Open Today & Tomorrow (Jan. 30th & 31st)

Saturday Open Houses

Sunday Open Houses

How much did that house sell for? (Jan. 19-25)

What's interesting to note on this report is that while there are some outlier sales with large differences between list and sales price, many fall within a 5% differential. It's encouraging to see homes priced closer to market value and only time will tell if this is a trend we'll see more of in 2016. 

Open today & tomorrow (1/23 & 24)

Saturday

Sunday

Best and Highest

Often when listing agents are asked what their sellers are looking for our response is "best and highest", meaning the highest price and best terms. Sometimes a seller may need some extra time in the house after close, or may be looking for an extra quick close, but most often the bottom line is "best and highest".

What does that mean, exactly? On occasion it's really "best or highest". When there is no single offer which shines as best and highest it's time to compare to find which offer strikes the most advantageous balance between price and terms.

Why not just accept the highest price and be done with it? Well, there are terms in every contract that make a deal more or less secure, more or less likely to close, more or less likely to risk that high price and if you don't know all of the aspects of a purchase contract, you could watch that high offer price tick away dollar by dollar until you end up with a price you're "stuck" with, instead of one you're happy with.

There are many nuanced components to an offer which must be considered and analyzed as parts of the whole. For now, let's quickly review the big three contingencies: Financing, Appraisal, and Inspection. I've already written in more detail about what each of those mean from a buyer's protection perspective here, so here I'll focus on what a seller stands to lose due to contingencies.

Financing: if a buyer has been fully pre-approved, they are saying that it's possible they will have to back out of a contract if they are unable to secure financing. Having a property fall out of contract and come back on the market tends to hurt a property's sale since the first two weeks of a property's marketing plan are the most impactful.

Appraisal: if a property does not appraise for the offer price and the buyer has an appraisal contingency you can bet the sales price will drop. It may not drop the full difference to the appraised value, sometimes a buyer will split the difference. But if an offer price is higher than the comparable sales, you need to ask your agent how to address this potential pitfall (there are ways to assess this one in more depth, feel free to ask me how).

Inspection: this one tends to be familiar with most buyers and sellers. If a buyer discovers any faults in the property that were unknown when they submitted their offer they have grounds to ask the seller to give them a credit, or reduce the price. There is an almost surefire way to work around this, even if a buyer wants to retain their right to inspect to their satisfaction. Want to know more? Just ask.

Just the other day my buyers' offer won in the midst of 14 other offers. The listing agent confided that they were in second place in price, but the rest of their offer was so strong they are now in contract to purchase their first home, a totally remodeled bungalow with a great yard in their perfect neighborhood. Price is important, but so are many other factors when writing or accepting an offer, be sure you're addressing all the moving parts when putting your best foot forward.

How much did that house sell for? (Jan. 12th-18th)

Despite the craziness of the holiday season, mid-December buyers managed to eek out a couple deals here and there. Overall, the trend continues to go up, up, up.

Oakland's Restaurant Week Starts Today!

I remember when I first learned of this annual festival of feasts across my town -- it was after it had ended and it was like that for more than a couple years. Somehow I just kept missing Oakland's Restaurant Week and my annual tradition became lamenting lost luscious bites of restaurant fare from establishments both new, and tried and true. But all of that ended in 2015 when I dashed from door to door, catching deals where I could and using the week as intended: to try new places, new dishes, and to do so with friends. In 2015, Rockridge's Bourbon & Beef was the dinner stand out and I've eaten there multiple times since my first taste a year ago. This year The Barrel Room is on the list as is Salsipuedes -- the beginnings of yummy list I'll happily lengthen.

I'm not the only one who's been foraging the restaurant week menus, hunting for the best deals and most interesting places to check out. Here's what others have to say:

The East Bay Express offers their "best bargains" for the coming week, here.

SF Eater breaks down the top 3 best and worst deals of the week, here.

On the heels of Oakland is Berkeley's Restaurant Week running Thursday, January 21st-31st which runs concurrently with San Francisco's Restaurant Week (which begins one day before Berkeley).

