The COVID-19 pandemic might have stalled a lot of things last year, but San Francisco real estate is bouncing back stronger this 2021. The new year brings significant demand for homes in different parts of the Bay Area, higher prices, and increased sales.
Jordan Levine, chief economist and vice president of the California Association of Realtors (CAR), told Bay Area publication The Mercury News that the housing market here will continue to thrive as COVID-19 vaccinations continue and more people return to work.
Here are several other things to expect this year in Bay Area real estate.
Lower prices for condos
If you’ve been renting a condo for the longest time in the Bay Area, now could be the time to purchase your own. As people continue to leave the city in search of single-family homes in the suburbs, the Bay Area’s condo inventory is bursting with possibilities.
Choices are ripe. Moreover, condo prices are at their lowest since 2018. Real estate experts predict that prices might even go lower as more condo listings enter the market.
Surging demand for suburban properties
Cabin fever, the transition to remote work — these were some of the things we had to contend with when state officials gave orders to shelter at home. As a result, our lifestyles and needs changed. Now, people are looking for homes with more space for work, recreation, and relaxation. The Bay Area suburbs have a lot of that.
If you have the same wish list, be prepared to enter bidding wars. You’ll encounter millennials leaving their high-rise condos and apartments in exchange for spacious homes in the suburbs. Moreover, the inventory for single-family homes remains low while the demand is at an all-time high. This is currently the primary reason behind soaring home prices.
In Sonoma County alone, the median price of $720,000 increased by $5,000 late last year. Marin County also saw price increases, with the median jumping to $1.4 million last December.
Adapting to the real estate’s new normal
Open houses used to be essential parts of the home-buying process but these days, they’re a rarity. Standing in their place are the safer and more convenient virtual showings. Real estate agents and sellers see this as a positive change – it’s a way to focus most of their efforts on serious home buyers.
If you’re thinking of selling your home this year, hire a professional photographer for your online listing. As more sellers increase their online presence through social media, you need to be more aggressive in your digital marketing campaign.
Still a highly coveted place to live
The Bay Area may be known for its higher cost of living but it remains a highly sought-after location due to the space, outdoor recreation, and the wealth of real estate opportunities that it offers. If you have the means to move to San Francisco or anywhere within the larger Bay Area, do it – and there’s no better time than now.
As you search for San Francisco homes for sale this 2021, you should have an experienced Bay Area Realtor by your side. Contact me, Amir Hardy, at 415.602.0570 or email me at to amir(dotted)hardy(at)compass(dotted)com to explore all of your options in San Francisco real estate.