02/16/2009

 

As we approach the 2nd half of February we see fewer listings and increased sales over this time last year! Yahoo! The move-up buyer is still largely absent from the market but the investor and 1st time buyer are pushing the pedal to the medal! They're buying. Unfortunately, they are also dictating market pricing & market expectation. Short sales are growing as banks become more reluctant to take on more foreclosed inventory. We seem to be working with only two types of clients......the distressed seller and the buyer who's in the market to take advantage of that seller. It's not all that black and white but this market is certainly unlike any we have ever seen. We are certain of only one thing - this is the buying opportunity of the decade or even decades. Here's what's going on locally as reported by some of our local Coldwell Banker Offices:
 
Tri-Valley Update.
Since the first week in Jan.2009-
Livermore active listings have decreased about 6% and
total pending sales are up over 8%; Pleasanton active
listings have increased 23% and total pending sales are
up 20%; the active listings in Dublin have remained
steady and the total pending sales are up almost 10%.
A good trend, except for the dramatic increase in
inventory in Pleasanton. Lots of buyers in the market,
first time buyers and investors, with multiple offers is
very common.

Livermore.... is slow this week! In the past 90 days we have had 4
sales, 2 have closed and 2 are pending in this segment
of the market in Livermore. On a positive note, the
active listings in the price range are down about 15% in
the past 90 days in Livermore.
San Ramon....increased activity in the entry level price point. Executive level homes are slow to move unless deep discounts are reflected in the pricing.
 
Fremont......as more short sales/foreclosures enter the market, buyers stand waiting to make offers. Higher end is slow as with most local markets but overall buyer interest is stronger than the Tri-Valley area.
 
Castro Valley......
Well priced, well maintained properties are being
snatched up in our local market due to decreases in
inventory. We had a well priced Castro Valley home
that saw multiple offers and went pending (over asking)
within five days of listing. Another clean, well priced
home in the San Lorenzo/Hayward area went back on
the market and had three offers within 2 days. The
shrinking inventory has been helpful to us.
Prices continue to dip. Castro Valley pricing remains
super competitive, with entry level properties hovering
between 350-400K. Oakland is offering some
incredible bargains. One of our Buyers just wrote an
offer on a 3/1 SFR for 65K. Another buyer has picked
up a triplex for 179K.

 

Hayward properties are still lingering in the 199K-300K range for entry level.
Buyers continue to flood the office. Activity is definitely
up. One Agent mentioned to us that she has been in
the office, writing offers, until 9pm every night for the
past week or two. Things seem to be looking up. 

 

 

 

11/19/2008

 

 

The California Association of Realtor's chief economist is Leslie Appleton Young. She recently conducted her 2009 forecast presentation  Specifically, Leslie shares how California compares to the rest of the country, noting that while we decreased further and faster than the country as a whole, we are also rebounding at a much faster rate than the rest of the country. It is an important fact that you should be aware of.
 
She also shares the importance of local forecasting noting that it really is a mistake to paint the California real estate market with a broad brush. For example, markets like Central California were hit much harder than the Bay Area yet are often lumped into California real estate stories which make our local numbers seem worse than they actually are.When in fact, our numbers are showing some compelling positive signs. Our sales in the Bay Area, according to DataQuick, have increased 45% since 2007.While we do know that much of this is related to bank owned property sales, the positive side of this is that the buyers are out there and regardless of the price point, the fact is that homes are selling. As we weed through the bank owned listings, inventory will decrease which will eventually cause the price point to increase.