April/May 2021 Market Update
/MARKET UPDATE
Happy Mother’s Day weekend to all the beautiful Mothers reading this today. This will be my first Mother’s day as a mother to an actual human being and I couldn’t be more thrilled to finally join the illusive mother’s club. It’s been amazing to say the least.
That being said. I missed last month’s market update because I was too busy with my newborn. Fortunately, there’s not much difference between April and May in the real estate world, so I will just combine the two this month.
This spring - summer market is crazy hot all over the greater Bay Area. Prices continue to rise and my guess is that it will continue to do so throughout the end of the year and beyond. What I am noticing is that there is an influx of tech money in the Bay Area right now being used to buy up all the homes. Homes in neighborhoods of San Francisco favored by millennials like the Mission District and Noe Valley, are garnering multiple offers purchased with Bitcoin and stock profits. Now that we are nearly out of the pandemic, people are now cashing in on their profits earned from the quick rebound of the stockmarket. Wealth was created and people are now feeling safer and ready to upgrade their living conditions.
Some of our clients are either first time home buyers leaving the nest, condo people trying to get into a single family home, or sell/buy folks just looking for bigger property or better schools for their families. Some long term California residents are selling to move out of state, but we also have clients who previously moved out of California that are now trying to come back. There’s a lot of movement in this market and everyone wants a piece of it.
As for as interest rates are concerned, they rose for a bit in mid-April past the 3% mark then came back down again to an average of 2.85% for a 30-year loan, fueling the real estate market even more. When rates start fluctuating people start scrambling even more to try and lock in a home.
Single family homes, especially with yard space remain the desired product. In the Peninsula, homes priced $1.5M and below, are getting up to 30 offers on a single property in cities like Daly City, Pacifica, South San Francisco and San Bruno. In Berkeley, offers are coming in at $200-$500k over the list price for single family homes in all of its neighborhoods. Even higher-end homes in cities like Hillsborough, properties under $5M are getting between 10-15 offers in less than a week. One property in particular, which had offers due today was on the market only 8 days and received over 12 offers well above the list price of $3,998,000. I’m curious to see what that one ends up selling for. (Per the agent, it went for more than $4.5M at the very least and they were not considering any contingent offers.) New developments within hour of San Francisco have waiting lists 2 months long and cities like Castro Valley and Orinda with good schools which still remain somewhat affordable in comparison to the Peninsula, are seeing homes sell within 3-5 days of being on the market
On the flipside, some types of properties are not quite feeling the heat. Studio units, for obvious reasons, are really hard to sell because people are wanting space. The luxury condominium market has also taken some price cuts because amenities remain closed and there is no pull to pay high HOA dues for closed amenities, and there's a lack of desire to live in a high density area. Multi-residential properties too are taking a little longer to sell. While there are some great deals for tenant occupied properties, investors remain cautious about purchasing tenant occupied property for fear of being affected by the eviction moratorium. Now that California is on its way to herd immunity, I think these properties too will start seeing some movement. A few months ago, 1 bedroom condos were also part of this list, but now these properties are selling and with multiple offers.
Whether you’re thinking of buying or selling, we’d be happy to assist with a free market analysis.
Happy Mother's day again to all of you and your loved ones.
Sincerely,
Monica Sagullo - Broker
FOR SALE
795 8th Ave #502, San Francisco
$1.7M Buy it now price! | COMING SOON
2812 Hillegass Ave #B1, Berkeley
List Price: $675,000 | FOR SALE
245 Gambetta, Daly City
List Price: $1,328,000 | FOR SALE
2740 Tice Creek Dr #1, Walnut Creek
List Price: 475,000 | 55+ Community | FOR SALE
201 Harrison #918, San Francisco
List Price: $549,,000 | FOR SALE
IN CONTRACT
3885 Carter Dr #105, South San Francisco
List Price: $678,800 | PENDING
712 Maine Ave, Richmond
List Price: $438,000 | PENDING
530 Chestnut St #308, San Francisco
Purchase Price: $1,385,000 | PENDING
3 Capp St, San Francisco
Purchase Price: $950,000 | PENDING
2459 E 23rd St, Oakland
Purchase Price: $789,000 | PENDING
1293 65Th St, Emeryville
Purchase Price: $850,000 | PENDING
JUST SOLD
1441 Florida St, San Francisco
Sale Price: $1,100,000 | SOLD
42 Terra Vista #3, San Francisco
Sale Price: $1,035,000 | SOLD
2335 Peachtree Circle, Antioch
List Price: $599,000 | SOLD
1473 Walnut Ave, Antioch
Sale Price: $650,000 | SOLD
17100 Robey St, Castro Valley
Sale Price: $1,120,000 | SOLD
118 Dennis Dr, Daly City
List Price: $1,320,000 | SOLD
4537 California St, San Francisco
Sale Price: $2,150,000 | SOLD
15226 Lark, San Leandro
Sale Price: $900,000 | SOLD
327 Lakeshire Dr, Daly City
Sale Price: $1,075,000 | SOLD
1188 Dolores St, San Francisco
Sale Price: $2,150,000 | SOLD
3287 Guido, Oakland
Sale Price: $1,575,000 | SOLD
325 Kitty Hawk #215, Alameda
Sale Price: $595,000 | SOLD
814 S Delaware, San Mateo
Sale Price: $1,550,000 | SOLD
1707 Alabama St, Vallejo
Sale Price: $384,300 | SOLD
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