Redding real estate market now (Santa Rosa: insurance, new house, buyers)

[Yattycathy]

So what’s up with the damn housing market in Redding and surrounding areas?

We put in a few respectable (within 10-15k of asking price) offers on houses and no one engages. It’s very confusing as to whether these listed houses have owners who truly want to sell. I doubt people who had houses burn down can pay 500-600k for a new house. It’s like suddenly everyone thinks their house has increased in value.

We had a great house under contract and it burned down.

[onlymike]

Well, If half the town burned down the other half that is still standing is worth more because everyone now needs a place to live and half of the inventory is gone.

[Hemlock140]

Originally Posted by onlymike

Well, If half the town burned down the other half that is still standing is worth more because everyone now needs a place to live and half of the inventory is gone.

That’s right, and even with insurance some may not rebuild due to inability to come up with the deductible, or the payoff won’t cover the construction cost if underinsured, so supply and demand comes into play. Sellers now will be looking for offers 10-15k over asking, not under.

[MtnSurfer]

Originally Posted by Hemlock140

That’s right, and even with insurance some may not rebuild due to inability to come up with the deductible, or the payoff won’t cover the construction cost if underinsured, so supply and demand comes into play. Sellers now will be looking for offers 10-15k over asking, not under.

The same exact thing happened in Santa Rosa last year after the big fire. Supply was extremely low and in demand as displaced families needed a place to live. So don't expect any bargains right now.

Derek

[expatCA]

Originally Posted by Yattycathy

So what’s up with the damn housing market in Redding and surrounding areas?

We put in a few respectable (within 10-15k of asking price) offers on houses and no one engages. It’s very confusing as to whether these listed houses have owners who truly want to sell. I doubt people who had houses burn down can pay 500-600k for a new house. It’s like suddenly everyone thinks their house has increased in value.

We had a great house under contract and it burned down.

Why should anyone there sell for less than their asking price?

[CCbaxter]

I think it’s too early to tell. Insurance companies are still here in disaster response mode. Some houses will never be rebuilt. I believe the state has to come and do some kind of soil check. Then insurance companies my refuse to insure houses built in some of the areas that were hit. Even before the fire people were getting letters doubling and tripling or outright canceling their homeowners because of unacceptable fire risk.

[Mahme22]

Originally Posted by Yattycathy

So what’s up with the damn housing market in Redding and surrounding areas?

We put in a few respectable (within 10-15k of asking price) offers on houses and no one engages. It’s very confusing as to whether these listed houses have owners who truly want to sell. I doubt people who had houses burn down can pay 500-600k for a new house. It’s like suddenly everyone thinks their house has increased in value.

We had a great house under contract and it burned down.

i don't know where you're looking but there are several brand new and nice homes being built in Redding and the area in general under $300,000. You should check shastamls.com

[BeauCharles]

Inventory is going to be tight and people may be hanging back until the Carr Fire is completely under control.

[DCMann2]

Well I don't know about Redding, but prices are definitely going up here on the coast that's for sure

[CCbaxter]

Actually I heard today that no company will insure a new home purchase in Redding for 90 days. Only cash buyers can close till then. Has something to do with insurers refusing to write policies until some kind of review can take place. I think home insurance will increase on many people, if they can even get it.