Category Archives: Maximum Overbid ™

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It’s Friday! Top 10 Overbids To Spark Your Cocktail Conversations Tonight

You’re all probably wondering where the hell I went. I’m here. Representing buyers and sellers in this frenzied market. This market that is full of crazy overbids, properties getting many multiples of offers, and at the same time properties that are now sitting in the dead pool. I call these “Stalefish” a.k.a. 30+ Club, and you can see some of them here.

But it’s Overbids, the Top 10 to be specific, that you came to see, so here they are. Have a great weekend!

Address BR/BA/Units DOM List Price Sold Price Overbid
3955 19th St 2/2.00/N/A 12 $1,195,000 $1,830,000 53.14%
1493 Newcomb Ave 2/1.00/N/A 3 $408,888 $623,700 52.54%
14 Ulloa St 2/1.00/N/A 25 $798,000 $1,125,000 40.98%
662 Elizabeth St 2/1.00/ 9 $799,000 $1,105,750 38.39%
369 Arguello Blvd 371 2-4 Units 29 $1,650,000 $2,250,000 36.36%
131 Harold Ave 2/1.00/N/A 16 $599,000 $805,000 34.39%
3615 20th St 2/2.00/6 13 $1,049,000 $1,400,000 33.46%
525 27th Ave 527 2-4 Units 21 $1,190,000 $1,580,000 32.77%
460 Andover St 4/2.50/N/A 10 $1,250,000 $1,650,000 32.00%
17 Valletta Ct 19 2-4 Units 36 $1,100,000 $1,450,000 31.82%

-Properties Still available [The Goods 30+ Club]

21-741-18th-ave-windowview-high-res

We Just Beat The Closest Comp By $200,000

I’m pleased to announce my clients have successfully sold their Richmond District top floor condominium for $1,200,000 (listed at $949,000), or as I like to point out, $200,000 more than the most recent, closest competitor property on 26th Ave that listed almost the same day as we did.

It’s no coincidence we knocked it out of the park. It was strategy, patience, perseverance, and knowing how to finesse each offer (we received five) to their highest and best without them walking away. Congratulations to my clients that just set the bar for Central Richmond condos – the last area of the city you can still find a deal. Let the migration begin.

-741 18th Ave, Top Floor, 2+ bedroom, 1.5 bath, 2 parking, Richmond District Condo, listed $949,000, sold for $1,200,000. Seller Representation.

15thkit

$1.6 to $2.2 – $1.2 to $1.6 – $1.6 to $2.3…San Francisco Overbids Continue With No End In Sight

Although I’ve been out and about and trying to enjoy summer, clearly the Overbid factory didn’t get the memo. Check out the most recent craziness, including one architect/owner designed house on 15th Ave that sold almost 40% over asking! To all of those that think things slow down in Summer…think again.

Top 10 Overbids for San Francisco:

Address BR/BA/Units DOM List Price Sold Price Overbid
414 Missouri St 4/3.00/N/A 6 $950,000 $1,410,000 48.42%
671 Alvarado St 2/1.00/ 12 $899,000 $1,305,000 45.16%
1426 6th Ave 3/3.00/N/A 13 $1,595,000 $2,300,000 44.20%
609 Precita Ave 2/2.00/N/A 42 $825,000 $1,175,000 42.42%
531 Sanchez St 2/1.00/N/A 8 $995,000 $1,400,000 40.70%
2570 Folsom St 4/3.00/N/A 14 $1,595,000 $2,210,000 38.56%
45 Richland Ave 3/1.50/N/A 10 $650,000 $900,500 38.54%
2628 15th Ave 3/1.50/N/A 12 $849,000 $1,175,000 38.40%
656 Arguello Blvd 2/2.00/3 21 $799,000 $1,104,713 38.26%
80 Jersey St 3/2.00/ 14 $1,195,000 $1,650,000 38.08%

Want the top 20, sign up for sfnewsletter @ sfnewsletter.com.

[Update: Business Insider Just Shared 13 Properties all Selling For $1M or more over...]

Have a great weekend!

San Francisco’s Top 10 Overbids

From $1,400,000 to $14,000,000 on 25th Ave?! Are you kidding me!? Yes, that’s a typo for sure. Agent error. Fat fingers. Something. It’s not right. But the rest – wow!

