We’ve been operating at a very low housing inventory to date in 2014. It seems like there are anywhere from five to twenty buyers for every property that comes on the market, creating consistent multiple-offer situations and substantial overbidding.
I do expect this activity to continue throughout the year. Our economy is strong in the city, and there is seemingly no end to the number of buyers who are materializing and willing to pay very high prices for homes. But I believe there are many homeowners who are in the process of either planning a move or seriously considering one. It’s hard to pass up an opportunity to cash out, especially if you own a home in a very “hot” neighborhood.
As a result, we can expect a spike in inventory as soon as April, which will scatter buyers around a bit more. Coupled with new construction condo projects beginning sales in the Spring, the pressure should ease a bit on the resale market.
What’s the takeaway? If you’re a buyer who’s planning to start looking in the Spring, it’s important to get sorted out now with your financing. And if you’re a homeowner, this is the time to start preparing your home with painting, repairs and staging so it stacks up well against the competition.
Yes, it is possible to find a three-bedroom condo with three bathrooms (!) and almost 2,000 square feet with parking and ocean views for less than $1M in San Francisco. Case in point: 1580 Great Highway #4 in the Outer Sunset, which offers all of the above for a list price of $699,000. That’s a lot less than the $1,388,270 citywide average sale price for a 3BR condo in San Francisco, isn’t it?
But there’s more: This four-unit building was constructed in 1985, so it’s more up to current city codes than, many of San Francisco’s older buildings. The kitchen is well appointed with granite countertops and new appliances, and you also get a deeded deck with lovely hill views.… Continue Reading