Reality Check 2, Palo Alto Trends

Fri, 01 Jul 2011 00:00:00 -0700

July 1, 2011

Market Update on Palo Alto Sales

We have a little Bubble right now. Many Sellers in all price ranges are experiencing muliple offers anywhere from 5% over ask, and in one rare case, 45% over ask...and this property was in the $2 million range. Buyers are coming out..is this pent up demand? They are determined to get the home they want, participate in the multiple offer process and often these buyers produce all cash or a large cash downpayment.

For my clients who feel they are not flexible enough to participate in the multiple offer/cash frenzy, I look for homes that are actually Off-Market. Soometimes these off-market properties are known by realtors in the area, sometimes they are not even for sale, but when owners are given incentive to sell, they do! So only my clients are involved in this offer process, since no one else even knows the home can be sold. In my experience, both sellers and buyers can profit from these transactions.

So as usual, there are many ways to skin that real estate cat.

My next Blog will look at Atherton, Menlo Park and Los Altos from this perspective.

Still remember, now according to ForeclosureRadar, our company of choice that follows all the preforeclosures, auctionable home and bank owned homes in CA, there are 50 months of home inventory held now by banks or in default and just being allowed to linger before being claimed. The banks are releasing them slowly so as not to flood the market and depress prices any further. Here in our local communities, buyers and sellers do have short sale opportunities. And REOs are ubiquitous. Watch for these properties.

In general our real estate market remains uncertain. That means, don't try to time your buying and selling of a home on the market. Do what you want to do, when you want to. And work with a solid agent who understands your very local market.

Sara Spang

Keller Williams, Menlo Park, CA

Sara Spang Blog

Reality Check 2, Palo Alto Trends