San Francisco Real Estate Market Update for
week of October 14, 2007
Read what Rick Turley, President of Coldwell Banker, San Francisco/Peninsula says in his latest weekly report:
Offices throughout the San Francisco Bay Area reported increased sales, increased activity and optimistic sales associates. Of our more than 560 homes held open, the majority of areas reported moderate to heavy attendance and many reported an influx of new buyers who aren’t letting the barrage of mixed messages about the real estate market frighten them away. We are also hearing of newly invigorated buyers who have finally realized that this really is the time to buy.
In remembering that real estate markets are local in nature, let’s take a snapshot of some of the markets in the Bay Area this past week. From the North, reports indicate that new listings in Santa Rosa were seeing a good turnout of qualified buyers. Sales activity is increasing in Southern Marin and Greenbrae areas, and higher-end home sales continue to be strong. For the first time in 12 months, the sfh and condo combined inventory in San Francisco reached over 4 months supply in September. This is recognized as being just on the cusp between a seller’s market and a balanced market. All year the City has seen between a 2.1 and 3 month’s supply. Be sure to note, however – the median sold price keeps growing, not necessarily what you would expect with growing inventory. From the Peninsula, Burlingame reports that sales in upper-end communities continue to be very strong, and that many agents report meeting new savvy buyers at busy opens in a variety of price points. Menlo Park noted increased sales activity and very busy open homes. Palo Alto simply states, “Low, low inventory. High, high multiple offers.” In the East, it is reported that the inventory of active listings in the Livermore/Tri-Valley area is declining. Homes under the $1 million price point in Lafayette and Orinda are selling with multiple offers. The hills of Oakland are swarming with buyers who are willing to go into multiple offer situations on the right properties.
We can’t repeat the message often enough – now is the time to buy! Let’s have a quick reality check: Inventory levels in most areas are starting to decline. The median price for homes in the San Francisco Bay Area rose almost 1% in September. Rents are soaring. There is still a wide, but declining, selection of homes for sale in many areas and there are bargains to be had. It’s time to make that long term investment – now.
Rick Turley
President
Coldwell Banker SF/Peninsula
