Coldwell Banker Weekly Market Watch
March 18, 2007
The hot-and-cold-running microclimates of the past few weeks have apparently started to temper geographically. The typical spring onslaught of listings remains hesitant this year, though there has been a refreshing, if slight, up-tick in inventory in most areas. Most areas are also seeing stale inventory starting to sell, and not just due to price reductions but also to the limited selection available to buyers that are getting weary of the hunt.
While San Francisco and most of the Peninsula remain ravenous for homes to show and sell in all price categories, Burlingame, Castro Valley, Danville, Livermore, Oakland, Orinda, Redwood City, Santa Rosa, San Carlos and Woodside/Portola Valley all report an upswing in inventory coming on the market and are feeling more balanced activity.
Multiple offer situations are finally slowing down a bit, though upper-tier homes (and virtually anything in San Francisco) are continuing to see an increase in multiple and pre-emptive offers. There were 12 offers on a Portola Valley listing priced at $2,995,000. One Burlingame home that was listed at $1,388,000 had 13 offers and closed at $1,801,000. Reports from the North Bay indicate that the luxury market over $2 million is particularly hot in Greenbrae, Corte Madera, Larkspur and Ross, and Novato notes momentum in high-end sales as well. A Mill Valley tear-down priced at $800,000 sold significantly over asking and, in San Francisco, some high-end pre-emptives are going pre-MLS.
We held an increased number of homes open, over 540, and they were all well-attended. Some Sebastopol opens reported over 40 groups going through and a San Mateo Park home has over 100 groups in attendance. San Francisco Agents were noticing that it was difficult to get in and out of open houses in Noe Valley due to the number of people out looking!
All in all, things continue to bode well for spring with listing inventory remaining steady for 14 offices, increasing for 14 and decreasing in only 2. Sales activity remains steady in 18 offices, increased for 5 offices and declined for 7. Over 220 offers were ratified and more than 70 multiple offer situations occurred. We may have lost an hour of sleep, but we gained an extra hour of daylight to get those homes ready for the market.
Have a great week!
Rick
Rick Turley
President, San Francisco/Peninsula
Coldwell Banker Residential Brokerage
Monday, March 26, 2007
Coldwell Banker Weekly Market Watch
March 11, 2007
It was beautiful and warm everywhere in the Bay Area last week, but the real estate market continues to have some microclimates that are actually sizzling! Buyers are out “kicking tires” in every area, causing multiple offer situations to escalate, especially in the City and on the Peninsula. Woodside/Portola Valley reports that most agents are in multiple offer presentations with some prices going 10 to 15 % over asking. San Francisco notes that the number of offers in multiple situations is climbing higher each week, now seeing 6-13 offers on many properties. Southern Marin offices are seeing multiples becoming commonplace on properties listed for over $2 million. Areas of Fremont are seeing 4 to 10 offers per listing.
Pre-emptive offers are increasing which makes for a successful and faster property sale – with a downside that they are keeping much need inventory from coming to the market. In San Francisco, sales for the most part still outnumber listings, especially in the upper-tier market and neighborhoods. Contra Costa County and areas of Alameda County are experiencing a very balanced market where inventory has seen some stabilization, although some very hot micro-markets exist.
Listing inventory is increasing according to 12 office reports, steady for 17, and only decreasing in one office. Sales activity continues to increase for 11 offices and remains steady for 13 - decreasing for 6. Of the reporting offices who tracked the number of multiple offers which occurred for the week, more than half of the offices reported that over 50% of their total sales were in a multiple offer situation.
The media is taking a detour with their focus on the subprime mortgage crisis. No doubt - this is a very serious situation nationwide involving a particular sector of lending - but it should be kept in context for what it is. It is not a primary driver of our local real estate activity and health. Buyers and Sellers alike should be encouraged by another headline found in this Sunday’s Chronicle: “Mortgage rates are lowest since mid-December”. What a great time to move up!
Hope the luck of the Irish is with you all week long!
Rick
Rick Turley
President, San Francisco/Peninsula
Coldwell Banker Residential Brokerage
March 11, 2007
It was beautiful and warm everywhere in the Bay Area last week, but the real estate market continues to have some microclimates that are actually sizzling! Buyers are out “kicking tires” in every area, causing multiple offer situations to escalate, especially in the City and on the Peninsula. Woodside/Portola Valley reports that most agents are in multiple offer presentations with some prices going 10 to 15 % over asking. San Francisco notes that the number of offers in multiple situations is climbing higher each week, now seeing 6-13 offers on many properties. Southern Marin offices are seeing multiples becoming commonplace on properties listed for over $2 million. Areas of Fremont are seeing 4 to 10 offers per listing.
