This past year we experienced seemingly contradictory and sometimes confusing sales activity.   On the one hand, prices, depending on your city and neighborhood, continued to fall.   This was due, in part, to the effect of foreclosures, bank owned properties and short sales.   Also contributing to lower home values was the general economic slowdown and tightening credit by the lending institutions.

At the same time we have seen what appears to be increased demand for homes listed in the medium price range.  Rapid rates of sales are not unusual for properties listed at $600,000 and lower.

Very few homes are available and that is the reason demand seems high in those price ranges.  There are still steady stream of bank owned foreclosures coming to the market, but not the huge number which are controlled by the” Big Banks” all hitting the market at one time,  which we imagined might happen.  

The price bracket of upper tier properties, sales activity is not very robust.  For example, in Livermore, in  the price bracket of  $800,000 to $1,000,000 there are currently 24 homes currently listed for sale, which is double the number of homes,  (12) “Pending  and Sold” in the prior  3 month period.  At the price bracket above, $1,000,000 to $1,200,000 there are 5 for sale and 1 pending and 1 sold in the same time period.

It is worth noting that statewide we are one of the healthiest real estate markets.   So while we are still somewhat anemic, we are better off than most other California regions.  

As to 2012, we know more “distressed” properties will be offered for sale by the banks and individuals who own them.   This will continue to hold prices down.  The salesman in me would like to be more optimistic, but the reality is that I do not expect home values to rise in 2012. Long term, this is still a great place to buy and own real estate.   It is an asset that we all can look forward to performing very well over time.   For 2012 though ¬- looks like another year pretty much like the one we just had!

Please, for our opinions of your specific real estate situations, just call or e-mail Cindy or me.   We look forward to seeing you in the New Year!

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Related posts:

1. Recap of 2010 Real Estate Market & FORECAST For 2011!
2. Interest Rates & Market Update
3. South Livermore Market Activity (September 2010)

As I do each year, I am writing to recap the 2010 real estate market and to forecast what is coming in 2011.

In regard to 2010, the sales activity in the Tri Valley reflected the increased number of “distressed properties”, that is “short sales” and bank owned properties.  However, Pleasanton for example, has experienced less of an impact by these categories of sales than most California communities. I believe this is due, at least in part, to the diversity of employment opportunities afforded by living at the hub of the 580/680 corridor. We enjoy a manageable commute to several different job centers and the work force which resides here is spread out among many diverse companies and industries so the employment, or unemployment, numbers have not been as negative as some of the surrounding counties.  While we have certainly not escaped entirely the loss of real estate values, we have not taken as big a hit as many, [most], other areas.  I can hear many of you saying, “I lost $200,000 in value of my home and you want me to feel good that it is not $300,000.00”, in a word YES!  The number of homes for sale is seasonally and historically low, [135 currently on the market in Pleasanton for example], at this writing. With 77 homes currently “pending” that translates to less than a 2 month inventory.  That is a very robust rate of sale, and one that most other cities would envy.  The statistics vary somewhat in Dublin due to the large number of new homes which came to market at or just before the peak.  Livermore is “in between” Dublin and Pleasanton, relative to the impact of the effect of the housing turn down.

Looking forward to 2011, my crystal ball is saying that barring any rapid or steep increase in the mortgage interest rates, or excessive release of homes by the banks which now own them, 2011 should be a stable and active real estate market in the Tri Valley.

What does that mean to you?  If you are moving up, great time to do so.  If you are buying your first home, or an investment property, also a good decision, prices and interest rates will most likely go up, so why would you wait?  If you are moving down, “right sizing” is becoming a meaningful segment of the market.  The very first wave of baby boomers reach age 65 this January, one story homes are in demand!

If I seem to be optimistic, it is because I am!  I can hear the snow plows all over the Midwest clearing the driveways of thousands of people packing up and heading for California.  Here, in spite of all the budget problems of the state and local municipalities, is where a lot of people want to live.  Our resorts, beaches, mountains, and vineyard destinations as well as our technological and educational institutions, are the envy of many less blessed states and countries.  People want to visit and live in California. Our real estate is still a very sought after and prized asset.  If you own some of this real estate, be glad and thankful, if you don’t buy some, it will serve you well in the long run!

I have, as always, been brief.   If you would like more specific data, please let us hear from you, we welcome your input.

