Is the Bay Area Doomed?

With Labor Day in the rear-view mirror, we’ve officially entered the fall real estate market. Even though the calendar says we’ve got another couple of weeks of summer, in terms of real estate seasons, the fall market has now begun.

The fall market is traditionally one of the strongest real estate markets of the year. It lasts from…about now (just after Labor Day weekend), and continues until about Halloween, or perhaps just a couple of weeks past that, depending on the year.

By mid-November, the real estate market begins a typical slow-down, with mid-November through mid-January usually being the slowest time of year for sales, before the market starts to pick up again early in the new year and we begin the cycle anew.

The market usually begins to pop half way through January, and what we think of as the vaunted Spring market begins in February, sometime shortly after the Superbowl. 🤣
Depending on the year, the number of closed sales will peak in April or May (but sometimes June!), before quieting down a bit for the summer, as many people check out of the market for well-deserved vacations.

And that brings us to the present moment: summer vacations are mostly over, the kids are back in school, and the folks who couldn’t make a move earlier in the year are getting serious about doing so before the holidays.

If you’re considering selling your home in 2023, it’s good to know that right now is one of the best times to make a move.

All signs point to a fall market that will be stronger than usual. This is due to the fact that there is very little competition for sellers, and there’s a tremendous pent-up demand from buyers. We can see how true this is just by taking a quick peek at some of the market data.

For example, in Santa Clara County, new listings of single-family homes have been down about 50% for the past 15-week period, compared to the same period a year ago.

At the same time, the number of sales has been down only 19% year-over-year for that same period.

That points to a very tight market, with a much greater absorption rate (demand relative to available supply) than last year at this time.

In this market, the strongest buyers continue to be the ones who carry the day. Bidding wars are still quite common, and with the right strategy and strong negotiation, it’s not uncommon to for sellers to end up with with amazing offers, often far over list price…and with fabulous terms, too.

If you’re looking to make a move this year – and have THIS move be your best one yet – start by contacting me anytime, or just reply to this email. Let’s talk about how you can best take advantage of today’s real estate market.