What We're Hearing

Home prices are beginning to firm up in the San Diego area. According to MDA DataQuick, in July the median home price in San Diego was $320,000 compared to $280,000 in January at was presumably the height of the recession. However, in July a year ago the median price was $364,000. (In 2005 the median price was $520,000.) Despite the recent rise in prices, analysts are hardly expecting a return to rapid price appreciation. Negatives hanging over the market: high unemployment in the state, rising mortgage rates and as I keep mentioning, an end to hefty state and federal tax credits for homebuyers. Meanwhile, in this past weekend's column I forgot to mention that GMAC (through its Ally Bank affiliate) is beginning to ramp up its warehouse lending unit. Back during the boom years of mortgage banking, GMAC/RFC had commitments north of $18 billion -- $2 billion of which was multifamily-related . Will it ever see those volumes again? Certainly, the need is there...