2018 forecast

Our housing market for Placer and Sacramento County.

Almost another year down and we're seeing one of the best years in real estate.  Values have continued to go up here in Roseville.  The roseville real estate market has been consistently going up with the influx of buyers from the bay area.  As we're in the thick of winter now, the market has took a slow down; however, this is typical this time of year.  Buyers should be out now to get a good buy.  Come spring time, granite bay and rocklin real estate prices will go up around 5%.
Personally I've been looking high and low for a good income property and it's tough.  Much more favorable would be an owner occupied house in Roseville that will rent for around 2,000 a month.

I just found out that our Roseville Re/Max office has just sold over 415M in sales this year.  That's pretty good for 85 agents.  Last year we were at 350M.  We might have picked up a little, I know I've doubled my business, but you have to account for the rise in prices too.

Back to the market...
I have several clients that are listening to me and holding off from selling right. now.  If you're able to wait until spring time, then you should get a better price.

My projection will be that we'll see around 5% appreciation with a downturn in values come 2019.  I think the real estate cycle that we're used to every 7 years has been warped and extended to 10-12 year cycles now.

Here's an update put out by realtor.com

New homes are expected to be a “primary driver of sales in 2018,” as 1.33 million housing starts are predicted next year—up from 1.22 million in 2017, according to Freddie Mac’s September Outlook report, which gauges future real estate activity. Total home sales are expected to increase about 2 percent from 2017 to 2018, according to the report.

Economists also predict that the uptick in housing starts, coupled with a moderate increase in mortgage rates, will help slow the run-up in home prices next year. Freddie Mac forecasts a 4.9 percent increase in home prices in 2018, lower than the 6.3 percent growth seen so far this year. Mortgage rates also are up from near-record lows in 2016, prompting predictions that refinancings will fall to 25 percent of mortgage activity in 2018—the lowest share since 1990, according to Fannie Mae.

Still, homeowners likely will continue building equity next year. In the second quarter of 2017, the dollar volume of equity cashed out was $15 million, up $1.2 million from the first quarter. As home prices rise, cash-out activity has been rising, too.

“The economic environment remains favorable for housing and mortgage markets,” says Freddie Mac chief economist Sean Becketti. “For several years, we have had moderate economic growth of about two percent a year, solid job gains, and low mortgage interest rates. We forecast those conditions to persist into next year.”

roseville real estate update Fall 2017 Re/Max

2017 Fall update

Here we are, first little rain of the season.  What does this tell us about the real estate market in the Sacramento area and placer county.  Nothing you wouldn't or shouldn't expect.  Our market is doing fine and it's normal for values to dip in the fall.  I've added two graphs below that show a similar trend that identify what the housing market is doing here in Roseville and surround area.  You'll see that the upward trend has been consistent; however, a slight dip in the fall.

If you're considering buying a a house in the Roseville or Rocklin area, give me a call.  Interest rates are still low and if you wait until spring you'll wish you would have bought a house already.  On the flip side, if you're looking to sell, it's probably going to be a better time come spring if you can hold off.

I was just rated one of the top three real estate agents in Roseville by ThreeBestRated. 

Here's a link to see yours truly.

https://threebestrated.com/real-estate-agents-in-roseville-ca 

Placer and Sacramento County real estate update 8/30/17

The market trend continues...
I'm skeptical though, I think the market is due for a correction. We've shoot up again too much and too fast in accordance with peoples affordability.
I think we have a couple US markets to keep an eye on as they should decline before we do. When we start to see Florida, and Arizona drop, then I think we'll follow suit. The constant influx of bay area buyers will keep us stronger than other areas of our state and country.
Another key market indicator is market rents which have skyrocketed. Rents are up about 10% in the last year.
Looking forward to another strong year!

Home Prices ‘Unlikely’ to Reverse Course

Home prices increased in June 2017, and are unlikely to reverse course, reports the S&P Dow Jones Indices.

RISMEDIA.COM

August update: Roseville

Here we are in August already.  Wrapping up the nice summer we had, kids back in school already.

How is the real estate market and what can we expect?

