Hi everybody. This is Doug Buenz with the 680 Homes Group at Venture Sotheby’s International Realty and 680homes.com.
This is the November Market Minute for Ruby Hill, California. The market in Ruby Hill remains rather sluggish. Right now, at the end of October, there are nine homes for sale, and that is down from 15 at the end of September. So, inventory is constrained a little bit, which certainly helps. There were three pending sales in October, which is identical to the three pending sales in September, and there was five closed sales in October, relative to two in September. So, a little uptick in closed sale activity, but the market remains rather sluggish.
The median price per square foot for active listings in Ruby Hill is $556 a square foot. For pending sales, it is $535, and for sold properties, it is $500. That shows you active listings are priced higher than the pending and sold products, another indication that the market is a little bit slow.
The absorption rate for Ruby Hill right now is 33%. That is the amount of inventory divided by the number of sales, therefore giving you how much of the inventory gets absorbed, which is the absorption rate, and that is 33%. That is about on par for these kind of neighborhoods.
Another indication that the Ruby Hill market is a bit sluggish is the percent of listings with price reductions. So, all active listings, 44% of the listings in Ruby Hill, have had price reductions. That is active listings at the end of October. 67% of the pending sales in October had price reductions, and 20% of the closed sales in October had price reductions. You can see there is a lot of downward pressure on prices in terms of asking prices. You can see that sellers are under some pressure to try to move the needle with a price adjustment.
If you look at homes over $3 million in Ruby Hill, that is a very slow market. Right now, there are seven active listings out of the nine total that are over $3 million. There are zero pending sales, and there is one closed sale. So, you get over $3 million and the market definitely gets a lot tougher.
So, in summary, the Ruby Hill market, like many luxury neighborhoods, is very soft right now. The good news is inventory is constrained, at least good news for sellers. So, that should put some pressure on buyers, but overall that price segment, especially over $3 million, is very soft.
That is it for now. Be sure to like this and share this with your friends if you think they would find it interesting. We also invite your comment on this video below. And as always, if we can help you or someone you know with your real estate needs, please reach out to us at 925-621-0680, or visit our website at 680homes.com.
Thanks for watching.
Hi everybody. This is Doug Buenz with the 680 Homes Group, Venture Sotheby’s International Realty and 680homes.com. This is our November Market Minute from Pleasanton, California.
So what’s happening in the Pleasanton market? Well, the good news is the Pleasanton market seems to have rebounded some. As you know, it certainly softened up in August and September, but October showed a little bit of a rebound.
For inventory, there were 74 Pleasanton CA homes available overall, compared to 97 at the end of August, so you can see the inventory has constrained a little bit. Some of the inventory has sold. Some of the sellers have taken their homes off the market.
Pending sales and closed sales are higher. We had 51 closed sales in October, and that is up from 48 in September. The pending sales were up slightly, so good news. A little more activity on the demand side, a little less supply, so the market did indeed rebound a little bit.
Let’s take a little deeper dive into some of the stats.
The average days on market for active listings, for Pleasanton CA homes under $1,000,000 it was 32. That is up significantly from the spring, but it is still not bad. For homes between $1,000,000 and $2,000,000 it was 28, so that remains a very active price segment. And for homes over $2,000,000 the average days on the market was 211, which indicates that that market segment remains very slow.
The average price per square foot for sold properties, under $1,000,000 it was $612 a square foot on average. For homes between $1,000,000 and $2,000,000 it was $596 a square foot for average. And homes over $2,000,000 the average price per square foot for sold properties in October was $448 a square foot. You can see that as you go up the price curve the price per square foot tends to decline and the market gets softer.
Let’s talk about percent of homes sold over the asking price. That’s a good indicator of the strength of the market. So homes under $1,000,000, 14% of those homes sold over asking price, so that tells you buyers are a little more concerned about value and they are not being nearly as aggressive in their offer prices. For homes between $1,000,000 and $2,000,000, 46% of those homes sold over asking price, so again another indicator that that price range remains one of the most active in Pleasanton. For homes over $2,000,000, 14% of the homes sold over asking price, so again another indication that when you get over $2,000,000 the market gets a little bit tougher.
