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Folsom Real Estate Info For May


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#31 4thgenFolsomite

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Posted 13 June 2011 - 08:38 AM

$500 rental in Folsom???? for what, a room? a trailer? on Wales?

Home Run Rentals handles high-end rentals in Folsom. I've never seen anything on that website in Folsom for less than $1800/mo. Just saying...

And lots of renters are those who have lost their homes to foreclosure or short sale, so they aren't buying right away anyways.


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#32 (The Dude)

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Posted 13 June 2011 - 10:00 AM

It just seems....unusual, for someone to be spinning the positives of the market for few, when the other 99% are suffering losses, specially when the person doing the spinning is getting paid from sales from the few and is only disclosing a portion of the news about total transactions.

People should know me well enough by now to know I'm simply trying to add another perspective to comments. I simply believe that the more information people have, they will be better prepared to make better choices.


Roberto, it may just be me but it appears you might have some angst for mister stevethedad.. ? maybe, at least just a little?

It may just be me, but it seems you just want to argue with Steve about being positive vs negative.

Things are not all doom and gloom everywhere. Sure the economy may be down but it doesn't mean "the other 99% are suffering losses". I dunno about you but I'm not living out on the streets yet so that must mean the economy isn't doing as bad as the prophets of doom would like everyone to be depressed about.

As a dude on the working beat, I'm seeing the job market growing more and more lately and IMO, that is probably helping people feel comfortable enough to take the plunge and buy a house.... to me, these house sales, even the repo's are a sign that things may be coming back to normal in the future.

In my experience, house values rise and fall every 10 years... as long as I'm happy and able to pay to stay put for a while, I'm confident my house value will grow again.

Have some hope!, it's a lot less stressful then walking around predicting the demise of the world all the time... and as you know times can be bad, but Folsom isn't anything like the rest of Sacto... and it's not so bad here, really it isn't, even with our developer sphincter kissing city council.

#33 old soldier

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Posted 13 June 2011 - 12:00 PM

this here topic got the old soldier putting his thinking cap on. folks are getting worked up with the value of the home going up and down, but if you are like the old soldier, not thinking about selling its not a big deal

therefore old soldier could care less...he is in his house for the duration, which is when he kicks the buckett, and then when that happens he could really care less.

#34 rpo

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Posted 13 June 2011 - 02:58 PM

No you didn't get it right. Therein lies the problem

What part of values continuing to decline don't you get? This isn't positive news for anyone, unless you are a buyer



That absolutely is positive news for everyone. The first step towards increasing home values is less homes available on the market which creates more competition. That is EXACTLY what Steve's statistics show. The lower the number of homes on the market is the stronger the market will be. At least we are finally seeing strong signs that step has been reached.

#35 rpo

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Posted 13 June 2011 - 03:04 PM

Maybe you could share with everyone your theory on, Why banks are wholesaling houses at auction through the foreclosure process if news is as positive as you claim? Banks aren't stupid as some may think. They know and foresee further drops in values, therefore they want out ASAP cutting their losses now, instead of loosing more later. This is why banks are accepting about $120 per foot on semi custom homes in Folsom at auctions.


Banks are selling homes at wholesale because they, in many cases, are not responsible for the additional losses incurred vs listing the home and selling for a higher amount. As for banks being stupid......they ABSOLUTELY ARE. I have seen banks, many times over, reject a short sale offer on a portfolio loan and then subsequently sell it after foreclosing for 30-40% less. That is an actual loss for the bank, which makes their understanding of financial matters completely incompetent. They are NOT selling at auction in order to not incur further losses later. They are simply taking the easy way out, even though it likely means additional losses of ~20%. If the banks were being motivated to sell more quickly in order to cut future losses, then they would not sit on homes without listing them for 12+ months as they are in many cases. Bank of America alone owns an estimated 100,000 homes that are NOT on the market currently. Why else would that be if not for incompetence?

#36 Robert Giacometti

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Posted 13 June 2011 - 05:40 PM

That absolutely is positive news for everyone. The first step towards increasing home values is less homes available on the market which creates more competition. That is EXACTLY what Steve's statistics show. The lower the number of homes on the market is the stronger the market will be. At least we are finally seeing strong signs that step has been reached.


Are prices going up or down?

Why is that?

#37 Robert Giacometti

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Posted 13 June 2011 - 06:23 PM

Roberto, it may just be me but it appears you might have some angst for mister stevethedad.. ? maybe, at least just a little?

It may just be me, but it seems you just want to argue with Steve about being positive vs negative.

Things are not all doom and gloom everywhere. Sure the economy may be down but it doesn't mean "the other 99% are suffering losses". I dunno about you but I'm not living out on the streets yet so that must mean the economy isn't doing as bad as the prophets of doom would like everyone to be depressed about.

As a dude on the working beat, I'm seeing the job market growing more and more lately and IMO, that is probably helping people feel comfortable enough to take the plunge and buy a house.... to me, these house sales, even the repo's are a sign that things may be coming back to normal in the future.

In my experience, house values rise and fall every 10 years... as long as I'm happy and able to pay to stay put for a while, I'm confident my house value will grow again.