Pre-emptive offers are increasing which makes for a successful and faster property sale – with a downside that they are keeping much need inventory from coming to the market. In San Francisco, sales for the most part still outnumber listings, especially in the upper-tier market and neighborhoods. Contra Costa County and areas of Alameda County are experiencing a very balanced market where inventory has seen some stabilization, although some very hot micro-markets exist.
Listing inventory is increasing according to 12 office reports, steady for 17, and only decreasing in one office. Sales activity continues to increase for 11 offices and remains steady for 13 - decreasing for 6. Of the reporting offices who tracked the number of multiple offers which occurred for the week, more than half of the offices reported that over 50% of their total sales were in a multiple offer situation.
The media is taking a detour with their focus on the subprime mortgage crisis. No doubt - this is a very serious situation nationwide involving a particular sector of lending - but it should be kept in context for what it is. It is not a primary driver of our local real estate activity and health. Buyers and Sellers alike should be encouraged by another headline found in this Sunday’s Chronicle: “Mortgage rates are lowest since mid-December”. What a great time to move up!
Hope the luck of the Irish is with you all week long!
Rick
Rick Turley
President, San Francisco/Peninsula
Coldwell Banker Residential Brokerage
Monday, March 12, 2007
Coldwell Banker Weekly Market Watch
Week of March 4, 2007
Inventory is not increasing at the rate it typically does in March. The number of pages in our MLS tour sheets is a good indicator, and they are decreasing in both the SF and Peninsula MLS’s this week. We’re hearing of new listings in the pipeline for many of our offices; however we appear to have plenty of Buyers already lined up for these new properties once they come online. In some respects, it’s a good problem to have. Having just returned from our International Business Conference and meeting with the CB presidents from all over the US, most metros would love to have this problem. My take is the market feels “healthy” in the majority of the metro areas, but none seem to be experiencing the sizzling Buyer demand we have in the Bay Area for well-priced, good condition homes. The typical drivers for a healthy market are in place: low interest rates, low unemployment, consumer confidence index is steady – in spite of a recent world-wide stock market drop. Add to that the limited housing we have in the Bay Area, and we should continue to see robust activity at least through the 2nd quarter, provided we have listings to sell.
Multiple offer situations dominate the conversation in most of our offices. Along with the obvious benefits of multiple-Buyer demand, comes the responsibility of educating the Seller on the best method to deal with this level of activity. It’s also important to over-communicate with the agents of Buyers who have an interest in our listings. Pre-emptive offers are more common now, and as the Seller must be the one who decides how to deal with these opportunities, it remains our responsibility to communicate the game plan with all the possible players.
In the $1-2 million range (where inventory still seems to be the tightest) homes are getting anywhere from two to 12 offers. Berkeley indicates that 75% of their sales were in multiple offer situations, and in San Francisco’s Westwood Park, a “contractor’s special” received 33 offers – 22 of which were all cash. In Palo Alto, practically anything on the market for less than $2 million is receiving multiple offers. Listing inventory overall decreased for 6 offices, remained steady for 11 and increased in 10. Sales activity continues its upswing with 15 offices reporting an increase, 10 seeing steady activity, and only 2 reporting a decline.
We get an extra hour of daylight now - let’s hope homeowners put it to good use in whipping their homes into shape for a quick Springtime sale. Let’s also make sure we’re taking full advantage of our Princeton partners, getting our Buyers pre-approved and underwritten in advance, for a super-clean offer.
Have a great week!
Rick
Rick Turley
President, San Francisco/Peninsula
Week of March 4, 2007
Inventory is not increasing at the rate it typically does in March. The number of pages in our MLS tour sheets is a good indicator, and they are decreasing in both the SF and Peninsula MLS’s this week. We’re hearing of new listings in the pipeline for many of our offices; however we appear to have plenty of Buyers already lined up for these new properties once they come online. In some respects, it’s a good problem to have. Having just returned from our International Business Conference and meeting with the CB presidents from all over the US, most metros would love to have this problem. My take is the market feels “healthy” in the majority of the metro areas, but none seem to be experiencing the sizzling Buyer demand we have in the Bay Area for well-priced, good condition homes. The typical drivers for a healthy market are in place: low interest rates, low unemployment, consumer confidence index is steady – in spite of a recent world-wide stock market drop. Add to that the limited housing we have in the Bay Area, and we should continue to see robust activity at least through the 2nd quarter, provided we have listings to sell.
