Bay Area Real Estate, A Hot Investment Market
by Henry Springs
Bay Area real estate, like fine wine, only seems to get better and better with age. It's been called the hottest real estate market in the country. An increasing population and lack of an adequate supply of homes to meet demand is continuing to ignite what was already a hot market.
Recent statistics indicate the market has only gotten hotter. This February the median price of a home hit an "all time high of $569,000," up 19.5 percent from last year's $476,000. Prices have been increasing at their fastest rate in four years
The Bay Area is made up of nine counties: Alameda, Contra Costa, Marin, Napa, San Francisco, San Mateo, Santa Clara, Solano and Sonoma. Collectively they are producing prices for the average buyer that once only would've only been affordable "for the ultra wealthy." "Prices for single family homes are continuing to soar." Marin County has the highest median priced home at $808,000, an 11.4% increase. San Mateo is at $711,000, a 16% increase, and San Francisco rounds out the top three counties with a median price of $701,000, a 14% increase. There was a lull in 2001 when "lay offs occurred" and inventory piled up but record low interest rates and the diminishing supply of homes have been the significant factor in the recovery that has set the tone for the sizzling market that has continued to defy "the still puttering valley economy"
The bottom line for the success of the residential recovery is that "there are lot of buyers and very few homes." Despite inflated prices buyers are still snapping up what's left of available inventories, becoming avid participants in bidding wars and driving up already inflated prices. Arlene Baxter, a Realtor with Berkeley Hills Realty has seen a "recent surge in prices." She sold two houses this past month. One for $621,000, 25.7 percent more than the asking price and another for $511,000 that was originally priced at $429,000. The market isn't cluttered with young professionals or working couples making the most of their buying power investing in their future. Buyers run the range from first time buyers, newlyweds, students, single moms and etc.
Lower interest rates have continued to entice buyers. With record low rates buyers have still had to commit themselves to high monthly payments. Bay area residents now pay an average monthly mortgage of around $2,548, 21.9 percent higher than the average payment of $2091 the previous year. As interest rates rise the high activity of the market may taper off a bit but the anticipation of rising rates have further set off an increase in buying that will only be curtailed by limiting the supply even further and despite the rates there still seem to be a supply of buyers who will pay even higher prices on shrinking inventories.
Everyone is anticipating the burst of the bubble, the bottom falling out and a sharp drastic decline in prices but it's not likely to happen in the immediate future. Despite a slight rise in interest rates and a less than complete economic recovery sales activity has increased. People who can buy homes are still taking the plunge. Foreclosure rates haven't taken a dramatic rise and despite the lack of available property there are more people prone to pay more for available inventory. The Bay Area has had a problem building enough homes to "keep pace with demand" for some time. Land has been "restricted and expensive" and opposition to developments that can crowd "local streets and cities" isn't viewed as desirable by most homeowners. 13,720 homes were bought outside the nine county area by Bay Area residents in the first eight months of 2004. The lack of inventory and more affordable prices have prompted them to take their equity and apply it to investment opportunities inside and outside the area. Higher interest rates could thwart continued sales activity and price gains but most analysts don't see it having a pronounced effect for quite some time. Prices and activity have continued to rise but they show no signs of slowing down for heightened sales activity in the spring.
