San Francisco Real Estate - November 2022 Report

marketingcenter-sfbayarea-sfcityproper

Halloween tricks to navigate a SPOOKY housing market

Upward spiraling interest rates, volatile financial markets, a looming recession, mounting tech layoffs.… the perfect concoction for a spooky housing market. Given all these head winds, it seems natural to be fearful when you’re embarking on one of the biggest financial transactions of your life - buying a home.  Here are a few tricks to help you navigate the market: By knowing what you are really worried about, you will be in a better position to adapt. For example, are you worried that your house may lose value after you buy, consider that ………. a drop of 20% in median sales price from this year's Q2 record peak would take us back to Q3 in 2020. In those terms, such a fall may seem reasonable to many. What we’ve experienced in the housing market for the past two years was not normal.  As the market adjusts and normalizes, it may be unpredictable on a day-to-day or week-to-week basis. However, over 5-10 years these downturns become blips on the screen. Nothing is permanent - even a drop in price is likely to wash out over the next few years. The best investors seek long term returns instead of aiming to time markets 'perfectly'.  How long you plan to own and/or live in a property matters more than the price and terms you pay today. So focus on the long term. All markets recover and over time, home prices have increased. The US is still grotesquely under-built.... possibly slowed now as builders face higher borrowing costs.... which could fuel future home price inflation. With interest rates that have doubled since the beginning of the year, evaluate all your financing options. A 30-year fixed mortgage may not be the best fit. Discuss with lenders what programs they have, including rate buy downs, adjustable rates, and “no lender fee” refinancing (if a recession is indeed coming the FED usually lowers rates to stimulate growth). It is entirely possible that renting and waiting for prices to fall could ultimately cost you more even if you do pay less for the house in the future. In the current market, over-bidding has greatly reduced. By not over-bidding those saved dollars may absorb some higher borrowing costs. Focusing on the best quality is always smartest. And now you may have more choices. Buying a quality home for a fair price is always smarter than a bargain price for a bargain. During fearful times, going against the herd mentality of 'wait and see' often produces excellent opportunities...... a market that’s normalizing and a Fall selling season that’s ending mean that buyers can get great deals from eager sellers who want to sell their properties before the year ends. Markets don’t stop.  For many homeowners, objectives such as lifestyle, location and longer-term equity growth are more important than waiting for unknown future market movement to occur.  So, the best time to purchase a home is whenever you can afford it. Are you, or someone you know, ready to move? Let me know - I can help. marketingcenter-sfbayarea-sfcityproper

Success comes with a price.......(and a strategy)

If recent headlines about a cooling housing market and diminished buyer demand have you worried that you’ve missed your chance to sell, here’s what you need to know: People are still buying homes. There are a lot of buyers out there looking for the perfect home. When they find the perfect home, they are willing to pay for it! Need proof? Here’s a success story from one of my transactions that closed this week: 2611 Filbert St List Price: $5,595,000 The sellers received a very strong pre-emptive offer after 1 weekend on the market. However, with multiple interested parties, their strongest negotiating position was to hold off on accepting that offer and instead give everyone a chance to come to the table.  Their patience paid off.  The result: 4 offers Sales Price: $6,550,000 $955,000 above the asking price and WAY above the initial offer! Remember: real estate is hyper localized, even within markets and neighborhoods! While things have cooled a bit, demand for “good homes” that are well prepared and nicely presented are still very high. If you work with a savvy agent who understands negotiating and the nuances of a hyper localized market, your home should sell quickly.  Are you, or someone you know, ready to move? Let me know - I can help. marketingcenter-sfbayarea-sfcityproper

