Pacific Union Novato Real Estate Market Update (August 2010 Novato Home Sales Report)

The Novato, California real estate market continues its solid year. We had 33 trades last month. What is impressive is the fact that average sales prices are up and average price per square foot are up. The average sales price of Novato homes in July 2010 was $692,508 (up from $644,778 the month before). These homes averaged 106 days on market, were about 2,052 sq. ft., and averaged $320 per square foot (up from $306 sq. ft. in June 2010).

Novato’s price per square foot has hovered between 3-5% of $300 for a year now — in my mind, we are seeing the gradual recomposition of the market in the era of the “New Normal.” Prices are holding steady, particularly in the entry level and move-up price bands. This is good news for buyers and sellers alike. Moreover, historically low interest rates, currently hovering around 4.5%, are giving buyers adequate impetus to make their move.

Below are the percentages of homes in escrow in each of Novato’s major price bands:

• 65% of homes priced under $500,000;
• 40% of homes between $501,000 and $600,000;
• 26% of homes between $601,000 and $750,000;
• 26% of homes between $751,000 and $1 million;
• 16% of homes between $1 million and $1.5 million;
• 20% of homes between $1.5 million and up.

Of the Novato homes that sold in July 2009:

• 17 homes sold under $600,000;
• 16 homes sold between $601,00 to $1 million (the Novato move-up market is hot); and
• 6 sold for at least $1 million.

NEW HOMES IN NOVATO: The 3 Model Homes at The Landing at Hamilton Field are open. We expect that the first homes will be ready for occupancy in October/November 2010.

Pricing begins in the mid-$800,000’s. Interest surrounding this new Southern Novato community has been significant. Please call me at (415) 350-9440 for more information. Or, visit our website at www.TheLandingNovato.com.

If you would like to have the value of your Novato home professionally evaluated, or if you have any questions about Novato’s many delightful communities, just give me a call at (415) 350-9440.

My name is Kyle Frazier. I am a Broker, Realtor, Certified Residential Specialist (CRS), and a Certified Luxury Home Marketing Specialist (CLHMS), with Christie’s Great Estates | Pacific Union International. It is always my pleasure to be of service.

Postscript: Homes in Pointe Marin, Country Club, Hamilton Field, Rush Creek, and Bel Marin Keys generated the most calls and showings this past month.

Pacific Union Novato Real Estate Market Update (July 2010 Novato Home Sales Report)

Novato Real Estate Market Update (May 2010 Home Sales Report)

The Novato, California real estate market continues to exhibit strength across nearly all price bands (not so for homes priced above $1.5 million). April 2010 saw 24 sales (same as February 2010). The average sales price of Novato homes in April 2010 rose over 3% to to $656,699. These homes averaged 93 days on market, were about 2,291 sq. ft., and averaged roughly $294 sq. ft.

Novato’s price per square foot has hovered between 3-5% of $300 for a year now — in my mind, we are seeing the gradual recomposition of the market in the era of the “New Normal.” Prices are holding steady. This is good news for those waiting to buy.

Below are the percentages of homes in escrow in each of Novato’s major price bands:

• 56% of homes priced under $500,000;
• 46% of homes between $501,000 and $600,000;
• 54% of homes between $601,000 and $750,000;
• 34% of homes between $751,000 and $1 million;
• 16% of homes between $1 million and $1.5 million;
• 15% of homes between $1.5 million and up.

Of the Novato homes that sold in April 2009:

• 9 homes were priced under $600,000;
• 14 homes priced from $601,00 to $1 million; and
• 1 priced from $1 million and up.

NEW HOMES: The 3 Model Homes being built at The Landing at Hamilton Field (I am the exclusive marketing agent for this project), located adjacent to South Gate, will be open in less than 60 days (Summer 2010). We expect that the first homes will be ready for occupancy in August 2010. Pricing will begin in the mid-$800,000’s. Interest surrounding this new luxury community has been significant. Please call me at (415) 350-9440 for more information. Or visit our website at www.TheLandingNovato.com.

Again, if you would like me to run the exact numbers for your Novato neighborhood or if you have any questions about Novato’s many delightful communities, just give me a call at (415) 350-9440. My name is Kyle Frazier. I am a Broker, Realtor, Certified Residential Specialist (CRS), and a Certified Luxury Home Marketing Specialist (CLHMS), with Christie’s Great Estates | Morgan Lane Marin Real Estate (Pacific Union International). It is always my pleasure to be of service.

