| San Francisco real estate, one of the USA's | | | | Tom Hageman, a licensed California realtor with a |
| supposedly "frothiest" real estate markets, is no | | | | blog at ziprealty.typepad.com, notes that the |
| longer an instant jackpot for sellersnow it's just a | | | | market is still strong, but properties will sit on the |
| jackpot. Buyers, though still facing high prices, now | | | | market longer starting in fall 2005, for a variety |
| have enough time to actually think an offer over | | | | of reasons: |
| before making it. | | | | 1. More properties entering the market, since |
| Back in 2004 a piece of San Francisco real estate | | | | realtors traditionally advise clients to list properties |
| might spark a bidding war among prospective | | | | after Labor Day, when everyone's back from |
| buyers as soon as it hit the market. Today, a | | | | vacation and the Bay Area's radiant autumn casts |
| property might actuallygasp!sit on the market long | | | | an attractive glow over properties. |
| enough for buyers and sellers to negotiate. | | | | 2. Buyers getting nervous at the media talk of a |
| San Francisco Real Estate: Good Time to Buy, | | | | real estate bubble. |
| Sell, or Both? | | | | 3. Some sellers have overpriced their properties |
| To recap the San Francisco real estate market | | | | significantly. |
| 2004-2005 | | | | Ideas for Buyers and Sellers of Real Estate in San |
| * 2004: prices high, seller's market; | | | | Francisco |
| * 2005, spring: prices even higher, all-out seller's | | | | "When prices fall or rise is very hard to predict," |
| market; 10 offers on a new listing common | | | | notes Tom Hageman. "If anyone truly knew what |
| * 2005, fall: prices only slightly higher or same; 1-2 | | | | was going to happen next, they would be a very |
| offers on a new listing more common | | | | rich person." |
| In short, while average selling prices haven't | | | | Still, Hageman's blog offers some advice that |
| dropped, now might still be a better time for | | | | seems to make a lot of sense. |
| prospective buyersand even sellerswho prefer a | | | | For buyers, Hageman thinks that now is a |
| calmer market. | | | | relatively good time to buy, with fewer sellers |
| True, there are those who have been saying for | | | | setting unrealistic prices, the bidding war of Spring |
| five years now that you should sell as fast | | | | 2005 long over with, and interest rates still |
| possible and not even think of buying. Now that | | | | relatively low. |
| the market for real estate in San Francisco more | | | | For sellers, Hageman thinks that except for |
| closely resembles a real estate market than an | | | | properties in high-demand areas, "it will be unlikely |
| art auction, those same people are talking of a | | | | that you will receive record breaking multiple |
| "slow-down" and even the bursting of the | | | | offers. I believe that the old saying of 'your first |
| often-alleged Bay Area real estate bubble. | | | | offer is usually the best' is often true." |
| But after accelerating head-long for years, it was | | | | Important disclaimer: the above article is provided |
| hard for the market to do anything but slow | | | | for your reading pleasure only and is not intended |
| down. Meanwhile, with multi-million-dollar houses, | | | | to provide investment advice. All examples are |
| apartments, and offices selling for no less than | | | | hypothetical and intended as illustrations, not |
| before, it's hard to feel like anything is bursting | | | | guidelines. Opinions expressed in this article are not |
| except sellers' bank accounts. Of course, there's | | | | necessarily those of the owners. |
| never any telling what the future might bring. | | | | |