How Much Over List Price Are Palo Alto Ca Homes Selling in 2014?

Anyone trying to buy a home in Palo Alto right now knows that it is tough out there. There are many more buyers than sellers and many Palo Alto homes sell with multiple offers way over list price. Some homes go as much as 30% over asking, but some do not. How does a buyer make the decision about how much to offer to have the winning bid in a Palo Alto multiple offer situation and not overpay?

The answer is not simple, and sometimes it is not a question of price, but terms, like contingencies, length of escrow, length of rent back, etc.

 

But for right now, let's just discuss price. Here are some things to keep in mind when you make an offer on a Palo Alto home in a multiple offer situation,

1. In my opinion the most important thing is, how much is this home worth to you? In other words, what price would you offer so that if it sold for $1000 more you would not be sorry because you do not want to pay that much. It may be that you would pay more than your offer if you could, but you can't so you are just doing your best. But if that is not the case you need to decide how much the house is worth to you so that if you do not get it you will not have regrets.

2. How is the asking price of this home compared to market value? If the house is listed low it will get multiple offers and sell for much more. If it is listed at or above market value it will not. This is not rocket science. Figuring out market value can be a little tricky since there are many variables, and the market is a moving target, but a good Palo Alto real estate agent should be able to help you analyze comps. Once you know the market value you will have to offer more in an appreciating market like we are in now. Sorry, but that is the truth.

3. What is the style of the listing agent? Does he or she like to list homes very low to get as many multiple offers as possible on their Palo Alto listings? Does the agent over value a home to try to get more money for their client, or just try to win out on a competitive listing? Does the agent like to work with multiple counter offers, or accept the the first best offer?  Your agent should be able to give you insight into what other Palo Alto real estate agents like to do.

 

In the end, the final offer price and terms will be your decision, but if you have a great Palo Alto real estate agent he or she can help guide you through the murky waters of Palo Alto multiple offers.

If you have any questions about buying or selling a home in Menlo Park please feel free to contact me.

If you would like to search for homes for sale in Palo Alto click here.

 

Marcy Moyer

Keller Williams Realty Palo Alto 

www.marcymoyer.com

marcy@marcymoyer.com

Ca B.R.E. 01191194

650-619-9285

I Love Living In Palo Alto

A cold snap is covering most of the country. I just got a message from a friend in Maryland saying it is 7 degrees this morning so he is going to the gym instead of out running. This is after a big snow storm blanketed the mid west and east coast. I love living in Palo Alto.

Today is supposed to be 73 in Palo Alto. I have to decide between going for a run/walk on the Dish at Stanford (walk the steep uphill and run the flat and downhill parts) or taking my dog to the beach at Half Moon Bay. Did I mention I love living in Palo Alto?

Maybe I will do both, although I do have a lot of work to do today.

It is wonderful to living in Palo Alto, but there are challenges.

Homes are expensive, and there is a lot of competition for them. If you want to buy a home in Palo Alto be prepared to pay a lot of money and have a lot of competition. Most homes sell for over list price and have multiple offers as the inventory of homes for sale has been very low for a long time.

In 2013 there were 407 single family homes sold. only 5 sold under a million dollars. The average 3 bedroom 2 bath house sold for $1,923,541, was 1661 square feet with a 7,000 square foot lot, and was on the market 14 days.

But a smaller house than you find in other neighborhoods for me is a small price to pay for the benefits of living in Palo Alto. I think we have the best schools, parks, restaurants, stores, and people in the world. And who can complain about our wonderful weather?

Palo Alto also has great diversity in the neighborhoods. There is the vibrant downtown area with condos, apartments, and cute older homes. Then Professorville with gorgeous historic homes from the turn of the century. Old Palo Alto has both stately homes form the 20's and 30's as well as large newer homes and many larger lots. Crossing Oregon you get to Midtown where older cottages and ranch homes are mixed with many new builds. Then South Palo Alto is the mid century modern lover's dream with street after street of Eichlers. 

If you want to look for homes in Palo Alto click here.

If you have any questions about living in Palo Alto please feel free to contact me.

Marcy Moyer

Keller Williams Realty Palo Alto

www.marcymoyer.com

marcy@marcymoyer.com

Ca BRE 01191194

650-619-9285

Should You Sign A Buyer's Broker Agreement With A Palo Alto Realtor?

