San Francisco and Marin Home Prices

A big jump in sales of homes and further gains in home construction suggest the national housing recovery is gaining momentum. That's even more apparent in San Francisco with a very strong sellers market and low inventory.  That brings bidding wars, so buyers be ready...

Across the nation sales of previously occupied homes rose 7.8 percent in August from July to a seasonally adjusted annual rate of 4.82 million according to the National Association of Realtors. That's the highest level since May 2010.  In the San Francisco and Marin markets we're doing even better.

The report comes amid other signs of steady progress in the housing market.  After years of stagnation new-home sales are up and builder confidence is at its highest level in more than six years. Increases in San Francisco and Marin County CA home prices appear to be sustainable along with the better than average economy in the San Francisco Bay Area.  High tech and creative employment opportunities are booming and that brings buyer demand.

The housing recovery is on. Great affordability, pent-up demand and strong investor interest in rental units are driving the market.  Rents are just nuts in San Francisco and going up in the Bay Area, the Federal Reserve's plan to spend $40 billion a month on mortgage-backed securities to keep mortgage rates low will continue to keep demand high and make the market more attractive to sellers.

Now may be the time to consider buying, it may be a better investment than renting.  If you have a home you are considering selling this is the time to consider your options.

Find out more or contact us here

Don't miss out on San Francisco or Marin homes

You probably already know this, but interest rates are the lowest they've EVER been...

Combine that with incredibly low home prices (that's relative in San Francisco and Marin) and there's probably never been a better time to buy real estate.

Regardless of whether you're buying for yourself or investment you don't want to miss out.

If you'd like to discuss the best opportunities out there right now call or text me at 415-690-0194

Spencer

Bringing value to

North Bay Homebuyers
 

San Francisco and Marin home prices

Generally, each of the last three years anyway, home prices have increased in the spring and summer, when more people are buying homes, before giving back all of those gains and then some in the fall and winter, when activity cools.  Winter can be a good time to pick up a bargain, or a market reject.

It's beginning to look like that might not happen this year, absent a major stumble for the economy.
Home prices in July were up by 3.8% from one year ago, the largest year-over-year jump in six years. Moreover, prices have shot up in San Francisco from February, when they registered their lowest levels of the housing downturn.  There's evidence to the case that U.S. home prices may have hit bottom earlier this year. Even though prices may soften in the autumn, we have a much different supply and demand dynamic in the San Francisco Bay Area.

So when people say they believe home prices haven’t reached a bottom—that this year’s seasonal gains will be wiped away by January or February of next year—here’s the relevant question: Will home prices fall in the next six months?  Barring an unforseen catastrophe probably not here.  Anything, of course, is possible. Home prices tend to cool in the winter but will that happen in San Francisco or Marin?  Our economy is good, better than most, and demand is strong.

Home prices in the last six months are more an indication of how prices “over-shot” over the past year. Investors, sensing deals, began buying up homes. So did homeowners sensing that interest rates had likely hit bottom. The most likely scenario for home prices over the next year is that they may rise, but not at the breakneck pace of the past few months.

There are other little problems. It’s still hard to get a mortgage, and many households have too much debt. Millions of homeowners owe more than their homes are worth. Millions more have enough equity to sell their house but not enough to make a down payment on their next house and pay a real-estate broker’s commission.

As we’ve written before, the strong rise in home prices this year owes as much to sharp declines in inventory as it does to demand-side improvement. Banks have been much slower to take back and list foreclosed properties, easing pressure on home prices but leaving a bloated “shadow inventory” of potential foreclosures.  That's something I can help you with, give me a call.

North Bay Homebuyers

Your source for Real Estate in San Francisco and Marin