In The News

Jeff Schween for The Press Democrat – Flying High, Again

Flying High, Again

No, not the diatribe hit from Ozzy Osbourne’s heavy metal song from 1981, rather the joy of new freedom being brought to Northbay residents as flights to Las Vegas can now be counted on for those seeking the glitzy getaway, once again. Thanks to Allegiant, which will be whisking passengers to and fro, residents now have a convenient way to get to where they want to be. Much like the relief and joy this is bringing, would be home buyers are looking for a boost in the supply of housing options to satiate their needs for an even more important bet – a new home. In planning for the summer swell of inventory it becomes critical, like travelling, to book your plans early, do your research in advance and when you stumble across the optimal choice – never perfect – you pounce on that deal.

There are many traditional ways to evaluate a marketplace. These benchmark analytics showcase tried and true logical ways to assess illogical and risky moves, but only from a historical perspective. The success that you want to gain will only be able to be measured in the past, thus requiring you to blaze a trail based upon your own confidence and beliefs about what your future will be. Accumulating knowledge along with capabilities are vital to conquering the markets.

One of the most common components of measuring value is price-per-square foot, a calculation based upon recent averages of perceived similar homes in a perceived similar market area. This metric is routinely applied to appraisals to justify valuation for what a market buyer and seller have come to terms with in fostering an agreement and thereby supporting the new lender’s position in the property as secured.

According to data collected by BAREIS MLS, a current overview of Sonoma County indicates an average sold price-per-square foot (psf) of $364 for a single-family home – essentially flat compared to April 2015 – while the real estate markets reported in excess of a six percent jump in the median property value to $570,000 over the same period.

Sharing the limelight around the Redwood Empire, Healdsburg and Petaluma’s Westside showcased stratospheric gains of 20 percent in this metric as they came to the tables with values of $758psf and $456psf, respectively, leaving Oakmont a few points behind with a 13 percent heist to $365psf. Never a long shot for the prize, Northwest Santa Rosa popped 12 percent as its value surged to $324psf.

Gaming the markets due south, Rohnert Park and Cotati were cashing their chips in at $306psf – an eight percent rise from a year ago. Making a run for it, Southeast Santa Rosa reported five percent gains as it rang the bell at $345psf while the town of Sonoma, inclusive of Glen Ellen and Kenwood, came up four percent to $494psf.

Playing odds close to even, Northeast Santa Rosa managed a three percent swing to $334psf outpacing Petaluma East and Sebastopol which both rolled snake eyes at $317psf and $438psf, respectively.

Lady luck was out in Windsor and Southwest Santa Rosa as both markets gave back one percent of their winnings as they left the tables with $303psf and $282psf. They say the house always wins and this April saw Cloverdale part with three percent to close out at $281psf while the Russian River flowed downstream five percent to wash ashore at $321psf.

Shhhhhush – here’s a lucky tip – don’t place your bets based upon your neighbors hand or pledge. Double down on your own research and professionals advice while not being caught looking too far afield as the successful bet

Jeff Schween

By Jeff Schween, of Pacific Union International’s Santa Rosa office.