Price Drops


#1

Time to start a price drop thread. Nowhere close to busting or expecting to. But it could be a leading indicator of some needed change in the market.

Price drop in last 24 hrs:

https://www.redfin.com/school/190492/CA/Sunnyvale/Cupertino-Middle-School/filter/property-type=house+townhouse,max-price=3M,max-price-reduced=1d,viewport=37.46755:37.26372:-121.91369:-122.24293,mr=6:14325+6:4561


#2

You are filtering in cupertino/sunnyvale and PA? Those are 2 quite different areas. For 2.5 you can get something thats move in ready ~2000sqft in sunnyvale/cupertino. In PA, you can get a teardown or a house < 1500.


#3

The same discussion has been had almost every fall. It’s a seasonally weak time to sell with not many buyers looking. If you want top dollar, sell in spring. If you want to bargain hunt, buy in fall/winter.


#4

Also, the change in the market started in late spring. Things has been slow for around 4 months now.


#5

Yes, just wanted to see what’s happening in that price range since I believe this reflects higher middle range for dual income earners in the valley.


#6

Login as owner of your primary house in Zillow, can access this “best time to list your property” chart.

53%20PM


#7

Dont see the percentages in the chart but looks like a good spread. One can earn good money by buying in fall and selling in spring.

Since its so obvious, How many of you are doing it here?


#8

This does not necessarily apply. In 2018, the best time was Feb/Mar/early Apr. It started slowing down end of April and Early May.


#9

The percentages/risk are not worth it enough if you account for agent fees. Unless you are adding value to the house.


#10

Depends on location :slight_smile: Is why I told you to login to your own property :slight_smile:
36%20PM


#11

Agent fee 3%-4.5%. Easy spread of 8%-10%%. Take 1% as holding cost for 6 months. 4-5% easy money

Again, how many of you are doing it?


#13

Didn’t sell but I bought most of the rental properties between Jul-Dec.
wuqijun could answer this question since he flips a lot. However he is on vacation.


#14

I am willing to wait to see who else is making the easy money. From what you guys are saying it looks simple and straightforward.


#15

Well this is because we are in a bull market for RE. Any time you buy after 2009, if you wait 6-9 month and sell, you would have made money. It is straightforward now, but once the music stops, there will be a lot of pain.


#16

I bought my primary in Sep since i didn’t mind move my kids to diffrent school shortly after school year started.
However, i bought my rental in June since i didn’t want to list it after summer season. Once you list your rental in fall/winter then it is hard to break that cycle IMO.


#17

Well if it’s truly cyclical then it’s worthwhile to wait a couple of months to rent it out to save 5-10% on your purchase price. You can Airbnb it out during the waiting period too.


#18

look we are making even more money.

Buy in fall, Airbnb it, sell in spring. Easy money!

But looks like no one is making it here. Though everyone has tons of data to show how cyclical it is. Odd!


#19

No Airbnb (i am pretty picky in selecting tenants).
IMO, the best season to buy is late summer/early fall. Even in winter, it starts to pick up. That means i have to wait quite long time until peak summer rental season.

Anyway, i bought it because i was happy with the location(on quiet cul de sac yet close to bus stop which is connected to Diridon station), house condition(newly updated) and schools and it was within my budget. Now that i plan to hold it forever and pass it to my kids, i guess that was good enough to buy.


#20

Yes, if you see a house you can afford and like, just buy. No need to wait.


#21

So obvious after you pointed it out😀