The market is starting to accelerate as we enter the spring selling season. If you are one of the many people in the San Francisco Bay Area looking to move this year, there are various things to consider. From knowing if there is a correlation between home prices and election years to understanding the impacts of inflation and identifying opportunities for buying and selling, here are a few real estate trends you may want to know about.
Home Prices Aren't Impacted By Election Years
Worried the election year may impact home prices in the Bay Area? You may be surprised to find that over the past 50+ years, the local and national median home sales price hasn't dropped in a presidential election year, except in 2008, the year of the subprime loan/financial markets crash and the beginning of the great recession. Indeed, the only four years that saw declines during this period were related to the subprime bubble. Election-year home-price changes and market dynamics are typically a part of longer-term economic and demographic trends that appear unrelated to election-year psychology.
Inflation Is Trending Downward
Many buyers and sellers have been concerned about inflation. Fortunately, the new inflation report shows that the general CPI is slightly up, and the "Core CPI" is slightly down. The Fed is still expected to lower the benchmark rate, presumably multiple times, later this year, but the lack of significant movements down in CPI does not add any urgency to doing so. Meanwhile, every time Powell tugs his earlobe or scratches his nose, the markets react.
Buyers & Sellers With The Right Agent 'Win'
Buyers Land Grand Victorian In Noe Valley: 571 Jersey Street was the perfect find for my buyers looking for a larger home. This beautiful three-bedroom, three-bathroom grand Victorian was a rare find. Landing a home of this caliber in this market required a strong strategy and a quick approach. We looked at the home expeditiously, within the first few days on the market, and immediately developed an offer strategy. We expected competition, so we looked at what the seller would likely want: a quick close. Luckily, the buyers are in a cash position and could offer a 10-day close, which the sellers jumped on, landing my clients this gorgeous home over seven competing offers.
Off-Market Opportunities Are Trending
Traditionally, homes are bought and sold using the MLS and distributed publicly via consumer portals like Zillow. Yet, buying or selling a home this way may not make sense in certain situations. From the inability to find the perfect place in the right neighborhood for the right price to juggling day-to-day life while selling your home, there are reasons to buy or sell privately. Given the current market dynamics, off-market listings and private exclusives continue to trend across the San Francisco Bay Area.
Considering An Off-Market Move?
Ultimately, you will want a professional to help guide you when buying or selling off-market. Private sales take keen real estate expertise and negotiation skills, not to mention deep knowledge of the local market, neighborhoods, and even existing homeowners. As an agent, with nearly 30% of my buyer sales occurring before a home hits the market, I know first-hand how to navigate private listings in San Francisco. Here are a few recent examples of off-market sales from just this year.
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