Let’s take a look at median sales price. The median sales price in Pleasanton was $1,240,000 in October. That’s up from $1,123,000 last month, so it is up slightly. A year ago it was $1,125,000, so prices again are up from a year ago, even though the market has slowed.
In summary, October saw a rebound in the Pleasanton market. There were buyers out there looking for value and some of the sellers delivered that value in the form of lower prices or price reductions. The $1,000,000 to $2,000,000 market remains very strong and the market over $2,000,000 remains very weak. Overall, not bad for October.
So that is it for now. Be sure to like and share this video with friends or someone you think might get some value out of it, and we invite you to comment on this video. As always, if you know someone who could use our services, please give us a call at 925-621-0680, or visit our website at 680homes.com. Thanks for watching.
Inside Real Estate Episode 3 – Compelling Offers
Hi everybody. This is Doug Buenz with the 680 Homes Group at Venture Sotheby’s International Realty and 680homes.com. Welcome to the latest episode of Inside Real Estate.
Our topic today is why aren’t buyers looking at my home? This is a question I get quite often from sellers that are experiencing little interest and very little traffic. The simple answer is it’s not a compelling offering in the marketplace.
What do I mean by that? Buyers get to decide what is compelling to them. Ten or 20 years ago, buyers went to see homes in person. That was their first showing, and if they were interested they would come back for a second look. Nowadays and with modern technology, the buyer’s first showing is online and they decide at that point whether they want to come see the house or not.
So if your home is not a compelling offer in the marketplace buyers are not going to come out to look at it. In essence, buyers are voting with their feet. If it’s not compelling, it’s not selling.
So the question is, what is a compelling offering or a compelling value?
Well, it’s several things.
*Up-to-date fit and finish. For instance, right now modern homes are very much in demand. So if the home is nicely upgraded with modern finishes it’ll get a lot of attention.
*Outstanding amenities. If you have outdoor kitchen and pool and outdoor living room, en suites, all the bedrooms are suites, things like that, buyers find that compelling.
*Great location is always important.
*Privacy, views, all these things contribute to the property being a compelling offering, and if you’re missing any of them it’s not as compelling to buyers.
The last thing of course is price. Price makes any property compelling, if it’s at the right price. So if people are not coming to see your home and you have checked all of those boxes, it’s likely an issue where the price is just perceived to be too high on the part of the buyers.
It is not what most sellers want to hear, but price is simply the adjustment mechanism between supply and demand.
If you have a weak demand for your property at a given price, if you lower the price and reposition it in the marketplace, that will normally compel more buyers to come out to see it.
So what can be done if people aren’t coming to look at your house? What can I do as a seller?
That’s a great question. Number one, you could change the photographs. You could virtual stage, change some of the furnishings, make them more modern or up-to-date.
You can change the front picture of the property. Add an aerial view.
Change something to make the pictures and the visualization of the property more compelling to home buyers. Remember, $100,000 in marketing won’t sell an overpriced listing.
Those are some of the factors that influence whether buyers come out to see your home or not. Thanks for watching. Be sure to like and share this video with friends.
Also do you have a real estate question? Comment below and we will be sure to address it in a future issue. As always, if we can help you or anyone you know with their real estate needs reach out to us at 925-621-0680 or at 680homes.com.
Contingent Sales with Release Clause
Hi, everybody. This is Doug Buenz with the 680 Homes Group at 680homes.com. Welcome to another installment of Inside Real Estate.
Today’s topic is Release Clauses in Contingent Sales.
What is a release clause in real estate?
So contingent sales are simply when you, the buyer makes an offer on a property, subject to them selling their home. In the contingency document there is a release clause, and a release clause simply gives the seller the opportunity to cancel a contingent buyer if they accept another offer. We call this bump, so you can bump a contingent offer with another offer if the seller chooses to. So a release clause in contract stipulates the time frame by which they have to notify the buyer that they’re canceling their agreement.
