Diving into a new decade, we’ve paused momentarily to reflect on 2019 with profound gratitude for the opportunity to assist families and friends through their journeys of homeownership and relocation, placing us once again in the Top 1% of San Francisco realtors and Top 100 Teams in the Bay Area!! Below, you can check out our predictions for 2020 along with a look back at 2019 and some of our amazing upcoming listings!
As always, we hope you will think of us next time you or someone you know is considering selling or buying.
We wish you an abundance of health, happiness and prosperity in the New Year!!
Dale + Alla
A Look Forward: Predictions for the 2020 Real Estate Landscape
Looking specifically at San Francisco, 2020 looks like it will perform similar to the previous 5 years as regional economic indicators remain strong, the stock market is performing well and whispers of recession appear to be waning. Combine these elements with super low interest rates and we should be poised for another solid year with ebbs and flows throughout the year.
The national view and predictions for real estate in 2020 are:
- The national median sale price is expected to grow by 4.3%, along with a 4% increase in the number of homes sold.
- National new construction home sales are expected to rise a whopping 11%, putting them at a 13-year high!
- Mortgage rates have already started off roughly 80 basis points lower than they were at the start of 2019. (CNBC)
- Sellers will expand on the trend of doing home improvements before selling, as they continue to see ROI from doing so.
- Smaller, more affordable homes will continue to have have extreme competition from first-time buyers, investors and downsizing baby boomers a product of an increasingly tight market this spring.
- The first half of 2020 will be busy (as most spring seasons are in SF). The second half will likely be distracted by the presidential election.
The housing market, much like the stock market is buoyed by investor/buyer confidence and a feeling of certainty. Should events occur to sufficiently alter these psychological factors, we could see slowing in the market but are unlikely to see anything like the precipitous decline in valuation that occurred after the financial crisis and recession.
*Above data sourced from Compass Chief Evangelist Leonard Steinberg, and NAR data. Read the full Forbes article here.
A Look Back: 2019 At-A-Glance in San Francisco
Generally speaking, after years of high appreciation rates, annual 2019 Bay Area median home prices went down a little bit, went up a little bit or basically remained unchanged as compared to 2018. SF hit new quarterly price highs in spring of 2019 (amid all the IPO excitement), but ended up the year at about flat for houses and a little up for condos. (Since there has been so much new luxury condo construction in recent years, year-over-year median price comparisons may not be exactly apples to apples.)
One of the big factors in SF house price appreciation since 2012 has been that fewer house owners are selling. If demand increases, but supply drops, that puts upward pressure on prices. Overall, house prices have out-appreciated condos over the past 7 years due to 2 factors: All the new condo construction and the fact that condo owners sell their homes more often than house owners. Both those factors increase supply to help meet increased demand.
For 2020, the Bay Area median price is expected to remain basically flat, within a general range of up or down 2% – in other words, similar to what happened last year. We can’t predict the future, but that certainly doesn’t sound unreasonable, and happily avoids the sensationalism of many other media-grabbing forecasts.
Gorgeous recently remodeled Mission Dolores condo with open floor plan layout (pictured above)
2 Bed | 1 Bath | Parking | Storage | Yard | A+ Location
Fantastic English Tudor view single family home, nestled in the heart of Old Miraloma Park
4++ Bed | 3 Bath | Multiple Walkout Decks | Yard
Panoramic View Golden Gate Heights flat
1 Bed | 1 Bath | Parking | View Deck | Shared Garden
Beautifully remodeled top floor condo
2 Bed | 2 Bath | Parking | Shared Yard
If you are considering buying or selling, give us a call at 415.845.5614.
Give us a call at 415.845.5614 to chat more about buying or selling!
San Francisco Movement Arts Festival
Friday, January 24
6 PM 8:30 PM
Grace Cathedral (1100 California St)
The 6th Annual San Francisco Movement Arts Festival (SFMAF) is proud to host over 300+ performers celebrating their movement art. The entire Grace Cathedral will be transformed into a stage.
Each station will feature up to six groups performing & rotating short pieces. Each station will be its own mix of repertoire to include modern dance; ballet; ethnic; ballroom dancing; Movement Choirs and much more.
The festival also welcomes artists from all over the country,
plus seven stations filled with live musicians and singers.
Tickets will be sold the night of event.
SweetSpotSF: The San Francisco Dessert Festival
Saturday, January 25
12:30 PM 4 PM
SOMArts Cultural Center (934 Brannan St)
Welcome to San Francisco’s only dessert festival, SweetSpotSF! SOMArts Cultural Center will be transformed into a dessert lovers paradise, where the best confectioners in the Bay Area will showcase their unique creations. From scoopable cookie dough to rolled ice cream, we’ve got your sweet tooth covered.
Along with dessert-themed beverage samples, the SweetSpot bar will be serving cocktails to pair with the parade of sweets coming your way.
A portion of proceeds will be donated to the SF-Marin Food Bank, an amazing organization dedicated to ending hunger in our community. Their innovative programs provide nourishment for 210,000 people every year.
Tickets sold here.
Bay Area Brew Fest
Saturday, January 25
12 PM 8:30 PM
Fort Mason Center for Arts & Culture (2 Marina Blvd)
The Bay Area Brew Festival returns for its eight year, bringing back dozens of breweries, hundreds of beers, food trucks, dj, photo booth, and much more!. Admission includes unlimited beer samplings, with VIP attendees getting an extra hour of admission and some specialty beers poured during the first hour.
Tickets sold here.