Newark Market

Int64 · July 1, 2019, 11:11pm

What is the outlook of Newark by savy folks here? Given FB proximity and plans to build the Dumbarton corridor by facebook? New homes were being sold for ~1.2M a year back. A bigger home with same construction priced for ~1.39M is being offered for 1.2M today. Comparing it with homes a year ago it looks like a good deal but given the market trend I feel it makes sense to wait rather than pull the trigger. Would appreciate some thoughts from more savvy people here.

Note: School districts are just bad.

Roy321 · July 2, 2019, 1:28am

@RealEstatebull had/has a property in Newark. He might be able to answer specifically to your query.

Int64 · July 2, 2019, 4:44am

Thank you @Roy321. @RealEstatebull would you mind sharing some wisdom?

RealEstatebull · July 3, 2019, 5:39am

It seems like Newark got ahead of itself in pricing compared to other areas. 15% correction across the board.

Those new homes when first phase was released were 900ish?

Newark is a good bet longer term for the accesibility reasons you mention. If you need a new home and dont care about schools, go for it.

manch · July 3, 2019, 5:51am

How’s Newark compared to north Fremont?

RealEstatebull · July 3, 2019, 5:55am

Newark is blue collar other than the new homes. North fremont is way nicer since schools are great, had risen the most compared to other parts of fremont coz of fb factor

manch · July 3, 2019, 5:57am

So if you were to buy a rental, which town would be place your bet? Newark or N. Fremont?

RealEstatebull · July 3, 2019, 6:01am

Newark: since you can get it for cheap. More room to grow. Numbers also make sense.

This is now flipped but not being sold…

https://www.zillow.com/homedetails/36617-Dugan-Ct-Newark-CA-94560/24927320_zpid/

was offered this off market. Could have bought for 690k.

Boolean · July 3, 2019, 4:49pm

Good looking reno.

BAGB · July 3, 2019, 5:03pm

The flipper may not make much money from this flip

manch · July 3, 2019, 5:07pm

If bought for 700K and rent for 3K, that’s not a terrible return to have the optionality of appreciation down the road.

Flipper is going to lose money.

Boolean · July 3, 2019, 5:14pm

Agreed, and keep holding and raise the rent - very similar numbers to my Milpitas house when I bought it.

Roy321 · July 3, 2019, 6:01pm

In the short term, Depends on cost of money(if any) for flip.

manch · November 21, 2019, 5:43am

This Newark condo seems to break even or even slightly cashflow positive:

https://www.redfin.com/CA/Newark/6286-Joaquin-Murieta-Ave-94560/unit-L/home/1583000

Redfin rent estimate is between $2350 to $2750. So I guess around $2500?