Clients, friends, and colleagues:
It seems the market has returned to a bit of, dare I say, normalcy? Not that anything about the last year and a half has been normal, but I think we are seeing the return of seasonality.
The number of transactions in San Francisco is still at historical highs (627 home and condo sales in July is the busiest July in SF real estate history), but the number of new listings in July isn't overwhelming.
There were 543 new listings this past July, a 52% decrease from one year ago. Remember, July 2020 was an anomaly due to the pent-up supply resulting from the lockdown order in March. But how does 543 new listings in July 2021 compare to years prior to the lockdown? July 2019: 590 new listings. July 2018: 568 new listings. For the first time since the lockdown, us realtors are feeling a bit of normalcy now as it pertains to summer inventory.
Now a quick look to the future: Fall 2021. Stagers are incredibly busy and overbooked, meaning inventory levels are going to shoot-up significantly right after Labor Day. Fall has always been SF's season of highest supply, and 2021 won't be any exception. How demand measures up is the big question.
With interest rates remaining as low as they are, I anticipate single-family homes and boutique condos in the more suburban areas of our city to continue to see the larger spikes, but turn-key condos and lofts throughout the city that are priced right should still see plenty of action. If you're looking to buy, I believe multi-unit buildings and downtown condos (with the right eye) to be the best discount opportunities.
If you have any questions about the market, feel free to reach out.
