Author Archives: Realtor Broker Dean Paul

A look at Fremont Neighborhood Cabrillo’s 4 bedroom homes on the market.

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Here’s some raw data from the MLS on Cabrillo’s 4 bedroom houses. What I will do is provide an interpretation of the activity in this neighborhood and  give you facts about the activity in this neighborhood. The data is active pending and sold from 1/1/14 to 7/14/14.

Status DOM Address SqFt BR Bth List Price Sold Price
ACTV 14 35422 ARDO CT 1387 4 2 $725,000
ACTV 28 36152 Perkins Street 2643 4 3 $829,000
NEW 6 4073 Becerra Dr 1476 4 2 $699,000
NEW 3 4397 Nicolet Ave 2336 4 3 $849,950
PEND 16 4537 ANGELES AVE 1400 4 2 $699,888
PEND 14 36259 Gibraltar Court 2160 4 3 $838,888
PSB 33 35284 AQUADO CT 1687 4 3 $750,000
SLD 14 4667 Portola Drive 4 2 $579,000 $624,000
SLD 63 35631 cabral 1960 4 2 $579,000 $590,000
SLD 16 4304 DALI ST 1387 4 2 $585,000 $647,000
SLD 8 35299 AQUADO COURT 1387 4 2 $650,000 $715,000
SLD 15 4221 VINCENTE ST 1387 4 2 $650,000 $632,500
SLD 33 36150 SAN PEDRO DR 1637 4 3 $659,500 $640,000
SLD 3 36851 DAUPHINE AVE 1684 4 2 $688,500 $700,000
SLD 21 4305 NICOLET AVE 1877 4 2 $728,888 $740,000
SLD 7 4167 VINCENTE ST 1611 4 2 $729,888 $850,000
SLD 9 4149 Nicolet 1797 4 2 $734,950 $810,000
SLD 9 36239 Gibraltar Ct. 2512 4 3 $758,888 $812,000
SLD 48 4434 GIBRALTAR DR 1704 4 2 $759,950 $750,000
SLD 12 36113 ELBA PL 2511 5 3 $779,750 $780,000
SLD 11 35122 ADRIANO ST 1765 4 3 $790,000 $795,500

On average it takes about 21 days on market (DOM) for a property to become pending. There’s no insight on how many offers a property received until becoming pending, but if the price was over asking price, it is likely that multiple offers were received.

The average list price in this area is about $690,951 or $401.75/sqft. The average sale price is $720,428 or $418.69. The gap between list price and sale price tells us that over asking purchases are common and justified throughout the sold data.

People like this neighborhood because of the good schools and proximity to shops. With gas, grocery, and freeway nearby, it’s very easy to get your amenities. If you exit Cabrillo and want to commute along the Dumbarton Bridge, Decoto Rd (where our office is) will feed you into the bridge so you can commute to the peninsula without much effort. It’s really the heart of north Fremont I would say. Many buyers and sellers tell me they like living there.

Cute San Leandro Starter Home for sale $422,000 in Assumption Parish Neighborhood

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Contact info:
Dean Paul Dominguez | Re/Max Active Realty | 510-304-6060

HUD Home For Sale in San Leandro– Assumption Parish

623 Valita Dr, San Leandro, CA 94577

$422,000

KEY FEATURES
Year Built: 1946
Sq Footage: 1169 sqft.
Bedrooms: 2 Beds
Bathrooms: 1 Bath
Floors: 1
Parking: 2 Garage
Laundry: In Unit
Lot Size: 5150 Square Feet
Property Type: Single Family House

DESCRIPTION

Great starter HUD home moving in condition in Assumption Parish Neighborhood. Property location is partially in a cul-de-sac. Bike/walking Mc Kinley Elementary school; San Leandro High School; San Leandro Fred T. Korematsu Campus, shopping, worship temples & daycares.

