Similarly San Mateo County single-family residence sale prices have seen an uptick when comparing October performance year over year. While overall sales are down, the percentage of over-asking sales has seen a marked increase to 109%.

In a recent Mercury News article, the Bay Area and California posted their weakest job gains in eight months. The nine-county Bay Area added less than 12,000 jobs in September while California gained just over 47,000 jobs. The state’s unemployment rate remained unchanged at 7.5%, which is still far above the record-low jobless rate reported in 2019’s pre-pandemic economy. As to inflation worries, the Bay Area saw the highest jump in three years, reaching 3.8%, which translated into higher costs for food, fuel, vehicles, and utilities.

The California Association of Realtors has a new Chief Economist. Jordan G. Levine revealed his economic and housing market forecast at the REimagine! Real Estate Virtual Conference & Expo in early October. Here are some highlights of his presentation:

• California’s economy is healing yet still has a long way to go.
• The Covid-19 crisis insulated the housing market as it hit the leisure & hospitality and retail sectors the hardest. High-wage sectors are much closer to full recovery.
• 10-year Treasury and 30-year mortgage rates are low by historical standards.
• Year-over-year home price rose 16.8%, unsold inventory dropped to 1.3 months (-48%), median DOM dropped 60.7% to 11 days, and the average sales to list price rose nearly 2% to 100.1%.
• 20 cities in less urban areas (e.g., Big Bear, South Lake Tahoe, Truckee) grew by more than 40%.
• Buyers’ demand shifted towards single-family homes with more square footage, pushing down the demand for condos and townhomes.
• 32% of first-time home buyers have 20% or more for down-payments, down from 33.1% in 2020 but up from 23.9% in 2006.
• SF Bay Area home sales are growing faster than other areas, reaching 32.8% compared to SoCal’s 23.2% and California’s overall average of 21.3%.
• Housing affordability and availability are still a major issue for home buyers.
• On the positive side: home prices are expected to continue to rise, rates will continue to be favorable, and the economic tide is rising.

A Sellers Market

I’m meeting with clients via phone, video conferencing, and by appointment. Whether you’re looking to buy or sell, you need an experienced guide in this complex and fast-paced real estate market. I’ve helped hundreds of individuals like you successfully negotiate the most important financial transaction you’ll ever make.