Top Producer Magazine March 2024 Sacramento / Roseville Real Estate

 Spring is upon us, and we're starting to see more home come available.  It's typical for the market to pick up this time of year.  I'm getting several properties ready for sale right now myself.  New construction is in overdrive, they are cranking out houses as fast as they can.  In 2023 new home sale accounted for 25% of the houses sold in the Sacramento / Placer / El Dorado Hills counties.  This is a substantial amount of sales occurring.  There's a shortage of resale homes and it's having an effect on those of us in the business.  There's simply not enough homes to keep everyone afloat in real estate.  

Prices are on the rise too.  I was working on several properties to get ready for sale and now we're revisiting the valuation.  There's a house I'm putting on the market next week in Serrano and we elected in the end of 2023 to list at $850,000.  Now I'm thinking we'll get upwards of $900,000 for it.  It will be the lowest priced house in Serrano.

I don't think I've mentioned this before but 3 years ago I bought a property in Roseville.  2.5 acres on Main st.  It's raw land that I entitled and broke into 10 lots.  It took perseverance and money to get the tentative map and brought all the way to final map.  I got multiple offers on my project and it's currently in escrow.   It was a great project, I learned a lot in the process and I stand to make a good profit too.

I mention the Top Producer Magazine as I was featured broker as a top selling Roseville real estate agent.  I've been in the business for 20 years now and I've built relationships with business professionals and past clients.  I've gained the experience and trust of clients and peers which makes things even easier in this tough and competitive business.  We're always learning and doing new things.  I specialize in partition sales and that's something I didn't even know about until 10 years in the business.  There's lots of different aspects to real estate.

Looking forward to spring 2024.  If you have any real estate questions, reach out to me.

Chad Phillips

Re/Max Gold

916-390-1476

Looking for a fixer in Sacramento CA?

There are ton of investors out there currently looking for fixers right now.  I get hit up daily from buyers that are all cash looking for a good house to fix and flip in Sacramento.  We're seeing it become difficult with the low inventory and the margins are minimal.  Some investors are buying a paycheck.  They will make money on the deal but it's mostly from their labor that they are putting into the property.  I'm no stranger to doing home improvements and I know what things cost.  Everything from materials to labor has increased dramatically since Covid.  

I reciently went to look at a property in Sacramento that was inherited by my client and he wanted me to take a look at it to see what he should do.  It's a 2 bedroom 2 bath, 1400 sqft on 1/3 of an acre built in 1944.  It comps at $400,000; however, it's going to be well over $100,000 to rehab the property.  There's a ton of dry rot, electrical isn't grounded (2 prog), the kitchen and bathrooms need a full gut.  It can become a rabbit hole and end up costing $150,000.  For this to pencil, I would be comfortable around $225,000.  The crazy thing is, I could sell it today for $275,000 no problem.  My advise was to sell it "AS IS"!  Don't put money into it.  He's not a contractor and it makes more sense to walk away from it.  Take the money and run I said.  I also told him I wasn't interested in buying it as it needs too much work.

I have several fixers coming on the market soon.  2-3 houses in Sacramento, 2 in Roseville, 1 in Orangevale...  Many of the fixers I get are court ordered partition sales.  They are properties that are owned my multiple owners and one if forcing the sale.  These typically have differed maintenance.   As I'm a remax agent in Roseville, I'm also a court appointed referee on these properties.  I'm not allowed to represent the buyers in these transactions; however, I can put you in touch with a broker.