What’s the mood these days with home buyers and sellers?

If we were to look at the current state of affairs in real estate from a historical perspective, we might come to the conclusion that this is an unprecedented time to buy a home – historic low interest rates for a 30-year mortgage, home values down 30% or more from 5 years ago, but real estate in most markets continues to be lackluster.

Buying or selling a home is more of an emotional decision than intellectual or pragmatic. In fact, recent brain research shows that making a purely intellectual decision is impossible – people whose emotional brain centers are impaired find it near impossible to stop analyzing and make a decision.

Perhaps it is safe to say then that the psychological state or emotional mood of much of the real estate industry is lackluster = Lacking in vitality, force, or conviction; uninspired.

Real Estate Data & Trends (mostly from 4th quarter 2011 data)

• 62% of consumers feel that buying a home in the current market is a good investment over the next 10 years
• 75.1% of homeowners state that their home defines their identity
• 95% of metro areas are expected to see home prices rise in the next year
• Buyers searched for a median of 12 weeks and visited 12 homes before they found the one they purchased
• 39% of sellers did not reduce the asking price, 26% of sellers reduced it once and 35% reduced the price
• The average rent on vacant properties is 28% higher than the average mortgage payment two or more times
• 54% of first-time homebuyers used a low down payment FHA mortgage
• Mortgage rates are expected to rise and reach 4.5% by mid-2012
• 64% of all buyers are married couples, 18% are single women, 10% are single men and 7% are unmarried couples

In a previous article, we noted some significant trends in the real estate industry: low mortgage rates (now expected to rise by mid-year), looser credit from banks, stability in the real estate market and settlement of the robo-signing case against the banks (now a done deal). In addition to these changes, FHA has announced higher fees for home mortgages are coming – how will this affect first-time homebuyers?

Foreclosures & short sales will continue to be an influence in local real estate markets like Danville, Dublin and San Ramon CA, but the days of the super-steal are gone. Home buyers and investors can no longer expect to buy homes 20% or more below last years value. Pricing dynamics between the forces of foreclosures & short sales vs. supply & demand have home values bouncing back and forth in a 10% to 15% range – from 90% of asking price to 105% of asking price.

Home buyers and sellers still sitting on the fence may be hoping this year’s election will improve their situation. Most likely any influence from the election will merely be a short-lived one based upon the public mood swing.

For motivated home buyers, it’s a great time to make a good deal with excellent long-term benefits. For home sellers, especially in the San Ramon, Dublin and Danville areas, this may be the perfect summer to sell given the new home owners that will be moving into the area.

Listen to what Mayor Bill Clarkson has to say about San Ramon.

Listen to what Marc Fontes, Director of Economic Development for San Ramon has to say.

Home Buyers – You can get more specific details on homes in your price range by emailing Craig and requesting a Real Estate Pricing Specific Trend Report – be sure to specify a zip code and price range.

Home Sellers – You can request a Real Estate Pricing Specific Trend Report for your home. Email Craig with your neighborhood and pricing info.

Showing properties 1 - 5 of 76. See more city of San Ramon real estate.
(all data current as of 5/17/2012)

1. $639,950 : 117 BALTUSROL PL, SAN RAMON
   
   4 beds, 3 full baths

   Home size: 2,384 sq ft

   Lot size: 10,800 sqft
2. $499,000 : 2402 AMARYLLIS CIR, SAN RAMON
   
   3 beds, 2 full, 1 part baths

   Home size: 1,433 sq ft
3. $785,000 : 504 FALLEN LEAF CIRCLE, SAN RAMON
   
   4 beds, 3 full baths

   Home size: 2,614 sq ft

   Lot size: 15.00 ac
4. $1,879,000 : 415 CRANLEIGH CT, SAN RAMON
   
   6 beds, 6 full, 1 part baths

   Home size: 5,632 sq ft

   Lot size: 18,295 sqft
5. $1,115,000 : 7837 KENNARD LN, SAN RAMON
   
   5 beds, 4 full, 1 part baths

   Home size: 4,202 sq ft

   Lot size: 9,578 sqft

Listing information deemed reliable but not guaranteed. Read full disclaimer.