BRE Bro #01778824

Equal Housing Opportunity

hudhomestore.com

PROPERTY FEATURES

  • Master bath
  • Fenced yard
  • Lawn

COMMUNITY FEATURES

  • Garage – Attached

ADDITIONAL LINKS

  • Website: https://www.belinadominguez.com

Contact info:
Dean Paul Dominguez
Re/Max Active Realty
510-304-6060

What the FSBO Wants

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For Sale by Owners (FSBO) represent only 25% of the sales of homes, while the other 75% of sales being those sold by Realtors. I want to first explore historical and cultural considerations surrounding this topic followed by a discussion of why FSBOs want to sell by themselves.

I think we exist in a culture that has a tension of Do-it-yourself and Do-it-for-me. People want to save money but also do not want to put in extra effort, and this tension or stalemate often gets people to not act or not act in their best interest.

FSBOs want to sell themselves because it is supposed to be cost-effective. It is supposed to be part of the Do-it-Yourself movement. It’s supposed to be a triumph against commerce and a way to line one’s pockets further with saved cash. And to some extent, these considerations are very representational of how the average consumer thinks today: to go straight to the source, cut out the middle man, and get the product direct.

But if since undercutting practices are so effective, why are 75% of sellers and buyers still using Realtors to buy and sell their homes? At this point, I of course have a long list of praises to sing for Realtors and their activities, but I will spare you the self-praise and give you a shorter list:

  1. Sellers won’t take the time to learn the legal disclosures required in selling a home – There’s tons of paperwork. It’s almost nauseating. But it’s necessary. Real estate law spans back several hundred years and the disclosures and customs are somewhat respected and retained from past rulings, making the corpus of real estate law quite large. It’s no surprise that FSBOs might have a hard time filling out disclosures to deliver to buyers. It’s a lot of headache, not just as a process but the legal implications of doing them incorrectly could very possibly give someone insomnia. If you’re lucky, FSBOs can reach out to Realtors to help them fill out the paperwork, then promise the Realtor to give them the listing if they cannot sell the house themselves. It’s a good gesture and the easiest way to make a friendship. So FSBOs—what are you waiting for? Call your Realtor and ask for help and make them that promise, now!
  2. Showing property takes time and effort, something a full-time seller might not have—While FSBOs can put up a push button lockbox and show the property remotely, there’s really no telling who will want to see the house, let alone figure out if they are qualified. And where are these people calling from? Craigslist? Trulia? Well, some might be serious, but it’s riskier (relatively). It’s riskier than having an agent set up a lockbox where only other agents can access the lockbox. And when a seller is working all day, how likely is it to get those showings in or actually answer buyer questions until that seller becomes available again? A seller that’s hard to reach by a buyer looking for a discounted property will be easily skipped over if other listings exist that are represented by an agent who is typically available specifically for the purpose of answering questions about the house.
  3. A FSBO may say they already have a Realtor, but why are they trying to sell their house on craigslist without any pictures or adequate descriptions?: FSBOs are regular people who want good deals—this is basically what all Americans want. But when a FSBO says they already have a Realtor but they have the ad online, trying to sell it themselves, it is very confusing to me. When advertising a house, you need adequate descriptions and pictures, not a 2 line ad without anything useful. You also need to have the ability to reach out to the largest audience to get the most views on your listing, where views will turn into offers. If a FSBO truly had a Realtor, or at least a good one, wouldn’t the FSBO be advised to list the home on the MLS where the house can be seen by 40,000 people around the state? That is the truth about the multiple listing service and that is something that is worth paying for. Being able to choose an awesome offer out of 10 other very good offers gives you a real quality buyer you can work with. Not choosing the right buyer can cost money and even serious deals, so getting as many buyers as possible is really the best way to go.

Equity Sales are Up

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According to the California Association of Realtors distressed sales report, “…equity sales – or non-distressed property sales – rose further in May, rising to 89.2 percent, up from 88.4 percent in April [2014].” I will first get into what it means to have an equity sale, then continue by comparing this market to previous ones.

An equity sale is quite simply the sale of the house where the seller receives money from the sale. Realtors are trained to estimate the net proceeds for the seller to provide an overview of the costs of selling a house.

