November 1, 2012
San Francisco Real Estate Update
by Probate and Trust Specialist:
Pat Rock - Realtor
Consumer Confident is Shoring up the Housing Market
Consumer confidence has long been a leading indicator for the housing market. The better we feel about the direction of the economy, the stock market, home values, and improvement in the job market the more likely we are to purchase real estate. While Job Growth and the Economy have been anemic at best they are improving slow and steady. According to a new report many states are in the midst of a “durable housing recovery.”
CoreLogic, a data company, believes the 2012 housing recovery will be more durable than prior years because year over year the price index is up 4.6%, new home sales are up 24%, and existing home sales are up 11% as well. Meanwhile the Fed continues to print money like it’s nobody’s business, 23mm Americans are looking for work, and the Middle East is ready to blow a gasket. Dichotomies are concerning.
For the last 10 months San Francisco has witnessed a real estate recovery like no other. It’s been excellent for Sellers and Psychologist who are medicating frustrated Buyers. My concerned is that all the excitement around the housing recovery may be blinding us to the beginning of another bubble. Parts of San Francisco and the Bay Area have seen a quick 25% increase in values which has been fueled mainly by supply and demand. Who knows what the future will hold, but my hope is that word will continue getting out to hesitating Sellers, that now is the time to sell, and start by calling Pat Rock.
Enough of the news, below is Coldwell Banker's recent Activity by location:
San Francisco Real Estate – Inventories have receded from a month ago and the frenzy has cooled off slightly. Well priced homes are selling immediately with multiple offers over asking. Desperate buyers are making risky offers without contingencies which in real estate is another form of streaking. The multi-family market is just as tight as the rest of the market.
SF Peninsula – Buyers are asking for disclosure packages at open houses prior to making offers later that evening. Multiple offers are the norm from Daly City to Hillsborough and beyond. Recently two Burlingame listings sold for $200k over asking. In the last month several Daly City homes sold quickly over asking with multiple offers. There is no slow up in sight for San Francisco, the Northern Peninsula, and the East Bay.
East Bay Real Estate – Agents in the East Bay are making hay while the going is good. The East Bay market is echoing the same song heard throughout the Bay Area. Multiple offer situations are not discouraging Buyers as they are out in force trying to make a deal before the Holidays.
For additional information go to: www.CourthouseRealtors.com
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