Email Elizabeth
JaCi Wallace
Cats, Covid19, And Selling Sacramento Real Estate
Cats, Covid19, and selling Sacramento real estate are where much of my time is spent during each waking hour. With cats, COVID19, and selling Sacramento real estate are now part of daily life for this Sacramento Realtor. It occurred to me these three things are where so much of my time is spent each day. When you have nine cats, they are part of every hour of every day.
Of course, all nine cats do not live inside. I do cat rescue and also have purebred Ragdoll cats. Whether inside or out, cats play a significant role in daily life. This picture is of Toby-Tyler on the cat tree. He is a 7-year-old male rescue, and his sister Gidget is on the lower shelf. These two orange tabby cats I rescued. They were abandoned, left inside a wall of a commercial building. As they were not quite two weeks old and I had to bottle feed them every 3 hours. They have been my cats ever since.
Covid19 is impacting people in so many different ways. Everyone is impacted by it. We are so fortunate to be in the greater Sacramento area. Our Covid19 numbers are reported to be lower than anywhere in the country for this disease. The shelter in place slowed sales and created a much more stringent loan approval process. We have an escrow right now where underwriting threw a monkey wrench in the mix, and now they have to qualify all over again. My seller is left waiting. We could have canceled the contract, but the buyers want the property.
Of course, selling real estate is what we do every day on our team. We wake up and immediately hit the computer sending back emails. Next, we start a task list for the day and look at our calendar. The last thing in the evening is checking email before turning off the computer to go to bed.
Covid19 restricts us from going to so many different places. The trips to Costco, animal feed stores, and the grocery store are the big outings. Selling real estate, it’s not a job, it’s a lifestyle, and you do because you love it. This job is not for a 9 to 5 worker as they would definitely not be happy in this role.
At Weintraub & Wallace, we love what we do. We each work independently and own business, but we support and help one another like a family. The harder you work in real estate, the more successful you can become. With self-employment, it gives you a lot of freedom to decide how you will run your business. Many Realtors work very part-time, so they don’t earn very much and have limited funds to market their listings. Always hire full-time professionals with hundreds of 5-Star Reviews
When I think of Covid19, I think about my mother. I haven’t been able to see my mother for over six weeks because she is so frightened of catching this disease. Watching the news would stress anyone out. Things are delivered or dropped off on her porch. I have a friend that’s got herself locked up in her house, and she’s terrified to go out as she has some health issues. She is worried she will get Covid19.
Of course, I don’t want anyone to catch this dreadful disease. There are so many people that are suffering on such personal levels with direct loss from this disease. Losing loved ones, friends, or co-workers is heartbreaking. I feel very blessed that our family has stayed healthy, my friends have stayed healthy, and my clients have stayed healthy. We wish good health to everyone.
The phone is ringing off the hook again for showing property and writing contracts. I’m just going to focus on one day at a time. We don’t have control over what’s happening with Shelter in place orders. No doubt, we are following all of our instructions from the federal level to the local level. We wait for the opportunity to come for businesses to start to recover their losses. The real estate market is on the rise, so don’t wait; it’s an excellent opportunity to take advantage of the lowest interest rates.
We all need to be problem solvers and do our best to help one another when difficulty arrives. My sister colored my hair today as my hairdresser is not working, so my sis volunteered. She jumped in with both feet to help. She bought some hair color and did my hair this evening. I was so grateful. We all just help each other and will get through this and anything else that comes our way. Blue skies and warm temperatures are on the way; it’s going to be a good week.
Cats, Covid19, and selling Sacramento real estate, it’s certainly never boring. There’s always more to do, more to learn. If you’d like to buy or sell real estate, please call Weintraub & Wallace Realtors with RE/MAX Gold. We can be reached at 9162336759.
JaCi Wallace
Closing Escrows On Homes In Sacramento
Closing escrows on homes in Sacramento lately has not been easy, but they are closing. Repairs have been complicated as have the requests for repairs. During Covid19, some buyers are asking for repairs. Depending on the property, some sellers with motivation to close are being more patient by offering to complete some repairs and / or offer credits.
Of course, credits are the preferred way for a seller; however, some things cannot be fully diagnosed without opening up the ground, such as a septic inspection and repair in Sacramento rural real estate. Also, pest inspections requiring further inspections can go on and on without fully definitive answers.
