June 23 Update

June 23, Weekly Analysis

The two new Meadows listings are highlighted on the list.

Three homes went into Pending this past week: 28651 Mountain Meadow Rd., a 3/3 of 3,471 s.f. had been listed at $399,000; 10131 Sage Hill Way, a 4/3 of 3,321 s.f. had been listed at $469,900; and, 28250 Sparkling Oaks Trail, a 3/3 of 2,709 s.f. which had been listed at $469,000 — $499,000.

The large number of homes that went into Pending over the past several months – which has indeed been a very large number – are now starting to close in large numbers.

Six homes closed escrow this past week: 10642 Meadow Glen Way East, a 2/2 of 1,932 s.f sold at $301,000; 10506 Moon View Way, a 3/2 of 1,275 s.f. sold for $315,000; 10255 Spruce Woodlands Way, a 4/3 of 2,357 s.f. sold for $405,000; 10932 Treeside Lane, a 3/3 of 2,951 s.f. sold for $406,000; 10344 High Mountain, a 3/3 od 2,923s.f. sold for $452,000; and 10575 Laurel Path, a 5/5 of 3,920 s.f. sold for $505,000.

While it might appear that prices of homes are rising, that is not the case – it is simply that a few higher priced homes (a very few) are selling, and the addition of those to the mix raises the average and the mean without disturbing the relatively low prices of the individual homes.

What is obviously happening is that homes below $500,000 are still briskly moving, and that is an improvement over the recent history where homes below $400,000 were briskly moving.

There are Buyers above $500,000 and they are actively looking. They do not feel any great motivation to make offers because they do not feel any competition for homes they covet, and in the meanwhile they can continue to shop the market of new listings in their price range without fear of losing their current favorite.

Those looking in the upper ranges are starting to get nervous that the end of the malaise is in sight and that interest rates will not last at these numbers forever. Buyers in this range are sophisticated Buyers – not either first-time buyers or investors – and are trying to time the market. That can be chancy, because these homes are not easily replaceable because they are unique.

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June 11 Weekly Update

Two new listings this past week, and they are highlighted on the obverse.

We had to break our lengthy streak of homes going into Pending, and this was the week: No homes were listed as going into Pending.

And only one home was listed as having completed the sale process: 28720 Sandhurst Way, a 4/3 of 3,220 s.f. which sold at $549,000.

This lag in the sales is an opportunity to offer caveats about reading the information on the other side of the page. (This refers to a weekly listing I have of available Hidden Meadows homes, a list you can get on by sending me an e-mail to allen@allenhemphill.com)

I have included the information that most Buyers inquire about, however some of the information is of questionable value. For example, the age of the house – that is simply the year it was first constructed, and most of the homes in The Meadows have had some remodeling and some have had extensive remodeling. There is nothing in the information to tell you which homes are in original condition, or completely remodeled.

I have always believed that listing the square footage is desirable, but somewhat misleading. A house that is 3,000 feet long and one foot wide is a 3,000 s.f. home that is unlivable, so obviously there are homes that live “smaller” than their listed footage, and those whose layout lives “larger.’

Layout counts.

While not every home that is .25 acres or less is in the Covenant, that is a good Rule of Thumb, and while every home that is on an acre or more is not necessarily out of the Covenant, that again is a good Rule of Thumb  There are exceptions to those “rules” but when guessing if a home is in the Covenant, those are good guidelines. Experienced local Realtors are the best guide. It’s like sewers – a FEW homes out of the Covenant are actually on sewer, but the Rule of Thumb is homes out of the Covenant are on septic tanks.

Mkt Time (Market Time) is an absolutely useless measure. A competent Realtor can manipulate this number with ease, and most do.

Finally, $/sf is an almost worthless measure. It does not take into account, acreage, or views, or golf course locations, or the difference in the quality of construction (tile vs. granite, swimming pools/spa, dual pane windows, etc.) $/sf is really a useful item only for tract homes, not for custom homes, and 85% of The Meadows are custom homes..