Real Estate Update – Mid Peninsula

Dan Gilmartin reviews the weekly home inventory numbers.

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Video Transcript

Hi, this is Dan Gilmartin, part of the Gilmartin Group Real Estate Company in Burlingame, California, September 28th 2020, end of the third quarter, with your Monday Morning Market Minute.

Single-family inventory from South San Francisco to Redwood City right now is 235 — that’s down one tick from last week’s 236. Last year at this time — I like to just keep doing the contrast here — the number was 219. We had 46 homes come on the market — last week that number was 68, last year at this time, that number was 46. We had 48 homes go into contract. Guys, you know that’s a great number, better than last week’s 41. Last year at this time, that number was 39.

Condominiums right now, 187 condominiums on the market — that’s up slightly from 180 of last week. Last year at this time, the big contrast in inventory for condominiums, was 112. Versus today 187. We had 41 condominiums come on the market, last week that number was 30. Last year that number, 20. We also had 20 condominiums go into contract, last year that number was 14. Last year at this time, 18.

We also had 20 homes, huge number, either expire, cancel, withdraw from the marketplace — end of the third quarter. Last year at this time, that number was 18. Very interesting. We also had only 3 price reductions. Now, the price reduction number has been kinda high week over week, so then it just drops. So we might be finding a base there. Last year at this time, that number was 19.

So total-total, from South San Francisco to Redwood City, single-family homes and condominiums, inventory is 422. That’s up slightly from 416 of last week. Last year at this time, that number was 331. So, because it has been going on with the the health crisis — you know, the summer was the new spring mark, you may have heard me say that in months past — seems like we a little bit late on the cycle. So we’re seeing a lot of great sales. There’s a final-final push here towards the end of the third quarter. And I think what’s happening is things just keep — the optimists just keep perking up and people are doing something. They want to find their own space. Interest rates, like I’ve been talking about, still way low — lower today than they were last year.

So where do we go from here? Well, I believe we’re probably gonna see a peak — this might be the peak. Only time will tell. And then inventory starts going down again. Now if inventory continues to go up through the fourth quarter, hey this whole thing’s absolutely gonna be changing. I don’t see that happening, but that’s why we’re watching week over week. And that’s why you watch the Monday Morning Market Minute.

Thanks for listening, have a great day, and I’ll talk to you next week.