Don't let the rain keep you hostage in your home! Get out there and be warmed by open kitchens and good conversation as you eat your way through our nationally acclaimed restaurants one deal at a time.

How much did that house sell for? (Jan. 5-11, 2016)

The sales numbers below represent properties that went pending in & around early December -- the middle of the winter market. The winter market is the market that, until 2015, was seen as the slowest of the annual cycle. What you'll see reflected is a market starved for inventory. 

Numbers are out comparing inventory from 2012 and earlier to 2013 through 2015 and they are so much lower it's no wonder we're seeing the competition we are. Though we've lamented the "low inventory" of the past year or two, it's beginning to look like it may be a new normal for a while. Buckle up, we're headed for another competitive year with strong sales ahead.

#staindglass #doors to welcome you beyond the front entry doors. #oakland #victorian #homes #oaklandrealestate #beautifulhome #eastbay #bellavista #realestate #realtor

via Instagram @shannonkellyhomes http://ift.tt/1JGqws5

Talk about a #diningroom. #oakland #oaklandrealestate #eastbay #beautifulhome #realestate #realtor

via Instagram @shannonkellyhomes http://ift.tt/1TQGvEo

Stunningly restored Victorian in #oakland 's #bellavista #neighborhood.

via Instagram @shannonkellyhomes http://ift.tt/1OetrqX

Open Today & Tomorrow (January 9th & 10th)

Jumping right back into open houses, below you'll find all east bay opens for today & tomorrow. Please note the correct price for 570 Canyon Oaks in Oakland is $429,000, not $94,605 (which is actually the zip code).

Saturday

Sunday

How to refer the right Realtor

With somewhere around 185,000 licensed Realtors in California, you can almost throw a shoe and hit one of us (but please don't). Given that number, the odds are that you personally have a Realtor or two (or five) in your circle. We've all been trained from day one to ask our friends and family for their referrals, but when you know more than one good real estate agent, how do you choose which to refer your friend to? Do you refer them to anyone, or do you end up keeping quiet to avoid causing offense? Here's a simple solution: base your referral on best fit.

Let's look at it from another perspective. Your favorite restaurant is a little Mediterranean place in your neighborhood. You have friends visiting from out of town who ask for a restaurant recommendation, but you know they don't like Mediterranean food. Would you still refer them to your favorite restaurant because you believe it's the best? Hopefully not, you'd be setting them up for disappointment and they might not ask you for another restaurant recommendation. In the same light, you wouldn't recommend a professional to a friend if you know they wouldn't work well together.

In your pool of real estate professionals you know a person's style and personality. Real estate is a personal profession; people invite us into their homes and lives so we can best assist them. Because we spend a lot of time with our clients, the right client-professional fit is important for a successful working relationship and a satisfied client. So when you have the opportunity to refer one of your denizens of Realtor friends to another friend, family member, or acquaintance, consider who would be the best fit.

Other things to consider when referring a Realtor:

Are they a full time professional, or is this a part-time gig?

What is their communication style?

How experienced are they in the industry?

Do they specialize in the target area?

Pragmatics of referring:

People are busy. With the permission of the person who needs help, pass their contact information on to the real estate professional to whom you're referring them. Let us remember to call them so they can focus on other things.

How much did that house sell for? (Leaving 2015, Entering 2016 Data)

The closing sales data for 2015 reflects the busy-ness of the market I've been touting throughout the holidays. Through an informal poll in my office the feelings for what's coming in 2016 are split between prices somewhat leveling or continuing to rise. No one has a crystal ball to accurately predict market nuances or fluctuations, however based on the minimal impact of the recent rate increase and the strength of the holiday market, my guess is that 2016 will be another very strong year for Bay Area real estate. The market is starved for listings, so if you've been thinking about selling, now is the time to start planning and preparing so you can take full advantage of the current surplus of ready and able buyers. Contact me today to make the most of the market.