August Real Estate Update

Summer is almost over and I hope you’re enjoying the season. 

 The worst recession in 70 yeas is also showing signs of being over too. The Commerce Dept. reported that the economy shrank at an annualized rate of 1% which is better then the 6.4% shrinkage in the first quarter of this year. Economist think the economy is poised for growth, but slowly. You can read more of the state of the economy by clicking this link: http://rismedia.com/2009-08-03/signs-of-life-slower-decline-may-signal-recessions-end/.

 
As far as the real estate market is concerned, it seems like we are near the end of the real estate bear market. New homes are selling again and  the inventory levels are declining along with the amount of time it takes to sell. For more information about the market, please click on these links: http://rismedia.com/2009-08-03/is-the-real-estate-bear-market-beginning-to-bottom-out/
 
 
The market currently in San Mateo county is also showing signs of a rebound. The information below is from the San Mateo MLS showing the market activity from the end of the 1st quarter to the end of the 2nd quarter. As you can see there has been an increase of new listings, a decrease of homes for sale, an increase of homes sold, a decrease of marketing time, the average sales price increased, and the median price increased. This is totally opposite of what the market was doing last year. If you would like more information about your area, please let me know and I’ll be happy to furnish you the information.
 
Single Family Residential                
Years New Listings Current Inventory Closed Sales Average DOM Average Sales Price Median Sales Price Total Sales Volume  
2009-Q1 1689 1627 635 84 738,831 560,000 468,419,476  
2009-Q2 1768 1500 1066 75 893,332 682,500 949,612,038  
Summary 7428 1285 3833 70 1,013,672   3,880,337,152  
                 
It’s not too late to purchase something now. Buyers still can get tax credits for buying their first home, interest rates are still low and affordable, and the prices have bottomed out and are on the way up. I can tell you that the days of multiple offers are here again in a lot of areas.