Address BR/BA/Units DOM List Price Sold Price Overbid
2910 24th Ave 4/2.00/N/A 10 $1,400,000 $14,000,000 900.00%
140 Jerrold Ave 3/1.50/ 7 $215,000 $413,000 92.09%
1725 Kearny St 5 2/2.00/5 14 $1,450,000 $2,450,000 68.97%
2186 14th Ave 2/1.00/N/A 1 $949,000 $1,500,000 58.06%
1574 Innes Ave 2/1.00/N/A 14 $599,000 $915,749 52.88%
2546 McAllister St 2548 2-4 Units 60 $995,000 $1,510,000 51.76%
228 3rd Ave 3/1.00/N/A 12 $995,000 $1,475,000 48.24%
2475 15th Ave 4/2.00/N/A 20 $1,195,000 $1,695,000 41.84%
141 Beaver St 2/2.00/N/A 18 $1,798,000 $2,507,000 39.43%
270 Valencia St 2/1.00/206 13 $648,000 $900,000 38.89%

Have a great weekend.

Don’t forget, we have the full Top 20 on The Goods, and Top 20 Underbids too.

-The Goods, Because your clients deserve better.

overbidnevada

From 32% In NOPA To 65% On Nevada – San Francisco’s Top 10 Overbids

It’s Friday, that means it’s time for the Top 10 Maximum Overbids of the week. As usual, there are some doozies, but nothing I would consider ultimate shockers like a few of the last weekly Top 10’s we’ve seen. The number one spot goes to the “Contractor’s Special” on Nevada in Bernal Heights that fetched 65% over (totally in line with market sales price, and not easy to price this type of property). The number 10 spot goes to my clients that finally won after so many years searching – 538 Baker in NOPA that was “only” 32% over asking and the winner out of 15 other offers, two of which were actually higher than ours and all cash. We had a loan. But we “won”.

Anyhow, on with the show. The Top 10 Overbids for San Francisco this past week:

Address BR/BA/Units DOM List Price Sold Price Overbid
270 Nevada St 1/1.00/N/A 14 $530,000 $876,000 65.28%
866 Cayuga Ave 4/3.00/N/A 20 $928,000 $1,380,000 48.71%
27 Day St 3/1.00/N/A 43 $895,000 $1,310,000 46.37%
1271 15th Ave 1273 4/3.50/ 13 $1,795,000 $2,550,000 42.06%
307 Parker Ave 3/2.00/N/A 13 $1,250,000 $1,710,000 36.80%
25 Miraloma Dr 3/2.00/N/A 10 $1,050,000 $1,420,000 35.24%
1150 Holloway Ave 2/1.00/N/A 35 $889,000 $1,200,000 34.98%
320 Castenada Ave 3/1.50/N/A 26 $1,695,000 $2,250,000 32.74%
471 Hickory St 2/1.00/N/A 5 $1,060,000 $1,400,000 32.08%
538 Baker 2/1.50/N/A 11 $948,000 $1,250,000 31.86%

On a side note, one of my listings will hopefully be closing today, and believe me when I say we knocked it out of the park. Will we make the Top 10? No, but maybe we’ll scratch into the Top 20.

If you’re curious what your property might sell for, give me a shout.

Have a great weekend!

-Top 20 Overbids Delivered to Your Door (Inbox) [sfnewsletter.com]
-Are Overbids A Result Of Intentional Underpricing? It’s Competitive Pricing [theFrontSteps]
-Top 20 Underbids [sfnewsletter.com]

Are Overbids A Result Of Intentional Underpricing? No – It’s Competitive Pricing

It’s happened again – I did a post Friday about the week’s overbids, and the comments and emails immediately come in, “Is this because the owners are listing for under market prices to crest bidding wars?” or “Why do you always highlight overbids? Aren’t these properties underpriced to begin with?” or “These properties are selling at market price, so why all the hype about overbids?” or “Can you post comps for each overbid you show?”

It’s nonstop, so let me elaborate. The answer is no, most of these overbids are not underpriced, and no, most listings are not intentionally underpriced*. Most properties are “competitively” priced. In a market where buyer activity drives property values up, we have learned (this isn’t San Francisco’s first crazy real estate rodeo) it is best to price a property lower than where you expect it will sell, get a lot of people through the door, and let the buyers set the new market price for any particular property. It is the best way to get the highest price for the seller. The truth is, in this market, we listing agents have run out of crystal balls and simply don’t know what true market value of a property is until you open it up to the hordes of buyers out there, and let them do their thing.

Additionally, buyers have become accustomed to looking at property priced lower than what they expect to pay in the end. So if you list higher than what they’re searching, you won’t get them through the door. For example, a buyer that is expecting to pay $1.2M on a property is likely looking at properties priced well below that (in the $800-995,000 range), knowing they have to bid over. It’s mean, and totally wrong, but it is the way it is. If you bring a property to market at the higher price you hope to achieve, you might get less buyers through the door, no offers in the end, and end up “chasing the market down”, which is not a fun thing.