San Francisco Investor's Tips
BOSTON
(Rental and Sales Help)
http://4rentinboston.blogspot.com/
http://forsaleinboston.blogspot.com/
CAPE COD
http://capecodmassachusetts.blogspot.com/
NEW YORK CITY
(The What's Up? Rentals and Sales Info)
http://4rentinnewyorkcity.blogspot.com/
http://forsaleinnewyork.blogspot.com/
BROOKLYN ,NEW YORK
http://4rentinbrooklyn.blogspot.com/
http://forsaleinbrooklyn.blogspot.com/
http://brooklynlofts.blogspot.com/
THE NEW YORK HAMPTONS INFO
http://hamptonsny.blogspot.com/
http://newyorkgolf.blogspot.com/
PHILADELPHIA
(Hot Real Estate Info)
http://4rentinphilly.blogspot.com/
http://forsaleinphiladelphia.blogspo/
PHILADELPHIA NEWS SOURCE FOR FUN
http://phillynews.blogspot.com/
http://phillycheesesteaks.blogspot.com/
THE JERSEY SHORE
(Hot Vacation Areas for Renting, Buying and Selling)
http://brigantinenewjersey.blogspot.com/
http://jerseyshorefishingreport.blogspot.com/
http://capemaynewjersey.blogspot.com/
http://oceancitynewjersey.blogspot.com/
http://atlanticcitynewjersey.blogspot.com/
http://margatenewjersey.blogspot.com/
http://wildwoodnewjersey.blogspot.com/
http://avalonnewjersey.blogspot.com/
http://newjerseygolf.blogspot.com/
http://newjerseyfishing.blogspot.com/
FLORIDA
(The Scoop on the Hottest Housing and Vacation Market)
http://orlandoflorida.blogspot.com/
http://miamibeachflorida.blogspot.com/
http://daytonabikeweek.blogspot.com/
http://southbeachflorida.blogspot.com/
http://floridascubadiving.blogspot.com/
http://daytonaspeedway.blogspot.com/
http://floridagolfing.blogspot.com/
http://floridafishinginfo.blogspot.com/
COLORADO
(Great Ski Resorts Rentals, Sales and Happenings)
http://4rentincolorado.blogspot.com/
http://coloradoskiing.blogspot.com/
http://aspenskiing.blogspot.com/
http://forsaleinaspen.blogspot.com/
http://4rentinaspen.blogspot.com/
http://telluridecolorado.blogspot.com/
http://vailcolorado.blogspot.com/
http://flyfishingincolorado.blogspot.com/
LOS ANGELES CALIFORNIA
(Entertainment and Free Housing Searches)
http://losangelescalifornia.blogspot.com/
http://forsaleinlosangeles.blogspot.com/
http://californiasurfing.blogspot.com/
http://californiagolf.blogspot.com/
http://californiafishing.blogspot.com/
http://californiascubadiving.blogspot.com
http://4rentinlosangeles.blogspot.com/
SAN FRANCISCO
(Superb Living and Visiting)
http://4rentinsanfrancisco.blogspot.com/
http://forsaleinsanfrancisco.blogspot.com/
http://sanfrancisconightlife.blogspot.com/
HAWAII
(Relocate to or Vacation in the Hawaiian Islands)
http://4rentinthehawaiianislands.blogspot.com/
http://forsaleinhawaii.blogspot.com/
http://hawaiisurfinginfo.blogspot.com/
http://hawaiiscubadiving.blogspot.com/
http://hawaiianfishinginfo.blogspot.com/
http://hawaiigolfinfo.blogspot.com/
Other Useful Blogs
Pod casting Information
http://publicpod.blogspot.com/
Hot Vacation and rental Markets
http://hotspothomes.blogspot.com/
Humor
http://bigbullshitter.blogspot.com/
Some Great Rentals
Brigantine,New Jersey House For Rent
4 Bedroom 2 Bath Ocean front Home For Rent $2500. weekly
Listen to the waves from this vacation house or gaze at the astounding Casino views!
http://www.brigantine4rent.com/default.asp_Q_f_E_cpg_A_pg_E_ViewListings
Brigantine,NJ Store for rent
http://www.brigantine4rent.com/default.asp_Q_f_E_cpg_A_pg_E_ViewCommercialProperty
Moorestown,New Jersey Condo for rent
http://www.brigantine4rent.com/default.asp_Q_f_E_cpg_A_pg_E_MoorestownRental
Search Nationwide Rental Listings
The entire Jersey Shore rental listings (Free searches and Property Postings)
www.brigantine4rent.com
LA Rental listings (Free searches and Property Postings)
www.4rentinlosangeles.com
San Francisco Rental listings (Free searches and Property Postings)
www.4rentinsanfrancisco.com
New York City rental listings (Free searches and Property Postings)
www.4rentinnyc.com
Florida Vacations and Florida rental listings
www.4rentinmiamibeach.com (Free searches and Property Postings)
www.4rentinorlando.com (Free searches and Property Postings)
Colorado Ski Vacations and Colorado rental listings
www.4rentincolorado.net (Free searches and Property Postings)
Hawaii Vacations and Hawaii rental listings (Free searches and Property Postings)
www.4rentinthehawaiianislands.com
Search the Hottest Housing Markets
www.hotspothomes.com
Bay Area real estate, like fine wine, only seems to get better and better with age. It's been called the hottest real estate market in the country. An increasing population and lack of an adequate supply of homes to meet demand is continuing to ignite what was already a hot market.