In the past weeks, I've noticed a change in the market.  Demand is down and inventory is gaining.  I think we'll see 3-5% shift downward this winter.  We're due for a market check.  If you're a buyer right now and can wait until November, do it.  I think you'll be happy you did.  As for sellers, it's not so much a sellers market anymore.  We're more balanced right now, not a buyers market, nor sellers.

I have some new houses coming on the market soon in Roseville, Rio Linda, Orangevale, and a condo in Sacramento.

If you're looking for a one, I just listed a 8200 sqft house in Auburn.  1 millon for the view and only 600k for the house.  Great deal. (806 sunnyslope Way)

Another new one in Natomas, (5520 Lackland Rd) 2444 sqft 3/3 for 450K

Roseville and Rocklin Real Estate

Were seeing the beginning of some changes in the market.  There are some price points that are seeing some resistance and it's mostly the higher the price the less the buyer pool is.  Anything in the entry level, 300,000 to 400,000 in the Roseville / Rocklin area will go quickly.  Surrounding areas are hot too.  Take Orangevale for instance, we're seeing small 1300 sqft places going for the mid 300's.
The beginning of appraisal issues are here.  Values have been pushed where a new ceiling is being crated with every sale.  This trend cannot and will not go on much longer.  There will be a market correction coming in the near future.  I'm not calling it a bubble, but a market correction seems like a better description of what's to come.  One way or another, either supply and demand, interest rates, jobs, 10 year adjust coming due... something will come into play and reverse the values.  No one likes to take about the market going down, but it is a cycle.  The general consensus is around a 7 year cycle in california.  I think that's close when you look historically; however, the last recession was a whopper.  This time around is more like 10-11 years.
Here's my 2 cents for the day.  If you 're looking to buy or sell a home in Roseville, give me a call.

Chad Phillips
Re/Max Gold
916-390-1476

The color you paint your house can effect your sales price.

Here's a good article.  We know fresh paint is the cheepest way to clean up a house, but didn't know the color could be so important.

The Paint Colors That Sell—and the Ones That Don’t

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Paint colors play a crucial role in successfully selling a home, having the power to influence a homebuyer’s decision to make an offer or move on—and the best colors, according to a new Zillow analysis, are blues and grays.

Homes with bathrooms that have soft blue walls (e.g., periwinkle, powder blue), specifically, sold for $5,440 more than expected in the analysis, as well as homes with a “greige” (beige/gray) exterior, which sold for $3,496 more than homes with brown or tan stucco exteriors. Homes with dark navy blue and/or slate gray front doors also sold for more: $1,514.

Certain colors, though, have the opposite effect, lowering sale prices by a few thousand dollars or more. In fact, homes with bathrooms that have white walls sold for $4,035 less than expected, while homes with darker walls (e.g., brick red, terracotta) sold for $2,031 less than expected.

“Color can be a powerful tool for attracting buyers to a home, especially in listing photos and videos,” says Dr. Svenja Gudell, chief economist at Zillow. “Painting walls in fresh, natural-looking colors, particularly in shades of blue and pale gray, not only make a home feel larger, but also are neutral enough to help future buyers envision themselves living in the space. Incorporating light blue in kitchens and bathrooms may pay off especially well, as the color complements white countertops and cabinets—a growing trend in both rooms.”

The analysis considered over 32,000 photos of sold homes across the U.S.

low inventory effecting housing prices

I try to get a monthly update out about our local real estate market.
The Sacramento area is seeing inventory around 30 days on the market, and Placer is showings zip codes of less then 30 days.  I often wonder where the jobs are and whats driving the crazy train; however, when you look at the state of the economy as a whole then you start go get a clearer picture. I was a little surprised to find out that our area is actually in the top 10 cities for finding a job.  This coupled with the bay area prices is fairing well for us here in the valley.  The builders know it, that's why they've vaped up production.  Recently I went to check out a couple of the new communities in Rocklin and Lincoln.  They are selling houses before they're even built.  We're talking 6 months out!
Most of us went from little to no equity, to having some change in our pockets again.  As long as the loan programs stay within reason we should see continued growth for several years.
Great time to sell, especially for the move up buyers.  If you're thinking about buying or selling in the roseville area, give me a call.  We can look closer at the situation and find the best coarse of action.  My cell phone is always on!
916-390-1476

Chad Phillips
Broker Associate - Re/Max Gold
BRE # 01405825