Prices may stay pretty stable in 2020?
Many clients ask me which direction prices will trend this
year with the pandemic.
Some expect prices to go down, while others encounter
multiple offers, at least here in the Silicon Valley.
For now, and just considering our local area, one thing is sure: the number of transactions has
been cut roughly in half. But how prices will fare will depend mostly on the
job market in both Santa Clara and San Mateo County. And what
we see a lot of is remote work, not so much lay offs (although unfortunately we
will see some of that happen way too much).
In this
article from Clare
Trapasso, senior news editor of Realtor.com, the prediction is that prices
will remain steady in 2020, because the inventory of homes has also gone
down dramatically. In the Silicon Valley
where properties are still fairly scarce, my experience is that prices are currently
soft, but this is compared to an early expectation of a strong price increase at
the beginning of the year. It is also
not the case for prime, very desirable properties (i.e. very remodeled, or excellent location, or large lots, or just "rare finds").Diana Olick, from CNBC, also reports a surge of multiple offers nationwide, with a majority of offers being made in a competitive environment in many local markets, from the East to the West.
Thank you for reading,
Francis
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