Real estate prices on Redfin and Trulia are not real (sales, condo)

[vrhunski]

Thing is when you check sales record those prices are lower then it should be. There is some trend that seller and buyer make some internal deal that they announce price to the title company lower then its real. Probably buyer pay seller in cash some part or even there are legal ways like buyer pays all closing cost to the seller.

So be careful when you check those sales record prices on Redfin. You shouldn't relay on them.

[easybay]

We have refinanced our house 2 times since we purchase 2 years ago. In the sale statistics on one of the sites - maybe Redfin, it appears that our house was "listed" and "sold" each time. So, it's listing what the mortgage amount is - at a minimum of 20% less than what the home actually sold for, since that is what our down payment was. Our house first "sold" for the original amount, and then 3 months later, it "sold" again, for the mortgage amount.

[80skeys]

Real estate prices everywhere in the Bay Area are not real

[vrhunski]

Originally Posted by 80skeys

Real estate prices everywhere in the Bay Area are not real

Yes prices are even higher then on public listings.

[bigdumbgod]

Originally Posted by 80skeys

Real estate prices everywhere in the Bay Area are not real

The listing price in the Bay Area often can be otherwise known as "the start of the bidding".

[redheadstar]

What Trulia and Redfin post are just estimates

[DMenscha]

Far be it from me to suggest anything Zillow related, but they do seem to post sale prices accurately.

The best source is the local MLS data.

Buyer's and sellers don't collude on the reporting of sales data. Sorry to burst the conspiracy theory on that one. Every CA county has a real estate transfer tax and the amount of that tax is reported to the county by the escrow company, which has to prepare the document based on the contract sales price and reported on a HUD-1 form. False reporting by them on the HUD-1 would expose them to huge fines and penalties and there is absolutely no reason for them to do so.

In my county the amount of the transfer tax is indicated on the grant deed. A $115 dollar tax would indicate a $100K sales price. Many transactions aren't subject to the transfer tax (moving title from an individual to a trust, a quit claim deed, or a refinance of a mortgage).

[vrhunski]

Originally Posted by DMenscha

Far be it from me to suggest anything Zillow related, but they do seem to post sale prices accurately.

The best source is the local MLS data.

Buyer's and sellers don't collude on the reporting of sales data. Sorry to burst the conspiracy theory on that one. Every CA county has a real estate transfer tax and the amount of that tax is reported to the county by the escrow company, which has to prepare the document based on the contract sales price and reported on a HUD-1 form. False reporting by them on the HUD-1 would expose them to huge fines and penalties and there is absolutely no reason for them to do so.

In my county the amount of the transfer tax is indicated on the grant deed. A $115 dollar tax would indicate a $100K sales price. Many transactions aren't subject to the transfer tax (moving title from an individual to a trust, a quit claim deed, or a refinance of a mortgage).

True but I bought condo 1/1 for 295.000 + all closing cost. That is legal way to lower the real sales tax. Buyer and Seller agreed that buyer paid all closing cost (30k) and not 325.000$ because tax is little lower. So what I want to tell you we have absurd situation that people think condo prices are lower then in real world.

[DMenscha]

Originally Posted by vrhunski

True but I bought condo 1/1 for 295.000 + all closing cost. That is legal way to lower the real sales tax. Buyer and Seller agreed that buyer paid all closing cost (30k) and not 325.000$ because tax is little lower. So what I want to tell you we have absurd situation that people think condo prices are lower then in real world.

Somebody got ripped off if closing costs on a $295K purchase was $30K. Even if you counted the real estate commission as a closing cost for the buyer.

[vrhunski]

well almost 30k with all commission of-course. I don't know right figure yet because I am wait for title company to count everything for me.