buying house in SF Bay Area (San Jose, Hayward: section 8, for sale, apartment complexes)

[vkdelta]

Hi All,

I am first timer here in this forum and I have read through some old posts. I have moved to Bay Area back in 2010 from CO. I have been blessed with good job so far and I think I am doing well. We are married but no kids (yet). Single income so far.

We have been renting a 2br/2ba in a desirable area for last couple of years for ~$3000 in Santa Clara Area and but getting tired of paying the high rent (not much of a choice either since anything decent is expensive here in Bay Area).

We are looking for a 2+BR/Ba Townhome or a SFH in a decent area for budget around 600K. I know 600K does not get much here in Bay Area and we missed buying in last market crash (was not married by then). Can afford a mortgage of about ~3000-3200/month and down payment of ~120-140K. looking for something which can be sold or rented at similar or better price in future (5-10 years).

Office location is in North San Jose (near Zanker Rd area). Current commute is ~6mins without any Red lights and 8.5mins with all red lights. Willing to endure a commute of ~45mins one way.

Preferences:
1. Good-average School District
2. Away from Ghettos and Gangs
3. new community/newer constructions
4. with low HOA fees (do not want to shell out $400-500 in HOA fees). Prefer <$250 HOA. (some of the east bay houses have crazy HOA and dont know the reason for it)
5. Prefer Feel like San Ramon Area (not a North San Jose Business parks type feel)


1. What would be a good areas to look for? (so far looking in San Ramon, Dublin, Danville, Hayward, Union city, Pleasanton, Livermore )
2. What would be good budget to have? I can stretch a bit at the cost of using 401K funds or giving up 401K contribution for couple of years.
3. What are some areas which are not so good now but will grow in next few years?
4. Are there house inventories in off-peak season (Dec - March)? is pricing better in off-peak season?


Thank you.

[dogandcat]

Originally Posted by vkdelta

Hi All,

I am first timer here in this forum and I have read through some old posts. I have moved to Bay Area back in 2010 from CO. I have been blessed with good job so far and I think I am doing well. We are married but no kids (yet). Single income so far.

We have been renting a 2br/2ba in a desirable area for last couple of years for ~$3000 in Santa Clara Area and but getting tired of paying the high rent (not much of a choice either since anything decent is expensive here in Bay Area).

We are looking for a 2+BR/Ba Townhome or a SFH in a decent area for budget around 600K. I know 600K does not get much here in Bay Area and we missed buying in last market crash (was not married by then). Can afford a mortgage of about ~3000-3200/month and down payment of ~120-140K. looking for something which can be sold or rented at similar or better price in future (5-10 years).

Office location is in North San Jose (near Zanker Rd area). Current commute is ~6mins without any Red lights and 8.5mins with all red lights. Willing to endure a commute of ~45mins one way.

Preferences:
1. Good-average School District
2. Away from Ghettos and Gangs
3. new community/newer constructions
4. with low HOA fees (do not want to shell out $400-500 in HOA fees). Prefer <$250 HOA. (some of the east bay houses have crazy HOA and dont know the reason for it)
5. Prefer Feel like San Ramon Area (not a North San Jose Business parks type feel)


1. What would be a good areas to look for? (so far looking in San Ramon, Dublin, Danville, Hayward, Union city, Pleasanton, Livermore )
2. What would be good budget to have? I can stretch a bit at the cost of using 401K funds or giving up 401K contribution for couple of years.
3. What are some areas which are not so good now but will grow in next few years?
4. Are there house inventories in off-peak season (Dec - March)? is pricing better in off-peak season?

Thank you.

Do you plan to work at the same place as today? If so than you should consider significant time spent in traffic. Livermore... Pleasanton... It is so far away and traffic is a killer even if you work in North San Jose. It will feel really badly after 6 min your current traffic.

As I got, you don't have kids so schools is not a #1 priority for the next at 5-6 years. Being you, I would find something in Beryessa (newer townhouse and even not bad schools at least at the part of the district) or maybe even a condo in North San Jose or Downtown SJ (bad schools but perfect for everything else). It will be easy to resell in the future when you will be ready to buy a detached house in a good school district. Low HOA is a perfect idea but should not be a priority since HOA amount can be increased without your desire in the future by the management (you know all of this "emergency funds"...).

