Housing Inventory in Marin County and Nationwide leads to prices rising
Before I comment on Marin County's housing market, I want to share some nationwide facts. These facts caught my interest while reading a report released last week by the Chief International Economist of Deutsche Bank in the US.
- We have close to record-high levels of affordability right now. The housing affordability index has not been as high since 1971.
- US home prices are rising steadily. Single-family home prices rose in September for an eighth straight month in a further sign that the housing market is on the mend.
- The index's eighth month of gains is the longest since prices bounced in 2009 after the government unleashed stimulus measures following the market's collapse the previous year.
- Housing inventory is coming down rapidly across the country. San Francisco and Sacramento are the extremes with annual inventory changes under 40%.
- The flow of foreclosures are trending down. CA and FL still in top of the "boom/bust" housing market.
- And as we know, mortgage rates are still at record lows thanks to the Feds.
The Marin market continues to have a record low inventory in all price ranges and in all cities. This helps to drive prices up, which is good for sellers and actually good for us all. All properties that I have submitted offers on in the past three months have attracted multiple offers and have all sold for well above asking price. What really surprises me is the number of cash buyers out there. "All-cash offers" seem to be as common for $200,000 condos as for $2M family homes. Yet, the loan rates are so tempting that it must be hard not to borrow money. But cash is king and of course proves very competitive in multiple offer situations. Whether or not you need a loan, I believe this must be the best time ever to buy a home. So if you didn't buy in 1971, you should now!
Give me a call today to discuss your plans and options! (415) 244-4414.
Helen Luttemo, Realtor - Successfully serving buyers and sellers throughout Marin since 2004.