Sunday’s show we’ll be discussing the surging $1Million+ Real Estate marketplace! It dragged the median home price over the $700,000 level for the first time ever–in history! The only hesitation in the marketplace in this exclusive price range is the total inventory is not increasing in any big numbers.
This Sunday on the Real Estate Hour, I’ll be discussing the surging Median Home price for Sonoma County. Now at a new record of $707,000. Wow. Attached our graphs on the current state of the real estate market compared to last year at this time. Sales are DOWN 20% over last year. No doubt the surging prices taking its toll. Though many are beginning to see a “shift” in the market, homes are still gaining multiple offers but not with the velocity we had experienced, “Post October 9th Fires”. The graphs below show our “Days on the Market” dropping still further! We will see if this carries forward into July with more listings coming on. And to keep our $707,000 median home price in context look at Marin County, just a 45 minute south, median home price of $1,435,000 and up 13%. However, the “Under Contracts”, a leading indicator of sales to come, is dragging. -9% over last year. Hmmmm? Sales off -20% and Contracts -9%.
I’m pleased to welcome back Bruce J. Ford
Chief Appraiser / Nor Cal Quality Appraisals to the new shiny studios of KSRO THIS Sunday, June 3rd! He’ll be on once again discussing the value world of real estate. Questions I’ll have for Bruce? Appraisals–are they still coming in at contract prices? Effects of the fires 8 months later. Pricing of homes being offered to the marketplace. This and a whole lot more Sunday, 9 to 10am, pst, KSRO, 1350AM or 103.5 and 94.5FM.
Bruce J. Ford, Chief Appraiser / Nor Cal Quality Appraisals
NOW – our 26th year serving Sonoma, Marin and Napa counties (CA.) “Value Driven by Excellence”
I’ve been licensed and a Realtor since 1978. Look at the chart below and you’ll see I spent 12 years wandering the desert of double digit interest rates. Also note that my first year was my last year of single digit interest rates for some time. How did I do? I was a top producer in my office all through the double digit storm. When we dropped under 10% it was cause for mass celebration in the Realtor ranks! I remember my fellow agents stating, “Man if we could get single digit interest rates we’ll tear this market wide open!” And we did.
Then notice it took almost 20 years to get down to the 4% range. If you’ve been in the business 5,10, 15, years you’ve KNOWN no other rates and experienced a historic low. Well, guess what boys and girls, rates DO go up, markets WILL go down, and recessions will come and go. Enjoy this while you can but remember to stack some cash aside, buy some investment properties with your big commissions today and prepare for the inevitable. I remember some of the infamous phrases used before the BIG BANG of 2007, “We’ll always have appreciation”, “We’ll refinance you out of this loan next year and pull cash out.” We all need to guard against, “Irrational Exuberance”. (thanks to Erik Oquist of Wells Fargo Home Mortgage for the graphics!)
Special guest on tomorrow’s show will be Russel Lee. Russ lost his home in Fountaingrove during the firestorms of October. He decided to make the move back to Tennessee. We’ll be discussing what you can expect when you visit Tennessee and home prices. WARNING! Tennessee home prices can cause major anxiety among California homeowners!
- 175 Apple Tree Dr, Clinton
- $280,000, 4 beds ,2.5 baths, 2,221 sq ft, 0.95 acres lot
- 1016 Mountain Rd, Clinton $329,900 3 beds 3.5 baths, 3,809 sq ft. 1.0 acres lot
Debris Removal Press Conference– I’ve heard different timelines for the clean up. Done by early 2018 then today’s on Pat Kerrigan’s morning show on KSRO, elected official states 8 months–that’s MID 2018. Prepare for major patience infusions!
SANTA ROSA, CA – The State of California is launching the largest wildfire clean up in the Golden State’s history on Monday, October 23rd, following the unprecedented North Bay Fire Storm. The first phase of the cleanup will be household hazardous waste and debris including propane tanks, burned out vehicles, air conditioners and refrigerators. The leading state and federal agencies are coming together to outline the debris cleanup process, timeline and what residents can expect in the months to come. The press conference will begin at 2:30 pm Monday at the Rattigan State Building, 50 D Street, in Santa Rosa to discuss debris cleanup operations. The clean-up will be under unified command with CalOES, FEMA, the Environmental Protection Agency and the U. S. Army Corps of Engineers (Corps). This command structure will expedite the removal of fire debris in Sonoma County, with a deadline of completion anticipated to be early 2018. At Monday’s press conference, representatives from CalOES, FEMA, EPA, the Corps, and county and city officials will discuss the debris cleanup process, timeline and next steps for homeowners, and will answer questions and concerns related to the cleanup.
Debris Cleanup Press Conference
Date: Monday, Oct. 23
Time: 2:30 pm
Location: Rattigan State Building, 50 D Street, Santa Rosa
Special thanks to Joe Ruppe of State Farm Insurance for giving us the basics of “Now what do I do?” when dealing with the horrific losses suffered by so many here in Sonoma County. Here is a quote from Joe—“My staff is committed to providing prompt, accurate, professional & friendly service for all your insurance needs. Call, email or come in the office anytime you have an insurance question or need a quote. SCEA member business & referrals are always treated as a top priority in our office. My SCEA Classification: Personal & Commercial Insurance. I provide State Farm Auto, Home, CEA – Earthquake, Personal Liability Umbrella, Business and Workers Compensation insurance throughout California. My Licensed Team Members: Wenona, Renee, Pam. My family members: Katie, Nick, Alex & Jack Office: 707-537-3660” 1103 Sonoma Ave, Santa Rosa, CA 95405
The non-existent “Distressed Market” can not be used as a future prediction of a market “crash”. The last time default rates had soared (watch “The Big Short” for a further description of this!). So scratch that off the list.
Below, many of you think you have LESS equity than you really do. 10 years later from the big crash you most likely are sitting on more equity than you think. If you are still wondering what your home is worth just give us a call. Mike can be reached at: 707-322-8503.