Postscript: Homes in Pointe Marin, Country Club, Hamilton Field, Rush Creek, and Bel Marin Keys generated the most calls and showings this past month. My listing at 94 Maybeck Street, Novato (South Gate at Hamilton Field) sold for 98.7% of list price in 10 days.

Novato Real Estate Market Update (January 2010 Home Sales Report)

• 67% of homes priced under $500,000 (74% last month);
• 66% of homes between $501,000 and $600,000 (65% last month);
• 42% of homes between $601,000 and $750,000 (53% last month);
• 33% of homes between $751,000 and $1 million (same as last month);
• 24% of homes between $1 million and $1.5 million (19% last month);
• 0% of homes between $1.5 million and up.

Best Location in South Gate at Hamilton Field (Novato, California)

(In Escrow 1/16/10) This is a special home with immutable qualities not found in other South Gate at Hamilton Field listings. Most signifricantly, this gorgeous home is sited adjacent to the wetlands restoration project and has no immediate neighbor to the east or north. Even the neighbor to the west is set back — a very rare combination. Located at 94 Maybeck Street, this home features 5 bedrooms and 3 baths (with a bed and bath downstairs), a chef’s kitchen, and a large yard with lots of grass and tasteful landscaping.

Live and thrive in Hamilton Field’s coveted South Gate neighborhood in the most rarely available location (a corner lot on the wetlands). Few South Gate homes on the levee have come to market in the past 3 years. This is your chance!

Great Room configuration. Kitchen with granite counters, chef’s island, breakfast bar, and work station. The potential for four spacious bedrooms upstairs (note that one room, which is very big, does not have a closet) and 3 Baths. Downstairs also has a bedroom and full bathroom. Dining Room with vaulted ceilings, Living Room, Laundry Room, and more. The luxurious Master Suite provides views across the Bayside open space and watershed.

Facts, Features, and Amenities:

• Contemporary home on the levee, set back from the street
• No rear or immediate northern neighbors
• 5 Bedrooms, 3 Baths, 2-car attached garage
• Master Bedroom with his-and-hers walk in closet and large master bath
• Formal Dining Room with vaulted ceiling opens to Living Room
• Chef’s kitchen with island, ample storage space, and granite counters, 5-burner gas range, built-in microwave, breakfast nook and work station, and pantry
• Utility/Laundry Room
• Fabulous views toward The Bay from upstairs
• Gorgeous landscaping with large grassy areas in the front, side, and back yards and mature trees
• Vegetable garden patch
• Fireplace with slate surround and custom mantle
• Media center built-ins in Family Room
• Wired for internet, cable, and phone
• Fire suppression sprinklers throughout home
• Automated landscape and lawn irrigation system
• Backs to open space with direct access to the proposed Bay Trail
• Close to all Hamilton amenities: South Gate Park, Pool, YMCA, Public Library, Art Museum, Café, Hangars, Little League, Soccer Fields, Racquetball Courts, Tennis Courts, Basketball Courts, Hamilton Landing businesses, Hamilton Marketplace, skateboard park, and Gymnasium
• Nearby shopping and dining include the newly opened Hamilton Marketplace including Safeway, Pete’s Coffee, Sonoma Latina Grill, La Boulange, Pasta Moto, and Toast
• Enjoy the quick Southern Novato commute to SF with HWY 101 widening project completed (southbond and northbound carpool lanes both opened)

• Property Address: 94 Maybeck Street Road, Novato, CA 94949
• Listing Price: $842,000

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If you would like to learn more about this lovely South Gate, Novato home on the levee or set up an appointment to see it, please call Kyle Frazier, the listing agent, at (415) 350-9440.

Kyle Frazier, CRS
Christie’s Great Estates | Morgan Lane Marin Real Estate

Novato Real Estate Market Update (October 2009 Home Sales Report)

Entering into the dormancy season for Marin County real estate, it appears that certain “hotspots” remain — Novato is one of them. In September 2009, 35 Novato homes sold, compared with 38 sales in August 2009. The Novato real estate market derives its strength from entry level home sales. The number of homes actively listed in Novato remains very low compared with the rest of Marin (and the percentage of homes in escrow is much higher than the rest of Marin) because of exceptional demand based on affordability and the ongoing fantastically low interest rates.

“Give Yourself a Raise. Move to Novato.”

While the average sales price of Novato homes rose in August to a remarkable $713,440 (based in large part to the makeup of sales), that number fell back to Earth in September — $646,389. Even so, the psychological impact on buyers waiting for bottom to hit has begun to register. Anecdotally, I can attest that many buyers are looking at the inventory of homes in Novato and acknowledging that prices in the lower price bands are level and that it is increasingly difficult to identify “turnkey” homes under $525,000 — $550,000.