Sincerely,

Joel Engel

Be sure to check out our new “blog”, www.trivalley365.com!!  The website will offer daily highlights of the Tri-Valley businesses, restaurants, arts and entertainment and fun things to do in our beautiful area of Northern California.

(Image from www.realestateclipart.com)

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Related posts:

1. Forecast for 2012!
2. Market Update! (June 2010)
3. Tri-Valley Market Update! (July/August 2010)

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Related posts:

1. Your Neighborhood Market Activity (Pleasanton/”The Meadows”)
2. Your Neighborhood Market Activity! (South Livermore)
3. South Livermore Market Activity (September 2010)

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Related posts:

1. Your Neighborhood Market Activity! (South Livermore)
2. Neighborhood Market Activity
3. Your Neighborhood Market Activity (Pleasanton/”The Meadows”)

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Related posts:

1. 3909 Stevenson Blvd. #205, Fremont CA (SOLD!)
2. 1545 Trimingham Dr., Pleasanton (Pending in ONE week! Sold 6/2010)
3. 1412 Asterbell Drive, San Ramon (Sold!)

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1. 35 Adelaide Drive, Martinez (SOLD! 11/2010)
2. 1412 Asterbell Drive, San Ramon (Sold!)
3. 1545 Trimingham Dr., Pleasanton (Pending in ONE week! Sold 6/2010)

THE ENGEL TIMES (July/August 2010)

WHERE DO WE GO FROM HERE?

The Real Estate Market in the Near Term:

Our take on it is that it all depends on…jobs.

Affordability is the driving force impacting home prices right now. If in the East Bay’s economic future, employers start hiring, (and paying competitive salaries), then demand for homes will continue and strengthen.

Having to forecast based on current conditions, our expectation is that values will stay pretty much where they are now, with a possibility of lowering somewhat further. We are currently transferring ownership at mid-2002 price points.

Depressed sales are accounting for:

SHORT SALES                     REOS [BANK OWNED]

LIVERMORE                                                         27.83%                                 18.26%

PLEASANTON                                                      13.82%                                   5.69%

Please contact us for any specific data you may require as to your particular situation and location.

CURRENT INTEREST RATES

Conforming (up to $417,000)

15 year fixed

3.875% at zero points

4.00% at no cost

30 year fixed

4.3750% at zero points

4.5% at no cost

Rate Information (as of 7/16/10) Provided By:

Rusty Anderson
Emery Financial, Inc.

rusty@emeryfinancial.com

OUR BLOG

Please visit our Blog www.TheEngels.com for Current Listings, Market Activity in Your Neighborhood, Interest Rates, and Valuable Market Updates!

Become a Fan on Facebook! http://www.facebook.com/EngelRealEstate

BACK TO SCHOOL!

As we start thinking about Fall and Back to School, here are some resources that you may find valuable!

For School Scores (Academic Performance Index Scores):

(Pleasanton)  http://www.pleasanton.k12.ca.us/PublicInformation/PressReleases.cfm

(Livermore)  http://www.livermoreschools.com/cms/page_view?d=x&piid=&vpid=1228578823365

(Other Areas) http://www.cde.ca.gov/ta/ac/ap/

For School Boundaries:

(Pleasanton)  http://www.pleasanton.k12.ca.us/educationalservices/pupilservices/AttendanceArea.cfm

(Livermore)  http://www.livermoreschools.com/cms/page_view?d=x&piid=&vpid=1228578823332

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Related posts:

1. Market Update! (June 2010)
2. Recap of 2010 Real Estate Market & FORECAST For 2011!
3. Market Update/Rates are still Good! (May 2010)

Complete Renovation! Top to bottom! Spacious Home with 2 living areas (upstairs and down) with separate entrance. Many possibilities: one home/possible au-pair or duplex (per county land use). Huge deck, deep lot, separate garage with shop, long driveway, Close to 680, Hwy 4, & Amtrack.

