The “New Normal” in the SF Bay area.
Our view — despite what you may have heard — is that the Bay Area housing bubble is not bursting. It is changing to what appears to be a “new normal.” Low inventory of good homes will continue to drive pricing. However, buyer demand is becoming tempered and more deliberate, Yet another reminder that markets invariably change. While groups of top agents acknowledged the low inventory, they also recognized that buyers were becoming much more selective and deliberate. While we don’t believe another downturn is on the horizon, having a Realtor with strategies to address even the slightest of market corrections is critical to success whether you are a buyer or seller. The “feet on the street” believe that the outlook for the rest of the year remains positive, but moderating, with a continuing but more purposeful demand for Bay area housing. (MarketWatch)