Uptown Oakland condo - How much is too much? (San Francisco: wood floors, short sales)

[wazmoot]

I am considering buying a condo located about a 5-min walk to 19th St BART. The available condos are brand new where you can order the wood floors and all other sorts of upgrades. I adore the condos and the Uptown Oakland location.

Question 1: How much is too much to pay for a 1-bdr condo? They range from about $290k to $400k depending on layout and floor (the upper level units cost much more but have a nicer view above all the surrounding buildings).

Question 2: Is $759/yr on top of the already high 1.41% Oakland property tax too much? Evidently, every unit at this particular condo has this special assessment tax and the amount is not related to the assessed value of the unit. I'm fine (sort of) with this additional tax if this is the norm and not the exception. Are additional special/direct assessment taxes in addition to the general ad valorum property taxes typical in the bay area?

It seems like an odd time to buy right now. There is a huge variance of opinions...some people think it's a horrible time to buy (possible repeal of tax deductions, etc) while others say it is a great time to buy (low interest rates, etc).

[bmw335xi]

Originally Posted by wazmoot

I am considering buying a condo located about a 5-min walk to 19th St BART. The available condos are brand new where you can order the wood floors and all other sorts of upgrades. I adore the condos and the Uptown Oakland location.

Question 1: How much is too much to pay for a 1-bdr condo? They range from about $290k to $400k depending on layout and floor (the upper level units cost much more but have a nicer view above all the surrounding buildings).

Question 2: Is $759/yr on top of the already high 1.41% Oakland property tax too much? Evidently, every unit at this particular condo has this special assessment tax and the amount is not related to the assessed value of the unit. I'm fine (sort of) with this additional tax if this is the norm and not the exception. Are additional special/direct assessment taxes in addition to the general ad valorum property taxes typical in the bay area?

It seems like an odd time to buy right now. There is a huge variance of opinions...some people think it's a horrible time to buy (possible repeal of tax deductions, etc) while others say it is a great time to buy (low interest rates, etc).

That sounds very expensive for a 1 bedroom in Uptown Oakland. I don't think this would make a good investment, but if you plan on living there 5 years or longer, being happy is most important. $400k for a 1 bedroom will get you a nice 1 bedroom in San Francisco or a house in a middle tier neighborhood in Oakland. A special assessment tax is not the norm. How much are the HOA dues? I think it's a good time to buy mainly because interest rates are so low. However, whenever you buy a brand new place, you will always end up paying a premium. It wouldn't be a good investment in this market. There are so many short sales and foreclosures, I would never buy brand new in this market.

[Carlite]

You need to hire a realtor/agent to work for you (not for the seller). You need someone who is intimately familiar with the property market in that area, not random opinions on the internet.

[bmw335xi]

Originally Posted by Carlite

You need to hire a realtor/agent to work for you (not for the seller). You need someone who is intimately familiar with the property market in that area, not random opinions on the internet.

I disagree for two reasons in this case.

1) It's better to check recent sales online, than trust a realtor. They want you to pay the highest price because it increases the chance the offer will be accepted and it also means more commission for them.

2) This isn't a resale, so buying directly has its benefits. There is more negotiating room because they won't have to pay a realtor commission.

I have a license and most of the people in my class were idiots. It's too easy to get a license, so unless you really trust the realtor, beware when it comes to offer price etc. Realtors are useful when it comes to resale properties.

[jade408]

Check out redfin for comparables. That price point sounds a tiny bit high, but it really depends on other factors like HOAs amenities, and size of course.

The Uptown condos are selling well for good reason, they are pretty well located etc.

If that's Broadway Grand, I'd be a bit skeptical. Those felt over priced when they first tried to sell, and the layouts were crappy if I recall. And any eastern view you have will be blocked by other planned development.

If it is a huge 1 bedroom at 400k: i.e. a balcony, and 1100 square feet, maybe but that is still pretty steep. A decent new 1 bedroom should be more like 250k-325k with nice finishes in most of downtown.

PM me and I'll fill you in on the well priced buildings in my opinion that are good values (in my opinion).

[msybarra]

Hello. I am in the same boat. What is a good price for a 2bd/2ba condo in the uptown area? These particular units do not have outdoor space or amenities. Any insight would be great.

Thank you

[Obamadon1]

The uptown place and broadway grand condos seem overpriced to me, unless you definitely want new. There are plenty of newish buildings around downtown with better deals. Nice locations though.

[18Montclair]

Originally Posted by Obamadon1

The uptown place and broadway grand condos seem overpriced to me, unless you definitely want new. There are plenty of newish buildings around downtown with better deals. Nice locations though.

Yeah its pretty much all about the location.

[beb0p]

Answer to Question #1: A one bedroom can range from 450 to over 700 sq ft. It's hard to say how much is too much without knowing the size of the unit. Tell us the price per sq ft would help. Don't forget to factor in the HOA fees also.

Answer to Question #2: As far as I know special assessment is typical. I have it, my friends have it, I'd be interested to know who doesn't have it and where they live.

I never tell people if it's time to buy or not to buy - I'm not smart enough to time the market; but I think if it's something you really like and can see yourself living there for a long time and if the rent vs buy ratio works in favor of buy then I'd understand if you want to buy. The Uptown area is much more expensive than condos in other areas, seems to me that the upside of Uptown is already factored into the price. I don't know enough about Uptown to comment on the upside but someone really has to believe in that upside to justify paying the price being asked.

[DocGoldstein]

Horrible time to buy. Low inventory, artificially low rates are propping up prices. You're just asking to be upside down in Uptown Oakland by buying now. Decent 1 bedrooms sell for that price in S.F which is much more desirable than Oakland.