The SCARY truth about condos

But are they really that scary? Not really, and we sell A Lot of them here in the Bay Area. However, there are some important things to consider if you are thinking about purchasing a condo for your next home.

First, most condos will have shared walls and someone living above or below you. If you are someone who is sensitive to noise, this may not be the best option for you long term. Try to find either a townhome, or, a condo with few to no shared walls, or anyone living above or below you. These are rare, but they do exist!

 The other thing to consider with condo ownership is that when You buy a condo, you are also buying the homeowner association. HOAs have lots of rules, so be sure your lifestyle can coincide with these rules. HOAs are a whole other conversation, but be sure to read the HOA docs provided when deciding to purchase a condo.

 Also, keep in mind most condos don’t appreciate as quickly as a single family home or townhouse. When considering a condo, be sure to note that you should expect to live in a condo for the next 7-10 years before you see an increase in equity.

What do you think about condos?

Do you know anyone who is looking to buy or sell this year?

There has never been a better opportunity for investors and we have a lofty goal to help over 100 families in 2023! If you have any family, friends or colleagues that might be in the market, we'd love an introduction so we can help them!

WHY DOES THE JOB MARKET MATTER?

Data from the latest Bureau of Labor Statistics Jobs Report showed that companies are reducing workers’ hours as opposed to outright letting them go. This may be contributing to the decline in initial unemployment claims. Continuing Claims have risen by more than 300,000 over the last four months, which suggests it’s becoming harder for many to find a job if they are let go.

Not only does unemployment impact the Fed’s decision(s) to continue to hike rates, it also directly impacts consumer behavior. If more people are in fear of losing hours, income, or work, they are less like to spend money. Less spending means lower inflation, but it also means, less buyers.

The current unemployment rate of 3.5% suggests a strong labor economy. The resilience in the job market has been a large contributor to rate hikes. 5% is considered low, 8% is considered high. This is an important piece of the puzzle. The bond market will react to news coming from the various reports coming out this week.

Reminder: bond market goes up, mortgage rates go down.

HOW LOW WILL HOME PRICES GO?

The Case-Shiller U.S. National Home Price Index is a measure of the change in the value of the U.S. residential housing market. It’s a way to measure the purchase prices of single-family homes. The report is released monthly.

The FHFA HPI measures average price changes in sales or refinancing's on the same properties. This information is obtained by reviewing mortgage transactions on single-family properties whose mortgages have been purchased or securitized by Fannie Mae or Freddie Mac. The FHFA HPI is updated as additional mortgages are purchased or securitized by Fannie Mae and Freddie Mac. The new mortgage acquisitions are used to identify repeat transactions for the most recent period and for each subsequent period since 1975. on Feb 1, we get both of these reports and they will shed light on where home prices could be headed. Remember that real estate is hyper local. Its important to watch the list v sell price within a one mile radius of the subject property to accurately assess where prices are headed in a specific market.

More to follow!

Article courtesy of Padi Goodspeed, SVP Cross Country Mortgage 

Après Village and Ice Rink - East Palo Alto, Now to Feb 25

The Very Hungry Caterpillar Play – Palo Alto, January 26 – February 12

Lunar New Year Celebration 2023 in Belmont - Belmont, February 3

Willy Wonka by Children’s Theatre Association SF – San Francisco, Jan 29 – Feb 25

Lunar New Year 2023 at San Mateo County History Museum - San Mateo, February 4

Preschool Valentine's Day Arts & Crafts /Open House Event - Palo Alto, Feb 4

Drumbini: Music Classes for Parents and Kids - Oakland, Feb 7

Family Event: Tuesday Playgroup in Dolores Park 202301-02 - San Francisco, Feb7

Buying a house in San Francisco is extremely stressful. Luckily, Olivia McNally was there to guide my wife and I through the entire process. From the start, she was reliable and knowledgeable. As first time homebuyers on a tight timeline, we appreciated that Olivia provided us a tour of available properties in the city, explained each step in the home buying process, and talked us through the endless paperwork. We actually bid on two houses (for which we were outbid) before landing the third property. For each property we were interested in, she provided us a detailed comp analysis and gave us insight on how to put in a strong offer. She was also extremely responsive through phone and email - it's like she never sleeps!

Olivia really has your best interests at heart. She strives to make the largest purchase in your life as pain-free as possible. She exceeded our expectations and we would recommend her without any reservations!

- P. L. 

We are a boutique residential real estate team helping clients achieve their real estate goals in the Bay Area. We are a group of women who specialize in different markets across the Bay Area, while following a custom process that allows us to help buyers and sellers achieve their real estate goals efficiently. Our team is top 1% of all realtors in San Mateo County and San Francisco with a total of $340M+ lifetime sales. We take pride in knowing that our clients become friends and refer us to their friends and family members because we work to make dreams become a reality. Once our clients speak to us for an initial call, they understand why we are different and why they want to work with us. We are your personal real estate concierge in one of the most dynamic real estate markets in the world.