Multiple offer situations dominate the conversation in most of our offices. Along with the obvious benefits of multiple-Buyer demand, comes the responsibility of educating the Seller on the best method to deal with this level of activity. It’s also important to over-communicate with the agents of Buyers who have an interest in our listings. Pre-emptive offers are more common now, and as the Seller must be the one who decides how to deal with these opportunities, it remains our responsibility to communicate the game plan with all the possible players.
In the $1-2 million range (where inventory still seems to be the tightest) homes are getting anywhere from two to 12 offers. Berkeley indicates that 75% of their sales were in multiple offer situations, and in San Francisco’s Westwood Park, a “contractor’s special” received 33 offers – 22 of which were all cash. In Palo Alto, practically anything on the market for less than $2 million is receiving multiple offers. Listing inventory overall decreased for 6 offices, remained steady for 11 and increased in 10. Sales activity continues its upswing with 15 offices reporting an increase, 10 seeing steady activity, and only 2 reporting a decline.
We get an extra hour of daylight now - let’s hope homeowners put it to good use in whipping their homes into shape for a quick Springtime sale. Let’s also make sure we’re taking full advantage of our Princeton partners, getting our Buyers pre-approved and underwritten in advance, for a super-clean offer.
Have a great week!
Rick
Rick Turley
President, San Francisco/Peninsula
Sunday, March 4, 2007
Coldwell Banker Weekly Market Watch
February 25, 2007
Pre-emptive offers are increasingly a factor in squashing inventory to low levels in most areas. Homes that are priced right, staged, and located in desirable neighborhoods continue to get multiple offers. This translates into a lot of disappointed buyers out there waiting for the ideal home to come on the market. One Corte Madera home listed at $880,000 received 9 offers, while a home with a second unit in San Francisco’s Ingleside District received 13 offers. Burlingame presented 16 offers to a seller in the $1.4M range this week. Palo Alto reports that 97% of all this week’s sales were in multiple offer situations. Half Moon Bay's market had been very slow after the Devil's Slide highway closure and the general slow-down experienced throughout NorCal last year, but now reports from our HMB associates are very positive as they are enjoying brisk activity.
Inventory is starting to trickle back, but supplies remain sparse throughout most our communities. Buzz is that this month will bring more properties for sale, and as long as interest rates remain low, sales should be brisk. Be prepared for a very busy March.
It’s important to note that Coldwell Banker continues to dominate the luxury home market. We have over 28% of the $2M+ market (listings sold - last 12 months) in the Peninsula. In San Francisco, we dominate with 35% market share over $2M. The competition doesn’t even come close. A $4,895,000 Menlo Park home sold at the first open before the Broker tour, and Palo Alto reports significant movement in homes listed at $3.5 million and up. More than seven offices have commented on strong sales among upper-end homes this week.
Of the more than 450 open houses held open, all continued with surprisingly high attendance. A west side Burlingame home had 350 groups through. Inventory is reportedly steady in 16 offices, decreasing for 5 offices and increasing for 8. Sales activity remains on par with inventory levels with 14 offices reporting steady activity, decreasing reported by 7, and increasing for 8. Ratified offers increased again reaching more than 235 for the week. Another good sign that spring is just around the corner, and that sellers need to start getting their homes ready for a quick sale!
Have a great week!
Rick
Rick Turley
President, San Francisco/Peninsula
Coldwell Banker Residential Brokerage
February 25, 2007
Pre-emptive offers are increasingly a factor in squashing inventory to low levels in most areas. Homes that are priced right, staged, and located in desirable neighborhoods continue to get multiple offers. This translates into a lot of disappointed buyers out there waiting for the ideal home to come on the market. One Corte Madera home listed at $880,000 received 9 offers, while a home with a second unit in San Francisco’s Ingleside District received 13 offers. Burlingame presented 16 offers to a seller in the $1.4M range this week. Palo Alto reports that 97% of all this week’s sales were in multiple offer situations. Half Moon Bay's market had been very slow after the Devil's Slide highway closure and the general slow-down experienced throughout NorCal last year, but now reports from our HMB associates are very positive as they are enjoying brisk activity.