I would forgot about detached house in this price range today at all (only Tracy could offer it, not even Gilroy any more). Except if you want to live in a ghetto area that you don't want as you stated.

[Lanienguyen]

As a condo owner, I know what the high HOA cost. Some of complexes, low HOA but they some basic thing such as ground maintenance, electrical for out door.. ete. The home owner has to respond for everything within the condo/townhouse, as well as the insurance, trashes, water.. ete. For example my unit HOA $394/month, but it cover almost everything ( even earth quake insurance was covered before..) If something wrong, pipes leak, roof leak, HOA will take care. So you have to beware of those details, what to be covered in low HOA.
If your office in North SJ, why did you live in North SJ at the 1st place? At least, you save couple hundreds each month in rent. North SJ is newer than Berryessa. Currently they build lots of condo/townhouse around this area, 95131. However, I like the 3 complexed called Village Square ( my unit), Park View complex, and Townsend. Because they are surrounded by the San Jose golf course and Townsend park.. and the very open spaces. Most of the new building now, they try to build many units in the small land, so they build up.. 1st floor = garage, 2nd floor living room, 3rd floor bed room.. and might be 4th floor for Master.. Most of those condo 2BR/2Bath prices range $550-600K, where Park View complex is more expensive up to $700K. North SJ will have BART station very soon.. and lots of restaurants/stores or grocery markets. I lived in this area for ~20 yrs.
Berryessa area,( I am living now) has better schools than North San Jose (one of 2 good schools districts in San Jose, the other is Evergreen district. Don't confuse with Cupertino or Saratoga's school districts) ( People living North San Jose send their kids to Berryessa schools by borrow addresses thru friends, relatives who live in Berryessa). However, the building is older 40 yrs or more. It's not far away from your job. Also it will get BART extension too either to Milpitas or Berryessa street in North SJ ( currently Flea Market). There are only 1 or 2 Apartment complexes in this area, that means most of the houses here occupied by the owners. Learning from the last down turn, good neighbor + good schools = price did not went down much in the bad economy. For ex, my bro in law bought his home in 2006 for $760K in the best neighbor in Berryessa. During the downtime, similar house sold for $650K in 2009... and never went below this price. Now it value ~1.2 M. But you have to know what is/are the schools from 1st to 12th grades assigned to the area in Berryessa. Only few blocks in the Berryessa 95132, has good schools from 1st to 12th grades. The same street doesn't means the same school.

MLSListings Lead: 1833 Queen Elizabeth WAY, SAN JOSE, CA 95132 ( For Sale ) | MLSListings

The listing above is near my house. It has the mountain view ( behind the complex). Good schools from 1st to 12th grades.
Low HOA cost. Try to get 4 BR townhouse, in case you want to rent out.. $3000 is the price that Section 8 can pay to you.

The 4BR sold here
MLSListings Lead: 1833 Queen Elizabeth WAY, SAN JOSE, CA 95132 ( For Sale ) | MLSListings

Most of the Single House in this area range $900K and up..

In my opinion, it's easier to sell or to rent a property here in San Jose than other places out side SJ area.. People will get sick of commute and they will eventually move back to where all the jobs are.

[vkdelta]

thanks for responses.

I am not sure if I plan to work in sample for many years. I may move but not to SF. Would typically choose work places as north as MV or Palo Alto.

I will keep berryessa in mind and it is a place I like and have seen before. Just that whatever I liked was beyond 800K+. May be I need to recalibrate my SO's thinking to choose something closer but not so nice.

[treedroppings]

I live near Berryessa east of Toyon road. Golf Dr and northward to penitencia Creek is a very nice place! Maybe a fixer upper can be in budget.

[tehsquishmeister]

You should wait tbh. All signs say the RE market is at a top and likely so is the market.

Give it a year, on the outside two, and if it still doesn't correct I'd just wash my hands and go elsewhere.