Dear San Francisco - Reflections on A High-Flying Love Story

Reflections on A High-Flying Love Story Yesterday I was drowning in misery…..I woke up too early, with a cold sore on my lip, I'm fed-up with Foctober’s perpetual grey skies, and my good knee suddenly started to ach on my run. Interest rates keep rising, the snack selection at my office is too limited, the streets are filthy, the private showing buyer was not interested, downtown is a ghost town, and tents are taking over.  Am I falling out of love with the city? Walking down Russian Hill to see a show at Club Fugazi (a gift from past clients Kishore & Sharon), my husband said:  “Just say the words and we'll move.” I begrudgingly sat down to watch “Dear San Francisco". The show incorporates readings of love letters to the city from celebrities, poets, audience members, cast members and anonymous people, each letter transitioning into amazing acrobatic/circus acts. It’s a homage to a city that repeatedly rises from the ashes, it pokes fun at stereotypes such as parking, getting towed, how expensive it is to live here (especially artists), and touches on the LGBTQ community.    The cast members are from everywhere..... Britain, Mexico, China, Switzerland, Spain.  They came. They fell in love. They stayed.  Just like me. Thank you Club Fugazi, for pulling me out of my self-inflicted misery. Thank you for reminding me of why I moved to SF 21 years ago. Thank you for making me fall in love with the city all over again. And thank you for reminding me that SF is where I feel most at home ...…despite the uphills and the downhills that come with it. Go see the show! Click here for Tix. marketingcenter-sfbayarea-sfcityproper

San Francisco Real Estate - October 2022 Report

marketingcenter-sfbayarea-sfcityproper

The Last Quarter

As September comes to an end, we are adjusting to 'new normals' around sales prices, homes staying on the market longer, inflation, sharply higher interest rates and the threat of a deeper recession. As we navigate this, the biggest challenge is that we are still in the midst of big changes. The only certainty in life and markets is ......change We all knew that the era of super-low rates would end…...but the changes happening right now are happening rather fast. We live in roller coaster times.  So how might things play out in the final quarter of 2022?  1. I expect the FED will continue its policy of higher rates. They were slow to raise rates and they will be slow to see the full impact of these higher rates. 2. Buyers will be obsessed with "what if" mentality: if they wait, will prices come down further? Smarter buyers will rather use this moment of uncertainty to negotiate thereby having the opportunity to focus on quality, not just price. There is one thing worse than buying a bargain: owning one! 3. Sellers will adjust their expectations and lick their wounds by not having sold at a premium when they could have. They will still do very well but will have to be far more patient. Many will offset 'losses' if they are buying something else.  4. Inventory levels will increase, but under-building, trillion dollar infrastructure building, repairs and replacement are almost certain to make construction costs continue to rise. 5. The threat of a global recession may push down the prices on many things (energy may be the outlier). Bergdorfs and Neiman Marcus are already discounting ....in September!) Might we even see some deflation? Investors are waiting for one key moment The day the FED pauses interest rate hikes. At that moment we may see a surge in all markets...…including real estate. Markets like some clarity. That day is coming...… Are you, or someone you know, ready to move? Let me know - I can help. Cheers! Maggie marketingcenter-sfbayarea-sfcityproper

Saying goodbye to summer....

The housing market peaked in May, kicking off a summer that was characterized by interest rates hikes, wild stock market fluctuations, and (almost) everyone vacationing in Europe………a season that left us both happy and weary at the same time.  Let’s recap what happened: Increased interest rates and stock market misery weakened home buying power Buyer activity decreased = less competition + lower sales prices Home price appreciation rates and overbidding dropped Price reductions increased The number of days listings stay on the market increased The number of new listings dropped Below are the numbers: In early August, the market perked up for a split second after interest rates dropped and the stock market recovered dramatically. However, in early September interest rates increased again and stock markets declined once more – continued short term volatility that makes predicting movements and the effects on the real estate market difficult.  Summer may officially end in about 2 weeks, but the effects may last a bit longer.  Complete Market Report Are you, or someone you know, ready to move? Let me know - I can help. Cheers! Maggie marketingcenter-sfbayarea-sfcityproper

San Francisco Real Estate - September 2022 Report

marketingcenter-sfbayarea-sfcityproper

Swept off my feet.......

