Your Real Estate Expert for Berkeley and Beyond
“Marilyn is exceptional. Her knowledge base, enthusiasm for her job, professional ethics, organization, sensitivity to our aesthetic requirements, loyalty and gentle perseverance set her apart.”
-- Bill and Carol Seidel
Marilyn Garcia, PhD Broker Associate, Realtor® CA DRE LICENSE #01355514
The Grubb Company 1656 Shattuck Avenue Berkeley, CA 94709
Direct: (510) 390-5406
THE OUTLOOK: North Berkeley, Fall 2019 wrap-up
The fall is always an interesting season in our real estate market, because we go from one of the slowest times of the year (just before Labor Day) to one of the busiest times of the year (just after Labor Day). We see what feels like a flood of new listings in September. Inventory though is always tight in North Berkeley, so it was a small flood — there were only 25 active listings all fall. 20 properties sold, of which 4 were condos and 16 were single family homes. The median sale price for North Berkeley in the fall [...]
THE OUTLOOK: Berkeley Hills, Fall 2019 wrap-up
It was another interesting fall in local real estate, and we saw the usual flood of new listings to the market after Labor Day. Even though this happens pretty much every year (because many sellers wait to list until after Labor Day, thinking that August may not be the best time to sell because some buyers are out of town on vacation), it affects perceptions of how the market is doing. There were 73 active listings over the fall in the Berkeley hills, which is up slightly from last fall. 38 properties sold, and 12 properties were withdrawn or expired [...]
REAL ESTATE ANSWERS: I’m considering selling my home next year. What should I start doing now to get ready?
I’m considering selling my home next year. What should I start doing now to get ready? It’s a well-known fact that right now is not the optimal time to sell a home in our area. It is, however, the right time to start getting things in place if you’re thinking of selling next year, so that you’re ready for the very busy selling season. Here are the first things to do to get ready. (1) Think about where you’ll be when your home is on the market. Do you already have your next home set? Are you renting or buying [...]
Bridge Loans
BRIDGE LOANS Did you know that it’s possible again to get a bridge loan? A bridge loan is a short-term loan that can be used to access the equity in a home you are planning to sell in order to purchase a new home. Following the financial crisis in 2008, lending standards got extremely strict, and bridge loans vanished from the market. Non-cash buyers who wanted to buy a new home before selling their old one needed to either (1) show that they had enough income to make payments on the loans on their existing home and on their new [...]
THE OUTLOOK: North Berkeley, Fall 2019 wrap-up
The fall is always an interesting season in our real estate market, because we go from one of the slowest times of the year (just before Labor Day) to one of the busiest times of the year (just after Labor Day). We see what feels like a flood of new listings in September.
Inventory though is always tight in North Berkeley, so it was a small flood — there were only 25 active listings all fall. 20 properties sold, of which 4 were condos and 16 were single family homes. The median sale price for North Berkeley in the fall was $1,337,500. This is up 4% from the summer, and up 5% from fall 2018.
None of the sold properties had price reductions, but one did increase its price (after being on the market a couple weeks and presumably not getting the overbidding they expected). That property, on The Alameda, sold after 36 days on the market, which is high compared to the North Berkeley average of 15 days on the market this fall, but would still be an enviably quick sale in most other areas.
The average sold price per square foot in the fall was $843, which is down 10% from the summer, but up 4% from last fall. Remember though that the sales over the summer included more small properties, which sell for higher prices per square foot. The highest sold price per square foot in the fall was $1,188, for a 2 bedroom, 1 bath home on McGee, and the lowest sold price per square foot was $515, for the same property on The Alameda that had the price increase. That house was also the largest that sold during the fall, with 3595 square feet, so its size is part of the reason for the lower price per square foot.
We’re now in the slowest season of the year for real estate. There’s very little on the market at the moment, as is typical. There are still buyers out there, but a rainy day and a partially dormant garden is not the best time to sell most properties, so there’s not much to choose from. Things definitely will start picking up again in January, and sellers thinking about timing need to weigh the benefits of waiting until the busiest part of the spring, against the greater competition from other listings at that time.
As we head into the new year, I wish you all the best for the holiday season, and for a great 2020!
THE OUTLOOK: Berkeley Hills, Fall 2019 wrap-up
It was another interesting fall in local real estate, and we saw the usual flood of new listings to the market after Labor Day. Even though this happens pretty much every year (because many sellers wait to list until after Labor Day, thinking that August may not be the best time to sell because some buyers are out of town on vacation), it affects perceptions of how the market is doing.
There were 73 active listings over the fall in the Berkeley hills, which is up slightly from last fall. 38 properties sold, and 12 properties were withdrawn or expired from the MLS before selling. (If you’re wondering what happened to the other 23 listings that didn’t sell or expire, they’re either pending sales, or they are still on the market.)
