Mostly Real Estate

Multiple Offers…Attractive Pricing

johnjuarez — Wed, 19 Nov 2008 18:58:43 +0000

An agent friend was recently involved in the sale of a foreclosed house. She was the listing agent. The house is in a newer neighborhood of San Ramon, Ca. surrounded by many houses that have been built within the last few years. The house was built in 2006, sold and resold in 2007 for $870,000. Unfortunately, the owner lost the house to foreclosure.

Given the difficult real estate market in which we find ourselves, the listing agent and the lender agreed that the best way to differentiate this house from many of the REO properties on the market and to find a buyer for this foreclosure that the bank wanted off it books was to put an attractive price on it. The house was listed for $544,900. The house was in decent shape, the neighborhood is desirable and the price was very attractive. An open house attracted a very large number of shoppers. (I was told 300 attended, perhaps an exaggeration, but half that number would still be amazing.)

Over 50 offers were submitted. The final sales price was $610,000…well over the asking price but a substantial discount from the market high of the past.

Our expectation is that houses will sell for less that they would have a couple of years ago…that is a given. But lower and spectacularly lower are hard terms to quantify. In other words, at what price does real estate become a bargain…even in today’s market? Do you think that the buyer of this house will look back five or ten years from now and say, “Wow! I really made a great deal on the purchase of my house.” I think so.

I also think that there are numerous other bargains to be had in today’s market. If you find the house you like, in the neighborhood in which you want to live, at a price that looks good, don’t wait for prices to go down even more. You will just watch someone else buy the house you wanted. You don’t know where the bottom of the market is. You do not know when it will go up. No one does. We will not know the market has turned up until after the fact. But if you buy now and hold the property for a few years, I believe that you will be glad.

Whether it is San Ramon, Fremont, Pleasanton, Newark, Union City, Dublin, Hayward or real estate in any of the cities surrounding those areas, I would be delighted to help you.

Great Neighborhood…Wonderful Memories

johnjuarez — Sun, 02 Nov 2008 00:25:56 +0000

I read a blog entry by Mary Pope-Handy, a REALTOR with Keller Williams Realty in Cupertino, about a Los Gatos neighborhood that stirred many memories! Mary wrote about Los Gatos neighborhood that she characterized as “one of the most sought-after areas among first time Los Gatos homebuyers”…Blossom Hill Manor.

I remember well the joy of living in Blossom Hill Manor. My parents bought there when the development was new. My dad grew up in Los Gatos and was delighted when he and mom sold their San Jose home, the first one they owned after he returned from WW II, and bought the house on Longwood Drive. I even remember the address,but I will keep that to myself. I enjoy driving by there from time to time and reminiscing since I now live in the East Bay.

As I recall, the house was 2 bedrooms and 1 bath. Living/dining room combination. Kitchen with its own dining area leading to the laundry room which had two doors leading outside. Two car detached garage with a breezeway connecting to the house.

I can remember riding my bike to downtown Los Gatos to go to school (I went to St. Mary’s) or to buy comic books or enjoy a chocolate Coke at the Corner Drug store. As I grew into high school age, we walked to town because we were too cool up to be caught riding bicycles!

Of course, that was a long time ago but I still have great memories from that house, the neighborhood and my friends in that neighborhood.

Mary points out that one of the magnets for buyers in the Blossom Hill Manner, and greater Los Gatos area, is the quality of the schools.

If great schools is near the top of your list of requirements for a new house but your price point is below what is required to buy in Los Gatos, call me and let’s talk about Fremont and its excellent Mission San Jose High school attendance area in the Fremont Unified School District. The schools in Fremont’s Mission San Jose attendance area are ranked amoung the highest performing schools in the state of California. Real estate values are always enhanced by desirable schools and Fremont has them.

Economic Update at Real Estate Meeting

johnjuarez — Thu, 23 Oct 2008 18:01:28 +0000

Last Wednesday, Oct. 16^th, at the California Association of REALTORS State Meeting in Long Beach, CAR Chief Economist, Leslie Appleton-Young, released her “2009 Housing Market Forecast”. I was there. It is always worthwhile to hear Leslie speak. She is well regarded and well respected in the field of economics. The event was covered by the local press and here is a link to the article in the Los Angeles Times. Quick highlights:

home prices in most areas of California will continue to decline next year, while the volume of sales of existing homes will continue to rise.
median homes prices will have declined 31.7% from 2007 to 2008 and will decline an additional 6% in 2009 the economy will be weak throughout the next three quarters before we begin to see a turnaround in the second half of 2009
home prices and favorable interest rates in 2009 will contribute to gains in affordability
it is imperative that credit be available for home buyers

So…real estate prices will continue down…interest rates will be good…financing is the wild card. Given the attractive prices of houses in many neighborhoods that were previously unaffordable, sales will be strong…but at lower prices. If you have been stymied in attempts to buy a house up to this point, this is good news for you. Long-term ownership of your home has been and will continue to be the best way to build your personal assets. If you are thinking of buying a house, the time is right, and will continue to be so for some time to come. I help buyers and sellers of homes in Fremont, Pleasanton, Newark, Livermore, Union City, Hayward, Dublin, San Leandro, San Lorenzo and the surrounding areas. If you are thinking or buying (or selling), give me a call. This is a great time to be a buyer. If the circumstances are right, it could be a great time for you to be seller. Let’s talk and explore the possibilities.