I just returned from spending a few days in Chicago after dropping my daughter off at college. It’s been while since my last visit and during that time I was single-mindedly focused on running the Chicago marathon and nothing else. This time I was just a tourist soaking in all the sights and sounds of the city. Admittedly the bright blue skies and near-perfect weather may have influenced me a wee bit..........as I fell head-over-heels in love. So, what was it that swept me off my feet?  1. Urban design: the city perfectly blends art and architecture, historic preservation and new construction, work and leisure, pedestrians and bikes, cars and public transportation.  2. Downtown was buzzing with office workers (!!), locals, and tourists alike – at concerts in Millennium Park, in restaurants and bars, on boat tours, in shopping malls and theaters. 3. Chairs and benches to sit, congregate, meet and greet neighbors and visitors.....all designed for human interaction. 4. The streets were lined with perfectly maintained trees and flower boxes dotted the stunning architecture. 5. Flattering street lighting. Not only were the fixtures attractive, but the lightbulbs used were of a color that did not evoke that 'night of the living dead' we see all too often in public spaces.  6. The city is clean, notably absent of trash, tents, feces, open-air drug use and graffiti. 7. Tastefully appointed stores were immaculately clean, perfectly stocked, with friendly staff, and the type of merchandise everyone needed and wanted.  8. T he people were so nice. I could go on.........  Naturally we cannot - and should not - copy Chicago, but we can certainly learn a few lessons from them. Are you, or someone you know, ready to move? Let me know - I can help. Cheers! Maggie marketingcenter-sfbayarea-sfcityproper

Be greedy when others are fearful?

Many buyers feel that waiting for prices to go down more in this "uncertain market" may deliver the one thing almost every buyer dreams of….. A Bargain!  Whilst the view from the sideline may seem safest, there is a lesson to be learned from the big institutional real estate investors.   Blackstone recently secured over $50 billion for opportunistic real estate investments across the globe. This is just one example of this type of institutional money on the sidelines waiting to pounce. There are many others, all loaded with billions of dollars, waiting to buy real estate.   Do I agree with having large institutional, cash-rich investors - not just Blackstone - outbidding and competing with first time home buyers? That's a whole other story. But today I want to focus on why these companies see opportunity while others may not. BIG MONEY views the BIG PICTURE While others freeze up in times of uncertainty, Blackstone is being proactive, seeking out opportunity. And preparing for it in advance. While others react, Blackstone ACTS. They are looking at the big picture, long term, not focused on short term bumps. Blackstone possibly sees value in even slightly discounted buys...why? They fully understand replacement cost. Something built 3 years ago would probably cost 20-25% more to build today.  This almost automatically implies long term upside. Blackstone looks at data: the data shows massive under-building. Under supply that takes years to resolve almost certainly guarantees future upside as demand will outstrip supply for many years to come. Blackstone is a committer. And yes, they may be taking advantage of those who fear commitment. Those people do so at their own peril.  Maybe knowing all this, you may not wait as long as some seeking prices to go lower, lower, lower..... If Warren Buffett sees enormous opportunity in buying stocks at "15% off discounts", I think you have the answer.  "Be fearful when others are greedy, and greedy when others are fearful.”  -Warren Buffett Are you, or someone you know, ready to make a move?  Let me know - I can help. marketingcenter-sfbayarea-sfcityproper

San Francisco Real Estate - August 2022 Report

marketingcenter-sfbayarea-sfcityproper

The tide is turning

The impacts of this year’s economic headwinds – soaring inflation and interest rates, stock market declines, and fears of recession – are having an impact on the housing market.  As the Tide Turned... The first effect was on buyer demand (fewer buyers, fewer offers, less overbidding and fewer homes into contract), leading to changes in supply (more homes for sale, more price reductions), which led to lower appreciation rates and fewer homes selling.  All of these began to alter buyer and seller psychology and the balance of power between them. As we enter the second half of 2022, we are seeing a new breed of home buyers emerge. And the tide is turning for home sellers. A New Breed of Home Buyers  With mortgage rates that have almost doubled since the beginning of the year and down payments tied to  a volatile stock market,  home buyers are re-balancing their priorities. They are adjusting their expectations to align with their level of home purchase affordability, and they are becoming hyper-selective. Not just any house will do. So, what does this mean for home sellers? The Tide is Turning for Sellers Gone are the days of frenzied home buying that we've seen over the last few years. The good news is that an overheated market slowing from an unsustainable rate of acceleration, does not necessarily imply a weak market by historical standards, even if the speed and scale of the change is startling. A correction is not a crash. Market corrections over the last 40 years typically ran from a flattening in appreciation, to price adjustments of 5% to 10% (relatively small compared to the appreciation rates which preceded them). Going into the second-half of 2022, sellers can expect buyers to be more cautious about making an offer on a home. Sellers need to align their mindset with the new breed of buyers and focus on delivering value. Now more than ever before, take steps to enhance your home’s appeal, make it move-in ready, and price it with laser-like precision. By delivering value to the new breed of home buyers, you can still attract top dollar for your home! June Market Report Is someone you know, ready to move?  Let me know - I can help. marketingcenter-sfbayarea-sfcityproper

