The Evolving Real Estate Market: A Comprehensive Analysis of the Year So Far

Jeff Lang July 13, 2023

Gain valuable insights into the real estate market's performance.

Today, I will delve into the real estate market, discussing what transpired in the first half of the year and what lies ahead for the second half. But before we dive into market analysis, I have an exciting update to share—I have recently joined Compass, the top brokerage in the country. The move offers unparalleled technology, connections with trusted agents, and an array of resources that I will be sharing in future blogs.

During the second quarter, we observed a notable shift in prices. After a year-long decline, prices saw an uptick, though they remain nearly 10% lower than the previous year’s peak. The month of April, in particular, witnessed significant growth, resulting in a spike in prices. Since then, we have experienced a gradual decrease. Notably, homes priced between $1,000,000 and $3,000,000 emerged as the sweet spot, attracting intense competition and often selling above the asking price. Nationally, the National Association of REALTORS® reports that, on average, three offers are received for every home in this price range. However, in our market, these desirable homes often see six to eight offers, underscoring the heightened competition.

The limited inventory continues to shape the market landscape. As we entered July, inventory declined by 25% compared to the previous year. Many sellers are hesitant to enter the market due to higher interest rates, choosing to remain in their homes. Consequently, buyers face fierce competition for the limited available properties.

For a more detailed analysis of San Mateo County, with breakdowns for county and city, click below to check out an awesome flip chart that has all the information you could ask for.

San Mateo County Real Estate July 2023 Report

“As we reflect on the first half of the year and look ahead to the second half, it is clear that the real estate market remains dynamic and competitive.”

Key takeaways for buyers and sellers:

Interest rates: The forecast suggests that interest rates will likely remain stable or even experience slight increases in the coming months. Expectations of rate reductions are minimal, with the Federal Reserve anticipated to raise rates in their upcoming meeting.
Low inventory: The current low inventory trend is expected to persist. Buyers considering a purchase should act promptly to secure favorable interest rates and make the most of the summer season, which often sees reduced competition due to vacation schedules.
Seller’s advantage: If you are a seller contemplating a lifestyle change or have substantial equity in your home, now presents a prime opportunity to sell. With limited competition and a pool of eager buyers, your home is likely to command a premium price.

As we reflect on the first half of the year and look ahead to the second half, it is clear that the real estate market remains dynamic and competitive. Buyers should act swiftly to capitalize on current interest rates and seasonal advantages, while sellers can take advantage of favorable conditions to secure top prices for their homes. For personalized insights into the market or to discuss your individual situation, please reach out to me. I am here to provide guidance and support throughout your real estate journey.

Jeff Lang

REALTOR®

Primary phone
(650) 766-6412
License Number
#01221669
Email
[email protected]
Address
1440 Chapin Ave,
Burlingame, CA 94401

About The Author

Jeff Lang's career in real estate is a testament to his strategic, growth-oriented mindset and his dedication to helping clients navigate the unique landscapes of San Mateo County. With his focus on areas from Burlingame to San Carlos and Pacifica since 2011, Jeff has become an invaluable asset to those seeking the perfect balance of urban and suburban life. His appreciation for the county's temperate weather and easy access to a plethora of outdoor activities resonates deeply with his clientele, who seek both the vibrancy of urban living and the tranquility of suburban spaces.

Beginning his journey in commercial real estate in San Francisco in 1997 and later transitioning to residential real estate in La Jolla, Jeff has honed a deep understanding of the industry. Known for his professional, caring, and patient approach, he brings a results-oriented and responsive attitude to every transaction. Jeff's unique strength lies in his ability to outperform competitors by leveraging his extensive experience and education.

Jeff leverages his education having received his JD and an MBA, alongside numerous real estate certifications including Master Certified Negotiations Expert and Certified Luxury Home Marketing Specialist, enabling him to devise winning strategies for each transaction. His approach not only ensures success but also puts his clients at ease, earning their trust and loyalty.

Outside of real estate, Jeff's life is as dynamic and multifaceted as his professional pursuits. His hobbies range from trail running and hiking with his dog to playing golf, tennis, and pickleball, and he's an enthusiastic Peloton user. A proud graduate of law school at the age of 42 and an Ironman triathlon finisher, Jeff's achievements speak to his determination and commitment. These qualities, combined with his professional expertise, make him an exceptional choice for buyers, sellers, and investors—especially in the $2m+ range—who are looking for more than just a transaction but a partnership with a seasoned expert who will turn them into raving fans.

In his over two decades in real estate, Jeff is most proud of partnering with his clients to build the life of their dreams. It helps that Jeff is a negotiations shark, having competed nationally as president of the negotiations team in law school and as a Master Certified Negotiation Expert (MCNE). His MBA and JD also give him and his clients a competitive advantage in every transaction, leading to his listings selling for 4.8% more than the average San Mateo County agent and offers getting accepted 6x more frequently.

If you are looking for an agent who will take on your goal as their own and be relentless in their pursuit of achieving that goal, then you want Jeff as your partner. He’s completed five marathons, including one in Antarctica, and dozens of triathlons, including an Ironman. His passion for taking on a challenge and grinding away to craft creative solutions is unparalleled. Jeff has a natural talent for putting things in perspective, keeping your eye on the prize, and clarifying the strategy to provide opportunities for success in your transaction.

A few of Jeff’s other certifications include NAR’s ePro for advanced digital marketing and NAR’s Green Designations for sustainability in real estate, Pricing Strategy Advisor (PSA) certification, Keller Williams’ BOLD program, and Tony Robbins’ Mastery University. He is also a member of the Institute for Luxury Marketing. These help him and his clients outpace the competition by selling at a higher price and getting offers accepted more often. This track record and partnership continue to provide repeat and referral business, the basis for his growing business.

Reach out to Jeff for a free consultation to discuss your real estate goals. He would be happy to make your goals his and utilize his extensive experience to make it happen.