SPECIAL FEATURES/UPGRADES:

-  In-Law Quarters

Deep Lot & RV, Side Yard Access

Fully permitted front porch + access panel under porch

Fully permitted back deck

Fully permitted sewer repair

Fully permitted home renovation & Finished Basement

Recessed Lighting, overhead lighting in all rooms

New Dual Heating in Lower Level

New Tankless Water Heater

Completed Full Bath downstairs Including New Toilet, Bath/shower enclosure, Pedestal sink & more

New Tile floors in Bath Rooms, Kitchen and Laundry Room

New Carpet Throughout

New Stainless Appliances Including dishwasher, Sink, Range, Microwave & Refrigerator

New Kitchen Cabinets Maple w/ cherry finish, New Stainless sink & Faucet

New Overhead Light fixtures throughout New Garage Door, Interior Paint & Exterior Paint

New 30 Year Roof on Home & Garage

New Baseboard & Window Casing throughout, Interior Doors, brushed Nickel door handles and Fixtures

Repair of Sprinklers

Zoned for Possible Duplex

Deep Backyard, fully Fenced and Private

Close Proximity to School

Near Quaint Martinez Downtown

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1. 2261 Gerhringer Drive, Concord (SOLD!)
2. 1412 Asterbell Drive, San Ramon (Sold!)
3. 4910 Shelton, Dublin Ca (Sold! 2009)

Gorgeous Executive Home in Monarch/Gale Ranch! 4 bedrooms & Bonus (1 B/R + office downstairs). Completely upgraded, S/S Appliances, Island, Granite Counters, Stone Floors. Surround Sound, Closets with Built-Ins, Courtyard with Fountain! Home backs to open space, nice privacy, pergola, patio and lawn. Walk to Shops, School, and Parks! Virtual Tour: http://rtvpix.com/RE-5746-O087VL-01

UPGRADES/FEATURES:

Close (walking distance) to Californian distinguished school, Coyote Hills elementary

Large Open Great Room for easy entertaining

Views of the hills/ Premium lot

Walk to several parks, and to

3 car garage Mediterranean style with courtyard entry (has fountain in courtyard)

Cherry wood built-in custom entertainment center f/r

Cherry built-in bookshelf in downstairs guest suite

Surround speaker system in great room

Media center

Plantation shutters

Gorgeous floors with inlaid tile medallion at entry

Front room can be office, den or living room

Over-sized separate dining room with butler pantry

large sized center island, great for work center, food prep and in-kitchen dining

Granite counters with custom tile (tumbled marble) back splash

S/S appliances includes double ovens, microwave, refrigerator (negotiable)

Dishwasher, recessed lighting, 5 burner gas cooktop

Custom millwork thru-out including the built-in’s

Wainscoting in bedroom

Master bedroom very spacious with niche for entertainment and sitting

Gorgeous custom tile work with accent over-sized shower and separate Jacuzzi tub

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1. 435 Sugar Hill Way, Oakley (Sold!)
2. 22234 E. Lyndon Loop, Castro Valley (Gorgeous Townhome, Sold!)
3. 1525 Maple Leaf Drive, Pleasanton (Temporarily Off Market)

Your Neighborhood Real Estate Market Update! (Pleasanton/”The Meadows” & Expanding Area) June 2010
ACTIVE Address Listing Price SqFt Bed Bath DOM Royalton Ct. $675,000 1941 3 3 5 Mendenhall Ct. $689,000 1586 3 2.5 20 Chippendale Ct. $714,900 2600 3 2.5 214 W Las Positas Blvd. $719,000 1941 4 3 25 Fairlands Dr. $724,950 2540 4 3 67 Cheshire Ct. $725,000 2150 4 2.5 40 Ascot Ct. $725,000 2144 4 2.5 54 Churchill Dr. $759,950 2572 5 2.5 32 PENDING Address Listing Price SqFt Bed Bath DOM Staples Ranch Dr. $599,000 1588 3 2.5 11 Ballantyne Dr. $699,950 2142 4 2.5 35 W Las Positas Blvd. $649,000 1721 4 2 12 Vermont Pl. $650,000 1881 3 2 20 W Las Positas Blvd. $680,000 1941 4 3 5 Byron Ct. $699,000 1933 3 2 3 Kirkcaldy St. $719,000 1802 4 2 14 Ballantyne Dr. $759,000 2464 4 2.5 10 Suffolk Way $749,950 2071 3 3 33 SOLD Address Listing Price Sold Price SqFt Bed Bath DOM 3768 Pimlico Dr. $698,000 $695,000 2369 4 3 29 3319 Guthrie Ct. $799,950 $795,000 2464 4 2.5 10

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Related posts:

1. Neighborhood Market Activity
2. Your Neighborhood Market Activity! (South Livermore)
3. South Livermore Market Activity (September 2010)