San Francisco Real Estate - July 2022 Report

marketingcenter-sfbayarea-sfcityproper

Celebrate the red, white and YOU

The first half of 2022 has come to and end.....6 months defined by roaring inflation, equity market drops, soaring interest rates, anxiety, energy price spikes, war, deeper political divisions, diminished rights, recession chatter, you name it. Thankfully we have Independence Day to celebrate and lift our mood.   Below are a few options for this holiday weekend: "So Happy Together" is the them of this year's Marin Country Fair, running now through Monday, from 11AM - 11PM daily. This year's fair features unicyclists, jugglers, stilt-walkers, carnival rides, animals of the Barnyard, Global Marketplace, fireworks over the Civic Center’s Lagoon Park, live concerts, and more!  Throughout the weekend, free concerts will also be held at Stern Grove, San Francisco Giants Stadium and Oakland Athletics Stadium. San Francisco Hot Dog Contest While waiting for the main event, enjoy the free live music concert at the Aquatic Park at 6 PM or drop by the Fourth of July Pub Crawl on Austin Street, next to El Lopo on Polk Street where the San Francisco Hot Dog Contest will take place at 7:30 PM. Where to watch fireworks Fisherman’s Wharf Fisherman’s Wharf will host a fireworks event beginning at 9:30 p.m. for approximately 90 minutes. Crissy Field With the Golden Gate Bridge to your left, fireworks show to your right, the SF bay in front, and the rest of the city at your back, Crissy Field is the spot to catch the fireworks show with serene views surrounding you. Twin Peaks Twin Peaks offers high-elevation views of both the city and San Francisco Bay, including a view of the fireworks display with the city lights shining right before it.  Cruises If you'd rather watch fireworks from the water, there are several cruise options. Or you may prefer to just stay home Regardless of how you choose to celebrate, here's to Independence Day and the rest of 2022! 🥂 Cheers, Maggie marketingcenter-sfbayarea-sfcityproper

To many more years to come!

I'm so honored to be included in the 2022 Real Trends America’s Best Real Estate Professionals, honoring the top 1.49% (top 1000) of real estate agents from all across the country.  I couldn't do it without my clients and the support of colleagues and loved ones. Thank YOU. To many more years to come! marketingcenter-sfbayarea-sfcityproper

Happy Father’s Day!

I hope you have a fun-filled day! Cheers! Maggie marketingcenter-sfbayarea-sfcityproper

A long-awaited window of opportunity has opened

Sellers in SF have had the upper hand since 2012. However, in May we started seeing heavy volatility and declines in the financial markets. Interest rates climbed above 6%. There are worries about inflation and mumblings about tech layoffs. Whatever the reason, a cooling demand is beginning to show up in the real estate market, and it’s manifesting strongly in pending home sales data.  Here are the latest trends: These trends show that supply is beginning to build, sellers are reducing prices, and the number of homes going into contract is significantly down. Although the market is heading into the typically slow summer season, the inventory is historically high for May (the latest numbers available). While there may not be a single reason behind the drop in activity and increase in inventory, one thing is clear: After 10 years of getting battered and bruised, a long-awaited window of opportunity has opened for buyers.  So, what does this mean for sellers? Market changes are often uneven in the early months of transition, with one home selling in days at huge overbid price, while next door, the seller has to reduce their price to get an offer.  Prices follow deal volume, so a slowing market means prices have most likely peaked in Q1. However, a slowdown does not mean that the market is weak by any normal standard. People will continue to have personal and financial reasons to buy and sell homes. Contrary to what you may read in the news, a slowdown does not suggest that prices are in for a freefall. Instead, the market will most likely slip from a seller’s market to a neutral market this summer.  As the market cools, buyers become more discriminating, negative conditions previously ignored are noticed, more negotiating occurs, multiple offers and overbidding decline.  Listings that are well prepared, staged, show well, and are priced right, will have an increasing advantage over the competition.  What does this mean for buyers?  After the largest and most dramatic upcycle in the financial and housing markets over the past 2 years, a slower market means a break from the bidding wars and sellers more willing to negotiate.  To take advantage of this window of opportunity, buyers should have their financials buttoned up, understand the inventory, and not ignore stale properties (often times these will have more motivated sellers willing to negotiate).  Sellers tend to withdraw their listings when they cannot sell at the price they command. In this case, supply may be squeezed again. Therefore, the next few months may offer both choice and negotiation for buyers who are less sensitive to rate change and financial market fluctuations. Complete market report Is someone you know, ready to move? Let me know - I can help Keep well, Maggie marketingcenter-sfbayarea-sfcityproper

Most desired destinations for homebuyers right now!

