Vallejo January Market Roundup

Vallejo continues to be one of the hottest markets in the country and why not. Investors are going in and rehabilitating older homes so that the sparkle once again. It continues to be an appealing destination for Millenial first time home buyers working in San Francisco or the East Bay.

Inventory continues to be a problem but it isn’t falling which is good news. Median sold price is up 17% from last January.

Vallejo median sold

It remains to be seen whether or not the current stock market correction will have unexpected ripple effects on the lower price points. My biggest concern is that the correction will make move-up buyers even more wary as there are fewer and fewer homes on the market in the upper end.

There’s a lot to be excited about the future of Vallejo and that message is starting to kick up additional interest. Large swaths of the areas West of I-80 are architecturally interesting, particularly in the Heritage District, St. Vincent’s Hill and downtown.

The city is continuing to transform itself with a burgeoning art scene (check out the 2nd Friday Art Walk each month!) and food scene – if you haven’t checked out the League of Chefs shame on you. All of these add up to a bright future and continue strong increase in housing prices.

6302 Pebble Beach Dr – Open House 1/21 – 1-4pm

I’ll be holding 6302 Pebble Beach Drive, Vallejo open from 1-4pm today. Nestled up against the Blue Rock Springs Golf Course at the top of Vallejo, this 4 bedroom, 3 bathroom, 2400± square foot home has views across the golf course from the master bedroom. It has 3 full bathrooms, including one across from the downstairs bedroom. The home is offered at $589,000.

Exclusively listed by Lisa Minczeski with our office at BHHS Green Valley. Can’t make it to the open house? Contact me to make an appointment today: (707) 853-0797 | rich@napasolanohomesforsale.com

A meeting of minds…

In real estate when we speak of a meeting of the minds we are talking about the buyer and the seller coming together on price and terms. This may also include any needed repairs after inspections and prior to the physical inspection contingency removal. However, some times the meeting of minds has to be between multiple buyers. There are three primary components that need to be agreed upon to get to that meeting of the minds: price, location, and needs vs. wants.keys-in-door

There are two basic steps to price: the pre-approval process & deciding what is a comfortable monthly payment. The first step is relatively easy. You go to your preferred lender (if you don’t have one your agent will) and get pre-approved. However, just because you can get a $600,000 loan with $0 down does mean that you should. Walk through the monthly payments with your lender making sure that you are considering property taxes and any potential Mello Roos or HOA fees that are involved.

I will admit that – for the most part – I haven’t had buyers diverge on location too much. In a situation where both buyers have to commute, both sides are generally amenable to compromise and try to split the difference. Unless an investor, I’ve found that buyers are looking for a quieter spot in an area that feels right to them.poolside

The needs vs. wants, however, is where things can get tricky. It can be hard to distinguish between the two in the heat of the moment – especially in hot markets like American Canyon or Vallejo. Few buyers can get everything, but if their agent is willing to take the time to listen, most buyers can get more of what they want. My recommendation is to focus on the want at first; once a master list has been created it will be easier to cull the list into needs. Once you – as a buyer – have come to an understanding about each other’s needs it will become easier to focus on the wants.

One concept to keep in mind is compromise…sometimes this is with yourself. You might have to give up on a location to get more house; you might have to choose between turn-key and a home that needs a little bit of work; the community pool down the street might just have to be good enough instead of the infinity pool with a view overlooking the Carquinez Straits.

The most important thing throughout the process is to be honest with yourself. Too many home buyers are unhappy with their purchase and have buyer’s remorse. Don’t let this happen to you. Go for as much as you can and – unless there is a compelling reason to move faster – take your time. Yes, it sucks to pay someone else’s mortgage but why pay your own on a home you don’t even like? I can assure you that you will find the right home at the right price in the right location.

To find your next forever home, contact me today.

Market Recap for 12/5

This slight upward tick in inventory appears to buck the normal trend, but it’s important to hold off on making any significant assumptions. Most leading economists are still predicting a leveling off of inventory and prices in 2017. It may only be a temporary increase in response to rising mortgage rates, but it’s worth watching.

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