It's a great time to sell in San Francisco
The past several years have been a little rough for the real estate industry - this is no secret. But experts are saying now is a good time to sell your home in San Francisco. Homes for sale in the Bay Area are doing well partially because the city's inventory has dropped and therefore homebuyers are quicker to make purchases, explains local real estate blogger Alexander Clark.
According to the source, many people selling homes in the area feel the real estate market is only getting better and because of this, are waiting to put their houses on the market, resulting in the inventory shortage. On the flip side, homebuyers know this is a good time to buy because home prices are low and are trying to buy as soon as they can.
Furthermore, mortgage closing costs are down and people are being approved for low interest rate mortgages, other factors making many people want to buy right away. The result is a stalemate of sorts.
This is very good news for someone hoping to sell in the Bay Area. As of March 2012, real estate inventory was down across California - down 7.5 percent from the previous month and an astonishing 35.3 percent from March of 2011. Homes priced below $500,000 showed the greatest drop in inventories.
With the decrease in homes available, The Front Steps states the number of homes sold has increased by 40.7 percent. Inventories in all home price brackets are dropping, and within short periods of time.
"These short time frames continue to indicate a seller’s market, where sellers have more leveraging power over buyers who are competing against a limited group of properties," Clark writes.
The San Francisco Chronicle supports this notion, stating a lower number of homes means less competition selling, and considering San Francisco hit a 12-month low in December, the city more of a seller's market than it has been for some time.
Therefore, San Francisco resident may consider putting their homes on the market in the near term. With so few homes for sale in the Bay Area, sellers are more likely to sell at or above market value.