California Map of Cash Buyers %

California Map of Cash Buyers %

Chris MasonPro Member
Moderator
Lender · CA · Member since 2015 · 9k+ posts · 10k+ votes

Linky link, published last week. Here's a snip of the Bay Area, but feel free to talk about your area:

  • If you're a cash buyer, this will let you know where that won't really impress anyone. 
  • If you're a financed buyer, this might let you know where you're less likely to encounter cash competition, or where you might need to come in strong to get your financed offer accepted over cash and/or waiving the financing contingency might make the biggest difference.

Alameda doesn't have a lot of cash buyers. The Alameda value proposition for owner occupants is that it's close to SF but still feels like the burbs. I'd guess the people that would be cash buyers in Alameda, are instead financed buyers in San Francisco. 

East Oakland, I'm guessing it's investors buying MFR that's most of the cash story. "Cash out refinance the Berkeley or SF primary residence to buy cash in East Oakland" is kind of a thing.

Berkeley, it looks like no one will be particularly impressed by your cash offer if you're right near Cal.

Hercules and Pinole are interesting places without a lot of cash action, with Vallejo and San Pablo on either side being a different story.

El Cerrito having so few cash buyers was mildly surprising to me.

Sacramento, it's interesting how it radiates out from the center.

Fremont, I was surprised how few there were considering proximity to the Valley. I guess no one wants to cross that bridge in the morning. 

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Exeter, CA · Member since 2017 · 17 posts · 8 votes
8y

@Chris Mason 

Thats a great link & very interesting! I completely agree with you when you say there most likely is a cash offer, but it doesn't mean its the highest offer. What a great resource to be able to pull up a map and can see how many houses were actually bought with cash & re-evaluate how and what your offering for the area your interested in. Thank you! 

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  • Flipper/Rehabber · Daly City, CA · Member since 2018 · 50 posts · 11 votes
    8y

    nice man thanks! this is super useful! I currently live in Daly city... houses are at least 850k here so I understand why there's not that many cash buyers here..

  • Santa Clara, CA · Member since 2017 · 37 posts · 6 votes
    8y

    Thanks for this info! Very helpful for financed buyer that is still trying to invest in the Bay Area.

  • Rental Property Investor · San Diego, CA · Member since 2015 · 107 posts · 37 votes
    8y

    This is excellent @Chris Mason thank you for sharing.

  • Dylan VargasPro Member
    Rental Property Investor · Chico, CA · Member since 2016 · 633 posts · 336 votes
    8y

    @Chris Mason Awesome tool. Thank you!

  • Developer · Oakland, CA · Member since 2016 · 13 posts · 4 votes
    8y

    Nice post, Chris, Amazing how many cash deals there are in some areas. East Oakland/San Lorenzo/San Leandro is unexpected. 

  • Chris MasonPro Member
    Moderator
    OP
    Lender · CA · Member since 2015 · 9k+ posts · 10k+ votes
    8y

    The map reinforces my theory that most of the time when the listing agent says "there's a cash offer in-hand," it's typically a lowball offer with zero chance of being accepted by the seller, if not entirely fictitious. 

    First-time homebuyers especially say things like "I'm always being outbid by all cash a million percent over asking!" (after emotionally exhausting themselves on a few offers...). I jokingly point out that if that were true then I'd be quite literally unemployed (hint: I'm not unemployed), but now there's data aside from my employment status to show that it isn't hopeless. 

    The truth is more like the listing agent always says there's a cash offer, but that doesn't mean it's the highest offer... or even real. Gotta watch your step to avoid stepping in BS!

  • Exeter, CA · Member since 2017 · 17 posts · 8 votes
    8y

    @Chris Mason 

    Thats a great link & very interesting! I completely agree with you when you say there most likely is a cash offer, but it doesn't mean its the highest offer. What a great resource to be able to pull up a map and can see how many houses were actually bought with cash & re-evaluate how and what your offering for the area your interested in. Thank you! 

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