Pest Inspections And Repairs
Some foundations have to be dug out to obtain access. In such cases, a large credit may be needed to satisfy a buyer. When you have a difficult buyer’s agent and a bit of a challenging market, the combination can require some sellers to make concessions that they typically would not make. That being said, if a good purchase price is obtained there may be a sufficient cushion to make some repairs or credits. It is a good time to sell as buyers who are serious are out looking to buy.
So, we are closing escrows on homes in Sacramento; however, the workload on seller’s agents has increased tenfold. Out-of-area sellers of previous rentals often require a Realtor to act as a property manager. We are dealing with so many extra tasks during Covid19. We hope soon to have fewer limiting showing instructions in Sacramento for seller-occupied property.
Sellers Need Results
Sellers can become impatient for results when they have fewer showings, which is completely understandable. Properties priced correctly are selling, and that is not new in any market. This is not a time to overprice as properties will simply not be shown during COVID19 if buyers do not see the value. We have less inventory now than historical averages. If you are a buyer, it is a time to get busy and hire a top notch Realtor to represent you in the hunt for a fabulous property. Especially since interest rates are lower than they have been for decades.
There Is Opportunity
There is opportunity for buyers and sellers during these times. One of our exclusive buyer’s agent was able to help a buyer to purchase a property for $50,000 less than asking, which made the buyer very grateful. Another listing with challenging inspections (but an entry-level list price), we helped our seller to obtain a top price. Some properties are, of course, selling for full-price and within a few days.
We have been able to put properties in escrow and close them, no matter what the challenges. If you are interested in selling or buying a home, call Weintraub & Wallace Realtors with RE/MAX Gold today. We can be reached seven days a week at 916-233-6759.
— JaCi Wallace
Real Estate Work During Covid19 Requires Patience
Real estate work during Covid19 requires patience as everyone is impacted on some level. Though real estate has been named as an essential service along with construction, don’t kid yourself it is not back to normal by a long shot. The scheduling of repairs is often booked weeks out. In many cases, as there have been layoffs in various businesses, a shortage of the workforce can mean delays. This week has been about working longer days. Whatever it takes we are putting in the extra time and effort.
When I worked at another real estate company previously, we would measure different aspects of your sales personality. When we polled 20% of the top producing agents (who by the way sell 80% of the real estate) we found two qualities that were consistent, one of which was impatience. To follow up on leads and take care of so many tasks each day you have to be hair on fire impatient for results. We kill it, cook it, and serve it on a pretty platter while someone else is still writing a memo.
In this Covid19 environment, it is not about fast pace as much as it is about digging in and looking creatively at how to best help our clients. It does not mean not taking action, but that we must continue to work cooperatively with other agents and vendors to get the job done. We can no longer fly through inspections as we are on waiting lists in some cases.
Dust Yourself Off After Setbacks
Our photographer is busy and many people are preparing in advance to sell their homes, a great idea right now. We were very busy the last two days, long hours with little sleep. There can be setbacks of course. Sharing with clients and setting expectations can help avoid disappointments. The key is to get up, dust yourself off, and hit the reset button. We will show up and continue to work hard for our clients. People still need a place to live and with low-interest rates, this can spell out more affordable payments. Also, some people out of work may need to sell their home and some are relocating.
What seems one of the hardest things right now is getting things completed in a swift manner. Most companies have cut way back on staffing. That includes pest companies, stagers, roofers, inspectors, and repair people. Now, you hope someone calls you back, but it may not be the same day. Yesterday and today have been days where I had to take a breath and say I’m doing my very best. Working within the framework of this environment is what we must continue to do and making unrealistic demands of people will get you nowhere. That doesn’t mean accepting poor performance. It may mean in some cases you are helping other people to ensure the tasks are done well.
Patience And Perserverance
I was working with a friend yesterday on a co-listing and she was very honest with a seller after a disappointment with a vendor. She said we just don’t know when we will be able to get someone back out and it may cost more. We will get someone but it’s going to take time, she said. The client understood. We didn’t say, ” no worries this will be done right away.” The truth is we are working on it round the clock. We will get the job done but it requires patience and perseverance in this Covid19 climate. Our sellers are amazing people, we are so very grateful for so many wonderful clients.
