If your both a buyer and a seller than I can see that you are playing it cautious. I have a very and I mean very careful buyer looking in Carmichael. Wehave been studying the market in Carmichael looking at houses and waiting until they sell and seeing where they sell at. So we really know value very well. We are talking to appraisers who work in the Carmichael and Fair Oaks area as well. Last week the appraiser we called said that this market is still in flux in Carmichael. He said that he himself calls on every comp that he uses to find out the ity bity details of a deal. I suggested that we would use three pendings and three solds that are a great fit and use those to determine the price. WE are paying close attention to like kind properties with similar age and beds and baths and of course location on street not backing any boulevards etc. I find that there is some emotion that play a role but everyone out there right now wants to be confident in their deal.
From the sell side I recommend that you have a clean house that is not overcrowded and kitchens matter.
I would not overprice in this market because buyers are price driven because lenders are still harsh right now. I hope that helps. All of this information is based on 5 months of study in Carmichael and really focused on the area West of fair Oaks. If you have a house soon to hit west of Fair Oaks, I may have a buyer...

Hi Jennifer,
One of the consequences of waiting can possibly be higher interest rates. Even if the price drops but the interest rates rise you can find yourself paying more per month on a lower price home. I don’t care what anyone says (just look at what the pros had been saying only 3 years ago) no one knows what rates or prices will do. Overall, equity has continued to increase over the years. Look what the same house cost only 7 years ago. This is a buyer’s market and personally I wouldn’t wait. Hope this helps somewhat.

JIm was very eloquent in his description. I also think we're sitting at or near the bottom.

And I think with someone out there thinking 'of course the realtors are going to say BUY', I'm going to say the same thing as Jim-- if the house is right for you as a home, then buy. If it's not then don't.

The only time it matters what the home values are is when you buy and when you sell. The rest doesn't matter...just like the stock market, as long as it's the monthly cost range that you can afford. Personally I don't think the prices will go much lower and have the great loan rates as well. In addition, in the winter months (with the weather and the holidays) you can normally get a better deal because less buyers want to be 'inconvenienced' by looking for a home at this time. Therefore, you have less competition when looking for your home.

Good luck Jennifer!

Yeah, prices are pretty low.

If that is the perfect house for you and your family, and you plan to live in it for several years to come, then I don't think there is harm in moving forward with it. However, if it isn't just right, and you are feeling hurried - well, I don't think you have to hurry either.

My opinion of the current Sac Metro market is that it is in a very long low spot. Values are down as much as 50 to 60% from the peak in some spots.
Maybe not so much in Carmichael. So while it looks like there are screaming bargains everywhere as compared to 2005 prices - the values have, in my opinion, just floated down to where they should have stayed since 2003. The three year run-up from 2003 to 2005 was just insane.

What worries me now is "over-correction". Yeah todays prices seem to make sense because the excesses of the bubble have been wiped out.

However, with so many people burned by real estate and afraid of touching it now that it has cooled off. - We might see an over-reaction and further softening of values below intrinsic values. (the reverse of speculation)

An upside to waiting even if the over-reactors are counterwieghted by bottom fishers is that there will continue to be a supply of foreclosed homes flooding, pouring (or at least leaking heavily) into the market for the next year or two, even if our new president is successful at turning the country around.

The downside to waiting is that prices might be the same or a little higher in a couple of years, and you will have passed up on your dream home for nothing.