Good forecast for Sac area home appreciation in 2016 (Sacramento, Folsom: 2014, foreclosures)

[DougStark]

2sleepy, that's a great idea (rental income.)

I saw some duplexes in Carmichael for sale, but the asking price was 260 (not for the whole thing, but for just one half.) So, obviously 500K is out of my budget.

I'm so impressed by the huge lots you guys have (in Carmichael, CH, and Fair Oaks.) Makes for such a country feel. Watering all that yard must get expensive, though, unless you plant CA native plants.

[2sleepy]

Originally Posted by DougStark

2sleepy, that's a great idea (rental income.) I saw some duplexes in Carmichael for sale, but the asking price was 260 (not for the whole thing, but for just one half.) So, obviously 500K is out of my budget. I'm so impressed by the huge lots you guys have (in Carmichael, CH, and Fair Oaks.) Makes for such a country feel. Watering all that yard must get expensive, though, unless you plant CA native plants.

There are duplexes for under 300k, I just checked Redfin:

https://www.redfin.com/CA/Carmichael.../home/19203322

What impresses me about these duplexes is that they are almost all very well maintained; multi-family housing can become a drag on other property values, but these look every bit as nice as nearby single family homes.

We grow about 70% of our own produce and have a number of fruit trees, but we only have a tiny patch of lawn in the back yard, except for planter beds everything is hardscape, ie. crushed granite, redwood mulch or native plant groundcover. All of our plants are on drip and our front yard is xeriscaped with no lawn. We aren't on a water meter but try to lessen our impact on scarce resources as much as we can. We have three compost bins, we recycle grass trimings, leaves etc. and our chicken's poop keeps that compost cooking lol.

[derekjones]

Originally Posted by DougStark

2sleepy, that's a great idea (rental income.)

I saw some duplexes in Carmichael for sale, but the asking price was 260 (not for the whole thing, but for just one half.) So, obviously 500K is out of my budget.

I'm so impressed by the huge lots you guys have (in Carmichael, CH, and Fair Oaks.) Makes for such a country feel. Watering all that yard must get expensive, though, unless you plant CA native plants.

Here are some of the duplexes in Carmichael. If it's listed as a duplex it will be both units. If it's listed as a halfplex then it'll be just one side. Most home search engines you can either search duplex or multi-family.

Carmichael Multifamily Homes for Sale - Carmichael, CA Multi-Family Real Estate - realtor.com®

[DougStark]

Originally Posted by derekjones

here are some of the duplexes in carmichael. If it's listed as a duplex it will be both units. If it's listed as a halfplex then it'll be just one side. Most home search engines you can either search duplex or multi-family.

carmichael multifamily homes for sale - carmichael, ca multi-family real estate - realtor.com®

thanks!

[DougStark]

PS- One of your local realtors in Sac told me that your region may see another flood of short-sales and/or foreclosures in 2016 because many speculative home buyers bought homes during the boom years using a 10 yr low, fixed interest rate, and now those homes are underwater compared to what they paid in 2006.

Have you locals been hearing this news also? If the Sac market goes through many more short sales, I may wait to purchase to see how housing values hold up. Any comments are welcome.

[calnbs]

Originally Posted by DougStark

I can't remember the exact source, but a few days ago Sac make the "top 10" list of metros that should expect healthy gains in home appreciation. I wish I had jumped in in 2010 The article said some of this is due to "spill over" from the grossly inflated Bay area housing market.

Unfortunately, my town Phoenix is appreciating, but not at a pace I'm happy with.

On a side note, I've been casually looking for starter homes in Carmichael. Would you say the entire town is generally a safe bet? I like a community that's somewhat close in, established, stable, and well cared for. THANKS.

I remember my brother and I watched the market rise and we hesitated. It just kept going up and up. We just couldn't believe it. Homes that wasn't even built yet and their value already rise $20K, $30K in value. It was just crazy. We simply got out priced for hesitating.


At the height of the market, it got so crazy, part time workers at Walmart was jumping in buying $200K homes in the ghetto that was once worth only $50K. Homes that was worth $200K, now worth $500K. Right there, I knew the market was going to crash because I knew Sacramento income CAN NOT support that kind of mortgage.


My brother and I watched patiently and when we felt the market have bottom out, we purchased in 2010. It was great for those who waited. Better for those who bought prior to the rise and sold it at the top and continue renting until 2010. Those people really cashed in.

[2sleepy]

Originally Posted by calnbs

I remember my brother and I watched the market rise and we hesitated. It just kept going up and up. We just couldn't believe it. Homes that wasn't even built yet and their value already rise $20K, $30K in value. It was just crazy. We simply got out priced for hesitating. .

Yep, and my husband and I made the same mistake in 2011 when we knew that when DH retired we would be moving to Sacramento, we looked at houses for $150-$200k and intuitively knew that they would never be that cheap again, but we weren't going to retire until 2014 so we would have had to rent the house out for three years, so we foolishly waited, bought in Oct 2014 and those 150k homes were selling for 280-310 ugh. In retrospect we would have been way ahead of the game if we had bought two of those homes, rented them both out, then when we retired moved into one and kept the other as an investment

[borninsac]

Blackstone's Invitation Homes continues to buy homes in Sacramento market - Sacramento Business Journal

http://www.bizjournals.com/sacrament...html?ana=yahoo

[DougStark]

Originally Posted by borninsac

Blackstone's Invitation Homes continues to buy homes in Sacramento market - Sacramento Business Journal

http://www.bizjournals.com/sacrament...html?ana=yahoo

Good info link. Thank you!

[fouroheight68]

Real estate indicators point to strong 2016

http://www.bizjournals.com/sacrament...rong-2016.html