Novato homes that sold in September 2009 averaged 121 days on market, were about 2,133 sq. ft., and sold for an average sales price of $646,389 (roughly $313 per sq. ft.). Novato’s absorption rate (e.g., the number of months of inventory currently available in Novato) remains extremely low — 3.4 months of available inventory. In March 2009, we had 7.9 months worth of inventory. Generally speaking, 5-6 months of inventory reflects a balanced market and anything under 4 months, a seller’s market. The percentage of homes in escrow also points strongly to an extreme sellers market in the lower price bands.

Homes in Pointe Marin, Country Club, Hamilton Field, Rush Creek, and Bel Marin Keys generated the most calls and showings this past month.

If you would like me to run the exact numbers for your Novato neighborhood or if you have any questions about Novato’s many delightful communities, just give me a call at (415) 350-9440. My name is Kyle Frazier. I am a Broker, Certified Residential Specialist (CRS), and a Certified Luxury Home Marketing Specialist (CLHMS), with Christie’s Great Estates | Morgan Lane International Real Estate. It is always my pleasure to be of service.

Novato Real Estate Market Update (September 2009 Home Sales Report)

Novato Real Estate Market Update (August 2009 Home Sales Report)

Last month, for the first time since I began writing Novato monthly updates back in 2006, I stated that it appears that the Novato, CA. market (for single family homes) seems to be improving in two meaningful ways. Certainly, sales have risen from last year and we have several months of increasing sales (as the inventory of short sales and foreclosures is quickly snapped up by motivated buyers).

But, perhaps even more importantly from the perspective of home owners, it also appears that prices at the entry level (e.g., properties priced below $500,000) have bottomed out. As evidenced by the chart below, the 90-day rolling average of Novato home prices has been rising since May 2009. Obviously, higher asking prices do not, ipso facto, result in higher sales prices (some local real estate companies train their agents to give sellers high estimated sales prices in an effort to get any all listings — a major breach of our ethical and fiduciary obligations, in my opinion). But, experts consider this development a leading indicator that market forces are pushing prices higher. I have written in past months about the high level of competition in Novato’s entry level real estate market. This phenomenon also supports the notion that we have hit bottom.

Novato Real Estate Market Update (May 2009 Home Sales Report)

While the pipeline of new properties and overall inventory levels increases dramatically throughout most of Marin County, CA (this is the prime selling season, after all), Novato’s inventory level has remained very steady over the past 3 months. Just 151 single family homes are currently for sale. There were 152 homes for sale in April 2009 and 142 in March 2009.

Novato’s absorption rate (e.g., the number of months of inventory currently available in Novato) again dipped dramatically. In March, Novato had 7.9 months of inventory, in April there was 6 months inventory, and today there just 4.97 months of inventory. Absorption rates and the days on market averages provide a telling insight into the overall state of the market. Today’s shrinking inventory evidences pent up demand and reflects increased affordability for Novato real estate. It is also noteworthy that the absorption rate calculation does not increased “contingent” properties as sold properties. There are another 83 homes in escrow in Novato. More on this striking statistic below.

Of course, there is ample value out there in virtually all price ranges. Prices in most Novato neighborhoods are back down to what they were in 2003 (and 2002, in some neighborhoods). Novato currently has thirteen active listings priced under $400,000 (Novato is Marin’s “Valhalla of Value”). In addition, there are 26 homes priced under $500,000. Note that available inventory in these price ranges is way down and the percentages of homes in escrow is rising. For example, 63% of homes in Novato priced under $500K are in escrow; 51% of homes between $500K and $600K; 33% of homes priced between $600K and $750K; 30% of homes between $750K and $1 million; and 25% of homes priced between $1 million and $1.5 million. These are some strong numbers!

My prediction relating to phantom buyers (I’ve been talking about this for a year now) is coming true. I hold open houses almost every weekend and I talk to a lot of buyers. Here is my observation: there are LOTS of people who sold over the past couple of years and who have waiting for prices to dip. Fortunately for these folks, interest rates are WAY down right now and so they are jumping in. Many of these people sold in Southern and Central Marin and see the extreme value and comfortable existence Novato provides. This past month, even the move-up price band in Novato (with homes priced between $750K and $1 million) is going great with 30% of these homes in escrow.