In previous years, equity sales were not occurring as much as other sales, such as short sales and REOs, because sellers often were facing a depressed market where their loan value exceeded market value. When a seller decides to do a short sale, their net proceeds is often zero. Of course, not receiving net proceeds from sale is far better than owing somebody (i.e. the bank) money, which is why the short sale was so popular to begin with (i.e. it bestowed debt forgiveness to the seller).

So, what does this mean? This means that 9 out of 10 homes on the market, and viewed by buyers like you, are most likely transactions wherein the seller will receive money from the sale of the property. The seller getting money from the sale in no way affects the buyer’s purchase—the buyer does not pay more to purchase the house if the seller is making money on the house. Sometimes buyers ask how much the seller is making on the house, and to some extent the answer is obvious and finite to two possibilities:

(1)    The first possibility is that the seller is making net proceeds equal to the purchase price, less fees, less existing loans.

(2)    The second possibility is that the seller has net proceeds equal to the purchase price, less fees, assuming the seller owners the property free and clear.

Buyers are people, too, and they sometimes inquire about the seller’s gains. This is natural and if the answer is available, I will share an estimation with the buyer when it is appropriate.

Ethical consideration: If the seller is making money on the property as a flip, do I have an obligation to tell the buyer that the seller is making money on it? Legally, properties flipped within 90 days or less and transferred to a new buyer triggers a disclosure to the buyer that the property has been flipped. Beyond that, there is no legal disclosure required.

As a Realtor, we have access to public records that show us the last transfer date of the property, which means it is apparent to us if the property is a flip, even if the 90 days flip rule has passed and the seller does not disclose to the buyer that it is a flip.

As a fiduciary to the principal, I would disclose that the property transferred between individuals very recently, alluding to the possibility that it was a flip. I won’t get into it here, but the fact that a property is flipped means that we probably need to scrutinize the property on a stricter level in order to make sure the repairs were done correctly. By disclosing this to my client, it enhances my client’s perspective on the property and will make more rigorous the client’s investigation process.

Happy Pride and Happy Progressive Culture.

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Having just attended SF Pride 2014, it is great to know that lenders and Realtors do not discriminate against the sexual orientation of others; that we focus on the property and not the people. Besides, how did anybody coherently argue in the first place that there was any connection whatsoever between sexual orientation and creditworthiness? We have served clients from the GLBTQ community and it is just like any other transaction. We are proud to serve all members of the community in finding or selling a house.

The pride parade was very festive and good spirits were felt all around. The Civic Center Pride concert was also very enjoyable and many good things were said by Barney Frank (who co-drafted the Dodd-Frank bill) who pushed for ongoing acceptance of difference. So glad to attend and we hope you had a good time, as well.

San Jose New Development New Home Sites To Be Released This Weekend Saturday, June 28th at 10am!

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Pepper Lane

1046 N. Jackson

San Jose, CA 95133

Map It

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$577,990 – $749,990

Payments starting from $3,136/monthmore

1,129-2,006 Sq. Ft. Townhomes

2-4 Bedrooms | 2.5-3.5 Baths

Features

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Pricing starting from the high $500k’s

Less Than a Mile From Hwy 680

Attached, Side by Side, 2-car Garage on Each Plan

via Pepper Lane | San Jose CA New Homes | Pulte Homes.

Why We like Working with Savvy Real Estate Buyers and Sellers

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Some real estate agents are terrified by the thought that their clients have researched an area as much as they have. This puts real estate agents in less of a position of power and that is somewhat threatening, or so they say. However, my question is this: were agents ever in a position of power to begin with in the first place? The answer to this is ‘no’. Agents are fiduciaries for their clients, or principals, and it is an agent’s duty to represent the interests of the client in the highest regard. And buyers want to pay only as much as they need to to get the house, while sellers want as many offers as possible at the best price and terms. A Realtor gets the client in this position whether the client is savvy or not. But if the client is savvy, then we love it! Let us first discuss what it means to be a savvy client of real estate.

When buyers start their process on the internet, it’s no surprise that they view listings casually, or with a specific purpose in mind. Instead of streaming their favorite Netflix show (mine is Orange is the New Black, by the way), they may instead decide to go on real estate websites to see what the latest inventory is out there in their target market. Savvy real estate buyers and sellers already have a strong familiarity with their market from online data that is readily available for everyone to see.