The last three listings I had blew our (mine and my clients’) minds. We had expectations as to where they might sell, and even entertained the idea of an off market sale, but man were we glad we didn’t go that route. In each situation we received at least 10% more than what we originally thought was “market value”. Did we intentionally price it low? No. We really didn’t know exactly where it would end up selling, so we priced it competitively knowing the buyers will set the market price, and they did, and always do.

It’s frustrating being a buyer in this market, no doubt, but it’s stressful being a seller too. Selling a property for an exorbitant amount of money, regardless of how much over asking an offer might be, is not entirely relaxing. Appraisers strike the fear of God in sellers, because each new appraisal is at a level not yet seen. Hence the draw of accepting cash offers over those with loans. Miraculously appraisals keep coming in at value, but sometimes other things can derail the process too, and then what? Re-list? List at higher price? Are the same buyers still out there? Will you get that magical (through the roof) number again? Do you put the backup offer in (if they’re still there)? So many variables cause so much stress, but that’s another topic altogether.

The bottom line is the overbids that are highlighted here and make headlines are not so much about property being underpriced, as much as they are about the multitude of buyers out there willing to go to astronomical heights to realize their dream of owning property in San Francisco. Arm chair analytics are great for SocketSite, not so great for listing your home on the market, or trying to be the lucky buyer that wins in a market with far too little supply, and over-flowing demand.

So take these overbids with a grain of salt, and if MLS was smart, they’d add a category when reporting sales that will show us all the number of offers on any given property and any given overbid. That’s the real stat to focus on. For every property that gets sold there are usually 10-15 buyers (at least) that just lost and are moving on to the next one, and ready to go crazy big just to be done with it.

I hope that sheds a little light on the matter, and I hope it clears up the air around most of us real estate agents that are simply doing what it takes to get the seller the highest and best price for their property. It’s a bit of a game, but if you know how to play, you can win. As always, I’m here to help you buy and sell, because I do know the game, and I do know how to win.

*Some agents do intentionally underprice property, and some agents do use this as a way to brag about getting “$$$ over asking on my latest listing, I can do the same for you.” But those agents are the exception, not the rule, and you should avoid them.

-Last Week’s Top 10 Real Estate Overbids-San Francisco [theFrontSteps]

5725Diamond

This Week’s Top 10 Real Estate Overbids For San Francisco

It’s Friday, that means it’s time to check in with this week’s Top 10 Overbids. From the number 10 on the list, which came in at 32% over on 2nd Ave in the Lake District, to the number 1 on the list, which was just 65% over on Wisconsin in Potrero Hill, there is surely something good for you to peruse, ponder, and discuss among friends.

Address BR/BA/Units DOM List Price Sold Price Overbid
940 Wisconsin St 942 2-4 Units 17 $1,099,000 $1,815,000 65.15%
336 Banks St 3/2.00/N/A 12 $998,000 $1,455,000 45.79%
1526 Revere Ave 3/2.00/N/A 15 $499,000 $725,000 45.29%
159 Belvedere St 161 2-4 Units 16 $1,600,000 $2,300,000 43.75%
1783 Noe St 2/1.00/N/A 24 $1,195,000 $1,705,000 42.68%
2323 47th Ave 4/2.00/N/A 32 $759,000 $1,025,000 35.05%
5725 Diamond Heights Blvd 4/3.00/N/A 8 $1,595,000 $2,139,250 34.12%
319 26th Ave 3/1.25/N/A 13 $1,045,000 $1,395,000 33.49%
2465 Harrison 2/1.00/ 25 $899,000 $1,200,000 33.48%
278 2nd Ave 2/1.00/N/A 52 $925,000 $1,230,000 32.97%

For details about any of these properties in particular, or to send your clients a list of the top 20 Overbids, Top 20 Underbids, and more, check out theGoods-SF.com.

[Update: Since the questions keep coming in, I answered 'em: Are Overbids A Result Of Intentional Underpricing? No - It's Competitive Pricing]

-Send Your Clients The Goods [theGoods-sf.com]
-Are Overbids A Result Of Intentional Underpricing? No – It’s Competitive Pricing [theFrontSteps]

2224jackson

Pacific Heights Property Fetches $1,706,000 Over Asking

You read that correctly, 2224 Jackson Street, a Pacific Heights trophy three unit property listed at $2,095,000, just knocked out last week’s stunner at 2514 Gough (Sold $1.4M over), to take the cake for most insane insanity ever in real estate anywhere, ever, by selling for $1,706,000 over asking price, or a grand total of $3,801,000. It is a vacant multi unit property in one of the best areas of town, but still – that’s nuts.

