After record-breaking results in 2012, real estate activity in the first quarter suggests 2013 will once again reach new highs. Pacific Union’s Quarterly Real Estate Report has the facts and numbers behind the good news.
SONOMA COUNTY
With a limited supply of homes for sale, new listings in Sonoma County typically received multiple bids as soon as they came on the market in the first quarter – except for those homes that landed preemptive offers and sold quickly in an off-market deal. In such an environment, it comes as no surprise that homes sold quicker and at higher prices than we’ve seen in many years.
Sellers have a distinct advantage in the current marketplace. In a more balanced market, a buyer typically might attach contingencies to an offer, making the deal dependent on a pest inspection or an appraisal, for example. Lately, however, we’ve seen buyers offering contingencies to the seller. These include offers that give sellers time to find a new home and waive inspections and appraisals, as well as all-cash deals well above the asking price. In such a tricky marketplace, with many buyers willing to accept greater risk to close a deal, the expertise of a local real estate professional can make a huge difference in the outcome.
Distressed properties, such as foreclosures and bank-owned homes, had been a dominant force in local real estate in recent years, but few such homes were available in the first quarter as the supply began to dry up. We saw an increased interest in second homes, and more homeowners looking to move up to higher-priced properties.
Looking Forward: We expect to see more sellers enter the market as they realize how much equity their homes have accumulated over the past year. Multiple offers will remain the norm until the supply bottleneck eases.
To read the full report, Click Here.