The National Trust Main Streets Center presented Downtown Livermore, Inc., of Livermore, California, with one of five 2009 Great American Main Street Awards (GAMSA) during its annual National Main Streets Conference in Chicago on March 2, 2009.

Downtown Livermore, Inc., an official Main Street community, has been working in partnership with the City of Livermore, local residents, property owners, the business community, and others in the city to spur reinvestment, support historic preservation, maintain a high quality of life, and grow the local economy.

The GAMSAs recognize exceptional accomplishments in revitalizing America’s historic and traditional Main Street commercial districts. Since the organization’s inception in 1986, Livermore has benefited from a $12.5 million road improvement and beautification project, gained 974 net new jobs, and 194 net new businesses; rehabilitated 82 buildings, constructed 12 new buildings, seen the commercial property vacancies drop from 26% to 9%, and experienced $55 million in public investment and $112 million in private investment. Downtown Livermore, Inc., has been using the National Trust for Historic Preservation’s Main Street Four-Point Approach, a comprehensive preservation-based economic revitalization strategy.

The five winners receive national recognition for their excellence, a bronze plaque, and certificate commemorating the award, and GAMSA road signs as entrance markers to their award-winning commercial districts.

The four other GAMSA recipients include Federal Hill Main Streets in Baltimore; El Dorado Main Street in Arkansas; On Broadway, Inc., in Green Bay, Wisconsin; and Rehoboth Beach Main Street, Inc., in Delaware. (Source: The Independent)

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March 2009 Market Update - What’s Happening with Statewide Home Prices and How is that Impacting Pleasanton?

Recent events in the economy and financial system have undoubtedly contributed to a steep decline in statewide home prices in recent months, both directly and through weakened consumer confidence.

The state wide median home price declined to $254,350 from $281,180 just one month earlier and from $427,200 a year ago. These numbers reflect a 9.5 percent month-to-month decrease and a 40.5 percent year-to-year decrease. The year-to-year decline has been in the range of 40 percent for the past seven months, beginning in July 2008.

Large decreases in the median home price have also been the result of a dramatic change in the mix of homes for sale since the onset of the credit/liquidity crunch and the increase in the share of distressed sales.

In August 2007 — just prior to the beginning of the credit crunch — the under $500,000 price range accounted for 43 percent of sales, the middle segment ($500,000 to $1 million) made up about 42 percent, and the over $1 million segment captured 15 percent of the market. In January 2009, the shares had shifted to 85 percent, 12 percent, and 3 percent, respectively. Along with the growth in market share, the under $500,000 price range also has experienced greater price declines than other market segments due to the large share of distressed homes for sale in these markets. This further contributed to the decline in the statewide median.

At the local level here are the latest statistics for Real Estate Activity:

February 2009 ended with 233 homes on the market and 25 sales reported in the multiple listing service.  At the current rate of sales, our current level of inventory would take approximately 10 months to sell through.

Take a look at the breakdown of distress sales:

Here’s a closer look at the breakdown of prices which provides a better idea of what is really selling:

As part of the recently passed state budget, California is providing a $10,000 tax credit to some buyers of new, previously unoccupied home purchases.

The $10,000 Tax Credit applies to purchasers of a newly constructed home in the State of California.  The bill is called SB 15. There are conditions to receive this tax credit, some of which are still being worked out.

Here are the details:

1. The tax credit is good for 5% of the value of the newly constructed home, up to $10,000. That would mean any home priced over $200,000 would qualify for the full credit.

2. The tax credit will be available between March 1, 2009 and February 28, 2010, or when the funding authority runs out. The Legislature has earmarked $100 million for this credit, available on a first come first serve basis. This translates into 10,000 new home sales. It is unclear at this point whether  the tax credit will be based on when the contract for sale is written or when the escrow is closed for the purchase.

3. The tax credit will be allocated by the Franchise Tax Board and will be available to new home buyers over a three year period. Roughly one third of the tax credit($3,333) will be available each year, applicable toward state income tax return.

4. The new home purchaser must live in the home for at least two years.

5. There are no income limitations for the purchaser.

6. There is no “first time buyer” restriction.

7. There is no repayment requirement (unless the purchaser sells or rents out the home before two years have past from the close of escrow).

This tax credit could bring a real boost in new home sales which have been hit very hard by the shifting real estate market and the current economic climate.