Recent statistics indicate the market has only gotten hotter. This February the median price of a home hit an "all time high of $569,000," up 19.5 percent from last year's $476,000. Prices have been increasing at their fastest rate in four years
The Bay Area is made up of nine counties: Alameda, Contra Costa, Marin, Napa, San Francisco, San Mateo, Santa Clara, Solano and Sonoma. Collectively they are producing prices for the average buyer that once only would've only been affordable "for the ultra wealthy." "Prices for single family homes are continuing to soar." Marin County has the highest median priced home at $808,000, an 11.4% increase. San Mateo is at $711,000, a 16% increase, and San Francisco rounds out the top three counties with a median price of $701,000, a 14% increase. There was a lull in 2001 when "lay offs occurred" and inventory piled up but record low interest rates and the diminishing supply of homes have been the significant factor in the recovery that has set the tone for the sizzling market that has continued to defy "the still puttering valley economy"
The bottom line for the success of the residential recovery is that "there are lot of buyers and very few homes." Despite inflated prices buyers are still snapping up what's left of available inventories, becoming avid participants in bidding wars and driving up already inflated prices. Arlene Baxter, a Realtor with Berkeley Hills Realty has seen a "recent surge in prices." She sold two houses this past month. One for $621,000, 25.7 percent more than the asking price and another for $511,000 that was originally priced at $429,000. The market isn't cluttered with young professionals or working couples making the most of their buying power investing in their future. Buyers run the range from first time buyers, newlyweds, students, single moms and etc.
Lower interest rates have continued to entice buyers. With record low rates buyers have still had to commit themselves to high monthly payments. Bay area residents now pay an average monthly mortgage of around $2,548, 21.9 percent higher than the average payment of $2091 the previous year. As interest rates rise the high activity of the market may taper off a bit but the anticipation of rising rates have further set off an increase in buying that will only be curtailed by limiting the supply even further and despite the rates there still seem to be a supply of buyers who will pay even higher prices on shrinking inventories.
Everyone is anticipating the burst of the bubble, the bottom falling out and a sharp drastic decline in prices but it's not likely to happen in the immediate future. Despite a slight rise in interest rates and a less than complete economic recovery sales activity has increased. People who can buy homes are still taking the plunge. Foreclosure rates haven't taken a dramatic rise and despite the lack of available property there are more people prone to pay more for available inventory. The Bay Area has had a problem building enough homes to "keep pace with demand" for some time. Land has been "restricted and expensive" and opposition to developments that can crowd "local streets and cities" isn't viewed as desirable by most homeowners. 13,720 homes were bought outside the nine county area by Bay Area residents in the first eight months of 2004. The lack of inventory and more affordable prices have prompted them to take their equity and apply it to investment opportunities inside and outside the area. Higher interest rates could thwart continued sales activity and price gains but most analysts don't see it having a pronounced effect for quite some time. Prices and activity have continued to rise but they show no signs of slowing down for heightened sales activity in the spring.