Let me start by saying I know this post is going to evoke some strong reactions from both other  real estate estate agents in Palo Alto as well as around the country. It may also evoke some strong reactions from home buyers in Palo Alto and around the country. Please let me explain that in my 19 years as a Palo Alto real estate agent I have learned that there are many right ways to do things. I do not use buyer brokers agreement. This is how I like to run my business. How other people do it is their business. If it feels right to a future home buyer who is reading this great, if not then feel free to contact someone else.

Ok, so what is a buyer's Broker agreement? Some Palo Alto real estate agents will ask their clients to sign a contract saying that during a specific period of time the client agrees that if they buy a house from anyone, the Palo Alto real estate agent they have this agreement with will get paid a commission of no less than x%. So even if the buyer finds a for sale by owner home, a new home where the builder is not paying the buyer's agent a commission, or decides to use a different agent the Palo Alto real estate agent who signed the agreement gets paid by the buyer. 

In exchange for this financial obligation the Palo Alto real estate agent will promise to do a number of things. The most import is usually work diligently to find a home, get the best deal possible, and pledge allegiance to the buyer.

The pluses on this agreement are that both parties are contractually committed to each other so the buyer knows the Palo Alto real estate agent has put in writing how hard he or she will work. There will be no slacking.

The Palo Alto real estate agent knows the client will be loyal and his or her work will not be wasted because if the buyer finds a home the agent will be paid.

I do not work like this. I always tell my buyers this relationship is like living together, incredibly close and mutually beneficial, but we can split up easily. First of all, I don't even consider that we are in a relationship until we have a few dates. We need to spend some time together, see some house, see if we get each other. Do I understand what you want? Do you like the way I communicate, my hours, my way of helping you? If so then we can become exclusive. I am your only Palo Alto real estate agent and you promise not to cheat on me. If during our "living together time" something goes wrong and you don't like me anymore I just ask that instead of suing me to get out of the contract, just fire me. We will both be much happier.

If that works for you then we can go on a date, if not, it was great meeting you and best of luck on your home search!

If you ask me to be your agent there will be no buyer broker agreement in writing.  if you meet a Palo Alto real estate agent who wants you sign a buyer broker agreement I hope this has given you some food for thought.

If you have any questions about buying a home in Palo Alto please feel free to contact me.

Marcy Moyer

Keller Willliams Realty Palo Alto

www.marcymoyer.com

marcy@marcymoyer.com

CA BRE 01191194

650-619-9285

Palo Alto 3 Bedroom Homes Under $1,500,000 Are Like Dodo Birds

One and a half million dollars is a lot of money to spend on a home almost anywhere except if you are buying a home in Palo Alto. If that is your budget, then I suggest you look somewhere else. 

The chart above is a breakdown of all homes sold in Palo Alto from June through November of 2013 with at least three bedrooms and at least 2 baths. There were a total of 187 sales of these homes during this time period. Of these 187 homes a total of 8 sold under 1.5 million, and a total of 17 sold for 1.6 million or less. so as you can see if you want to buy a home in Palo Alto your chances are slim if you your budget is less than 1.5 million. The bulk of the homes sold in Palo Alto were over 2 million, 63 homes. What is interesting is that there were more homes sold over 3 million, 36 of them, than between 1.8 and 2 million 31 homes.

So if you want to buy a home in Palo Alto with at least 3 bedrooms and 2 baths and your budget is 1.5 million or less what should do? Here is my advice:

Examine very carefully why you want to buy a home in Palo Alto and look for those attributes in another city. In other words, cast a broader net. Buying a home in Palo Alto will get you a lot of wonderful things, but maybe you can get what you want somewhere else.

1. Schools: Many people want to buy a home in Palo Alto for the great schools. There are other excellent school districts including Menlo Park, San Carlos, Mountain View, Sunnyvale, Cupertino.

2. A vibrant downtown area: Many people want to buy in Palo Alto to be close to University Ave. There are also thriving downtown areas in San Carlos, Sunnyvale, Mountain View, Burlingame.

3. Charming older homes: If you want to buy in Palo Alto because of the character of homes in Professorville or Old Palo Alto you can also find this type of home in Willow Glen, the Rose Garden, or Burlingame.

I am not saying to stop looking to buy a home in Palo Alto, but if you want to buy a home in the next few months, you will need to expand your search because the numbers are not in your favor if you limit your search to just buying a home in Palo Alto.

If you have any questions about buying a home in Palo Alto or any of the surrounding areas please feel free to contact me.

