New Homes Gaining Traction

With the difficulty of getting buyers into resale homes, I now have two clients who swore they didn't want a new home, about to be in contract on a new home. The prices are definitely higher than resale, but it's a new home.

So if you thought there was no way you'd do a new home, maybe give it a thought. But take your Realtor with you on your first visit or else they are unable to help you. It's just one of the new home sale quirks.

Fall Pool Party and Open House Sunday

There's still some nice weather to be had for a pool party!

Welcome to this newly listed and mint condition home at 3237 Hornby Island Street in West Sacramento's Southport neighborhood. This Sunday from 11-2 there will be an open house to view this fabulous property,which features 2,772 square feet, 4 bedrooms, 3 full baths, a spacious loft and lots of upgrades from stone counters, wood floors, crown molding, patio cover, master bedroom balcony, downstair bedroom, and much, much more.

For property specifics, visit: http://3237hornbyislandst.blucb.com/

Put in Pool Fence before Moving In

Today in the Sacrament Bee was a very tragic story about a father and son who drowned in the pool of a home the family had lived in only weeks. Neither the father nor the 2-year-old son could swim. The father drowned trying to save his son. It's such a senseless tragedy that could have been prevented by a pool fence.

My heart goes out the mom/widow and their family.

Visit Hawaii in Sac Saturday

As the weather starts to change, add a little aloha to your Saturday by visiting the Sacramento Aloha Festival from 10am to 6pm. It's free, just pay $10 for parking.

For more info, visit: http://www.sacalohafest.org/

Only 57 Homes for Sale in Livermore

I just had a friend email me who was on Realtor.com and it showed only 57 homes for sale in all of Livermore. He wanted to know if it was accurate. I told him, yes, it's likely accurate as the low inventory issue seems to be plaguing not only the Sacramento Region, but also the Bay Area.

At some point, something's gotta give. I hope! More people need to finally get off the fence and list their home. It's a perfect storm to sell -- get a good price for your home and still buy something affordable. Unfortunately, until a significant number of homes are for sale, those selling will have a hard time finding a home to move to.

OMG! 89 Offers on One House

I thought the market was crazy last week when I told buyers to up the ante on their offers. During our weekly office meeting this week, one agent wrote an offer on a property in Elk Grove listed for $140K. The listing agent told her she had 89 offers on the home. Holy offers, Batman!

I thought competing with 20-30+ offers was bad, but with 89 offers, buyers don't have a chance. I've tried to keep a positive attitude with my buyers with the mantra that, "somebody has to get the house, why not you!" That means there are still 88 buyers at that price point who still don't have a house. Bummer.

Deadline to Register to Vote

If you're not registered to vote, the deadline is October 22.  This year you will not be able to register on election day.

To register online to vote in California, visit Rock the Vote:
https://register2.rockthevote.com

Buyers Need to Get Serious with Offers

The market has once again changed how buyers who need a loan need to write an offer to get into contract. In Sacramento County we have less than 1 month supply of inventory. Many properties are getting upwards of 30 offers -- no exaggeration. This is unprecedented even in the hey day of the boom of 2005. A healthy market has an inventory of 3 to 6 months. To say this is a seller's market is an extreme understatement.

The typical buyer/seller fees and contingencies are out the door if a buyer wants their offer accepted. It takes the typical buyer a few rejected offers to finally be willing to write a strong offer -- especially a first-time buyer.

Here are some tips for getting an offer to even have a chance of being accepted:

1) Offer a purchase price that is your highest and best; don't  hem and haw over $5K, just do it as it doesn't make that much difference in your mortgage
2) Increase the earnest money deposit well over the typical 1% to 2-3% or more
3) Ask for nothing -- no home warranty, no pool table, no chandelier that was explicitly stated in the listing doesn't stay
4) Pay for everything -- escrow, title policy, transfer taxes
5) If possible, make the offer non-contingent on the appraised value

I know all this seems like lunacy, and it is; however, it's the only way to even have a chance at this market with very little inventory and not buying with cash.

Tips for Lowering Your Property Taxes

Great article from the Mercury News on how to get your property taxes lowered:
http://www.mercurynews.com/real-estate/ci_19829800

Help for Unemployed Homeowners

Fannie and Freddie are looking to give some assistance with delayed foreclosure for distressed homeowners, among other help.

For more info: http://www.nytimes.com/2012/01/22/realestate/mortgages-a-reprieve-for-unemployed-borrowers.html?_r=2&ref=realestate

Chase and Wells Fargo to Shorten Foreclosure Timelines

This is important info if you have a distressed loan with Chase or Wells Fargo.

For more info: http://realtormag.realtor.org/daily-news/2012/01/24/2-big-banks-slash-foreclosure-sale-timelines&WT.cg_n=RMO&WT.cg_s=RSSDaily?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+DailyRealEstateNews+%28Daily+Real+Estate+News%29&utm_content=FeedBurner

So Many Buyers So Little Homes

If you're a buyer, it's tough out there. If you're a seller and your home is priced right, you will receive multiple offers over asking price. We have 1.8 months of inventory, which is a sellers market. This means it would take only 1.8 months to sell everything listed for sale if nothing else came on the market. A neutral market for both buyers and sellers is between 3 and 6 months of inventory. Our inventory goes down each month.

This doesn't mean buyers aren't getting homes, they are. But, it's a bit of a challenge. If you're a buyer, be patient -- your house is out there.