$800,000.00 seems to be the magic number in Marin real estate sales right now. Single family dwellings under $800,000 are coming on the market and going into contract within days – sometimes even hours. You can blink and the house is already in contract. It’s crazy!
Every offer I have made for a client in Marin County under $800,000 is resulting in outrageous competition. People are making offers with all cash, no loan contingency or a really high down payment. How are they able to do this? The market is filled with investors looking for great buys in Marin for under 500k. Then there is the second tier, the first time home buyer. This is one of the best times to get into the Marin market. So, these folks are getting creative – calling up “Mom and Dad” for a loan. How else would they be able to buy their first home with cash? These buyers had to get savvy to compete for the home of their dreams. And then there is the rest of the buyer pool so excited that lending is favorable under 800k and as an added bonus FHA is available too (with a minimum of 3.5% down payment).
As a result of this frenzy, supply of homes has decreased substantially – making this a seller’s market. There are more buyers than there are homes available for sale. The homes left in the inventory are overpriced. Let’s face it, if the home was perceived to be of fair market value, someone would buy it.
So what to do now? Hire a great Marin Realtor! It’s more important now than ever to hire someone who has the knowledge of the market, can negotiate a great deal on your behalf and look out for these opportunities. Why wait until the market has passed you by.
Feel free to contact me to discuss your housing needs.