Savvy real estate buyers and sellers often ask very detailed questions about the neighborhood and can go through large amounts of listings in a short period of time. This means the consumer is well-informed. And we find this to be a good thing. When a consumer is informed, it takes less time for us to convince a buyer or seller that they must offer or sell at a certain price. If a buyer wants to low-ball a property and we tell them there are 10 offers to the property, a savvy buyer will know to increase the price in order to get the offer accepted. Sellers wanting too high a price will know right away with our advice that the price might be too high, and we would do this by corroborating our opinion with the data the seller views for herself on other websites. I think when all parties are informed in this manner, decisions can be made more efficiently.

Some people think that to service a client, that the Realtor needs to be an order giver and the client an order taker, but this is not the case at all. As real estate agents, we are, legally, special agents with limited powers to bind the principal to contracts. In layman’s terms, this means that the client is 100% the decision maker in all aspects of real estate. So when we work with savvy buyers and sellers of real estate, and these clients of ours end up making the final decisions for themselves with our guidance, do you think we want them informed or not so informed? The former wins over the latter every time.

What if a client is a first time home buyer and does not know much of the real estate market? That is perfectly fine– it is our duty to fill in the gap and inform our clients to make the best decisions they can. After our preliminary advice to our clients, our clients’ understanding of the market improves, and over time, less needs to be explained to them (less explanation does not constitute less disclosing, please keep this very distinction in mind). Either way, we are always excited to help our wide range of clients, whether they be savvy or buying or selling for their first time. While Realtors are still the real estate experts, we recognize the thoughtfulness and knowledge our clients have picked up along the way and we think it’s great that our clients are doing their homework.

10 Things to Know When Moving to Fremont

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It is often said that it takes months or even years to grasp what a city is made of. In other words, people need time to adjust and assimilate to their surroundings before moving to a new location. This is why many of my clients who move due to business relocation find themselves in a 1 year lease and apartment provided by their company (lucky them!) that allows to them settle in and understand if moving to Fremont is right for them. What I intend to go through now is to reveal some aspects of Fremont that I find useful for others to think about it. That way, if you ever move to Fremont, you can consult this list and either agree or disagree with me. Either way, I hope that after you read this list you will feel more acquainted with Fremont.

1. You will fall in love with the location

Fremont is so centrally located in the bay area that you can really get anywhere from Fremont. Hopping on BART for one hour takes you into San Francisco, while a 30 minute drive takes you into San Jose. Commuters will love Fremont. Livermore is also 30 minutes away and you can easily put together a winery excursion with friends on the cheap (unlike Napa where tasting prices are soaring). The peninsula is incredibly close, with Palo Alto being only about 20 miles away, Menlo Park being even closer. If you ever moved to Fremont and then moved to San Jose or Oakland, you will realize how valuable Fremont served as a kind of midpoint between these major cities. This is not to say that Fremont is not a major city, since it happens to the 4th largest city in the bay area, but you will learn right away that the best “scenes” to have fun typically will be away from Fremont. As a local, I often find myself eating within Fremont and going to events outside of Fremont. This brings us to our next point.

2. Endless restaurants to try, but a little light on events.

This point is a compliment followed by constructive criticism. The makeup of Fremont is basically suburban (see our neighborhood tab for current market activity) and industrial (think: Tesla Motors and Seagate Technology, the latter being visible from 880-South). Because of this, the residential areas promote the growth of grocers that act as anchor tenants to many other shops. Not only will grocers thrive near suburbs but so will restaurants. If you ever tried doing a Yelp! search for restaurants in Fremont, one has many options. One can play it safe and choose restaurants with the highest reviews, or one can be more adventurous and choose a hole in the wall restaurant with controversial reviews. Either way, we have an abundance of Indian food, Pakistani food, Chinese, Thai, Mexican, Vietnamese, and American food to keep us busy for a while.

