Danielle Lazier

Hi Fred,
Ah, you're thinking about some of the questions I put forth. That's great! I have worked with clients who are in similar situations...figuring out TIC potential, directing them to the right experts (yes, you need a great real estate lawyer), even talking with their tenants about homebuying and buying their units.

There is too much detail for a helpful online answer. You'll need to consult with a local Realtor, real estate attorney, real estate knowledgeable tax expert, and probably a TIC lender. It may be that selling your building as-is with the tenants makes the most sense for your net results or it may be that going the TIC route is right. There are a lot of variables to consider.

Give me a shout if you want help getting started.

Cheers,
Danielle Lazier
San Francisco Real Estate Agent
Zephyr Real Estate
danielle (at) sfhotlist.com
415.695.7707 x196 - Sat Nov 1 2008, 15:00

Hi Fred,

The answer really depends on your specific building. It is all residential or mixed-use? Will any of the apartments be delivered vacant? Does it have TIC potential? What are the rents? Are any of the tenants protected? Etc Etc Etc.

There are so many potentials here that I don't think it is prudent to give you a specific answer without knowing the details.

I will say that many folks are optimistic that financing restrictions will continue to ease thus making a building like yours more saleable. Plus, I think we'll see renewed activity after the Election. Right now, there is so much uncertainty.

Yet, good properties that are priced right are selling just fine in our market. In fact, Zephyr just sold a 6 unit building for about $100,000 over the asking price! As long as you price for today's conditions, you should have no trouble selling. Buyers are out there.

It might be that you'd be fine to go on the market after the Election or it might make sense to wait until January. Your best bet is to have an offline consultation with a local San Francisco Realtor like myself or one of the other Trulia members. Please give me a call or email so we can discuss. Go to this site for client reviews of my business: http://www.insiderpages.com/b/3711363472 .

I used to publish market statistics with SOLD data on my Blog but the association doesn't like it so I stopped. However, I will email you a full market report with sold data based on your building's neighborhood if you email me. The report comes with no obligation whatsoever. It is just meant to help you make an informed decision.

Cheers,
Danielle

Danielle Lazier
Zephyr Real Estate
415.695.7707
danielle (at) sfhotlist.com

http://sfhotlist.com/blog/ - Fri Oct 31 2008, 13:15

Hi Tara,
It almost sounds like you may be a reporter. Yes?

Anyway, most of San Francisco real estate has seen at least a slight decline in value from the peak of the market in 2005. The reality is that we are in turbulent economic times and the liquidity crisis has affected our market....that and other macro-economic factors.

Yet, the good news is that San Francisco real estate has fared VERY well in comparison to almost every other City and County in the Country. Even more good news is that real estate values have fared very well in comparison to the stock market too.

So, even though my own house's value is down from the peak, I can feel better that 1. it is not down as much as if I had purchased in an outerlying part of the Bay Area and 2. it is not down as much as my stock accounts!

Folks who try to time markets should ask themselves what else is their money doing, do I think San Francisco home values will be higher or lower in 10 years, do I like where I currently live, do I think rents will be higher or lower in 10 years, etc etc.

Of course, your question is whether or not there are some homeowners who feel there house has appreciated or stayed the same. The answer to that question is most definitely, yes! Whether or not it is true is a whole other story...

They say residential real estate is "sticky" on the way down, meaning real estate tends to depreciate slowly. This is due, in large part, to the psychology of home values. Some sellers (and often their Realtors) do not wish to see the market's reality.

The best thing we as San Francisco real estate agents and as homeowners (sellers) can do is to treat this market rationally and honestly.

I recently wrote a real estate blog post about what to do in today's market. I'll summarize it here.

http://sfhotlist.com/blog/2008/10/17/california-housing-pric…

Real estate is a long-term investment.

Folks who have owned their San Francisco homes for 5+ years have done very well even in today's market.

Folks who have owned for less time should either sit-tight and enjoy their home. Or consider trading up. Trading up in a down market can actually save you money and make you more money in the long-run.

Buying opportunities like we have now in San Francisco come about every 10 or so years. This is a once in a decade opportunity to get that nicer house you always wanted at a relative bargain.

There is no clearance on San Francisco homes. Don't get me wrong. I am not suggesting a buyer go out "bottom-feeding." At least, not in most of San Francisco... Again, our values have held up quite well considering...but there are opportunities to get a good value for your money...and a very good loan.

Real estate in San Francisco has pretty much doubled every 10 years. No, this is not a hard and fast rule but in general, it is a good rule of thumb. For the vast majority, property owners will have more equity and more savings for retirement than renters.

Our market is not wildly appreciating anymore but it is pretty darn healthy. Folks are successfully buying and selling real estate. Qualified buyers are getting good loans. Realistic sellers are selling their properties in short periods of time. Transactions are taking place.

(Side note: I know these are troubling times for many of us. It is scary out there. Many of us are facing financial hardships that will have lasting affects on our nesteggs and even our health and happiness. Please know my intention is never to belittle any of these valid struggles. I, too, want this time of uncertainty to be behind us. Here's to next Wednesday when at least, we'll have a little more clarity...for better or for worse!) - Wed Oct 29 2008, 13:30

When is the best to to buy a home?

My mantra has always been buy what you can afford, as soon as you can afford it, and as long as you can imagine living in the home for at minimum 3-5 years. These days, it is better to play it safe and plan for at least 4-5 years.

Right now, the uncertainty in the stock market, in the lending markets, in the general economy and in politics is causing panic and paralysis. It is typical of times of confusion. When in doubt, do nothing, right? ;)

No one can predict the future but no one can time the markets perfectly either.

Personally, I wish I were a San Francisco home buyer right now. Seriously. I just wrote my top 5 reasons why. Check the link below. I know it's cheesy but if you want to get to the penthouse, you gotta get in the elevator.

I assist a lot of San Francisco home buyers so if you want to chat about your situation, please give me a call or email.

All the best,
Danielle

Danielle Lazier
Zephyr Real Estate
415.695.7707
danielle (at) sfhotlist.com
http://sfhotlist.com - Wed Oct 22 2008, 09:59

Hi Tony,

My understanding is the the property tax is reassessed upon sale at the new purchase price. When you buy a property in San Francisco, you pay the seller's tax amount at the close of escrow. This will be lower or higher depending on how long they have owned the property.

The City of San Francisco will reassess the property at the new sales price and issue a Supplemental Tax Bill. If the new value is lower, there should not be any supplemental bill.

Keep in mind that the City takes a while (a few months, usually) to update the tax records so you are likely to pay tax at the higher amount for some time.

I would recommend you speak with the Tax Assessor/Recorder's office after the close of escrow to let them know the situation and see if they will help you. As it's been said, their office is busy right now!

Best of luck,
Danielle

Danielle Lazier, Zephyr Real Estate
415.695.7707
danielle (at) zephyrsf.com

http://sfhotlist.com/blog/ - Thu Oct 16 2008, 12:01