We hope everybody had a wonderful new year so far. As we wrap up January, we are seeing changes in the real estate market that we would like to share with you.
In the past year we have seen a shift in the market. In 2018 spring, things were very hot. We saw very high value appreciations and then the market shifted to a more normal buyer/seller market. In Quarter 4, the market slowed down, but in the new year, we are seeing buyers returning to the market. Open houses now have a steady pace of buyers coming through and we are seeing multiple offers again in some areas, depending on location and type of home.
As we look at reports, the average days on the market for last year was 35 days for single family homes. As we run the same report in January, the average number of days on the market was 45. Last fall we saw over 2,000 homes on the market and right now there are just over 1,200 on the market in the county. Which means, we have quite a bit of inventory on the market to go through. This is really great news for buyers out there.
Buyers are buying! The number of pending sales at the beginning of this year was 541, which is only slightly less than the 585 we had at the beginning of last year.
Another bit of good news for buyers is that the conforming loan amount has increased from the high 600’s into the 700’s. So, that means buyers, you can borrow more. On top of that, the interest rates are still historically low, and the Fed is planning to not increase rates as they had announced last year.
So, if you need to move, now is a great time to put your home on the market before the spring, with less competition. The buyers are out there, and they are waiting to see your home.
If you would like a detailed valuation report of your home or the home you would like to buy, give us a call. We are happy to help. We are here to help you with your real estate game plan.
Take care and see you next month.
Your South Bay Real Estate Agent,