What's up with the market?!
I sell a lot of homes in San Anselmo, Fairfax etc. My colleague recently listed a home on Oak Knoll for $1,199,000.
She received nine offers. Two were all cash for exactly the same price, $1,500,000, I believe. There was a multiple counter offer given. It eventually sold to one of them for $1,601,00. That is 34% over the list price. $400,000 over list! Does anybody else think that the market is just a bit out of control?
My colleagues keep mentioning interest rate changes as the lever that will derail the market place. I am going to go out on a limb here and disagree. I do agree that there will be a market correction. The reason will be driven less by interest rates than by office space. What I mean is this: Right now the average price of a home in San Francisco is $1,100,000. What is driving THAT? Jobs. So many new and anticipated jobs that right now there is 3.1 million sq feet of office space under construction in the City to companies such as Sales Force, LinkedIn, and...