Marcy Moyer

Keller Williams Realty Palo Alto

http://www.marcymoyer.com

marcy@marcymoyer.com

Cal BRE 01191194

650-619-9285

How Much Should I offer on A Palo Alto Home With Multiple Offers?

Anyone trying to buy a home in Palo Alto right now knows that it is tough out there. There are many more buyers than sellers and many Palo Alto homes sell with multiple offers way over list price. Some homes go as much as 40% over asking, but some do not. How does a buyer make the decision about how much to offer to have the winning bid in a Palo Alto multiple offer situation and not overpay?

The answer is not simple, and sometimes it not a question of price, but terms, like contingencies, length of escrow, length of rent back, etc.

But for right now, let's just discuss price. Here are some things to keep in mind when you make an offer on a Palo Alto home in a multiple offer situation,

1. In my opinion the most import thing is, how much is this home worth to you? In other words, what price would you offer so so that if it sold for $1000 more you would not be sorry because you do not want to pay that much. It may be that you would pay more than your offer if you could, but you can't so you are just doing your best. But if that is not the case you need to decide how much the house is worth to you so that if you do not get it you will not have regrets.

2. How is the asking price of this home compared to market value? If the house is listed low it will get multiple offers and sell for much more. If it is listed at or above market value it will not. This is not rocket science. Figuring out market value can be a little tricky since there are many variable, and the market is a moving target, but a good Palo Alto real estate agent should be able to help you analyze comps. Once you know the market value you will have to offer more in an appreciating market like we are in now. Sorry, but that is the truth.

3. What is the style of the listing agent? Does he or she like to list homes very low to get as many multiple offers as possible on their Palo Alto listings? Does the agent over value a home to try to get more money for their client, or just try to win out on a competitive listing? Does the agent like to work with multiple counter offers, or accept the the first best offer?  Your agent should be able to give you insight into what other Palo Alto real estate agents like to do.

In the end, the final offer price and terms will be your decision, but if you have a great Palo Alto real estate agent he or she can help guide you through the murky waters of Palo Alto multiple offers.

If you have any questions about buying or selling a home in Palo Alto please feel free to contact me.

- See more at: http://activerain.com/blogsview/3724323/how-much-to-offer-on-a-palo-alto-home-with-multiple-offers-#sthash.WSHTf7jm.dpuf

Palo Alto Ca How Much Over Asking Do I Need to Pay?

Anyone trying to buy a home in Palo Alto right now knows that it is tough out there. There are many more buyers than sellers and many Palo Alto homes sell with multiple offers way over list price. Some homes go as much as 40% over asking, but some do not. How does a buyer make the decision about how much to offer to have the winning bid in a Palo Alto multiple offer situation and not overpay?

The answer is not simple, and sometimes it not a question of price, but terms, like contingencies, length of escrow, length of rent back, etc.

But for right now, let's just discuss price. Here are some things to keep in mind when you make an offer on a Palo Alto home in a multiple offer situation,

1. In my opinion the most import thing is, how much is this home worth to you? In other words, what price would you offer so so that if it sold for $1000 more you would not be sorry because you do not want to pay that much. It may be that you would pay more than your offer if you could, but you can't so you are just doing your best. But if that is not the case you need to decide how much the house is worth to you so that if you do not get it you will not have regrets.

2. How is the asking price of this home compared to market value? If the house is listed low it will get multiple offers and sell for much more. If it is listed at or above market value it will not. This is not rocket science. Figuring out market value can be a little tricky since there are many variable, and the market is a moving target, but a good Palo Alto real estate agent should be able to help you analyze comps. Once you know the market value you will have to offer more in an appreciating market like we are in now. Sorry, but that is the truth.

3. What is the style of the listing agent? Does he or she like to list homes very low to get as many multiple offers as possible on their Palo Alto listings? Does the agent over value a home to try to get more money for their client, or just try to win out on a competitive listing? Does the agent like to work with multiple counter offers, or accept the the first best offer?  Your agent should be able to give you insight into what other Palo Alto real estate agents like to do.

In the end, the final offer price and terms will be your decision, but if you have a great Palo Alto real estate agent he or she can help guide you through the murky waters of Palo Alto multiple offers.

If you have any questions about buying or selling a home in Palo Alto please feel free to contact me.

