The Rules Have Changed

By
Real Estate Agent with Allison James Estates & Homes 01079287

Today's market is a learning experience, everyday the rules change. Just when I think I have it figured out something new drops in. We are rewriting the Real Estate game. Everything from marketing to negotiating a deal. For those out there that think Realtors make easy money, you don't know how stressful and difficult it really is.  My satisfaction comes from truly helping people in this trying time.

 

It is not as it was a few years ago when people "wham bam" made an offer and closed in 30 days or less. The agents and brokers out there today are surviving because they have adapted to what it takes in today's market place.  When they talk listen don't think because you heard or read it in the newspaper you know better. The media and real estate reality are not even in the same room. You can not buy a clean turn key ready house in Temecula for $100,000. Not gonna happen. I actually had a guy come to one of my Open Houses and tell me that's what he was looking for because he heard on the news prices were dropping and banks are desperate.

 

The amount of home sales here have actually risen since last year. If you moved out of Calif in 2003-2005 you can come back the market is comparable to 2002 housing prices. Those that didn't buy during the frenzy can now qualify for a home loan. Flippers are morphing into responsible home owners with rental properties. No more over night get rich quick.The Calif RE market is gold so come get ya some!

Posted by

Realtor simple guideline to guesstimate a Homes values! Comparing apples with oranges? How to set values for embellishments? Do you think the old adage of Value equals Location, Location, Location, is true? Views, Pools, special interest additions can add desirability, and then Granite Counters, Travertine flooring, condition, square footage and any embellishments, upgrades, updates you can add to a property is worth 60-70% of the cost. This value will also be depreciated over time. Example would you consider if a twenty year old solid oak cabinette's
value even in good condition is equal in value to cabinets in the newer current color, or are they? Objective would be desirability.

Location is the basis for value. Like Homes within a one mile radius share values, and can be evaluated by sales per square foot within the last 3+ months. Pulses

Comments (1)

Jonas Kruckeberg
First Priority Financial - Temecula Murrieta Mortgage - Temecula, CA
Temecula Murrieta Mortgage

Amen Tere!  You are speaking the truth.  The rules change daily and we as professionals have to keep up with the Jones' or we aren't doing our job.  I make it part of my ongoing presentation to clients to teach, educate, inform on what's happening - full disclosure with no sugar coating.  I try to place each client in the center or at the top of the learning curve from the beginning with the use of my website, videos, blogs, and the good ol' telephone.  In Temecula and the surrounding cities we are in a micro market that is frankly exploding with activity.  Homes are affordable and yes at 2002 or before prices in some areas.  People think they can get a deal beyond what the homes are already priced at in our area, but that's just not true anymore.  In fact, every home I have completed and am in escrow on currently sold or is selling for at least 3% over list price.  In some cases, 10-20% over list.  And every home has had multiple offers.  My most recent success was an accepted offer among 14 others.  That's competitive.  Then you have to deal with trying to finalize the loan within the time frame given - nowadays with the lower rates we can all kiss 30 day escrows goodbye especially if there is a loan involved.  Don't get me wrong some transactions can happen in 30 days or under but the expectation must be set that it's a 45-60 day market. Period.

I like it - "come get ya some"!  I couldn't agree more.

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Dec 12, 2008 09:09 AM

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