It's possible you're referencing information from outside Napa Valley Features. We maintain that accurate and truthful information is essential for all market participants, whether they're working, selling, or buying. Our stance is firm: Napa Valley is a significant and valued community that will flourish best under the light of precise and honest information.
What I appreciated about the article most was the reference to 'marketing'. I've only lived here 12 years but have long believed there is no legitimate reason why some can charge >$300 (and much higher!) based solely on ANY criteria in the winemaking process. Perhaps that's due to the lack of discernment in my palate. It's 'marketing'!
So, compared to the much more significant factors you list, I see zero impact/affect resulting from virtually any negative (real or speculative) fears/predictions of demise. Properties in our area enjoyed ~4% appreciation over the past year despite very low inventory and higher rates. (Apparently no one alive today except me recalls 17-20% mortgage rates in the late 70's) What many people do not realize is that if they bought with an 8% rate a year ago the amount of appreciation exceeds the incremental amount of higher payments until they refinance in the next 12 months when rates are expected to decline. When they by with a lower rate, they will be paying ~4-8% more for the property, thus a higher payment! Sorry you got your 'hand slapped'. Perhaps I will as well but did not want to ignore your inquiry.
I agree in general with Jeff Siegel's take on "perfect" vintages being the norm for Napa Valley, as least when promoting wine sales. This small region is blessed with a Mediterranean climate that favors high quality viticulture though, like any activity involved Mother Nature, there are annual vagaries. The genuine excitement among winemakers and growers about the high quality 2023 Napa Cabernet vintage is the result of a long, cool growing season where the flavors developed before the sugars...like in the old days before climate change. I'm hoping for more vintages like 2023!
All you need to do is look at the auto industry. There are Chevrolets and Ferraris. Both get you from point A to point B. Both use gasoline (less the EV models). The price gaps are significant.
Discerning finds the wallet that can afford the badge associated with the price.
All is good in scarcity game. But, that game changed a while back. We now live in abundance and the rules of that game are different.
A good read and bravo for being bold. I smile as I envision and "EF Hutton-like" hush in the Valley in response.
It's possible you're referencing information from outside Napa Valley Features. We maintain that accurate and truthful information is essential for all market participants, whether they're working, selling, or buying. Our stance is firm: Napa Valley is a significant and valued community that will flourish best under the light of precise and honest information.
It was not referencing anything outside the post of today, just a question to a respondent who is in the real estate business in the Napa Valley.
Hi John,
What I appreciated about the article most was the reference to 'marketing'. I've only lived here 12 years but have long believed there is no legitimate reason why some can charge >$300 (and much higher!) based solely on ANY criteria in the winemaking process. Perhaps that's due to the lack of discernment in my palate. It's 'marketing'!
So, compared to the much more significant factors you list, I see zero impact/affect resulting from virtually any negative (real or speculative) fears/predictions of demise. Properties in our area enjoyed ~4% appreciation over the past year despite very low inventory and higher rates. (Apparently no one alive today except me recalls 17-20% mortgage rates in the late 70's) What many people do not realize is that if they bought with an 8% rate a year ago the amount of appreciation exceeds the incremental amount of higher payments until they refinance in the next 12 months when rates are expected to decline. When they by with a lower rate, they will be paying ~4-8% more for the property, thus a higher payment! Sorry you got your 'hand slapped'. Perhaps I will as well but did not want to ignore your inquiry.
Mr. Siegel makes excellent points in this article! Thank you!
I agree in general with Jeff Siegel's take on "perfect" vintages being the norm for Napa Valley, as least when promoting wine sales. This small region is blessed with a Mediterranean climate that favors high quality viticulture though, like any activity involved Mother Nature, there are annual vagaries. The genuine excitement among winemakers and growers about the high quality 2023 Napa Cabernet vintage is the result of a long, cool growing season where the flavors developed before the sugars...like in the old days before climate change. I'm hoping for more vintages like 2023!
All you need to do is look at the auto industry. There are Chevrolets and Ferraris. Both get you from point A to point B. Both use gasoline (less the EV models). The price gaps are significant.
Discerning finds the wallet that can afford the badge associated with the price.
All is good in scarcity game. But, that game changed a while back. We now live in abundance and the rules of that game are different.