Marcy Moyer

Keller Williams Realty

www.marcymoyer.com

marcy@marcymoyer.com

D.R.E. 01191194

650-619-9285

Anyone trying to buy a home in Palo Alto right now knows that it is tough out there. There are many more buyers than sellers and many Palo Alto homes sell with multiple offers way over list price. Some homes go as much as 40% over asking, but some do not. How does a buyer make the decision about how much to offer to have the winning bid in a Palo Alto multiple offer situation and not overpay?

The answer is not simple, and sometimes it not a question of price, but terms, like contingencies, length of escrow, length of rent back, etc.

But for right now, let's just discuss price. Here are some things to keep in mind when you make an offer on a Palo Alto home in a multiple offer situation,

1. In my opinion the most import thing is, how much is this home worth to you? In other words, what price would you offer so so that if it sold for $1000 more you would not be sorry because you do not want to pay that much. It may be that you would pay more than your offer if you could, but you can't so you are just doing your best. But if that is not the case you need to decide how much the house is worth to you so that if you do not get it you will not have regrets.

2. How is the asking price of this home compared to market value? If the house is listed low it will get multiple offers and sell for much more. If it is listed at or above market value it will not. This is not rocket science. Figuring out market value can be a little tricky since there are many variable, and the market is a moving target, but a good Palo Alto real estate agent should be able to help you analyze comps. Once you know the market value you will have to offer more in an appreciating market like we are in now. Sorry, but that is the truth.

3. What is the style of the listing agent? Does he or she like to list homes very low to get as many multiple offers as possible on their Palo Alto listings? Does the agent over value a home to try to get more money for their client, or just try to win out on a competitive listing? Does the agent like to work with multiple counter offers, or accept the the first best offer?  Your agent should be able to give you insight into what other Palo Alto real estate agents like to do.

In the end, the final offer price and terms will be your decision, but if you have a great Palo Alto real estate agent he or she can help guide you through the murky waters of Palo Alto multiple offers.

If you have any questions about buying or selling a home in Palo Alto please feel free to contact me.

Marcy Moyer

Keller Williams Realty

www.marcymoyer.com

marcy@marcymoyer.com

D.R.E. 01191194

650-619-9285

How Much to Offer on A Palo Alto Home With Multiple Offers

Anyone trying to buy a home in Palo Alto right now knows that it is tough out there. There are many more buyers than sellers and many Palo Alto homes sell with multiple offers way over list price. Some homes go as much as 40% over asking, but some do not. How does a buyer make the decision about how much to offer to have the winning bid in a Palo Alto multiple offer situation and not overpay?
The answer is not simple, and sometimes it not a question of price, but terms, like contingencies, length of escrow, length of rent back, etc.
But for right now, let's just discuss price. Here are some things to keep in mind when you make an offer on a Palo Alto home in a multiple offer situation,
1. In my opinion the most import thing is, how much is this home worth to you? In other words, what price would you offer so so that if it sold for $1000 more you would not be sorry because you do not want to pay that much. It may be that you would pay more than your offer if you could, but you can't so you are just doing your best. But if that is not the case you need to decide how much the house is worth to you so that if you do not get it you will not have regrets.
2. How is the asking price of this home compared to market value? If the house is listed low it will get multiple offers and sell for much more. If it is listed at or above market value it will not. This is not rocket science. Figuring out market value can be a little tricky since there are many variable, and the market is a moving target, but a good Palo Alto real estate agent should be able to help you analyze comps. Once you know the market value you will have to offer more in an appreciating market like we are in now. Sorry, but that is the truth.
3. What is the style of the listing agent? Does he or she like to list homes very low to get as many multiple offers as possible on their Palo Alto listings? Does the agent over value a home to try to get more money for their client, or just try to win out on a competitive listing? Does the agent like to work with multiple counter offers, or accept the the first best offer?  Your agent should be able to give you insight into what other Palo Alto real estate agents like to do.
In the end, the final offer price and terms will be your decision, but if you have a great Palo Alto real estate agent he or she can help guide you through the murky waters of Palo Alto multiple offers.

How To find Your Dream Home In Palo Alto In a Seller's Market

Anyone shopping for a home in Palo Alto knows that it is a seller's market. The inventory is low, and there are a lot of other buyers out there looking for the perfect home at a great price.

 

 The market is still active and you may only have a week to find a home, make a decision about whether you want to make an offer, and then try to make a strategy to make the offer for your dream home in Palo Alto.

 

This fast paced real estate market in Palo Alto can cause a great deal of stress and angst. Feeling pressure to make quick decisions can be frightening. Loosing offers on homes can be frustrating. 