Inventory is starting to trickle back, but supplies remain sparse throughout most our communities. Buzz is that this month will bring more properties for sale, and as long as interest rates remain low, sales should be brisk. Be prepared for a very busy March.
It’s important to note that Coldwell Banker continues to dominate the luxury home market. We have over 28% of the $2M+ market (listings sold - last 12 months) in the Peninsula. In San Francisco, we dominate with 35% market share over $2M. The competition doesn’t even come close. A $4,895,000 Menlo Park home sold at the first open before the Broker tour, and Palo Alto reports significant movement in homes listed at $3.5 million and up. More than seven offices have commented on strong sales among upper-end homes this week.
Of the more than 450 open houses held open, all continued with surprisingly high attendance. A west side Burlingame home had 350 groups through. Inventory is reportedly steady in 16 offices, decreasing for 5 offices and increasing for 8. Sales activity remains on par with inventory levels with 14 offices reporting steady activity, decreasing reported by 7, and increasing for 8. Ratified offers increased again reaching more than 235 for the week. Another good sign that spring is just around the corner, and that sellers need to start getting their homes ready for a quick sale!
Have a great week!
Rick
Rick Turley
President, San Francisco/Peninsula
Coldwell Banker Residential Brokerage
Coldwell Banker Weekly Market Watch
February 19 to February 25, 2007
The fact that there are limited choices out there may have played into the rise of ratified offers, over 240 for the week. Inventory shortages seem to be the primary factor in agents’ strategy, whether working with Buyers or Sellers. Springtime is known for Open Houses industry-wide, but our ability to meet new Buyers is hampered by the amount of homes available to be held open.
There are remarkable reports of “micro-climate market” activity in several areas and it will be interesting to watch how they evolve as spring nears. The Greenbrae office noted inventory continues to be a controlling factor, but that some neighborhoods are red-hot while others are tepid at best. A somewhat original condition Eichler home in San Rafael seemed poised for many offers, one of the lowest list prices available in the area – however just a few offers came in, and not as far over the asking as what one might have expected.
In other areas, multiple offers are once again the rule. The Burlingame office reports 18 offers on a property in San Mateo and 8 offers on a San Carlos home. The Palo Alto office is seeing 82% of its listings in multiple offer situations. In San Francisco’s Sunset district, a fixer-upper had 9 offers and went for well over the asking price. Lest Sellers get too carried away – it’s worth noting that a 3/2 in San Francisco priced at $1,275,000 received 11 offers, and a very similar listing just blocks away at nearly the same list price received one.
Some offices report a fair amount of stale inventory – Buyers are not “panic buying” – not buying just to buy. Buyers and their Agents alike are looking for value. It’s important to note that some sales are coming together on homes pulled off the market a few months ago. This is a product of networking at our sales meetings - very critical, and a great value we bring to our Buyers and our Sellers.
Have a great week!
Rick
Rick Turley
President, San Francisco/Peninsula
Coldwell Banker Residential Brokerage
February 19 to February 25, 2007
The fact that there are limited choices out there may have played into the rise of ratified offers, over 240 for the week. Inventory shortages seem to be the primary factor in agents’ strategy, whether working with Buyers or Sellers. Springtime is known for Open Houses industry-wide, but our ability to meet new Buyers is hampered by the amount of homes available to be held open.
There are remarkable reports of “micro-climate market” activity in several areas and it will be interesting to watch how they evolve as spring nears. The Greenbrae office noted inventory continues to be a controlling factor, but that some neighborhoods are red-hot while others are tepid at best. A somewhat original condition Eichler home in San Rafael seemed poised for many offers, one of the lowest list prices available in the area – however just a few offers came in, and not as far over the asking as what one might have expected.
In other areas, multiple offers are once again the rule. The Burlingame office reports 18 offers on a property in San Mateo and 8 offers on a San Carlos home. The Palo Alto office is seeing 82% of its listings in multiple offer situations. In San Francisco’s Sunset district, a fixer-upper had 9 offers and went for well over the asking price. Lest Sellers get too carried away – it’s worth noting that a 3/2 in San Francisco priced at $1,275,000 received 11 offers, and a very similar listing just blocks away at nearly the same list price received one.
