Market Update: My thoughts on the whole thing :-)
Everywhere I read and in my personal experience, there's just not much inventory moving. Sales came to a screeching halt about 5 months ago. The theme is due to the super low supply levels, and it certainly doesn't help that the mortgage rates started to rise.
At my broker open at, 30 Corte Ellena in Walnut Creek, I had a conversation with a fellow Realtor Ryan Inouye. He said his clients have sticker shock.
It's like, Mr and Mrs Newbie California Client, we're all in the same boat. You've got two choices, you can purchase a home within your means, do your best to pay it off and have an awesome rental when you decide to move out, OR you can rent. Renting is just giving the money to someone else to make the mortgage.
- Home prices are dropping a little?
- OR are they priced slightly too high to begin with?
Sellers seem to know they're going to have to lower their price in the marketing of the home or during the negotiation, when the offer comes through the door.
My advice would be to do your research and negotiate for a value. I believe the power is in the buyer's hands at this point. Remember, I've got lots of research at my fingertips. If you find something you like, I want to be your real estate agent. Make contact with me when you're ready, ok?
Recently, I wrote a little letter to all of the newbie Californias. You can read it by clicking here: http://www.elizabethrusso.com/blog/dear-newbie-californians/
Calif. highest median home price by region/county: San Francisco, $1,620,000
Calif. lowest median home price by region/county: Tehama, $197,500