Comments for Walnut Creek Real Estate

Comment on Bay Area Home Sales Decline Again by T

Fri, 18 Apr 2008 18:24:58 +0000

The wife WAS deeply offended. It took her a few hours to accept that we were better off taking the haircut than risking the house sitting on the market for a few more weeks at the risk of a further price adjustment. I’m toast if I’m wrong ;-). Or if for some unexplained reason houses in westside Danville (our target area) are immune to the bust. Sellers in Danville seem not to be acknowleging the increases and price cuts in inventory on the eastside or out towards Wendt/Windemere.

Comment on Bay Area Home Sales Decline Again by wcrealestate

wcrealestate — Fri, 18 Apr 2008 15:25:45 +0000

Congrats T! It goes to show that a savvy seller can unload a property in this market. Too many still chase that elusive ‘paper value’ in 2006, or even get offended by having to actually take a haircut off asking. Nice job and I look forward to jumping into the market with you in the next 6-18 months!

Comment on Bay Area Home Sales Decline Again by T

Fri, 18 Apr 2008 15:06:19 +0000

Just sold my ~$1.1m home in the Lafayette area. A 3% haircut on asking, 15% below the peak in 2006. Buyers are thin, and mostly corporate transfers or people who’ve had cash windfalls of some sort. Almost no move-up buyers, and I think as a consequence almost nothing is moving - at least not as fast as inventory is increasing. Everybody who is actually selling is taking 3-5% off their asking price to unload. People who are overpriced seem to be chasing the bottom in belated steps, constantly one step behind buyer’s declining sense of value. I feel lucky to get out - expect my home to be in the $900’s by this summer. I’m gonna sit out for 6mos to 1yr before buying something new.

Comment on Lies, damn lies and statistics by T

Mon, 07 Apr 2008 19:11:28 +0000

I think we are priced right… and the supply in this price range is limited… we’ll see. I don’t NEED to sell, so that takes some of the pressure off.

Even if prices stay flat, I’ll have the advantage of a no-contingent offer. It will indeed suck if rates rise, but I’m presuming that won’t happen until after the election at least. Though I’m also hoping/betting that the spreads on jumbos will come down from the 150 bps over conforming too.

Comment on Lies, damn lies and statistics by wcrealestate

wcrealestate — Mon, 07 Apr 2008 17:55:54 +0000

I think you’ve got the right idea. There’s going to be a seasonal rally and many a buyer will simply say they “must” buy this year and won’t wait. So, I think you’ll find a market if you’re pricing it well.

A recent listing in Walnut Creek’s Diablo Shadow neighborhood went on the market at $750K - which was a very attractive price for the area. The result? It sold in the first weekend.

I still think it was overpriced, but there were 4+ offers, showing that there is demand, particularly for what is perceived as value in this market.

Worst case scenario is that the prices remain the same and interest rates rise slightly. I personally think we’ll see another price drop in late Fall after the seasonal flurry of activity and that rates will be essentially unchanged in the face of a flagging housing market.

Comment on Lies, damn lies and statistics by T

Mon, 07 Apr 2008 17:29:30 +0000

I just listed my house in Lafayette, hoping to sell into the pent up winter demand and supposed bottom fishers. I expect something of a bear market rally this spring - but the trend is still decidedly negative. I’m going to sit on the cash for 6-18 months while inventory hopefully rises and prices drop further. Don’t want to wait too long, lest interest rates get cranked up again.

Comment on California Home Prices Declining $400 A DAY by wcrealestate

wcrealestate — Thu, 27 Mar 2008 23:42:43 +0000

You’re right. Lots of folks weren’t asking why prices were going UP $500 A DAY for a couple of years! No one should be surprised but … lo and behold, many are.

Comment on California Home Prices Declining $400 A DAY by Maynard Farmer

Maynard Farmer — Thu, 27 Mar 2008 23:34:34 +0000

The real question is how much longer will this decline continue?

Well at $400 per day They should fall for about another 225 days or so THEN AND ONLY THEN WILL they even slow down ……
When prices went up by $3000 per week did’nt hear anyone cryin’ just cashin those commission checks…… hope you saved some of the $$$$$
I saved mine …knew this day would come when it all started told all my friends and others too they thought I was crazy kind of feel like a prophet now

Comment on California Home Prices Declining $400 A DAY by wcrealestate

wcrealestate — Thu, 27 Mar 2008 22:21:30 +0000

Yes, lots of sellers who haven’t grasped the reality and … buyers who don’t care or simply take it as a fact they have to overpay are helping stave off the reality for just a little longer.

Realtors are clearly taking every sale which was at asking price and pointing to it as a ’sign’ that things are turning around. Yet, the reality is that there’s more inventory, fewer buyers and ever tightening credit.

Agreed that I’d pay a little more for a home I really felt was worth it but … I haven’t found it. Or I haven’t found the one I’d pay ‘a little more’ for, only those that I’d be forced to pay a lot more for - which just isn’t something I’m willing to do

But … I think there are many buyers who will continue to overpay. Let’s hope one (or more!) find your listing.

Comment on California Home Prices Declining $400 A DAY by T

Thu, 27 Mar 2008 21:59:37 +0000

Looking at houses, there are LOTS and LOTS of sellers who don’t seem clued in yet to the reality of the market. Sometimes those houses are sitting on the market, and sometimes they get lucky with a buyer who is either unaware or doesn’t care. I mean, I’m willing to overpay a little bit too, if its a house I really want and plan to stay in.

Personally, I’m hoping for one of those buyers to overpay for my house ;-). I want to sell while the market hasn’t fully absorbed the new reality.