home buying: 10 Years Later! declining sales, inventory, choice, affordability. - 06/01/17 09:15 PM
Here we are nearing the end of the 2nd quarter and our sales SUCK! That's a Realtor term. We cannot get any lift off for this season. Sure we're in the midst of a super hot, multiple offer market with all price points feeling the squeeze and getting the action. BUT--sales are declining. Our once vaunted double digit increases to our median home price are now in the 7% range. And that's with tremendous activity in the $1,000,000+ range. Here's a "10 Years Later" graph which shows how our inventory has diminished.
A very big decline. Here's a 2 year look at … (1 comments)

home buying: Part II--NOW is the TIME to be moving UP! OR Down! - 11/07/16 09:49 AM
Part II—Now is the time to move on up or empty that Nest!
You’ve thought of adding on or remodeling? Have you priced a remodel or room addition and are stunned at the cost? You think to yourself, “Man, for a few dollars more I could move and get a much bigger more modern home.” And if you did add-on would you be over the market for your neighborhood? Being the biggest house on the block is never a good idea unless all the other homes are equal size. But maybe you can’t add-on due to lot size, neighborhood restrictions … (0 comments)

home buying: RENTERS? Financial Reasons to Buy Real Estate - 10/16/16 08:20 AM
Housing is one of the BEST leveraged investment available---What is leverage? Ever heard of the term “other’s people’s money”? It’s what every investor strives for—low risk and exposure with the promise of higher rates of return. In today’s market homeowners can get into a home with as little as 3-5% down. The less money or “skin in the game” you have when purchasing any investment is considered leverage. The less money in the higher the leverage and the greater the possible return. We had many clients who purchased homes or rentals during the great recession during our “bottom” which occurred in … (0 comments)

home buying: Interest Rates: How low? 10 Year T's 1.36% Interest rates to follow? - 07/20/16 01:19 PM
 
Here's an old joke fitting for these times: Einstein dies and goes to Heaven. He's walking around and runs into a guy asking him, "Excuse me, what's your IQ?". The guys replies, "235" to which Einstien replies, "Terrific, we can talk quantum physics and theroy". Next guy he runs into he asks the same question, guy replies, "160" and Einstein replies, "Fabulous, we can talk events of the day and public policy!". Third guy he walks up to he ask once again, "What's your IQ", the guy weakly replies, 85 to whic Einstien replies, "Great! Where do you think Interest Rates are going?" Yuk, … (0 comments)

home buying: Did you SURVIVE the Fed Rate Hike? - 12/18/15 09:00 AM

O.K. folks--let's all take a deep breath and start the mantra, "Interest Rates are still at historic lows", repeat, "interest Rates are still at historic lows"--Then please click on this link to read research by Berkshire Hathaway on the effect, perceived by the consumer, of the Fed Interest rate hike. In case you've been under a rock or "snow-birding" on a sunny atoll, the FED finally, after 10 years, raised the Fed Funds Rate by 25 basis points or 1/4 of 1%.
  On a $300,000 mortgage the increase amounts to $43.00 more per month (3.75 to 4:00%) or $1432 per month Principal and … (1 comments)

home buying: Affordability takes a tumble in SF Bay Area - 11/17/15 08:25 AM
Here in the "Wine Country" of the North Bay of San Francisco, affordability is hitting "Crisis" levels.  We are seeing business groups openly asking the question--"Where will are people buy?" In our area as in many counties of the Bay Area our home affordability crisis is matched by soaring rental rates and a proliferation of  temporary housing aka AirB&B and VRBO which greatly reduces the number of rentals available in the marketplace. . This surging real estate market is bringing about talks of limiting temporary housing, affordable building as well as the low hanging fruit of politicians—rent control.
 The chart below show the affordability … (1 comments)

home buying: What can go wrong in a Real Estate Transaction? Let me count the ways! - 09/05/15 07:16 AM
“So What can go wrong with our escrow?” Let me count the ways! ESCROW POTENTIAL DELAYS
(My apologies for the formatting issues with this post--did not translate very well!) It is the wise client who prepares for problems before they happen! As a Realtor who has slogged through the real estate trenches since 1978, there are many ways an escrow can be delayed or “DFT”--deal fell through. The smart, savvy Realtor knows delays are part of the process and like a chess master, attempts to anticipate move and counter-move. For this reason I would like to share my problem checklist that keeps … (20 comments)

home buying: Does the CAR you drive matter to your Real Estate Business? - 05/13/15 12:57 PM
  There was an interesting column on Inman.com regarding what type of car you drive for your real estate practice. The thoughts and comments centered around which "market" do you work? Upscale? Mostly middle class? First timers? Each segment they suggested would mean a different type of car. The article warned of being TOO upwardly "mobile" (Sorry-couldn't resist that one!) as this would turn off some consumers. One comment noted, "If a Realtor drives up in a very expensive auto will the Seller think, "Hey, s/he's got tons of money. I'll get a commissson reduction!". I do think if you work certain … (7 comments)

 
Mike Kelly,CRS,CIPS, "One of Sonoma County's Natural Resources" (The MJKelly Team)

Mike Kelly,CRS,CIPS

"One of Sonoma County's Natural Resources"

Santa Rosa, CA

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The MJKelly Team

Address: 120 Stony Pont Road, Ste 140, Santa Rosa, ca, 95404

Office: (707) 322-8503

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