Your Thoughts

[nervous buyer]

Just curious what you all think of this home at this price. I am perplexed at the asking price. If this is the trajectory we are at now I don’t see how we aren’t in another bubble.

http://www.realtor.com/realestateandhomes-detail/654-E-Manor-Dr_Chula-Vista_CA_91910_M27048-70468?row=5

This home and price alone makes me want to sit on the fence a few more years. We will see. Thoughts?

[zk]

It’s just an asking price; it doesn’t mean anything.

[The-Shoveler]

Delete

[Coronita]

Now that’s an overpriced mcmansion! Does it have a river rock fireplace? That alone might be the reason for the $384/sqfr price…

We need a resident expert in this area of c.v……..

[SK in CV]

[quote=flu]Now that’s an overpriced mcmansion! Does it have a river rock fireplace? That alone might be the reason for the $384/sqfr price…

We need a resident expert in this area of c.v……..[/quote]

It’s probably 2nd or 3rd generation ownership. I can’t imagine why the grandchildren of the original owners don’t just move in because of the huge property tax savings they’d get. That an the river rock fireplace.

[SD Realtor]

nervous_buyer

Right now we are in a transition period. After having a robust period in 2012/2013 and part of 2014 things had slowed down. This spring we saw things happen quickly. Most all sellers came out of the gate strong in February with well overpriced homes. Some buyers fell for it and took the bait.

What then happened is more inventory came on the market in March and April and tried to match the relatively few higher priced sales. Unless their homes were exceptional or showed very well, we are now seeing much longer market times and are now witnessing price adjustments. However those price adjustments are still not bringing the homes to actual market value. Seller entitlement still runs deep. Homes that are priced fairly are still selling.

I cannot say we are really in a bubble but don’t buy a home if you don’t want to buy a home. I do think the market will adjust some but not in a major manner. More of a manner that if you take fair market solds from the last year spring, add a couple percent to them, that should be the price, not double digit percentages.

[poorgradstudent]

I don’t know Chula Vista that well, but based on a quick search for comps, that does seem rather high.

I feel like people don’t quite understand how to talk about the differences between “overvalued” and “bubbles”. I feel like stocks are overvalued right now, but I don’t think it’s a bubble. Real estate in SD is probably running a bit above historical norms, but it’s hardly comparable to 2005… in many places we haven’t even hit the 2005 highs yet, a decade of inflation later.

The thing about an overpriced market vs. a bubble is a bubble is almost guarantee to pop. Overpriced assets can go down in value, but they also can take a while to revert to the mean.

[phaster]

[quote=nervous buyer]Just curious what you all think of this home at this price. I am perplexed at the asking price. If this is the trajectory we are at now I don’t see how we aren’t in another bubble.

http://www.realtor.com/realestateandhomes-detail/654-E-Manor-Dr_Chula-Vista_CA_91910_M27048-70468?row=5

This home and price alone makes me want to sit on the fence a few more years. We will see. Thoughts?[/quote]

Kinda depends upon what stage of economic life one is at to value the property:

IF you’re young, price out of “N.C.” and “east lake” perhaps grown tired of renting (and want to start building a family/nest egg of your own), perhaps seeing your saving yielding nothing to noting in a bank, THEN the link you posted might be a good place to start to take a stand….

IF you’re a student of history, looking at how average wages have not kept the same buying power (for housing specifically), THEN this piece of property is an overpriced POS (piece of $hit)

In general no matter how I look at the problem its a difficult time to start to take a stand because of historical “economic and otherwise” mis-management

Coupled with social policies that don’t acknowledge there are limits to the system (i.e. water, energy, etc.) coupled with un-realsistic human expectations is (in the long term) a recipe for disaster (the only unknown(s) is when is there going to be a retreat, its magnitude, and does one have the necessary skill set/resources in place to survive such an event…

[moneymaker]

Over priced so will probably take a long time to sell, will probably go to someone in the military or a 2 income earning household that just recently got their credit back into shape. There are probably a lot of those out there. In general though I agree with phaster.

[nervous buyer]

Hi SD Realtor,

I began a new account but have been a piggy since 2007. The reason for the change in my account name was to have a fresh start. Running up to election season 2008 I was definitely part of the over zealous political conversation pack. Wanted to come back and leave all the politics behind.

Glad to see you are still on here and giving out great advice. You mentioned the inventory for March and April and homes sitting, but the turnaround time for a home to be listed and moved to pending seems to be about 6 days. Is this correct?

Our max is $350k and we can’t compete with cash buyers. A few homes we loved were quickly snatched up and we felt a bit discouraged. We keep trying. We know we won’t find a castle, but something clean and decent.

[enron_by_the_sea]

Does it fall under a CFD? If not, go for it.

Never, Never, never , never buy houses that have a CFD. Those are filled with over-indebted homerenters whose luck is going to run out tomorrow.

Houses without CFD are filled with super-moneyed homeowners with big fat pensions and no worries. They also have character (especially those with river rock fireplaces). However, by definition, you can not buy those houses, because they will never sell..

(P.S. Don’t take it seriously. Just kidding 🙂 )

[The-Shoveler]

Actually you want the house across the street from the housing with CFD fee’s LOL.

You can find a small builder or older home next to new tract (that go to same schools, parks etc..).

They almost all use the same high school etc…

You can find them but it takes a bit of searching.

Easier to do in North County I think.

[SD Realtor]

Hi nervous buyer… the turn around time from active to pending is tough to use in general. That varies substantially depending on your price range and type of home you are looking for.

The 350k and under range that you are looking in is a super competitive range. Try not to get frustrated and hang in there. Your agent should be able to give you some help on the statistics of the turn around time but again, don’t let it get you down. Don’t be afraid to take some time off of your search as well. Obsessing and pushing hard every weekend is a burner.

The “sitting” inventory I was referring to was a higher priced market in 4S and La Costa Valley in a certain price range. However you may see that higher priced homes where you are looking, that are 400k and have not moved because they really should be priced at 350k may come down some by mid summer. The problem you face though is a higher number of buyers in the pool.

Try to be patient and not get discouraged.

[Author]

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