MAYBE I WILL CLOSE A SHORT SALE…

johnjuarez — Fri, 17 Oct 2008 21:41:12 +0000

I wrote an offer on a property that is a short sale. Now short sales are not a REALTOR’s dream transactions—nightmare, maybe—but there was a compelling reason to write the offer for these clients.

They are renters. A while back, their landlord stopped making payments on the mortgage for the house they are renting. Sooner or later the bank is going to foreclose on the house. The landlord/owner decided to list the house for sale…a short sale. In case you are not familiar with short sales, click here.

They really like the house. They have acquired two large dogs since they moved in. If they have to move, they will find it difficult to secure another rental where their dogs will be welcome. They like the neighborhood. Where they now live affords a convenient commute to their jobs. If someone else buys the house, they will have to move. If the bank forecloses, the bank will have to evict them and then put the house on the market. It would make more sense if the bank would simply sell the house to the tenants (which is what we are trying to do with the short sale) but banks don’t want to be landlords so they will evict the tenants if the house goes to foreclosure even though the tenants want to buy the house.

The offer was written the last week of August. The listing agent tells me that we should get a response from the bank in the next week or so, but I know that she is just guessing. We shall see. We are keeping our fingers crossed.

Stay tuned.

YOUR HOME—PERHAPS THE BIGGEST INVESTMENT YOU WILL EVER MAKE

johnjuarez — Wed, 08 Oct 2008 00:34:45 +0000

I was sitting at an Open House. A prospective buyer came in. She looked around. She asked some questions about the house. She liked the school district in which the house is located. She guessed that the high school is within walking distance of the house. Then she told me that it was her sister who is looking for a house. She asked when the house would be open again so that her sister could see it. I told her we could arrange an appointment for her to see the house. She asked if her agent could arrange an appointment. “Of course,” I told her. “That is the agent’s job. That’s what we get paid for. The agent needs to see the house if the agent is going to write an offer,” I said.

She shrugged her shoulders and said, “Some agents don’t work so hard.” I told her she should get an agent that does work hard.

On her way out she said, over her shoulder, as if it was an afterthought, “But, we want cheap,” and she was gone.

So…if you are thinking of taking advantage of this great buyers’ market by buying in the areas in which I work—Fremont, Pleasanton, San Leandro, Newark, Livermore, Union City, Dublin, Hayward, and San Lorenzo—give me a call. Or if you have a home in one of those areas that you want to sell, give me a call.

But if you are looking for “cheap”, don’t bother. Helping buyers and sellers with their real estate needs is my full time profession. I work hard and I expect to get paid properly. Yes, “you get what you pay for” is an old, tired phase, but it is still true.

All Work and No Play, Even in Real Estate, Makes John Crazy…so, a Weekend Off

johnjuarez — Fri, 18 Jul 2008 22:26:55 +0000

I didn’t work last weekend. While the good old cell phone is always a tether to work and my clients, it was the only connection to my real estate business last weekend. Instead, it was a family weekend.

On Saturday, we went to the 50th wedding anniversary of a cousin. We drove 3 hours to get to where he and his wife live in order to attend a surprise party for them. I don’t see them very often so it was a privilege to join them on their special occasion.

We spent the night in a hotel and drove home the next day in time to see my son-in-law complete his 100 mile bicycle ride in the Lance Armstrong “Livestrong Challenge” in San Jose. While we were waiting at the finish line for Scott to finish, we watched others cross the finish line. Many of them were cancer survivors. It was a thrill to see them and share their enthusiasm for breaking through an imposing barrier—the all day bike ride—and raise money for the fight against cancer at the same time. We are proud that Scott took part in the Livestrong Challenge. We supported him with a donation and with our hearts.

It was good to be with family for the whole weekend.

Ask a Homeowner…Was It a Good Decision?

johnjuarez — Mon, 30 Jun 2008 15:00:08 +0000

I have a questi0n for you. Ask around for the answer. It may be revealing.

Do you know any homeowner who has owned their home for ten years or more who says that buying was a mistake? I suspect that the answer is ’no’. I suspect that they will say that they are glad that they bought when they did.

How about someone who has owned their home for five years or more? I think you will get the same answer from most homeowners. If they have any regret, it is that they did not buy sooner.

