Weekly Market Watch

Coldwell Banker Weekly Market Watch
Week of September 9, 2007

The consensus seems to be that there are plenty of buyers out there, and that they are serious, qualified and eager to purchase. However, these same buyers are listening to media reports about the housing market and some are hesitant to commit to buying a home due to an erroneous thought that housing prices will plummet.

The reality is that in most Bay Area communities, housing prices are remaining steady, or seeing increases. In fact, DataQuick, a company that compiles data and reports on real estate trends each month, indicated this week that while median selling prices in Napa, Solano and Sonoma counties have seen moderate declines, every other county in the greater Bay Area saw an increase in median prices ranging from 4 to 12.4%. This is not the time to sit on the fence. It is the time to commit, as our Walnut Creek manager eloquently stated, “to buying homes as opposed to houses.” Price and condition are always important deciding factors, but the deals are out there right now, so now is the time to decide! And there may be even greater opportunity when we find out what happens after the Fed meet next week.

The upper tier market continues to hold strong in our region with most areas reporting exceptional activity. A $2 million home in Larkspur had a huge crowd for its open house and received three offers in one day. The inventory levels in the city and parts of the Peninsula are loosening up a bit and helping to spur activity. A condo in San Francisco received 11 offers, and a cosmetic fixer in the city’s Richmond district received 22 offers. Open houses were reported to be busy in most areas where our more than 600 homes were open for viewing. Listing inventory and sales activity were both reported as being steady among most offices.

Everyone wants to know the real story. It will be told, and powerfully so, next week when Southern California Economist Gary Watts presents “The Real State of Real Estate…What the Media Isn’t Telling You” on Thursday, September 20th and Friday September 21st. Gary’s presentation is extremely timely, and dead-on. It will give you excellent facts and talking points with your customers. He will be conducting three sessions - in San Francisco, Santa Clara, and in San Ramon. Don’t miss this opportunity to be truly informed. I have attached the details, and I strongly encourage each of you to attend one of these sessions.
Have a great week.
Rick

Rick Turley
President, San Francisco/Peninsula
Coldwell Banker Residential Brokerage