Interviewing Vendors
We have to interview vendors very carefully as they are making promises and they don’t always deliver. We have the best plumber but he is on a job in the bay area for a few weeks. Some vendors have scheduling issues as they may have skeleton crews and suffer from exhaustion. We can’t control someone else’s performance but we can fire them and start over which is what we have to sometimes do. This means delays and postponing other steps as there is a sequence to properly preparing a home for sale.
Set Expectations With Clients
I’m now setting expectations with clients much more carefully as this market demands it. I find myself on a daily basis saying, folks, we need your patience during this time as it’s a team effort. Talking openly about the counties that have implemented restrictions with regard to how we show homes is critical. As information becomes available, we continue to post it for everyone.
There are addendums with regard to Covid19 that buyers must sign before being shown a property. Trying to hold escrows together takes much more effort right now. We are doing our very best each day to sell your home, which is almost a daily conversation. Sharing the smallest details is what helps sellers the most.
Price Correctly
Now, it is more important than ever to price correctly as homes are still selling if they are priced to sell, based on closed sales. Loan qualifications are more stringent and working with a great lender is more critical than ever. I think what worries sellers the most now is that property is not being shown as frequently. More buyers are looking online at photos and area, driving by first. If there is something that buyers decide is not appealing, they don’t come and take a look. The good news, buyers that are serious and qualified are looking, there is no window shopping right now.
Keep the faith. Warmer temperatures are on the way. We are working harder than ever to help our clients sell and buy homes. Real estate work during Covid19 requires extra patience and diligence. We have several homes in escrow right now and working hard to close them. If you are looking for information on how to buy or sell a home during Covid19 call Weintraub & Wallace Realtors, with RE/MAX Gold. We can be reached at 916-233-6759.
JaCi Wallace
March 2020 Housing Statistics for Sacramento County
March 2020 housing statistics for Sacramento County is certainly welcome news, per Josh Amolsch, who wrote this blog. Josh is an exclusive buyer’s agent on our team. He really brings to light the numbers and how you can apply them to your situation if you are buying or selling. Enjoy, it’s a great read. — JaCi Wallace
The first thing I noticed about the new March 2020 Housing Statistics for Sacramento County was that the median sales price for single-family homes reached $400,000. This is a 9.6% increase over March 2019. Going back to 2004 shows that this is an all-time record. The last time we were this high, besides last month, was August 2005 when the median reached $395,000. But, $400,000 may seem like a bargain when you consider the median sales price for the four-county region in March 2020 reached $440,000. Wow.
Average Days on Market, Original List Price VS Sales Price
COVID-19 has changed the world over the last month. We Realtors have been working harder than ever. We are fielding many calls from clients, writing offers and finding ways to help our clients during these crazy times. The orange chart above shows that buyers are still buying and at a higher rate of speed than in the same month, last year. Homes are selling 31.8% faster than one year ago and sellers are getting closer to their asking price in March 2020 vs March 2019. Real estate ain’t crashing folks. March 2020 housing statistics for Sacramento County show pending sales are still strong.
The effect of this Covid19 Virus on the real estate market is bearing no similarity to that of the 2008 crash, according to the March 2020 housing statistics for Sacramento County. The “Great Recession” was launched largely in part because people were allowed to buy homes they couldn’t afford. Lender regulations are pretty stiff these days to avoid a repeat. Always learn from past mistakes, right? Have you gone through a pre-approval recently? If so, you know that you have to show proof of everything, including your ability to afford your mortgage. Interest rates are continuing at record lows.
For Sale, Pended and Sold
Where we can see possible evidence of COVID-19 having an effect on Sacramento real estate is in the Pending’s metric. New escrows for March 2020 fell 1.3% from February probably because of a knee jerk reaction to how to tour homes now. Also, add on that little episode with the banks raising rates because of the run on refinancing and purchase loan applications. But, that is still 88% of the entire inventory available in March! New listings are up 11.3% over February 2020.
I predict a continuation of a similar market to what we have been experiencing in the last several months. Low inventory, lots of buyers and agents duking it out for listings is considered normal. Technology, smiles and firm handshakes aside, your home will sell when it is priced right. Always makes a difference if you have great curb appeal as you only have one shot at a first impression.