And now for the criticism: As a Millenial and my business partner as a baby boomer, we often find ourselves doing activities outside of Fremont. I often find myself in Oakland, the city, or San Jose when it comes to entertainment. When browsing Fremont events through Patch, Yelp, or the Tri-Valley newspaper, what you find are art and wine festivals, workshops, classes, and other small events that does not have a very “downtown” feel to them. Of course, perhaps I may not know about the best events happening, but this alludes to the main argument that Fremont is largely a suburban city, and few would dispute that claim.

3. Housing prices are up

Whenever I open my MLS system, I see homeowners who purchased in 2011 having higher equity than before, and I see homeowners who purchased in 2013 having higher equity than before. People are fond of living in Fremont, there is no doubt about it. The award winning schools play a role in this, and so does the other points mentioned in this post. Many home buyers are incredibly sensitive with API scores for schools and the school’s proximity to the school relative to their house. While Realtors are not allowed to make claims about the scores, I am always happy to provide my clients with the link that brings them to the Fremont school district website as well as the school locator tool. Buying in Fremont seems to be a relatively safe investment, especially if you are here for the long term. On average in the bay area, people seem to move every 8-10 years, so if you stayed here for that long, I can imagine that prices will be up by then.

4. The traffic situation is acceptable

Our main freeways, Interstate 880 and 680 are not that bad. Rush hour can be painful and I think many prudent people now have audiobooks or chat up a storm using bluetooth or their car’s handsfree cell phone system, but having client appointments in San Jose in the evenings are a breeze since the traffic on the southbound side is not so bad (the northbound side is a little worse. Recall that Silicon Valley employees are retreating back to suburbia, i.e. Milpitas, Fremont, Newark, Union City, etc.). I know the commute to Oakland can have midday backups not just from accident but from the fleets of trucks that take up the slow lanes on your way to the Coliseum and West Oakland. But I think we have it good. Those using 237 to Mountain View I know face some heavy gridlock at times due to Yahoo! and Apple being nearby, but I know we do not have it as bad as those driving to Stockton or Mountain house where interstate 5 and 205 can get hairy.

5. There’s plenty of places to Hike to stay fit and active

For outdoorsy people there is an abundance of places to hike. I cite Mission Peak, which I have heard is now too popular and the parking situation is terrible, but the headache of parking and the 2 hour round trip hike up to the peak rewards hikers with a great view that on the clearest of days, allows you to see all the way to San Jose. It is truly spectacular if you have not been. Other trails include Quarry Lakes, Coyote Hills (part of Union City but the trails feed you into Hayward and Fremont), and the Ardenwood Historic Farm where I have very fond memories of selecting a pumpkin from their pumpkin patch for Halloween. I know newcomers of Fremont use Meetup to join hiking groups and that quickly acquaints them with the surrounding area and allows them to hike at times when they would not go alone (catching a sunset or full moon or even a meteor shower).

6. Our drivers are aggressive

I have been to Texas where drivers are so courteous that my signal light actually means that they will slow down and give me time to change into their lane. Here, it is quite the opposite. Californians are aggressive drivers. When I turn on my blinker, the other drivers get threatened and begin to accelerate in fear that they are in my blind spot. The slow lanes to the right are for people who are at the speed limit. The second most fast lane probably goes around 72 on average, and then the fastest lane or carpool lane probably goes 75 or higher, as long as there isn’t a cop hiding. Some people have very powerful cars and they want to stretch the car’s legs, so to speak. Other people have average cars or just a lead foot or are just always in a hurry. Other drivers are so incredibly slow that they are oblivious to the hierarchy I just described. Either way, if you move to Fremont, be prepared to be greeted by aggressive drivers who will overtake you if you go too slow. I know those overtaking others from the slow lane has been a topic of discussion lately as not only being illegal, but dangerous to those around them. My stance: I stay invisible on the road, use my blinkers to make aggressive drivers accelerate ahead of me, use cruise control, and minimize lane changes to make sure I have the most consistent and safe driving experience I can have.

