same applies to Carbon Monoxide detectors.  Because Carbon Monoxide is known as the “Silent “Killer” (it is odorless, colorless and tasteless), it  can catch its victims completely unaware.

The Center for Disease Control and Prevention reports that more than 400 people in the U.S. are killed annually from CO poisoning.  This represents the leading cause of accidental poisoning deaths in the U.S.  The majority of these occur in residential settings.

The new law requires the alarms must be installed outside each separate sleeping area in the immediate vicinity and on every level.  There are various types of alarms to choose from and depending if its new or existing homes will dictate the type to be used.

The options available are affordable, easy to install, and available at all hardware stores.  Please take 30 minutes out of your day to purchase and install your Carbon Monoxide Detector.  You will be able to rest easier knowing that you are protected.  Most, if not all, carbon monoxide poisoning cases are preventable.

To find out more specifics about detectors, the law and general information, please go to:  http://casafehomes.org/law.html.

As the saying goes, “An ounce of prevention is worth a pound of cure!”

To contact Mary Kay Groth, visit www.marykaygroth.com.