Whether you’re looking for a more affordable place to live, better weather, a place to retire, a second home, or a “working from home” home, people are always on the move.  So what placed do people want to move to - and what places do they want to leave?  Realtor.com analyzed the search traffic on their site to figure it out and the results may, or may not, surprise you…… Let’s start with the most desired destinations for homebuyers right now! The map shows that most home buyers prefer to live on the East Coast where home prices are more budget-friendly and offer a lower cost of living.  Punta Gorda (#1), the most sought-after place to live on the list, is a popular vacation and retirement location in Florida with a median list price of $430,000. Rocky Mount, NC (#4) is an outdoorsy location about an hour northwest of Raleigh, NC, and Decatur, AL (#9) is located alongside the Tennessee River just over an hour north of Birmingham, AL. Median list prices in the metros were $232,500 and $268,000 respectively. The most popular vacation destinations are East Stroudsburg, PA (#2), and Claremont, NH (#6). East Stroudsburg is part of the Poconos, an area long popular with travelers for its lakes, trails, and ski resorts, while Claremont attracts visitors who like to kayak and fish along the Connecticut River or ski at a local resort. Shoppers viewing vacation areas didn’t limit themselves to cheaper locales only. More pricier locations on the list of attractive places where people want to live include Kahului, HI (#3); Prescott, AZ (#5); Hilton Head Island, SC (#7); and Barnstable Town (Cape Cod), MA (#10), and Santa Fe, NM (#8). Let’s take a look at the places that people seem to be dying to leave Military bases and university towns are seeing a lot of turnover. Once assignments or contracts end, or military personnel are re-assigned, people in Columbus, GA (#4), and Dover, DE (#9) want to leave. Big college towns are also more transient as students graduate and then move back home or closer to their new jobs, putting Gainesville, FL (#5), Fort Collins, CO (#6), and South Bend, IN (#7) on the list of places that people want to leave. Despite getting highly paid, tech professionals in pricier areas like San Jose, CA (#1), Seattle, WA (#2), and Washington, DC (#3) are still impacted by the expensive home prices. With remote work, many buyers in these cities are relocating to cheaper parts of the country, or to live closer to family.  In addition, as many places have become more expensive during the pandemic as they’ve attracted buyers from all over, leaving locals to seek out cheaper options. For example, the median list price in Fort Collins, CO, was up 13.1% in March from the same time a year ago, at $635,995. Prices were up about 17% in Manchester, NH (#8), and nearly 22% in Fargo, ND (#10). Read Full Article Is someone you know, ready to move? Let me know - I can help Keep well, Maggie Maggie Visser DRE #: 01925742 M: 415.793.3470 maggie@maggievisser.com marketingcenter-sfbayarea-sfcityproper

San Francisco Real Estate - June 2022 Report

Maggie Visser DRE #: 01925742 M: 415.793.3470 maggie@maggievisser.com www.maggievisser.com marketingcenter-sfbayarea-sfcityproper

Once upon a time……

Once upon a time...... There were the first bath, the first time I dropped you off at daycare and cried my eyes out, the first tooth, the first cupcake, the first word (yellow), the first day of school, the first swim lesson, the first bike ride, the first ski lesson (you cried so much we had to pick you up after 30 minutes), the first sleepover, the first basketball game, the first sleep-away summer camp, the first time you walked to the store on your own, the first time you were a bench-warmer on the team, the first time you won a running race, the first time you drove a car, the first time you wore heals, the first time you got a boyfriend.  “What lies behind us, and what lies before us are small matters compared to what lies within us.”  – Ralph Waldo Emerson Today, you are a confident, wise, beautiful, hard-working, determined young woman getting ready to leave the only house you’ve ever lived in. I am so proud of who you are, what you’ve become and what your future holds. I will miss you terribly, but look forward to celebrating your next milestones with you.  marketingcenter-sfbayarea-sfcityproper