Articles

Market Update

June 2019

Real estate markets and trends change constantly.  Long-time expert agents regularly educate consumers about how this applies to them locally, especially since many listings are no longer marketed online but now accessed through agents’ trusted connections (for Seller privacy).

Our high local market began adjusting slightly downward in Summer 2017.  More Buyers are getting loans, with zero or minimal down, interest rates are historically low, and loan products more diverse.  You can even buy a home with a reverse purchase mortgage.  All cash offers still abound; however, don’t always win competitions.  It’s a great time to buy now (or make plans to buy within the next 1-2 years).

Owners, if you are comparing selling versus, say, a reverse mortgage, or want to buy/rent elsewhere, a simplified educational discussion with your agent, even two years prior, is important.  Topics like timing, costs, possible upfront work, staging, possessions and where to live during marketing and after sale are addressed.

Presently, we have a fairly well-balanced, stable bay area market.  Opportunities exist for both Buyers and Sellers.  We lean towards Buyers’ in Summer and Winter, due to pre-planned vacations, which reduces inventory but lowers competition.  Selling your property then sometimes takes a little longer and possibly for less.  Spring and Fall favor Sellers more.  The media loves reporting slower Summer sales as a “crisis” each August.  That’s just our “normal”.

New listings are not all fixed up and staged now.  Some are marketed with minimal done in all respects.  Owners and tenants (plus possessions) sometimes remain in place, and Seller costs are almost all paid at point of sale versus upfront.  Buyers enjoy the lower pricing and can personalize their home.

Developers now sometimes offer excellent pricing near end of their condo sales, and fix-‘n’-turns have slowed.  Price reductions are more common too.

In recent years, friendly landlords/tenants have become Sellers/Buyers.

Empty lots and tear-downs still become huge construction projects, but with more caution.  Also, many owners, wanting to stay here long-term, update and expand their homes (mainly internally and downwards – “iceburg” homes).

Accessory Dwelling Units (ADUs), although controversial, are springing up throughout California, due to passage by Past Governor Jerry Brown for more affordable housing.  These are small, legalized living spaces.  And, on local levels, city officials are creating even more paths to affordable housing.  This might affect many long-time owners, is very complicated, and could dramatically alter neighborhood character, density, use, zoning, height and reduce parking.  Plenty of pros and cons.

Contact me for help creating your own personalized game plan.  It can be as simple or as complicated as you’d like.  I’m skilled with both computers and paper, strategies and negotiations, and provide you 35+ years’ local experience.