This should come as no surprise to any regular SocketSite readers, but if you haven’t been reading or are new to our community here’s a bit of insight: inventories are up, transactions and selling prices are down, and Bay Area real estate agents are actually having to sell. Some choice quotes from this mornings Chronicle:
“Amid a perceptible cooling in the housing market and a jump in the number of homes for sale, Bay Area real estate agents find they must do something they haven’t done in years: sell.”
“In the last few years, you put something on the market for two weeks, and you didn’t have to do anything,” said Falconio, an associate manager at Prudential in San Francisco. “Now you have to work for it a little bit more.”
“The supply of condos offered through the Multiple Listing Service surged 57 percent between Oct. 1, 2004, and Oct. 1, 2005, while single-family home listings have soared 35 percent.”
“Sales, meanwhile, have slumped 26 percent and 14 percent for single-family homes and condos, respectively, between September 2004 and September 2005″…
“As the nearly decade-long housing boom appears to be losing steam, the balance of power is shifting noticeably toward buyers, according to agents, often among the first to see a turn in the market. Other reports based on federal data or local recorder-assessor filings tend to lag the market by a few months.”
“We need to start marketing properties at listing prices (sellers) are willing to accept,” said agent Roger Landry.
“Sellers are sometimes the last to know,” said Bodnar. “They think they’re still going to get 20 percent or 30 percent over (the asking price), but now they may find that offer dates are coming and going with no offers.”
“The market has slowed, but not that much,” said Calhoun, owner of Creekside Realty in San Jose. “I don’t know anyone who’s complaining about homes selling in three weeks.”
We just couldn’t help but end on that optimistic note. Although kind of reminds us of that agent’s “Don’t be fooled into thinking that this stockpile of inventory is a trend. It is a one-time occurrence. And you can quote me on that” boast that we’re busting…
∙ MARKET TILTING TOWARD NORMAL [Chronicle]
∙ Boast Busters (SocketSite Style) [SocketSite]