How Much To Offer on a Sunnyvale Home With Multiple Offers

The real estate market for Sunnyvale town homes and condos for sale is pretty crazy right now. There are hundreds of new town homes springing up for sale in the eastern part of Sunnyvale but even so, the resale market is still on fire for sellers in Sunnyvale. Normally, if there is a lot of new construction the resale homes with suffer. This is not the case in Sunnyvale. The demand for homes has so far out paced the town homes available for sale in Sunnyvale that prices continue to appreciate and buyers need to offer more than list price to have the winning offer.

The closed sales of Sunnyvale town homes and condos was only 4.5% over list price, but that was a reflection of Sunnyvale town home and condo sales in December. By February the average sale price was 5% over the list price of Sunnyvale town homes and condos for sale. In March through May the average sale price was almost 8.5% higher than the list price of Sunnyvale town homes and condos for sale. So far in June the sales price is 11% more than the list price, reflecting the sales in May. 

So if you are faced with making an offer for a condo or town home in Sunnvale how much should you offer? Unfortunatley there is no simple answer. Logically we can not expect 10% apprecition every time there is a sale. However, the number of people looking is not decreasing significantly. What is decreasing a little is the number of investors. As the prices have skyrocked, the return on investment for a rental property is decreasing. The amount you can get for rent has not increased at the same rate as Sunnyvale town home and condo prices have. In fact, so many investors have purchased rental properties there is actually a glut on the market nation wide, and a balance in the bay area. 

The market is starting to turn back to buyers with loans intending to live in the property are the majority of people making offers, not investors with all cash.

So to the answer the question, how much should you offer on a Sunnyvale town home or condo for sale is not simple, but it is not an impossible question to answer.  Look at the true market price, not the list price, which can be anywhere from 15% below market value, true market, of 10% higher than market. Take the true market value and go up a percent or two if you want it, and maybe 5% if you REALLY want it and can cover the difference between market value and your offer in cash since the bank will only lend based on market value. You may not win every time, but eventually you will get your Sunnyvale home.

If you have any questions about buying or selling a Sunnyvale town home or condo please feel free to contact me.

Marcy Moyer

Keller Williams Realty

www.marcymoyer.com

marcy@marcymoyer.com

DRE 01191194

650-619-9285

Some Of The Many Ways A Lender Can Derail Buying Your Sunnyvale Home

Buying a home in Sunnyvale is not easy. There has never been more competition and other very qualified buyers. Prices are at historic highs and inventory at historic lows. Decisions must be made quickly and very often in a multiple offer situation if the Sunnyvale home buyer asks for a contingency for anything they will most likely not be the winning bid.

Making a non contingent bid on a Sunnyvale home is risky, especially if you need for the home to appraise because your down payment is only 20%. In fact, I do not recommend that anyone take that chance. Fortunately my latest Sunnyvale buyers did not have to make a non contingent offer to get the home they want, because they were in the position of only having 20% down at this point. 

Being able to have an offer accepted with a loan contingency for a Sunnyvale home was lucky for them, because the mortgage broker almost derailed the sale.

My clients were pre approved with a mortgage broker from a well known and respected company. The husband had a resident alien visa and he and his wife were pre approved through the mortgage company for a jumbo loan with 20% down. The mortgage broker was going to use Chase.

My clients made an offer on a home in Sunnyvale that is on a fairly busy street and unlike many other Sunnyvale homes for sale was not listed under priced. They were the only Sunnyvale buyers making an offer and so they were able to ask for a loan and appraisal contingency and the sellers agreed.

The appraisal was fine, but the day the contingency should have been removed Chase said they did not qualify for the loan because resident aliens needed 30% down for a jumbo loan. This information should have been known by the mortgage broker, but it wasn't. I can not explain why.

Fortunately the sellers gave my Sunnyvale buyers an extension and the mortgage broker found another lender who would loan 80% on a jumbo loan and managed to close only 2 days late. 

However, this could easily have gone the other way. The sellers could have not given an extension. The mortgage broker could have not found another loan. The mortgage broker could have found another lender but they may not have appraised the house for the offered price.

Bottom line this should not have happened. The mortgage broker should have known the rules. This could have cost my buyer the sale.  I can not tell you how many times my Sunnyvale buyers said they should have used my favored lender.

I did not say I told you so. Not needed.

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

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

Marcy Moyer

Keller Williams Realty Palo Alto

www.marcymoyer.com

marcy@marcymoyer.com

CAL BRE 01191194

650-619-9285

Why Dec 26 Is a Great Time To List Your Sunnyvale Home

I know what you are thinking, I am going to wait till after the first of the year or the spring to sell my Sunnyvale home. It would be stupid to list a home during the holidays, no one does that. Or no one is looking for a home during the holidays. 

I need to respectfully disagree with those sentiments. I believe December is a great month to sell a home in Sunnyvale, especially right after Christmas.

Here are the reasons I think selling  a Sunnyvale home on Dec 26th this year is a great idea.

1. The inventory has never been lower. As of today there are only 17 homes for sale in Sunnyvale. A buyer's market doesn't even happen until there are over 80 homes for sale. List this month and you will have no compettion.

2. There are many people who are planning on moving to Sunnyvale who are using winter break to come and look for a home. When there are only 7 homes for sale it is not hard to see how much your home will be apprectiated.

3. If you list your home on Dec 26 or there abouts, you could get the out of towners who are here over vacation looking for homes. Kepp it on the market 2 weeks with an open house the first week in Jan and then take offers the following week. This way you can also get the locals who were out of town Christmas week.

4. Registration for Sunnyvale schools begins Feb 1 so there are many people with school age children who want a Sunnyvale address when registration begins so they are assured of their neighborhood school. Selling a Sunnyvale home at the end of December would work perfectly for these families.

So in my opinion if you are ready to sell your home in Sunnyvale then my sugestion is don't let a great opportunity pass you by. If you are ready to list in December, wait until after Christmas day, and then get it on the market. Your results will be very satisfying.

If you have any questions about selling a home in Sunnyvale please feel free to contact me.

Marcy Moyer

Keller Williams Realty Palo Alto

www.marcymoyer.com

marcy@marcymoyer.com

Cal BRE 01191194

650-619-9285