7. Niles is a quaint gem

Charlie Chaplin did his films in Niles and Niles would have been Hollywood if more directors migrated to Niles (a historian is better suited to provide a better explanation). Present day Niles is filled with antique shops and the Niles Canyon Railway which takes you to Sunol and other places. They even have a wine train which I will have to try sometimes. Niles, as a neighborhood of Fremont, also has a killer Thai temple that every Sunday sells food if you pay them with tokens (which you buy with cash). Their pad thai sometimes has a waiting time of over an hour, so get there early! I also go there to play tennis and hike at the Niles Community Park. It’s a really quaint area and the home prices there are spectacular.

8. We have our own waterpark

It’s so great to have a local water park. It’s great with kids and adults alike and it does not require a large pilgrimage in the middle of nowhere.

9. We have lots of gyms and yoga studios

A quick search reveals that we have many gyms nearby, meaning that there’s little excuse to not exercise at a proper gym (consider this on top of the fact that we have lots of hiking trails). Club Sport Fremont has always been the go-to place for the upper middle class gym rat (also my go-to place for indoor tennis which is a luxury item for me) while city-sport opened up some new places nearby that already has a pretty impressive turnout. Residents living in condos and townhomes are probably already outfitted with some amazing gyms within their community, so anybody wanting to move to Fremont can save on their gym expenses and choose a house with these amenities. The gym I belong to offers classes in conjunction with my membership, allowing me to attend classes. It’s a real social environment and highly recommended to make new friends and stay fit.

10. People keep up with their houses

In general, there is an adequate level of pride of ownership in homes in most neighborhoods. Homeowners keep up with their curb appeal and this is an important distinction to make from other cities. Of course, there are places in Fremont where there is a high tenant population and that it was not made clear who (between landlord and tenant) should maintain the lawns (I’m being very clear here that some tenants love to garden), but aside from that, people keep up with the maintenance. Contrast this with Hayward or Oakland, where there are clearly some very blighted places where people dump mattresses and other garbage on the road. It’s very sad when this happens, but we are lucky that Fremont has pride of ownership that is not just an aesthetic consideration– homeowners keep up with appearances because it is the right thing to do. Caring for the house teaches a lesson to our children to not litter and take care of things that were purchased by working hard. There’s a lot to said about pride of ownership, but I’ll stop there since I have made my point.

In summary, I think those living in Fremont have it very good. Those who left the bay area and go elsewhere find themselves craving burritos or food trucks that they cannot have elsewhere. It’s great place to live for work and also great if you want to plant your roots.

Are you planning to pay with cash or financing?

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Many of the phone calls I receive are inquiries about the homes I am selling. They are called sign calls. It is very important for me to identify the person on the other side of the call and to qualify them as best as I can. The very first question I ask them is, “Do you plan to pay with cash or financing?” This is a question that preps the buyer to think in terms of their means to purchase property.

Many people use financing to purchase homes in today’s market. People will save up a down payment sufficient for a loan and then will seek counsel from a Mortgage Loan Originator (MLO) to get qualified for one of the many programs available. Where money is tight, people may ask for gift funds from a close friend or relative. Gift funds must always accompany a gift letter, where it is made clear that the funds are a gift and not a loan. With these steps in play, a person may qualify for a home loan.

Cash buyers are less common, but they exist and we service them frequently. Paying for the entire purchase in cash makes sellers more confident that cash buyers can perform, often in a shorter period of time than financed buyers. But we have a saying in the business: that sellers should choose the “highest and best offer.”

What does Highest and Best mean? It means that not only price is important when selecting the best offer out of the lot, but also that terms are important as well. Terms include the offer’s attractiveness in timeframes, in performance of other duties of the buyer that basically give confidence to the seller that the buyer is giving the seller added value.

So here’s the million dollar question: how does a financed offer get chosen over a cash offer? The financed offer must be more attractive than the cash offer in terms of price and terms. Even if a cash offer can close quickly (because no loan and appraisal contingencies exist), if the financed offer provides a higher price and more favorable terms, the seller, being a rational consumer, will have absolutely no problem choosing a financed offer over a cash offer, even if the cash offer can close sooner. If a seller can wait 15 more days for $20,000 more, then, why not?

In summary, it is important that I qualify each and every phone I receive from marketing media and real estate signs, because buyers will have to think hard about their bargaining power and loan qualifications when making a purchase in real estate.