A contingent offer is only as good as the home listed. Contingent offers are on the rise and happening quite a bit in Elk Grove real estate as well as Sacramento real estate. A potential home buyer is working with one of my team members to buy a home in Elk Grove, but she keeps coming back to a listing we have and asking about buying it with a contingent offer. Her close relative has her home listed, and this buyer continually expresses displeasure with the way things are going. The problem is we cannot interfere in the sale of her home, and we certainly would not ask her to list with us. It has to happen the other way around, and she has got to ask us to list her home.
It’s sorta like being between a rock and a hard place. Because when I look at her listing, it is apparent to me that she is about $50,000 over market value. That’s significant. A contingent offer is only as good as the home listed. She likely will not get her price in this market at this time. So, do I tell her that? Do I take the risk that I could be interfering in her transaction even if she asks me? Do I take the risk that her relative will chase me down in the parking lot with an ice pick?
You can read more in my personal blog today about https://www.elizabethweintraub.com/making-a-contingent-offer-when-your-home-is-not-yet-on-the-market.
If you want to sell or purchase a home please call Weintraub and Wallace Realtors with RE/MAX Gold. We can be reached at 916-233-6759.
People with kids tend to celebrate Halloween more than people without kids, I suspect. And even if you don’t have kids of your own, you still have nieces and nephews and maybe even your next-door neighbor kids or kids at places where you volunteer to spend time with on Halloween.
When we reach a certain age, most of us don’t necessarily attend Halloween parties, but that doesn’t mean we have to end up hungover and sleeping in the bathtub. There are other options for a party.
This family in the photo above are clients who are looking to buy a home in Sacramento. We sold their home about 18 months ago, and they decided to rent to have more time to find the right property. Searching for Sacramento real estate takes a lot of time and energy, but this family also takes time out to enjoy each other and their precious little boy. I hope they ate too much candy.
When looking for treats and finding Halloween spirit, make sure your Sacramento Realtor is showing you homes in between costume changes on Halloween! Call Weintraub & Wallace Realtors with REMAX Gold. You can reach us at 916-233-6759.
This is a timely blog by our lender Dan Tharp– JaCi Wallace. When I heard a powerful “bomb cyclone” storm was hitting Northern California last week, I instantly thought about my Flood insurance. For many, they assume their property is covered for any type of detrimental occurrence that can take place. However, not all homeowners in Sacramento know that home insurance policies don’t necessarily cover damage related to a flood, as the risks are too great. As a result, homeowners must purchase flood insurance through a private company.
Floods are one of the most common hazards in the US, costing billions of dollars in damage to properties every year. And more importantly, if you are in the process of shopping for a new home in Sacramento or anywhere in California for that matter, budgeting that monthly payment, it’s good to know if flood insurance will be required.
What Is Flood Insurance?
Flood insurance policies are typically made available to homeowners in flood-prone areas. The majority of insurance policies cover some form of water damage, from things like leaking faucets to bursting plumbing pipes. However, such policies don’t cover water damage due to flooding of rivers or sewers that cause water to ruin a home. Instead, specific flood protection is provided by the National Flood Insurance Program (NFIP), which is run by the Federal Emergency Management Agency (FEMA). Standard flood insurance policies cover “direct physical damage” to a property resulting from floods.
A separate policy must be purchased to protect the belongings inside the home or building. Homeowners can buy up to $250,000 in coverage for the home and $100,000 in coverage for possessions. Even renters are permitted to purchase flood insurance to cover their possessions.
How Does Flood Insurance Work?
Flood insurance isn’t sold by FEMA directly but rather is sold to customers through private insurance agencies. The government determines premium rates, and they remain consistent from one insurer to the next.
How much a homeowner pays for their specific flood insurance depends on a number of factors, including how prone the neighborhood is to floods and how much coverage a homeowner wants. Natomas, where my office sits, is in a flood zone and my clients are required to get flood insurance. The yearly premium on my last quote was $516 annually. I can direct you to some very qualified local experts in flood insurance if you need a quote.
Filing A Flood Insurance Claim
The claims process is like any other insurance claim. Once the claim is filed, the damage will be analyzed by an adjuster assigned by the insurance company. A “proof of loss” form will need to filled out and submitted to the insurer within 60 days of the flood occurrence.
Do You Need Flood Insurance?
It’s necessary to find out if you are eligible for flood insurance before buying it. For residents of a community to be eligible, the community needs to enforce floodplain statutes to lessen the chances of flood damage, after which FEMA ensures that such regulations are followed.
Only those who reside in a community that participates in NFIP can buy insurance – today, about 20,000 communities across the country participate in this program.
FEMA offers maps that outline what areas are at high risk for floods, and those at moderate-to-low risk. The law requires homeowners to have flood insurance if the properties are located in a high-risk zone and have a federally-backed mortgage. This is because properties in these high-risk areas have a 26 percent chance of suffering flood damage during the 30 years it would take to pay off a mortgage. If you are currently shopping for a home and are not sure if you are in a flood zone, just give us a call with the home address and we will find out for you.