 

I can't tell you what home deserves your offer, or how much it will take to for sure get your dream home in Palo Alto, but I can give you a little perspective that will helpfully help bring down the stress level while buying a home in Palo Alto.

 

When you find the right house you will know it and it will not be a huge struggle to make a decision. You will want that house, and be willing to do what you are capable of doing to get that home in Palo Alto. However, in order to get that feeling you need to have an open mind about the homes you go to see in Palo Alto. For example homes near Alma will almost always have noise, but there may be a house that is so good for you in many other ways so that noise from the road or train is less important than at a house that isn't "your house"  If you find a home in down town Palo Alto the lot may be very small or the house may be smaller than homes in other areas, but if it is "your house" you will know it. So, in the end, it does not really matter why you reject a house, or if you reject one home and pick another home that has the same problem. If it is "your" house you will know it.

 

So go see everything for sale in Palo Alto in your price range. Don't rule a house in or out because of pictures on the internet or where it is on the map. Keep an open mind, don't worry about rejecting or losing a home, another one will come along. Try to stay calm and relaxed, and when the right home comes along, make a great offer and act like you want to buy this house in Palo Alto. If you don't REALLY want to buy it, don't, but if you do then be willing to meet or exceed the seller's expectations.

What If The Palo Alto Home Is Destroyed Before I Close Escrow?

What If The Palo Alto House is Destroyed Before I Close Escrow 

I was writing an offer with a client yesterday and for once, this buyer was pleasantly surprised by a provision of the California Real Estate Purchase contract.  We were discussing contingencies and deposits and what happens if.....

I explained that she would put a deposit in escrow and then start her inspection process. If something came up during the 10 day contingency period that she was not comfortable with, or that the seller refused to fix or give her a credit for, then she could drop out and get her deposit back. However, if she removed her contingency and then did not go through with the sale her deposit would be at risk. 

My client's daughter then said, " So if the house is destroyed by an earthquake, and you do not want to by it you could lose your deposit."  They were so happy to hear that no, that was not the case. There is another provision in the contract which says if the house is substantially damaged then the buyer can elect to cancel the contract or take the insurance proceeds and rebuild themselves. 

This fact made my buyers happy as it really eliminated a big risk for them.  Basically even after the contingencies are removed, if the house is substantially damaged by an earthquake, fire, flood, etc., the buyer can cancel and not loose their deposit.

Unfortunately when you buy or sell a home in Palo Alto things can happen that are out of everyone control. Homes burn down, get flooded, and even occasionally get damaged by earthquakes. If this happens during that short period of an escrow, especially the part of the escrow when the contingencies have been removed, there is a remedy that relieves the buyer of the responsibility of purchasing that home.

I wonder if any homes on the east coast were in escrow and damaged by the quake last summer?

If you have any questions about buying or selling a home in Santa clara or San Mateo county please feel free to contact me.

Marcy Moyer

Keller Williams Realty

www.marcymoyer.com

marcy@marcymoyer.com

650-619-9285

D.R.E.  01191194

Marcy Moyer Keller Williams Realty Palo Alto, Ca. Specialist in Short Sales and Trust and Probate Sales

Palo Alto Home Buyers, Don't Let the Rain Stop You From Looking at Homes

Everyone likes to to look for homes when it is sunny.  Open houses during the spring and summer in Palo Alto are always crowded.  Some people think open houses are a Palo Alto recreational activity, much like soccer games, or concerts i the park.  Well, if you are just curious about the market or like looking at other people's homes, then house shopping only in good weather is a great way to be entertained.

However, if you are serious about buying a home, shopping in the rain is one of the best things you can do for your due diligence.  In addition to the obvious benefit of seeing if there are any leaks through the roof, you can also find more subtle, but just as damaging leaks through windows or sliding glass doors.  You can see how the gutters are performing,  You can see if water ponds anywhere on the property, or if water is draining onto the property from a neighbor's yard.  You can also see how much light there is in the house when the sun is not shining.

I am not saying that you should never buy a home if it is not raining, but I am saying do not let rain stop you from looking.  You can learn a lot about a house and the information is valuable!

Marcy Moyer

Keller Williams Realty

www.marcymoyer.com

marcy@marcymoyer.com

650-619-9285

www.marcymoyer.com

Marcy Moyer Keller Williams Realty Palo Alto, Ca. Specialist in Trust and Probate Sales