So the scenario goes like this. I am a seller. I accept a contingent offer. I get another offer that I would like to accept. I accept that offer and I have to give that buyer three days notice, which is the default position in the contract. It can be any time frame that is negotiated, but let’s say three days. I give that buyer three days to remove all contingencies including their sale contingency and firm up on their contract, or I can cancel it as the seller. So that’s what a release clause is intended to invoke.
So as you can see, the release clause really protects the seller against being on the market forever with a contingent buyer who can’t get their home sold.
This raises some questions. Number one, does it have to be three days? No, it can be any time period that is negotiated between the buyer and seller. You can make it a one-day notification. Hey Mr. Buyer, we will take your contingent offer but we are giving you the one-day to firm up in the event we accept another offer.
Does the other offer have to be a better offer? No, it does not. It is at the seller’s discretion. They could accept a lower offer if it was all cash or if they felt it had a higher probability of closing.
Could they accept another contingent offer and then bump your contingent offer? Yes, they can. In the contract there is no stipulation for that eventuality. The seller can accept any offer they feel is in their best interest.
There is another aspect to the release clause and that’s called the lockout clause, or the delayed right to notify clause. What this means is, if the seller says, “Yes, I will accept your contingent offer,” the buyer can say, “That is great but we want 30 days,” or two weeks, or 10 days, or 45 days, “to get our home sold without the threat of having our contract bumped.” So that’s called a lockout period. That locks out the seller from accepting another offer and canceling your offer. So that is another way the buyer can protect themselves, because no one wants to go through the hassle of putting their home on the market, and getting it ready and staged, only to get their contract canceled within a day or two of getting it accepted.
So it is not uncommon for there to be a lockout clause that gives the buyer a certain period of time to get their home sold without the threat of being bumped.
So that’s the ins and outs of the release clause in contingent offers. So thanks again for watching. Be sure to like this video or share it with anybody you think might get some value out of it. And do you have a real estate question you’d like me to speak to? Just comment below and what your question is and we’ll address it on a future episode.
As always, if we can help you or anyone you know with your real estate, please do reach out to us at 935-621-0680, or visit our website 680homes.com. Thanks for watching.
680 Homes Inside Real Estate – Dual Market – October 2018
Hi everybody, Doug Buenz with the 680 Homes Group at 680homes.com and this is the latest chapter of Inside Real Estate.
Our topic today on Inside Real Estate is the move up market, the dual market. Right now, you might have noticed if you are driving around town that there are more for sale signs and you are seeing more open home signs on Saturdays and Sundays. That is not your imagination. The market has softened. The market has reverted to a more normal state and that is great news if you considering moving up. There has never been a better time. Interest rates are low, the market has calmed down. You are not going to be up against fifteen offers on every house you like.
So if you are considering moving up, it is a golden time to do that. And the concept in the dual market is very simple; if you own a home in the lower price ranges, that market is still relatively strong. We are still seeing short market times and good prices on those, but as you go up the price range, the market is getting a little softer. So if you are considering selling a lower price home and purchasing one that is in the upper price ranges, it is a tremendous time for you and you will have a net gain because you will be selling in a market that is relatively strong and buying into a market where it has softened up to the point where there are some very good values out there. So really, it is a great time to consider moving up into another home.
In closing, thank you for watching. If you know anyone who could benefit from this information, please share it with them. If you have any specific questions about real estate, please add it to the comments below and we will be glad to address them. And as always, if you know any one who could use our services, please do reach out to us at 680homes.com or at 925-621-0680. Again, this is Doug Buenz with the 680 Homes Group and thank you for watching.
Homes for Sale and Real Estate Market Update Video for Pleasanton CA January 23, 2018
Hi everybody, this is Doug Buenz with the 680 Group and Venture |Sotheby’s and 680homes.com. This is our October Market Minute for Pleasanton California.