Homeowners are not required to buy flood insurance if they reside in a moderate-to-low-risk zone, though it may be a good idea to purchase it anyway. Properties outside the high-risk areas make up over 20 percent of NFIP claims. Homeowners in these areas can purchase up to $200,000 in flood insurance.
The bottom line is, even if you don’t necessarily live in a high-risk zone, this doesn’t mean your home won’t ever get flooded. Many conditions can result in flood damage, including clogged drain systems, flash rainstorms, and damaged levees.
|Dan Tharp – Branch Manager – 916-257-1470 NMLS# 280913 | Company NMLS # 3274 Guild Mortgage|
April 2020 Housing Statistics for Sacramento County shows the trends are mighty clear, says Josh Amolsch. This is an exciting blog post from Josh, enjoy his read below. –JaCi Wallace
We are in a completely different place right now than we were at this point last year. Do you all remember the glorious days of April 2019 when Sacramento County single-family home inventory was 26% higher? When the median home price was $15K less than it was last month? I sure do remember, and all my wonderful buyer clients do, too.
Sellers in April 2020 were enjoying getting 100% of getting their asking price. However, if they are buying replacement property, they are staring down the barrel of having to be in the buyer’s shoes as they move on to their replacement home purchase. With homes selling in 20 days in April 2020, which by the way is 43% faster than March 2020, you pretty much may have to take what you can get in this market.
I actually talked to a new potential buyer client today about the market. I had to show him the reality that his idea of getting a beautiful home in Stonelake, Elk Grove, wasn’t going to work. He wanted to offer $70,000 under asking price, and this is a dream that he needs to wake up from. He cited a Covid19 previous report about patience and Covid19; his take was a market price-drop. His assumption was that people suddenly want to give their homes away. Nope. Kinda need a shelter to shelter-in-place.
Some of you may have seen my teaser post on social media about the “Cumulative Days On Market,” reaching 20 days for April 2020. Well, here it is in all of its shocking glory. It is taking twenty (20) days on average for single-family homes to sell as of April 2020. We have not seen homes selling this quickly in Sacramento since July 2017, when we hit 19 days. That appears as a hot summer market in Sacramento’s real estate, even with a global pandemic.
Think about this, going back as far as Trendgraphix allows, I did not find a time when homes were selling this quickly. So, if you are putting your home on the market, start packing and writing offers on replacement homes, because if this trend continues, you will be loading up that UHAUL before you can get to Costo to load up on apocalypse amounts of toilet paper.
The good news with the April 2020 housing statistics for Sacramento County show a positive change. Although we are down from April 2019 in inventory, sales, pending, and new listings, the inventory is up 15.5% in April 2020 over March 2020. The pendings are also up 4.3%. The uptick in new listings in March gave us more inventory in April, and buyers got back to writing offers. With this step forward, the median home price stayed strong at $400K for the second month in a row.
Another metric I am seeing is real-time stats comparing 4.1.2020 – 4.7.2020 vs. 5.1.2020 – 5.7.2020. We are already seeing 59% more pendings and 4% more new listings. Due to low inventory, sales are down 40%, but inventory is increasing by 14.7%. I predict we will continue to see a tight market, increased median home prices, homes selling quickly and, for most, if not more than what sellers are asking. Mortgage Rates Daily shows rates at 3.25% today, and these historically low rates are largely expected to keep driving the market.
Hang in there. Weintraub & Wallace Realtors with RE/MAX Gold is well-versed in competitive markets and can help you whether you are buying or selling. Give us a call, text, or email anytime. We can be reached at 916-233-6759.
— Josh Amolsch
Is Martin Luther King Day a Realtor holiday? This day began like any other day, hustle and bustle. We have a new Carmichael listing coming soon and we were busy getting the agreement signed. There are some legal overlays, so an attorney had to review. Both sellers have to sign it. We should be in MLS on market status by Friday. What a beautiful property, and be sure to read that post in a Coming Soon listing blog promotion. We should have photos next week.
Also, we received an offer on our Oak Park listing on 48th today, so we responded right away with a seller counter offer. Our escrows needed updating as they are in process. With appraisals due next week, we have our handyman getting them ready with smoke detectors and CO2 detectors.
My nephew is home shopping and so is my niece Adina, so it has been busy searching high and low online for a property because we are plagued with very low inventory.
It was like any other workday, except title company and lenders were closed for business so the phones were a bit quieter than usual. Is Martin Luther King Day a Realtor Holiday? The answer to this is NO, there is no Realtor holiday when there is work to do.
If you would like to have a Realtor working for you who works on all federal and national holidays, call Weintraub & Wallace Realtors, with RE/MAX Gold. We can be reached seven days per week at 916-233-6759.
— JaCi Wallace