Some offices report a fair amount of stale inventory – Buyers are not “panic buying” – not buying just to buy. Buyers and their Agents alike are looking for value. It’s important to note that some sales are coming together on homes pulled off the market a few months ago. This is a product of networking at our sales meetings - very critical, and a great value we bring to our Buyers and our Sellers.
Have a great week!
Rick
Rick Turley
President, San Francisco/Peninsula
Coldwell Banker Residential Brokerage
Coldwell Banker Weekly Market Watch
February 12 to 18, 2007
It’s very interesting to review the past several weeks’ market reports and notice the geographical migration of low inventory concerns throughout the Bay Area. Several weeks ago the communities further east and north were largely commenting on lack of sales activity - listed properties not moving. The same week, San Francisco and the Peninsula were starting to comment on the lack of new properties coming to the marketplace. Notice this week that sales activity is picking up in the north and east bays, while San Francisco and Peninsula offices are genuinely concerned about the shortage of inventory.
In Pleasanton, our office reports that 67 new homes came on the market during the week, and 63 homes went pending. Inventory in the Danville market has dropped below a three month supply. Coastal inventory in Half Moon Bay is down dramatically. Palo Alto reports that 65% of all of their offers are multiple offers. Menlo Park cries “We’re starving for houses to sell.” Burlingame reports multiple pre-emptive offers at a $3M price-point listing. That being said, there are some properties in both San Francisco and the Peninsula in the $2.5M+ range which aren’t flying off the shelves, indicating that a sensitive list price is still key.
Of the more than 485 open houses held by our offices, all were well attended. In San Francisco an approx. 950 sq ft home w/o dining room in Bernal Heights had more than 300 visitors. By mid-week, it sold for more than 20% over its $699,000 LP with 13 offers. Another San Francisco home in the Westwood Highlands district had 43 disclosure packets out and 21 offers submitted after only 4 days of showings.
Listing inventory overall was reported as being steady by 16 offices, increasing by 6 and decreasing by 10. Sales activity reportedly increased in 7 offices, decreased in 4, and was steady for 18 offices. Of the offices reporting, there were more than 200 ratified offers.
There is a lot of buzz indicating that sellers are waiting for late spring before putting their homes on the market. Hopefully, those sellers aren’t looking at the media headlines and thinking they’re indicative of a bad time to list. The buyers are out there…waiting for something to buy!
Have a great week….
Rick
Rick Turley
President, San Francisco/Peninsula
Coldwell Banker Residential Brokerage
February 12 to 18, 2007
It’s very interesting to review the past several weeks’ market reports and notice the geographical migration of low inventory concerns throughout the Bay Area. Several weeks ago the communities further east and north were largely commenting on lack of sales activity - listed properties not moving. The same week, San Francisco and the Peninsula were starting to comment on the lack of new properties coming to the marketplace. Notice this week that sales activity is picking up in the north and east bays, while San Francisco and Peninsula offices are genuinely concerned about the shortage of inventory.
In Pleasanton, our office reports that 67 new homes came on the market during the week, and 63 homes went pending. Inventory in the Danville market has dropped below a three month supply. Coastal inventory in Half Moon Bay is down dramatically. Palo Alto reports that 65% of all of their offers are multiple offers. Menlo Park cries “We’re starving for houses to sell.” Burlingame reports multiple pre-emptive offers at a $3M price-point listing. That being said, there are some properties in both San Francisco and the Peninsula in the $2.5M+ range which aren’t flying off the shelves, indicating that a sensitive list price is still key.
Of the more than 485 open houses held by our offices, all were well attended. In San Francisco an approx. 950 sq ft home w/o dining room in Bernal Heights had more than 300 visitors. By mid-week, it sold for more than 20% over its $699,000 LP with 13 offers. Another San Francisco home in the Westwood Highlands district had 43 disclosure packets out and 21 offers submitted after only 4 days of showings.
Listing inventory overall was reported as being steady by 16 offices, increasing by 6 and decreasing by 10. Sales activity reportedly increased in 7 offices, decreased in 4, and was steady for 18 offices. Of the offices reporting, there were more than 200 ratified offers.
There is a lot of buzz indicating that sellers are waiting for late spring before putting their homes on the market. Hopefully, those sellers aren’t looking at the media headlines and thinking they’re indicative of a bad time to list. The buyers are out there…waiting for something to buy!
Have a great week….
Rick
Rick Turley
President, San Francisco/Peninsula
Coldwell Banker Residential Brokerage
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