Have some hope!, it's a lot less stressful then walking around predicting the demise of the world all the time... and as you know times can be bad, but Folsom isn't anything like the rest of Sacto... and it's not so bad here, really it isn't, even with our developer sphincter kissing city council.


Really?

I thought Steve and I were having a debate about wether or not the news about Real Estate is positive or negative, I didn't know it was personal.

I thought Steve was saying based upon Info from the MLS, there is some positive news and I was saying we have to look at the entire picture ( Jobs & Foreclosures) and NOT just the MLS to form our opinions. Based upon this picture and the fact the values are continuing to decline, I'd have to say the news is still negative.

BTW, where do you think values will be in 6 months...higher or lower? What will the layoffs at State/County/Sac City/Schools have on or real estate values going forward? We already know your opinion on the effects of developing S50 on real estate so I don't need to ask that.

Can you Show me where I ever predicted the demise of the world? Did I NOT say this was a great time to buy? Did I not say for people who are in homes who are making their payments to NOT worry about values? Did I NOT say we will get to the bottom of the market? Did I NOT say Folsom should do better at holding their values than other communities in the county?

I know I'm very direct and at times I say things people really don't want to hear or address. I believe to solve problems one first has to acknowlege the problem exists. There seems to be way too many people in denial about so many issues we face. Yet when one tries to talk about issues, people twist the topic into a personality debate.

Its NO wonder why we have so many problems to deal with today!

#38 rpo

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Posted 13 June 2011 - 07:43 PM

Are prices going up or down?

Why is that?


The rate at which they are dropping is becoming lower and lower. The lowest median home price bottomed out in October of 2010. Will we drop below that in the future? Possibly, but we are coming up at the one year point without prices going back that low again. That is positive.

Sacramento bottomed out in January of 2010 and now has gone 1.5 years without going that low again. That appears to show that Folsom is behind the curve.

Home prices are not increasing by any meaningful amount in either city, but they are not dropping year over year at this point.

#39 Redone

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Posted 13 June 2011 - 08:20 PM

Just closed in Prairie Oaks recently asking $ 642,000 , multiple offers, sold in 1 day for above asking price.

I think some pockets are on the way up no matter what the Bee says.

#40 (The Dude)

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Posted 13 June 2011 - 08:34 PM

I thought Steve was saying based upon Info from the MLS, there is some positive news and I was saying we have to look at the entire picture ( Jobs & Foreclosures) and NOT just the MLS to form our opinions. Based upon this picture and the fact the values are continuing to decline, I'd have to say the news is still negative.


There are 379 houses on the market in Folsom right now, 34 are repos. I don't see that as extreme doom for us.

BTW, where do you think values will be in 6 months...higher or lower? What will the layoffs at State/County/Sac City/Schools have on or real estate values going forward? We already know your opinion on the effects of developing S50 on real estate so I don't need to ask that.


Mark my words right now, the values will have risen slightly and values will not be dropping as drastically as they have the past few months.

The layoffs for the state are decades over due, I'm not worried about a glut of over paid pensioners who were given golden parachutes for early retirement as any kind threat to our home values.

Can you Show me where I ever predicted the demise of the world? Did I NOT say this was a great time to buy? Did I not say for people who are in homes who are making their payments to NOT worry about values? Did I NOT say we will get to the bottom of the market? Did I NOT say Folsom should do better at holding their values than other communities in the county?


It's your tone dude, for every positive Steve has noted, you've made it out to be him lying and putting out false info when in fact he just didn't focus on the negative like you chose to do. Believe it or not, like it or not, there are some positives going on in the real estate market right now.

I know I'm very direct and at times I say things people really don't want to hear or address. I believe to solve problems one first has to acknowlege the problem exists. There seems to be way too many people in denial about so many issues we face. Yet when one tries to talk about issues, people twist the topic into a personality debate.


You call it as you want to, and I respect that. I too call it as I see it and am not shy about discussing it openly.

Its NO wonder why we have so many problems to deal with today!


We're not sticking our heads in the sand but then again we're not running around claiming the sky is falling either.

#41 caligirlz

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Posted 13 June 2011 - 08:50 PM

Since there are always buyers in a market, at some point values will decline, to entice buyers to buy. As values continue to decline they reach prices that become more affordable to some and less of a risk to investors. So the number of potential buyers increase.

I was just talking to a co-worker today. She lives in Empire Ranch up by the new grade school & Madrone condo's. She said there is now only 2 original families in that immediate neighborhood, every other house has been sold & the majority is occupied by renters. That neighborhood, from what I can tell, was the most recently built "affordable homes" starting at $400K. Now, selling at approximately $275K.

What part of values continuing to decline don't you get? This isn't positive news for anyone, unless you are a buyer

As a buyer, newer SFH are on the edge of affordable, especially if one is prudent and won't go over their budget. I was out driving around tonight, again, through some of the high-density developments. Home ownership in Folsom is not enough to entice me to buy in one of these communities (I hope that comment doesn't come back to bite me).

