I know what you thnk… “What’s the deal here…?”
According to my partner Carl Cooley, Broker, we’ve had about 4 months of increasing prices. You know… I don’t know what to tell you except the following and you come to your own conclusion.
Last weekend I wrote.. I think 8 offers… Only one of that group was accepted and that was a short sale on a condo for about $45,000.00.
The other offers were for properties that I have posted on this site before. On every occasion I was given the usual “bring your highest and best offer” verbage from the listing agent. I found out that several of these offers were “all cash” including the ones that I presented.
Folks.. you have to be careful here because I think the Banks are holding several more of these back, because they want to keep the prices up.
The economy in improving.. and yea I know we’ve got about 11% unemployement here in the Sacramento Area, but you see signs everywhere that it’s not “dead”. Take a drive anywhere around this region and you are going to see construction sites working.
The Builders haven’t realy gotten back in the market here to build new inventory, although there are projects working. So while we have some high unemployment numbers there is a lot of money looking for a home now.
Be carefull that you don’t get caught up in the frenzy because these things have to pencil out to make them attractive. On just about every deal we do, I tell prospective Buyers to be prepared to invest another $10,000 to $20,000 in “fix ups and upgrades” to get the rents you’ll need.
Make it a great day