Patrick Carlisle, chief market analyst at real estate firm Compass, stated that the Bay Area has seen four major booms over the last four decades each marked by a period of “irrational exuberance”, or skyrocketing prices with seemingly no end in sight, and then followed by a market correction.
April, May, and June are typically the busy season for real estate. True to form, agents and economists have seen a slight uptick in the past couple of months as we recover from the slump over the last year that followed the huge boom in home prices during the pandemic.
There has been a definite uptick in buyer activity, open houses and offers. Savvy buyers are looking to lock in a lower price point for their home now since they can always refinance their mortgage rates later, a smart strategy of experienced buyers.
Some Bay Area counties are rebounding faster than others. Solano, Marin, Sonoma, and Napa counties each saw an increase in home values over the last month, while Santa Clara, San Francisco, San Mateo, Alameda, and Contra Costa saw a slight decline.
San Francisco has seen a larger decline than the surrounding counties due to the work-from-home trend of the pandemic. Downtown San Francico is the weakest market within the city, but it provides an opportunity to those who believe that it will ultimately rebound.
So, real estate remains a smart investment for homeowners and investors alike. If you are looking to refinance or purchase and need faster financing or cannot qualify for a conventional loan, give Sun Pacific Mortgage a call at 707-523-2099, or reach out via our website.