I can't recall how long it's been since my last Placer County / Sacramento County real estate update, but I know it's been a couple months. Just like the season changing to fall, our market has hit the breaks. We're seeing the market shift to more of a buyers market. Inventory is up and less buyers out and about. Rates are along climbing so it's having a negative effect on prices too.
We have real estate investors out there that are on the fence. As investors we want to buy when the market is low and sell high... just like stock market and there's the general consensus that the market will continue to decline. In my opinion, yes. I think the market will pull back more; however, I just bought a rental property last month. When I ran the numbers, it made sense to do the deal. I put down 25% and I'm cash flowing $500 a month. I did also have to put in 15,000 in improvements after closing escrow, but it should be a solid property with little to no issues for me in the near future. I needed a write off, this is also going to help me come tax time. There are a multitude of factors that go into an informed decision to buy a rental. Having a good realtor/broker like myself to help guide you is important. With me you'll get my experience in construction too. I'm not saying I'm a licensed contractor, but I've worked for a home remodeling company and I've done enough work on my own properties to know what needs to be done and what it should cost. I also have the people to recommend to get work done too.
Back to the market, I do think we'll see a pull back in pricing. It's not going to be substantial, 2-5% and we've already see a portion of that. Interest rates are going to effect what people can afford to buy in Roseville. I have clients that are considering parts of Citrus Heights because the prices are lower compared to Roseville. There are pros and cons, school scores, different county!
After checking the stats we're seeing a tend that is to be expected this time of year. A decline in sales and values are part of the normal trend, it's cyclical. Is there more to it? I think we dealing with both a market correction and normal trend that the market slows this time of year. We've been going up and up since 2012. Cannot go on forever! At the end of the day, if you're needing a place to live and you can qualify and comfortable with the payments, buy it. It will be better for you in the long run vs renting. Any questions, feel free to give me a call. Your roseville real estate agent singing off.
-Chad Phillips
Re/Max Gold
916-390-1476
DRE # 01405825
Friday, October 12, 2018
Monday, August 20, 2018
I think its about time for another real estate update. We're at the end of summer here in 2018, the kiddos are back in school now. What can we expect the housing prices to do in Placer county for the rest of this year and next? It certainly seems like we're in the mist of uncertainty. It's like we're in a holding pattern right now and more inventory keeps coming. The market has shifted from a sellers market in the spring, to a buyers market now. The demand is lower than the inventory. Interest rates also have influenced buyers and investors in Roseville & Rocklin area. Historically 5% is really good, but people got used to rates in the 3's then 4's. I'm in escrow buying an income property and I've locked my rate at 5.25%. The numbers work with me putting down 25%. It's a house in citrus heights that I'll be able to cash flow $400 a month. I couldn't think of a better place to park some cash.
I have 5 listings on the market right now that are all priced well. One in cirby ranch in Roseville, one in Fair Oaks, one in Rancho Cordova and a condo in Rocklin. With several more listings coming soon we're wondering where the buyers are. The condo shows like it's a brand new model. 3 bed 2 bath for 227,000 and we have nada. We hope that this dip is more indicative to the time of the year because this is normal and not a precursor to a market correction that we're due for. Your guess is as good as any. My advise would be to buy and hold as long as the numbers make sense. If it's for your primary then make sure you're comfortable with the payments because you might be looking to stay put for a while. Let's not use our houses as penny banks and refi out the equity. As you can probably guess, I'm pretty conservative, much more so than some of the investors I work with. Until next time... Feel free to call me with your roseville real estate needs.
Chad Phillips - Re/Max Gold
916-390-1476
I have 5 listings on the market right now that are all priced well. One in cirby ranch in Roseville, one in Fair Oaks, one in Rancho Cordova and a condo in Rocklin. With several more listings coming soon we're wondering where the buyers are. The condo shows like it's a brand new model. 3 bed 2 bath for 227,000 and we have nada. We hope that this dip is more indicative to the time of the year because this is normal and not a precursor to a market correction that we're due for. Your guess is as good as any. My advise would be to buy and hold as long as the numbers make sense. If it's for your primary then make sure you're comfortable with the payments because you might be looking to stay put for a while. Let's not use our houses as penny banks and refi out the equity. As you can probably guess, I'm pretty conservative, much more so than some of the investors I work with. Until next time... Feel free to call me with your roseville real estate needs.
Chad Phillips - Re/Max Gold
916-390-1476
Wednesday, June 6, 2018
Folsom Real Estate Market Update
It's easy to say that a seller in Folsom is ideal. I just ran a quick market summary and the findings weren't that suprising to me because I have buyers that I can't find a house for in Folsom right now. Take a gander at this:
List price / Sales price at 100% Days on market 18.
If you take into account the houses that are way over priced and sitting on the market, the real picture here is that houses coming on the market priced accordingly are selling in the first week and at or over asking price.
Multiple offers are driving this market even higher. We're starting to see appraisal issues, but we're still getting deals done.
List price / Sales price at 100% Days on market 18.
If you take into account the houses that are way over priced and sitting on the market, the real picture here is that houses coming on the market priced accordingly are selling in the first week and at or over asking price.
Multiple offers are driving this market even higher. We're starting to see appraisal issues, but we're still getting deals done.
We need more inventory! They can't build the new homes in Folsom fast enough. This trend looks to be strong and go to the end of Trumps first term. What happens from there is anybodies guess.
If you have questions or looking to buy/sell, give me a call.
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