Twenty-five Novato homes sold in April 2009 (same as March 2009). These Novato homes averaged about 146 days on market, were about 2,120 sq. ft., and sold for an average sales price of $589,000 (roughly $287 per sq. ft.). Homes in Pointe Marin, Country Club, Hamilton Field, Rush Creek, and Bel Marin Keys generated the most calls and showings this past month. If you are thinking of buying, please call my office at (415) 350-9440 as I have a long list of people who would like to sell their homes, but because of market conditions are not quite ready to list their home officially. I am also receiving many call regarding lease-options. Insofar as my listings are concerned, I had two closings last month and another scheduled for this month. From my perspective, the market seems pretty active.

Below is a breakdown of the Novato real estate market by price band: 

Now that the the HWY 101 widening project has been completed on both north and southbound lanes, it is clear that the commute through San Rafael is very much improved. Even salty, hardened naysayers concede that the drive to work is now just a drive, not a battle–estimates range from 25-35 minutes saved each day since the completion of the project. As I have been saying for 2 years, the improved commute will certainly make Novato a viable choice for those who had sworn it off because of the traffic. Moreover, the first-time home buyer credit of $8,000 (this is a flat out gift from the government) certainly helps those who qualify. As I tell my clients, “Give Yourself a Raise. Move to Novato.”

As mentioned in prior months’ market updates, it seems that buyers are hypnotized and mesmerized by foreclosures and short sales — as if these properties hold some promise of value and an assurance of happiness. But, instead many buyers of these homes would do it differently if given another chance. After all, many of these homes are in rotten condition and entail lots of work. Wise buyers focus on real value and keep attuned to the benefits of homes that display “pride of ownership.” Not that all distressed sales are problem properties, but caveat emptor for those lured by the siren call of distress. Indeed, investors and buyers who have been burned by the short sale process — it can take months if the proper process is not followed or the banks do not issue approvals — are focused mainly on well priced homes without the strings of REO properties.

Best Location in South Gate, Hamilton Field (Novato CA)

This is a special home with immutable qualities not found in other South Gate at Hamilton Field offerings. Most signifricantly, this gorgeous home is on the levee and has no immediate neighbor to the south — very rare.

Unique opportunity to live in Hamilton Field’s coveted South Gate neighborhood in the most sought after location — on the levee. Few South Gate homes on the levee have come to market in the past 3 years. The last one that did sold within a couple of weeks. This is your chance!

Great Room configuration. Kitchen with granite tile counters, dual-zone wine refrigerator, upgraded appliances, breakfast bar, and work station. Four spacious bedrooms (all upstairs) and 2.5 Baths. Dining Room, Living Room, Laundry Room, and more. Luxurious Master Suite with views across the Bayside open space and watershed. This home is absolutely move-in ready

Facts, Features, and Amenities:

• Mediterranean home on the levee
• No rear or immediate southerly nieghbors
• 4 Bedroom, 2.5 Bath, 2 car garage
• Master Bedroom with his-and-hers walk in closet and large master bath with views
• Living Room with vaulted ceiling opens to Great Room
• Formal Dining Room
• Chef’s kitchen with island, pantry and black Corian countertops
• Dual-Zone wine refrigerator (36 bottle capacity)
• Utility Room
• Fabulous views toward The Bay
• Gorgeous garden with front and back tile patios
• Wood burning / gas fireplace
• Media unit in Family Room with surround sound wiring
• Internet, cable, and phone throughout house
• Distressed oak flooring downstairs
• Amazing landscaping includes hand crafted rock wall and large grassy area
• Window coverings included
• Pre-wired for alarm and Cat-5 wiring installed
• Pre-cast mantle with raised hearth and media niche with library shelves
• Art niches upstairs and down
• Fire suppression sprinklers throughout home
• Automated landscape and lawn irrigation system
• Backs to open space with direct access to the Bay Trail
• Walking distance to all Hamilton amenities: Southgate Park, Pool, YMCA, Public Library, Art Museum, Café, Hangars, Little League, Soccer Fields, Racquetball Courts, Tennis Courts, Basketball Courts and Gymnasium
• Nearby shopping and dining include the newly opened Hamilton Plaza including Safeway, Pete’s Coffee, Sonoma Latina Grill and Toast
• Enjoy a 30-minute morning commute to SF with HWY 101 widening project approaching completion (southbond and northbound carpool lanes have both opened within the past two months)

• Property Address: 89 Moore Road, Novato, CA 94949
• Listing Price: $765,000

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If you would like to learn more about this lovely South Gate home on the levee or set up an appointment to see it, please call Kyle Frazier, the listing agent, at (415) 350-9440. 

Kyle Frazier, CRS
Morgan Lane Marin Real Estate

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