MEDIAN HOME PRICE FALLS BUT HIGH-END HOMES ARE STILL SELLING

While it may be good news to hear that the median home price for a single-family residence in Santa Cruz County dropped by 2% to $760,000 in May, the truth is that this price is still not affordable for most first-time buyers. Compounding the problem is the fact that an increase in foreclosures has led to no-income-verification, no-down payment mortgage options being "taken off the shelves."

Those who have the money "to pay cash or leverage their existing properties" are still in the game in Santa Cruz County, however. According to Gary Gangnes of Real Options Realty, 27 homes sold for more than $1 million in May and 6 of those sold for more than $2 million.

While the dip in median home price seems too little for those who need a mortgage, the news shines a ray of hope in unexpected places. According to Jondi Gumz of the Santa Cruz Sentinel, UCSC welcomes the price drop as it finds its junior faculty leaving town for more affordable housing. Faye Crosby, the chair of UCSC's academic senate, says the new median is great news for the university's recruiting efforts.

To read Jondi Gumz' article in its entirety and to see market statistics for Santa Cruz County for the month of May, go to Median Home Price Dips to $760,000.

SCAM WARNING: "DEED" MAILERS

District attorney: Discard deed mailers

By Jennifer Squires, Sentinel staff writer

The District Attorney's Office is advising homeowners that a rash of mailings to county residents this week offering deeds at a price is not a government-sanctioned solicitation.

The mailers, sent by the Washington, D.C.-based National Deed Service, offer homeowners a chance to buy copies of their property deeds for $59.50. The solicitation is not illegal, but could be deceptive, said Robin Gysin, the consumer affairs coordinator at the District Attorney's Office, adding the company is not affiliated with any governmental agency.

A property deed is the document that transfers ownership in a real estate transaction. Gysin suggests people who receive the mailer simply throw it away. "I'd probably rip it up or shred it," Gysin said.

Gysin said 15-20 people have contacted her this week reporting the mailing. None of them sent the company any money, she said. "I actually got one at home. They sent one to my house," Gysin said. The mailers have been reported across the country.

The company has collected property title information from the county Recorder's Office, which has all recorded documents on file. However, anyone can obtain copies of the documents at any time for about $12 at the county Recorder's Office and it's unnecessary to pay someone else for the information, according to the District Attorney's Office.

Gysin warned county residents to be wary of solicitations that arrive in the mail and asked they call her office at 454-2050 with questions.

Contact Jennifer Squires at mailto:jsquires@santacruzsentinel.com?subject=District.

HOPEFUL FED WON'T CUT RATES

The Dow Jones fell more than 80 points on June 5th after a widespread realization that there is "almost no chance" that the Fed will cut interest rates by the end of the year.

The Fed chairman, Ben Bernanke, said "that the Fed expected the economy to pull out of its current funk and weather the slowdown in the housing market."

While investors have recently been expecting a rate cut by the end of the year, leading economists are noting that the slowly strengthening economy gives the Fed little reason to buffer against "a worse-than-expected slowdown" for now.

To read Jeremy Peters' article in its entirety, go to Fed Dims Hopes For A Rate Cut

5th ANNUAL BONNY DOON ART & WINE FESTIVAL @ THE BONNY DOON AIRPORT, THIS SATURDAY!

Saturday, June 2 1:00 PM to 4:30 PM

The Bonny Doon Community School Foundation invites you to the 5th Annual

Bonny Doon Art & Wine Festival

Proudly sponsored by:

State Farm Agent, Aleene Althouse;

Farmer's Insurance Agent Doug Banks;

Tristar Home Loan Services, Inc. Stacy Theilen

New location!!! Bonny Doon Airport Gardens

8647 Empire Grade

Plenty of free on-site parking

Enjoy wine tasting from dozens of our world class local wineries,

live entertainment, delicious appetizers and non-alcohol beverages,

live and silent auctions with amazing items!

Renowned Local Artist, Joao de Brito is featured this year and will be there to discuss his work

Other local artists whose work will be available at auction include:

Mattie Leeds * Therese Basinger * Janet Lever-Wood * Musi * Kate Nolan

Advance Tickets are $25 before May 28th, $35 at the gate

Includes souvenir wine glass. Ticketing is limited, so order tickets now.

School age childcare is available for a nominal fee at BD Elementary, but you need to sign up.

All proceeds benefit the Bonny Doon Community School Foundation which supports the Bonny Doon School through special program funding.

Send check with attendee name, phone and address to:

BDCSF, PO Box 8089, Santa Cruz, CA 95061

Or call 831-457-8098 for credit card purchase or more info.