The real estate frenzy of multiple offers in the Sacramento Region is back, just as it was at the height of the market a few years, only now it's at the opposite end of the spectrum. We have plenty of inventory; however, the homes priced really well are getting multiple offers the first day on the market.
I was out showing homes in Elk Grove in the $210-240k range. There are a lot of buyers in this price range. After looking at several homes last weekend that all had multiple offers on them, I told this particular client that we needed to jump on a home the day it came on the market. So that's what we were doing, but we weren't alone. The first house we went to, which was new on the market that day, had buyers inside the house, we were next and as we were waiting, more buyers showed up. That house was pending by the next morning. Same thing happened at the second house we went to, which was also new on the market that day.
The days of waiting a few days to weeks to make an offer on a home -- that is priced well -- are over. Homes are flying off the shelf. I'm not sure if we're at the bottom of the market yet, but if you're on the fence, now is the time to get off.
Showing posts with label home sales. Show all posts
Showing posts with label home sales. Show all posts
Thursday, April 17, 2008
Thursday, March 20, 2008
Today's Housing Market is Different From Tomorrow's
And by tomorrow, I literally mean Friday, today is Thursday. This was brought to my attention so clearly today while I was researching the potential value of a plot of land in Nevada for a client. The real estate agent I spoke to said, "I will call you back with a rough of estimate of what it's worth today, NOT TOMORROW." I truly understood where she was coming from.
This market is changing faster than I can blog about how much it's changing. What was a competitive price on Tuesday is increasingly much different by the weekend. It's crazy, but also a bit fun to watch all this happen daily. Before the fall of 2005, you could price a home a bit higher than the last comparative home sold and be safe and probably get multiple offers. Today, you try and price it a bit lower than the last comp. But sometimes that doesn't even work. There's where the fun lies. As Realtors our job requires much more of a pulse on the market than in the previous few years. A Realtor needs to be extremely informed and technically savvy to survive in this market. Of course . . . this could all change tomorrow.
This market is changing faster than I can blog about how much it's changing. What was a competitive price on Tuesday is increasingly much different by the weekend. It's crazy, but also a bit fun to watch all this happen daily. Before the fall of 2005, you could price a home a bit higher than the last comparative home sold and be safe and probably get multiple offers. Today, you try and price it a bit lower than the last comp. But sometimes that doesn't even work. There's where the fun lies. As Realtors our job requires much more of a pulse on the market than in the previous few years. A Realtor needs to be extremely informed and technically savvy to survive in this market. Of course . . . this could all change tomorrow.
Saturday, March 1, 2008
Selling Your Home in a Buyer's Market
With all the negative press geared toward home sellers in the Sacramento Region, it's amazing anyone who doesn't have to absolutely sell would even think of putting their home up for sale. However, if you have some equity and are looking to move up into a bigger home, better neighborhood, etc., then it's an excellent time to sell. Yes, you will likely take it in the shorts when you sell your home; however, chances are you will more than make up for it in your new home.
One stumbling block home sellers have is whatever the highest price they could have ever received for their home at one time (probably over two years ago). This price is stuck in their mind that they have lost that much money on their home. If you bought your home 5 years ago, you probably have not lost money. Say in 2003, you paid $200K for your house and in the fall of 2005 your neighbors sold their home for $380K. Now your home is worth $280K. You have actual equity of $80K, not a loss of $180K. Those buyers who actually bought at the height of the market around the fall of 2005, have lost real dollars. My husband and I happen to be one of those buyers, we are $160K in the red; however, we plan to be in our home for many more years since our home represents our quality of life in a neighborhood we enjoy and not a day trader stock.
It's a great time to buy. Home prices are so affordable -- for many people. Home buyers are buying homes they thought they could never afford. So, if you want that move up home or better school district, go for it and put your home up for sale at a great price. You might be surprised.
One stumbling block home sellers have is whatever the highest price they could have ever received for their home at one time (probably over two years ago). This price is stuck in their mind that they have lost that much money on their home. If you bought your home 5 years ago, you probably have not lost money. Say in 2003, you paid $200K for your house and in the fall of 2005 your neighbors sold their home for $380K. Now your home is worth $280K. You have actual equity of $80K, not a loss of $180K. Those buyers who actually bought at the height of the market around the fall of 2005, have lost real dollars. My husband and I happen to be one of those buyers, we are $160K in the red; however, we plan to be in our home for many more years since our home represents our quality of life in a neighborhood we enjoy and not a day trader stock.
It's a great time to buy. Home prices are so affordable -- for many people. Home buyers are buying homes they thought they could never afford. So, if you want that move up home or better school district, go for it and put your home up for sale at a great price. You might be surprised.
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