The median sale price for the hills in the fall was $1,414,000. This is down 10% from the summer, but up 4% from fall 2018. Two of the sold properties had price reductions.
The average sold price per square foot in the fall was $730, which is down 5% from the summer, but up 1% from last fall. The highest sold price per square foot was $1,196 for a home on Glen Avenue with a detached cottage unit that I don’t think was included in the square footage. The lowest sold price per square foot was $481, for a large (over 3000 square feet) home on Latham Lane that needed some work.
Overall, this data reflects a little bit of softening in the market. On the positive side, 82% of the properties went over list price, and those, on average, sold for 16% above list. The sold properties were, on average, on the market for 19 days.
We’re now in the slowest season of the year for real estate. There’s very little on the market at the moment, as is typical. There are still buyers out there, but a rainy day and a partially dormant garden is not the best time to sell most properties, so there’s not much for them to choose from. Things will start picking up again in January, and sellers thinking about timing need to weigh the benefits of waiting until the busiest part of the spring, against the greater competition from other listings at that time.
REAL ESTATE ANSWERS: I’m considering selling my home next year. What should I start doing now to get ready?
I’m considering selling my home next year. What should I start doing now to get ready?
It’s a well-known fact that right now is not the optimal time to sell a home in our area. It is, however, the right time to start getting things in place if you’re thinking of selling next year, so that you’re ready for the very busy selling season. Here are the first things to do to get ready.
(1) Think about where you’ll be when your home is on the market. Do you already have your next home set? Are you renting or buying the next place? If you’re buying, do you need to sell before you buy? (This is a question most people need to explore with a good loan professional.) If you’re going to sell before buying a new home, will you be moving to a short term rental, or will you be living in the home when it is for sale? Most sellers in our area move out before selling. It’s not required or absolutely essential, but it makes the process of preparing the home for sale, and of showing it looking its absolute best to prospective buyers, much easier.
(2) Choose your timetable. When will your home come on the market? The schedule will depend on the timing of any preparation work to be done, and should factor in the best time to hit the market. For
some homes, that’s during the busy spring season. For other properties, it may be better to be a bit earlier, when there are fewer other homes on the market.
(3) Hire the right stager (well in advance). Great staging will bring top dollar in a sale, but it needs to be the right staging for your particular home. Bad staging is a waste of money, while good staging pays for itself many times over with a higher sale price. The best stagers book far in advance, but they’re worth planning ahead for! Also, a good stager will suggest improvements to the property that will add value, and choose colors and finishes so that the final look is cohesive and attractive to buyers.
(4) Do non-cosmetic repairs now. Cosmetic improvements and painting are best done in consultation with the stager, usually just before the home hits the market. If, however, there are functional repairs that you know are needed (for example, an electrical issue, a leaking skylight, rodents in the subarea, dual pane windows that have fogged) that will affect buyers’ perception of your home, now is a great time to get those repairs done. If the repairs require choosing surfaces or fixtures (for example, replacing a light or a faucet), the stager can help choose the best reasonably-priced but stylish options.
(5) Decide what needs to be repainted, and choose a painter. Painters, like stagers, get booked up early in the months leading to the busy spring selling season.
(6) Hire a great agent who specializes in your area. Your agent can help you with steps 1 to 5 above, and also get you ready for the next steps. If you’d like to see all the steps in selling a house, email me at marilyn@marilyngarcia.com, and I’d be happy to send you the detailed list!
Bridge Loans
BRIDGE LOANS
Did you know that it’s possible again to get a bridge loan? A bridge loan is a short-term loan that can be used to access the equity in a home you are planning to sell in order to purchase a new home.
Following the financial crisis in 2008, lending standards got extremely strict, and bridge loans vanished from the market. Non-cash buyers who wanted to buy a new home before selling their old one needed to either (1) show that they had enough income to make payments on the loans on their existing home and on their new home indefinitely, or (2) they needed to show a signed lease for their old home, covering enough of the carrying costs for that property. Now some lenders will review the loan application taking into account that the borrower is only planning to own both homes for a short period of time.
Not every lender offers this type of loan, and they don’t make sense for everyone, but I do know of a couple very good local loan people who can offer a bridge loan. (I’m happy to send you their contact information if you’re interested.) There are still, of course, qualification requirements including a good amount of equity in your old home, but you no longer need enough income to pay your new and old mortgages indefinitely, and you no longer need to show that you have leased your old home.
Your Real Estate Expert for Berkeley and Beyond
“Marilyn is exceptional. Her knowledge base, enthusiasm for her job, professional ethics, organization, sensitivity to our aesthetic requirements, loyalty and gentle perseverance set her apart.”
-- Bill and Carol Seidel
Marilyn Garcia, PhD Broker Associate, Realtor® CA DRE LICENSE #01355514
The Grubb Company 1656 Shattuck Avenue Berkeley, CA 94709
Direct: (510) 390-5406