San Francisco Investor's Tips
BOSTON
(Rental and Sales Help)
http://4rentinboston.blogspot.com/
http://forsaleinboston.blogspot.com/
CAPE COD
http://capecodmassachusetts.blogspot.com/
NEW YORK CITY
(The What's Up? Rentals and Sales Info)
http://4rentinnewyorkcity.blogspot.com/
http://forsaleinnewyork.blogspot.com/
BROOKLYN ,NEW YORK
http://4rentinbrooklyn.blogspot.com/
http://forsaleinbrooklyn.blogspot.com/
http://brooklynlofts.blogspot.com/
THE NEW YORK HAMPTONS INFO
http://hamptonsny.blogspot.com/
http://newyorkgolf.blogspot.com/
PHILADELPHIA
(Hot Real Estate Info)
http://4rentinphilly.blogspot.com/
http://forsaleinphiladelphia.blogspo/
PHILADELPHIA NEWS SOURCE FOR FUN
http://phillynews.blogspot.com/
http://phillycheesesteaks.blogspot.com/
THE JERSEY SHORE
(Hot Vacation Areas for Renting, Buying and Selling)
http://brigantinenewjersey.blogspot.com/
http://jerseyshorefishingreport.blogspot.com/
http://capemaynewjersey.blogspot.com/
http://oceancitynewjersey.blogspot.com/
http://atlanticcitynewjersey.blogspot.com/
http://margatenewjersey.blogspot.com/
http://wildwoodnewjersey.blogspot.com/
http://avalonnewjersey.blogspot.com/
http://newjerseygolf.blogspot.com/
http://newjerseyfishing.blogspot.com/
FLORIDA
(The Scoop on the Hottest Housing and Vacation Market)
http://orlandoflorida.blogspot.com/
http://miamibeachflorida.blogspot.com/
http://daytonabikeweek.blogspot.com/
http://southbeachflorida.blogspot.com/
http://floridascubadiving.blogspot.com/
http://daytonaspeedway.blogspot.com/
http://floridagolfing.blogspot.com/
http://floridafishinginfo.blogspot.com/
COLORADO
(Great Ski Resorts Rentals, Sales and Happenings)
http://4rentincolorado.blogspot.com/
http://coloradoskiing.blogspot.com/
http://aspenskiing.blogspot.com/
http://forsaleinaspen.blogspot.com/
http://4rentinaspen.blogspot.com/
http://telluridecolorado.blogspot.com/
http://vailcolorado.blogspot.com/
http://flyfishingincolorado.blogspot.com/
LOS ANGELES CALIFORNIA
(Entertainment and Free Housing Searches)
http://losangelescalifornia.blogspot.com/
http://forsaleinlosangeles.blogspot.com/
http://californiasurfing.blogspot.com/
http://californiagolf.blogspot.com/
http://californiafishing.blogspot.com/
http://californiascubadiving.blogspot.com
http://4rentinlosangeles.blogspot.com/
SAN FRANCISCO
(Superb Living and Visiting)
http://4rentinsanfrancisco.blogspot.com/
http://forsaleinsanfrancisco.blogspot.com/
http://sanfrancisconightlife.blogspot.com/
HAWAII
(Relocate to or Vacation in the Hawaiian Islands)
http://4rentinthehawaiianislands.blogspot.com/
http://forsaleinhawaii.blogspot.com/
http://hawaiisurfinginfo.blogspot.com/
http://hawaiiscubadiving.blogspot.com/
http://hawaiianfishinginfo.blogspot.com/
http://hawaiigolfinfo.blogspot.com/
Other Useful Blogs
Pod casting Information
http://publicpod.blogspot.com/
Hot Vacation and rental Markets
http://hotspothomes.blogspot.com/
Humor
http://bigbullshitter.blogspot.com/
Some Great Rentals
Brigantine,New Jersey House For Rent
4 Bedroom 2 Bath Ocean front Home For Rent $2500. weekly
Listen to the waves from this vacation house or gaze at the astounding Casino views!
http://www.brigantine4rent.com/default.asp_Q_f_E_cpg_A_pg_E_ViewListings
Brigantine,NJ Store for rent
http://www.brigantine4rent.com/default.asp_Q_f_E_cpg_A_pg_E_ViewCommercialProperty
Moorestown,New Jersey Condo for rent
http://www.brigantine4rent.com/default.asp_Q_f_E_cpg_A_pg_E_MoorestownRental
Search Nationwide Rental Listings
The entire Jersey Shore rental listings (Free searches and Property Postings)
www.brigantine4rent.com
LA Rental listings (Free searches and Property Postings)
www.4rentinlosangeles.com
San Francisco Rental listings (Free searches and Property Postings)
www.4rentinsanfrancisco.com
New York City rental listings (Free searches and Property Postings)
www.4rentinnyc.com
Florida Vacations and Florida rental listings
www.4rentinmiamibeach.com (Free searches and Property Postings)
www.4rentinorlando.com (Free searches and Property Postings)
Colorado Ski Vacations and Colorado rental listings
www.4rentincolorado.net (Free searches and Property Postings)
Hawaii Vacations and Hawaii rental listings (Free searches and Property Postings)
www.4rentinthehawaiianislands.com
Search the Hottest Housing Markets
www.hotspothomes.com
posted by www.4rentinSanfrancisco.com at 7:07 AM
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