Always make sure your property is marketed by a top tier real estate team. If you would like to chat with agents who have weathered almost every type of storm the real estate market has experienced in several decades, then give Weintraub & Wallace with RE/MAX Gold, a jingle at 916.233.6759.
Are Mortgage Rates Going Up or Down?
Are mortgage rates going up or down? As a mortgage professional for almost two decades, we have been through many wild rides, but nothing compared to what we are experiencing right now with this coronavirus; or what we are calling our alternative universe. Just over two weeks ago, the fear of COVID-19 sent stocks tumbling, and mortgage rates lower – according to Mortgage News Daily, the average rate for the popular 30-year fixed mortgage fell to 3.23%, an 8-year low.
Rates had been dropping for weeks as “breaking news” seemed to ping our phones by the minute, and fear began to manifest in real-time, as we watched the stock market cradle. In times of economic uncertainty, mortgage rates are typically the beneficiary of bad news, and rates go down as dollars move from the risky stock market and into the “usually” safe haven of mortgage-backed securities (aka mortgage debt) – and rates go lower. Question is, are mortgage rates going up or down?
As news of the virus drove interest rates down, homeowners rushed to apply for mortgages not seen in over a decade. According to the Mortgage Bankers Association, during the first week of March, refinancing applications reached their highest levels in over 11 years and jumped 79% week over week. We all went from being plain old busy to our hair catching on fire. That’s when the damn broke, almost at once, as Banks quickly began to increase rates to stem the demand. More factors contributed to mortgage rates spiking, and I will cover those in future blogs — no need to get too far in the weeds here.
In what seemed like a matter of hours, those attractive low-interest rates vanished in a poof of air, and rates shot up – and fast!
The Fed Didn’t Drop Rates?Are Mortgage Rates Going Up or Down?
Most had not heard the news that rates had jumped when the Fed made a dramatic announcement that they were going to lower the Fed funds rate to almost zero. Within minutes my cell phone exploded with calls and text messages from clients “Dan, did you hear the news? The Fed is lowering rates to zero, and I want it!“ Unfortunately, I had to tell them it doesn’t work that way.
The Fed Funds Rate is the overnight rate at which banks borrow money from each other; it is not, however, the mortgage rate. Mortgage rates are influenced by the U.S. and global economies and the demand (or lack thereof) of mortgage-backed securities (MBS) that are bought and sold on Wall Street. In short, MBS represents the prices investors are willing to pay for these low risk, low rate, fixed investments. More demand drives interest rates lower, and less demand drives them higher.
So to be clear, the Fed can’t just announce they are lowering mortgage rates by dropping the federal funds rate. But, by making these incremental moves, they can help influence mortgage rates to drop – or in this case not to go too much higher!
What is Quantitative Easing, and why do we want it?
Now that we all know Fed rate cuts don’t always lead to lower rates, there are a few other tricks the Fed has up her sleeve to help us. One method that paid huge dividends during the crash of 2008 is Quantitative Easing (QE), which is “the introduction of new money into the money supply by a central bank.
In laymen’s terms, if the guys on Wall Street and investors won’t purchase Mortgage bonds or treasuries, the government can step in and fill that void. Thus, keeping the demand for MBS going, which in turn keeps mortgage rates low. And if rates stay low, it will promote consumer spending (and borrowing) and keep our economy humming. The Fed’s goal to push rates down using QE may work again, as it did when they purchased billions in bonds and securities over many years following The Great Recession.
What is happening today reminds me of just how fragile and reversible progress can be. And unfortunately, as a society, we sometimes have this terrible habit of repeating mistakes we made years ago. This is why it is so essential to work with people you trust and who have the experience to guide you through the steps of homeownership and finance. I am hopeful this move by the Fed will pay dividends, just as it did before, and we can all continue to realize the dream of homeownership. Be safe, everyone. Dan
— Dan Tharp, our mortgage lender. He can be reached at 916-257-1470.
Dan Tharp, is with Guild Mortgage. His NMLS # is 280913. He is proudly the preferred lender for Weintraub & Wallace Realtor group with RE/MAX Gold. If you want to buy or sell a property please call us at 916-233-6759.
