The Hottest Real Estate Market in Marin County
Given all of the doom and gloom in the papers, no one would believe it if we told you there was an area in Marin County where:
- 71 % of the available homes were in contract
- Many are receiving multiple offers
- Many go into contract within 48 hours of going onto MLS
- Many are selling ABOVE asking price
Even more amazing: it is the Canal area of San Rafael!
Last week, there were 38 properties available there, and 21 were in contract. Everything was less than $270,000, and that is a big part of the appeal.
We’ve been watching this area for several months now, as multiple properties have come onto the market. Prices kept falling, and falling, and eventually hit the point where it made sense for buyers to jump in. How low? Many of these units are selling for HALF of what they sold for as little as two years ago.
The buyers are, from our research, a mix of first time home buyers and investors. And importantly, this is not the entire Canal area - it is two developments primarily, very tightly managed by the same HOA management company. They are very strict, enforce rules immediately, and consequently, make it a very desirable place to live.
First time home buyers like the price, and the convenience to freeways.
Investors like the payout. We estimate that even with professional management, buyers can break even with approximately a 25% down payment - unheard of in Marin County since, well, do records go back that far?
There are lots of REO’s and short sales here, so it is somewhat complex.
We like the area because it passes one simple test for us. Will they be worth more in five years than they are now? History says yes.