What’s going on in the market? Well, inventory is constrained still but it is higher than last year. Buyers are more cautious, certainly there seems to be a shift in the buyer mentality. They are more deliberate, there is not as much pressure to make multiple offers. So buyers have definitely slowed down their pace and that is having an impact.
The news media is starting to report that the market has slowed down. You are starting to see some of those news stories filter in and that will also further impact buyers thinking. But surprisingly prices are higher right now than they were last year at this time. So prices are still up there and we have not seen a serious deterioration in prices yet.
Let’s take a look at some of the stats.
Average Price Per Square Foot for sold properties in September was $598 a square foot in Pleasanton. In August it was $593. It is actually up slightly. In September of 2017 the average price per square foot for sold property was $531, so prices are actually by this measure, about 12% higher than they were last year at this time.
Let’s take a look at Active Pending and Sold Properties. The pace of the market. Right now there are 84 active listings in Pleasanton.
Single family home listings, there are 43 pending sales and 48 sold properties in the month of September.
How does that compare to last month? Last month we had 97 active listings, so inventory is down slightly. Pending sales were a little lower in August, so pending sales are actually a little bit higher 41 pending sales in August compared to 43 last months, and 63 closed sales in August compared to 48 this month. So that’s where you are starting to see a drop in activity.
If we look at Average Days on Market for Active Listings, right now for properties under $1,000,0000 in Pleasanton, the average days on market is 36 for the $1,000,000 – $2,000,000 price bracket, the average days on market is 31. For active listing and over $2,000,000 it is 142 days on the market, that’s not surprising.
So let’s take a look at Percentage of Listings with Price Reductions in Pleasanton in September. 39.3% of the active listings in Pleasanton had price reductions, 30.2% of the pending listings had price reductions and 29.2% of the sold properties had price reductions, so we are seeing some price adjustments out there as the pace of the market slows down.
Let’s take a look at Percentage of Homes Sold Over List Price. So in the under $1,000,000 price bracket 44% of the sales were over the asking price. In the $1,000,000 – $2,000,000 price bracket, 38% of the closed sales were over the list price and in the $2,000,000 plus bracket there was 0% of the properties that were sold over the asking price. So again, when you get into over $2,000,000 bracket the market of course is a little bit slower and moves at a little different pace.
Overall 37.5% of the sales in Pleasanton in September were over the asking price.
So there you have it. Prices are softening but still higher than they were a year ago. Inventory is still constrained and the buyers have a different attitude about the market and that will start to translated into less aggressive offers and we will see how that goes moving forward.
That is it for now. Be sure to like and share this with your friends if you think they would get some value out of it. We invite you to comment on this video below as well. Let us know your thoughts and as always if we can help you or someone you know with their real estate needs, call us today 925-621-0680 or go to our website 680homes.com for our listings.
Thanks for watching.
Pleasanton CA Home
7949 Limewood Ct | Pleasanton | CA | 94588
Fabulous remodeled traditional Pleasanton CA home in a premium cul-de-sac location. 4 Bedrooms, 3 Bathrooms, 1868 sq ft, .21 acre lot. More photos and details coming soon.
Pleasanton CA Home
1790 Beachwood Way | Pleasanton | CA | 94566
Awesome Pleasanton CA home on cul-de-sac within walking distance of schools. 4 Bedrooms, 3 Bathrooms, 2578 sq ft, 8715 sq ft lot. More photos and details coming soon!
San Leandro CA Home
453 Linnell Ave | San Leandro | CA | 94578
Charming San Leandro CA home in ideal commute location. 3 Bedrooms, 1.5 Bathrooms, 1582 sq ft, 5264 sq ft lot.
Pleasanton CA Home
528 Bunker Lane | Pleasanton | CA | 94566
Spectacular Castlewood custom Pleasanton CA home built for entertaining. 5 Bedrooms including In-law/Au Pair Suite with seperate entrance, 5.5 Bathrooms, 4565 sq ft, 1.05 acre private lot. More photos and details coming soon!