That was the winner, but there were more. Second place was a paltry $600,000 over asking- that one got kicked off the list today. See the top 10 Overbids list below.

Address BR/BA/Units DOM List Price Sold Price Overbid
2224 Jackson St 2-4 Units 13 $2,095,000 $3,801,000 81.43%
1783 Noe St 2/1.00/N/A 24 $1,195,000 $1,705,000 42.68%
390 Franconia St 2/1.00/N/A 6 $895,000 $1,262,375 41.05%
239 Judah St 3/2.00/N/A 27 $1,199,000 $1,661,000 38.53%
2200 Lyon St 3/2.50/N/A 19 $2,100,000 $2,900,000 38.10%
141 2nd Ave 3/3.50/N/A 9 $1,900,000 $2,600,000 36.84%
3700 Folsom St 2/2.00/N/A 12 $1,049,000 $1,425,000 35.84%
79 Everson St 3/2.50/N/A 24 $1,195,000 $1,610,000 34.73%
5725 Diamond Heights Blvd 4/3.00/N/A 8 $1,595,000 $2,139,250 34.12%
727 35th Ave 5/4.50/N/A 13 $1,525,000 $2,025,000 32.79%

I need a drink. You?

Top Sales Over Asking In San Francisco For The Last Two Weeks

I get a lot of people in real estate in other markets around the country contacting me and telling me their market is crazy good. I have to nod my ahead and agree, “Uh huh. Yep. That’s impressive.” But really, it’s not. San Francisco real estate is an entirely different beast. Case in point, the most recent overbids:

Address BR/BA/Units DOM List Price Sold Price Overbid
219 Richland Ave 3/1.00/N/A 15 $818,000 $1,250,000 52.81%
1527 Ofarrell St 3/2.00/ 4 $899,000 $1,300,000 44.61%
317 Crescent Ave 3/3.00/N/A 28 $995,000 $1,425,000 43.22%
610 Russia Ave 2/1.00/N/A 13 $599,000 $850,000 41.90%
2909 Jennings St 1/1.00/N/A 8 $190,000 $269,444 41.81%
173 27th St 3/1.00/ 22 $900,000 $1,265,000 40.56%
1223 Bosworth St 2/2.50/N/A 24 $1,495,000 $2,100,000 40.47%
354 28th St 2/1.00/N/A 19 $1,100,000 $1,525,000 38.64%
432 Moraga St 3/2.00/N/A 12 $889,000 $1,220,000 37.23%
755 Mangels Ave 5/3.00/N/A 11 $959,000 $1,315,000 37.12%

In case you’re wondering, yes, we have Underbids too.

Olé!

Something For You Fence Sitters And Gold Panners To Ponder…

1761hayes

My clients just got shelled by 16 other offers on 1761 Hayes, a top floor 2 bed, 1 bath condo in NOPA asking $849,000. We offered $1,051,000, and they accepted an offer that was “barely higher”. So here’s a thought:

I’d say it’s time for many of you long time residents sitting on the selling fence to pack it up, cash out, and head for greener pastures where the $$$ you make on your sale can buy you acres of space, money in the bank, and plenty of breathing room. I’d even suggest all of you gold panner techies flocking to SF looking to strike it rich consider building another hub for tech activity somewhere else. Don’t get me wrong, I love all of you, many of you are my clients, we love what you’re doing for the economy (for that matter, the world), and there is a reason everyone wants to be in San Francisco, but at some point, I’d think even you, the innovators, would get tired of throwing your money at sellers and it still not being enough. Surely, the internet works in other locales around the world, and surely companies can be built and go viral from anywhere. Perhaps the companies that are leading the innovation now should open satellite offices in markets where their talent can afford to live? I know Oregon, Seattle, and Salt Lake City have a reasonable real estate market, as well as hip scene. Makes perfect sense to me, and might ease the frenzy that is San Francisco real estate. What do you think?

On a side note (somewhat related to technology): in case you aren’t on the VIP list, and you’re stuck waiting in line for your real estate agent to send you stale data via snail mail about recent sales in your ‘hood, comps that by the time they reach you are old news, I published yet another issue of sfnewsletter last week, and it’s chock full of good real estate porn, including a few good overbids you’ll want to share amongst friends, and a link to the stuff you really want: real time market data sortable by neighborhood and property type (courtesy of The Goods-SF).

Get on the list at sfnewsletter.com. Get out of town with money in the bank by giving me a shout (alexclark@gmail.com, 415-254-5351).

-1761 Hayes Property Detail [theGoods-sf.com]