Median Price Of Properties Sold: +6%
Properties Under Contract: +69%
Properties For Sale: -16%
Average Days On Market: -7%
Average Monthly Supply Of Inventory: -63%

The numbers are very encouraging, it appears, while prices are slightly up, so is interest in them. Inventory has decreased and so has the amount of time properties are staying on the market. Simple supply and demand, demand is up while supply is down, means the prices properties are selling for have risen.

It is still a great time to buy or sell in the current market, much of it depends on your own personal needs.

Adam Chinn: Visit my website at http://adamchinn.com

1. Interest rates are at historic lows: Lower interest rates means you can now buy more home then you could have a year or two ago.

2. Prices have come down: Even if your current home may be worth less than the last peak in the market, the next home you are looking for will probably be as well.  The percentage decrease will actually help you get more house when buying up to a larger home.

3. There are still a good amount of homes on the market right now, both new construction and existing, giving you lots of choices and negotiating power.

4. You can move in to your new home faster, as many builders either have completed homes in inventory or they can start working right away due to the production slowdown.

5. You may have outgrown your home, but its probably someone else’s ideal starter home. With the $8,000 tax credit just recently being extended and the new $6,500 tax credit for move up buyers, now is the time to market your home to first-time home buyers.

For more information about the tax credit please visit http://www.federalhousingtaxcredit.com/

This Real Estate Blog is by Adam Chinn

I have done research and compared the market last year in September 2008 to this year in September 2009.  These numbers are for single family homes.  Here are some of the results:

Daly City:

Inventory down 49%
Properties under contract up 12%
Months supply of inventory down 79%

South San Francisco:

Inventory down 60%
Properties under contract up 90%
Months supply of  inventory down 88%

San Bruno:

Inventory down 60%
Properties under contract up 9%
Months supply of inventory down 66%

Millbrae:

Inventory down 34%
Properties under contract up 67%
Months supply of inventory down 69%

In all four cities the inventory is down while properties in contract are up.  Meaning supply is low and demand is high.  Competition for homes in these cities is high, but it is still a great time to buy.  This also means that home owners considering selling their home may want to contact a Realtor to see what their home is worth and think about weather it makes sense for them to sell or move at this time.  The market has definitely changed for the better and this is a great sign for things to come not only for the housing market, but for our economy as a whole.

This Real Estate Blog is by Adam Chinn

As always, I do my best to preview the homes I show, as to gain as much knowledge as possible about the homes we are going to view.

What we were surprised to find out is that, out of the four homes we planned on viewing, 3 of them were marked pending or were going to be marked pending soon. All of the homes were vacant and have been on the market less than a month.  

One of the South San Francisco homes was only on the market for five days and the listing agent informed me he had received 21 offers, status to be changed to pending very soon.  Another had 8 offers, one of which was accepted the night before we planned to view the homes.  The third house was marked pending after only 9 days on the market.  The final home, I just got word from the listing agent that they have multiple offers and status will be changed to pending soon.

Less homes on the market with many buyers searching, simple supply and demand…

To answer the question, it depends.  Of course anyone is able to offer whatever price they would like, but I’m assuming they want to offer just enough to get their offer accepted without paying much over the next highest offer.  What I have been experiencing with Bank Owned Homes (REOs), is that many of them are listing the homes under current market value in order to get more buyers and agents into the property.  Therefore, I tell my clients that to submit an offer based off the list price may not be the best thing to do.  My best advice for them, lets sit down and take a look at the comparables, similar properties that have recently sold or are currently pending sale.  Many other factors do come into play such as, how much they want the house, if they have seen any other homes that they have liked, etc.  Each transaction is different and unique and that’s part of what makes the real estate industry so interesting to me personally.  There are always things to do and learn, so I will definitly never get bored.

Have you asked this question before? Been asked this question? What answer did you give? What answer were you told?

What I have been experiencing is a large amount of buyers have come out and are not only looking at homes, but are also writing good offers to get the home they like. I have personally seen quite a change in the market from only the beginning of this year to now. I do anticipate this trend to continue and for some, seeing is believing.

What do you think and what have you been experiencing?

I am current working with some clients who are interested in purchasing their first home in a New-Home Community.  They would be Eligible for both the $10,000 New-Home Tax Credit as well as the $8,000 First Time Homebuyers Tax Credit.  This of course would make a huge difference for them financially, who wouldn’t want an extra $18,000 in credit when purchasing a home?

If you would like to view the article please visit California Building Industry Association.