Last week was a heavy post, so this week I have something quick and light. I wanted to share a perfect cost vs value example and then look at a few murals – particularly the Johnny Cash mural in Downtown Sacramento.
Record price: This contemporary home in Sierra Oaks Vista just sold for $5M, which is the highest residential sale ever in Sacramento County. I know it surprises some that we haven’t seen loftier sales, but let’s remember Sacramento isn’t the Bay Area despite being close.
Cost vs value: This house cost ten million dollars to build, but the market only paid half that. This is a striking example that just because an owner spent money doesn’t mean buyers will. Keep in mind there were two previous listings below six million for nearly two years of market exposure, so this home wasn’t given away.
Big takeaway: Just because you spend a dollar doesn’t mean you’ll get a dollar back in value. Cost doesn’t always translate to value, and this is the perfect example. More on the myth of dollar for dollar here.
EXPLOSION OF MURALS
Many cities across the country are seeing an explosion of murals lately. In Sacramento there’s been a concerted effort to paint the town with an emphasis called Wide Open Walls. This isn’t just Midtown or Downtown either as art is starting to spread to other portions of the region. If you want to see local murals, here’s the most exhaustive mural map out there.
Johnny Cash: Artist Shepard Fairey unveiled a 15-story Johnny Cash mural last year. This mural commemorates the 50th anniversary of the At Folsom Prison album (which I have on vinyl), but it also highlights the need for prison reform. Thank you to local photographers Dan & Vicky for letting me use these images.
Johnny Cash mentions in MLS: If you didn’t know, Folsom is a city in Sacramento County, which means Johnny Cash recorded his album locally. As a side note, “Johnny Cash” is mentioned seventeen times in MLS listings. It would be cool if the mentions were due to Mr. Cash making the real estate market move, but that’s just not the case. In every instance the mentions have been associated with the Johnny Cash Walking Trail. Yes, there’s a walking trail on the outskirts of the prison property.
One more. This isn’t in Sacramento, but it’s one of my favorite murals. I snapped this photo in Downtown Los Angeles a couple years ago. It’s called Our Lady of DTLA. I like how it canvases the housing units instead of being located on some random alley like many murals.
I hope you enjoyed this. Have a wonderful 4th of July!
Questions: What do you think about all the murals? Do they add value or make any difference for a neighborhood?