We’ve seen a dramatic change in the Southern Marin real estate market. It seems as if we have a real shortage of nice homes for sale. Homes are selling quickly, some with multiple offers, and some for more than their original asking price.
We’ve been hearing bad news about the economy and the real estate market for the past several years, so what’s happening here? In Tam Valley, there are currently more than a dozen homes that are in contract, meaning the seller has accepted the buyers’ offer, and they are working through the buyers’ inspection and financing contingencies. The majority of these homes were on the market for only days or weeks before receiving and accepting the buyers’ offer. What a shift, right?
What’s accounting for this activity in the market? First, we have a very low number of homes for sale that are correctly priced (yes, we still have homes listed for sale that aren’t selling—but these homes are not correctly priced and positioned, so buyers are ignoring them!). We also have increased demand. Many of our active buyers have been looking for months. They have been disappointed by the lack of homes available for sale and some have lost out on bidding wars for homes. Add to this: new buyers have entered the market, enticed by low interest rates, buoyed by a sense of optimism that the economy is improving.