That absolutely is positive news for everyone. The first step towards increasing home values is less homes available on the market which creates more competition. The lower the number of homes on the market is the stronger the market will be. At least we are finally seeing strong signs that step has been reached.

Actually, that's positive news for sellers & owners, but not buyers. And frankly, it sucks for buyers.

The rate at which they are dropping is becoming lower and lower. The lowest median home price bottomed out in October of 2010. Will we drop below that in the future? Possibly, but we are coming up at the one year point without prices going back that low again. That is positive.

Sacramento bottomed out in January of 2010 and now has gone 1.5 years without going that low again. That appears to show that Folsom is behind the curve.

Home prices are not increasing by any meaningful amount in either city, but they are not dropping year over year at this point.

I think Robert has brought up some very valid points, and granted the affects have not been felt as severely as in other Sacramento region cities, yet, as rpo mentions.

I can tell you as a buyer, and I'm looking only in Folsom, the SFH's in the low 200,000 in the newer sections of town are in a sorry state of disrepair (I'm not looking in the older section because the yards are too big). Not only do they need a cometic overhaul, but many will need some significant structural repairs as well for water or mold damage, just to make the place inhabitable. I was concerned about the article in Sac Bee yesterday about investors only making cosmetic but not structural fixes, so now I will have to steer clear of those homes too.
http://www.sacbee.com/2011/06/12/3694096/real-estate-scavengers-flip-foreclosed.html

Then there is the sweet spot price range that Steve has mentioned, mid-200's to low 300's...these homes are now receiving multiple offers. And most likely will push the price up further - again, good for owners & sellers, but not buyers.

I really don't understand this submit your best & final price by 5 pm mentality, vs a seller looking at each option & treating each offer individually via the realtor. That's how it was done in the old days just a few years ago...or at least how we did it. This sounds more like "speed home" sales (like speed dating I've heard about). And a way to increase the amount of the offer. It's like a blind poker game with a heck of a lot of money in your hand.

This makes me really tired. :zzz: It's not nearly as exciting as it once was.

#42 Robert Giacometti

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Posted 13 June 2011 - 10:23 PM

There are 379 houses on the market in Folsom right now, 34 are repos. I don't see that as extreme doom for us.



Mark my words right now, the values will have risen slightly and values will not be dropping as drastically as they have the past few months.

The layoffs for the state are decades over due, I'm not worried about a glut of over paid pensioners who were given golden parachutes for early retirement as any kind threat to our home values.



It's your tone dude, for every positive Steve has noted, you've made it out to be him lying and putting out false info when in fact he just didn't focus on the negative like you chose to do. Believe it or not, like it or not, there are some positives going on in the real estate market right now.



You call it as you want to, and I respect that. I too call it as I see it and am not shy about discussing it openly.


We're not sticking our heads in the sand but then again we're not running around claiming the sky is falling either.


Where did I ever say Steve was lying? Where did I ever say the Sky was falling? Where did I ever say Steve was putting out false information?

I've never disputed the MLS numbers why would I? Actually I seem to recall thanking Steve for providing the numbers.

It seems like you have gotten way off base by focusing on something you are creating in your perception instead of reading WHAT I said. If you aren't clear about something I've written why not ask me, instead of jumping to wrong conclusions like you have?

It will be interesting to see what happens to real estate prices going forward. I'm still thinking until employment numbers improve and foreclosures slow down to more traditional numbers, we will see declining home values. We might see a small uptick in prices during the summer months, which seems to happen.

#43 Redone

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Posted 14 June 2011 - 06:18 AM

Where did I ever say Steve was lying? Where did I ever say the Sky was falling? Where did I ever say Steve was putting out false information?


You did say those numbers didn't take into account Non MLS sales and auctions. Don't let this info confuse you. As I posted before, if Non MLS sale is resold quickly at a higher price no appraiser or lender would look at the first sale as a legitimate market sale. The Non MLS has some kind of distress such as FSBO, Non Arms length, Foreclosure, Divorce, or a home that needs Renovation. Once the distress is cured and the home is marketed on the open market then that is representative of the market price.

Sometimes you just need to let those in their field be the experts.

#44 M.E.G.

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Posted 14 June 2011 - 07:07 AM

If you are making offers on bank owned properties, they don't want to spend time reviewing, and countering multiple offers. They have too many properties to deal with. If it is a normal sale, or even a short sale, my guess is the agent does not want to spend a lot of time on it.

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#45 M.E.G.

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Posted 14 June 2011 - 07:43 AM

Here are the numbers for the past three years for Folsom foreclosures and Notice of Defaults. For the most part, pretty consistent. While there is talk on the forum about banks dumping their homes, I don't believe it will happen. The banks are smart enough to know if they dump, prices will go lower, faster. I am not seeing any "wave" like we thought we were going to see early in this process. For the most part, banks are not even filing Notice of Defaults, until it is in their best interest to, based on their books and timelines.

Attached File  Folsom Foreclosures (Small).jpg   18.44K   3 downloads

M.E.G.

Mechelle Reasoner (formerly Gooch)

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Morris Williams Realty

Call or txt: 916 955-8698,

Email me

Read my blog, search for homes, find out more about Folsom at FolsomCorner.com





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