Danville, CA – As you watched the stock market drop every day for the last two weeks you are probably wondering what is going to happen in real estate? The San Ramon Valley is still going to adjust in price until we hit the bottom. So where is the bottom? The bottom is going to be 10-15% below the market price of your home in 2003. This is not my prediction this what former Fed Chairman Alan Greenspan said more than two years ago. Right now, if you want to sell your home, we are at the 2004 price point. I am willing to bet that if you bought your home in 2004, you can’t sell it right now because your real estate agent is asking you to reduce your price. We saw this happen in places like Antioch and East County last year and half.
Now we are feeling the pinch in the San Ramon Valley. Many people along the 680 corridor from Walnut Creek to Pleasanton took out negatively amortized mortgages that are coming due this next year. The full impact of these homes going into foreclosure will be felt in the next two years. The light at the end of the tunnel is December 2010.
In the meantime, if you don’t have an urgent need to sell just hang tight. Otherwise if you have too sell and have the equity the sooner you sell the better off you are. In my next blog, I will show you how to make money in this market…
Best Wishes,
Sam Parwiz
sparwiz@rockcliff.com
922-219-5144
www.PremierRealtorsTeam.com