Why??? Because their houses are worth more than when they bought them. In addition, they have had the tax advantages that come with home ownership. They have not been wasting their money on rent…also known as paying someone else’s mortgage. And, very importantly, they are HOMEOWNERS with all of the pride and psycological benefits that come with homeownership.

So, five or ten years from now, what will you be saying? Will you be saying, “Buying was a huge and difficult decision, but the best thing that I have ever done”. Or will you be saying, “I wish I bought back in 2008 when prices were lower. I can’t afford today’s home prices”?

Do not miss this exceptional buying opportunity! Call your REALTOR and get approved by a lender today!

Or call me for your real estate needs in Fremont, Pleasanton, Newark, Livermore, San Leandro, Union City, San Lorenzo, Hayward and nearby cities. What are you waiting for?

Change in Address for the Lincoln Highway Scooter Trip Blog

johnjuarez — Sat, 28 Jun 2008 19:03:48 +0000

For those of your who had any interest in my friend’s trek across America on a Piaggio MP500 3-wheel motorscooter, his blog address has changed. To to www.piaggiousa.comto find it. Click on the big picture and you will be taken to the blog. They are currently motoring across Nebraska on the effort to follow the Lincoln Highway from San Francisco to New York. This is being done by this is being done by two guys, 71 and 72 years old! What a great adventure.

On the other hand, if you want to stay at home and buy a real estate in Fremont, Newark, Pleasanton, Livermore, Hayward, Union City, San Lorenzo, San Leandro or nearby cities give me a call.

Lincoln Highway by Scooter…not about real estate, but just about fun!!!

johnjuarez — Sat, 07 Jun 2008 06:20:29 +0000

Now for a change of pace After all, its Mostly Real Estatewhich means that this is not all about real estate. The following is not about real estate.
I have a friend who is leaving in about a week for a trip across the country on the Lincoln Highway. Chances are good that you dont know anything about the Lincoln Highway. Where does it start? Where does it end? What cities and states does it traverse? The short answer is that the Lincoln Highway connects San Francisco with New York. I will let you check the details on the Lincoln Highway website or the Lincoln Highway Association website because my interest is in the riders and their conveyances, not the highway.
The riders are 71 year-old Buddy, who will fly out from his home in the Town of Lewisboro, New York, and 72 year-old Bob from Fremont, Ca.
Their conveyances are Piaggio MP3 500 Scooters! Here is a description of the scooter from their blog.
What a great adventure!
Read their blog to get the background on the Piaggio support for the trip, information about the route, and a running report on their adventures. I cant go with them but I will be there vicariously. In another life, I would love to be with them on the tripnot the one watching. Good for them. I am jealous, but delighted for them. Heres wishing Bob and Buddy a safe, fun-filled trip.

List, Offer Received, Pending—In One Day

johnjuarez — Thu, 05 Jun 2008 00:10:23 +0000

I am working with a couple who wants to buy a house. Not a townhouse or condo. They have two dogs—pretty good sized dogs—and the dogs need room to run around a bit.

Problem is that the amount for which this couple is qualified by a quality lender severely limits their ability to purchase most single family detached homes in the high-priced San Francisco Bay Area where we live. What they qualify for is probably going to be an REO (bank owned house, foreclosure) or short sale property (almost an REO).

With that in mind, I showed them an REO property the other day. It was a new listing. I got it off the MLS one day and we saw it the next. It seemed like a lot of house for the money. Although it was shown as having 3 bedroooms on the MLS, it actually has 4 bedrooms. Also, 3 baths. Living area is a little over 2,300 sq. ft. Good size yard. It has some drawbacks. It is on a busy street, the neighborhood is not the most attractive, the house needs new carpet and paint. The built-in dishwasher had been removed. But, at the price offered, it seemed pretty attractive. At least my clients thought so.

I called the listing agent to let him know of my clients’ interest and gain a little more information that might allow me to write a quality offer, if my clients chose to do so. Too late! The house was already Pending! The agent told me that he listed on day one. Received an offer substantially over the asking price. Sent the offer to the lender/owner and it was accepted. Done deal! Days-On-Market=1! Wow!

So, what does this tell us? Properties that are well priced for what they are will sell…and, perhaps, quickly. Lenders who want to get problem loans off their books often price very aggressively.

If you are waiting for the popular press to tell you that the economy is recovering, the housing market’s vibrancy has returned, and it is again time to buy, do not call me. By the time that happens, it will be too late.

On the other hand, if you understand that inflation may soon drive the cost of a financing up, good properties are still selling and real estate is always a good long-term investment, I would like to help you find the property that works for your.

If you are a first time buyer, investor, move up buyer or just a plain buyer, give me a call and let’s talk about what it will take to get you into the real estate that makes sense to you.