Homebuyers Are in the Mood to Buy Today

Homebuyers Are in the Mood to Buy Today | MyKCM

According to the latest FreddieMac Quarterly Forecast, mortgage interest rates have fallen to historically low levels this spring and they’re projected to remain low. This means there’s a huge incentive for buyers who are ready to purchase. And homeowners looking for eager buyers can take advantage of this opportune time to sell as well.

There’s a very positive outlook on interest rates going forward, as the projections from the FreddieMac report indicate continued lows into 2021:

“Going forward, we forecast the 30-year fixed-rate mortgage to remain low, falling to a yearly average of 3.4% in 2020 and 3.2% in 2021.”

 With mortgage rates hovering at such compelling places, ongoing buyer interest is bound to keep driving the housing market forward. Rates also reached another record low last week, so homebuyers are in what FreddieMac is identifying as the buying mood:

“While the rebound in the economy is uneven, one segment that is exhibiting strength is the housing market. Purchase demand activity is up over twenty percent from a year ago, the highest since January 2009. Mortgage rates have hit another record low due to declining inflationary pressures, putting many homebuyers in the buying mood. However, it will be difficult to sustain the momentum in demand as unsold inventory was at near record lows coming into the pandemic and it has only dropped since then.”

There’s no doubt that even though buyers are ready to purchase, it’s hard for many of them to find a home to buy today. Mortgage rates aren’t the only thing hovering near all-time lows; homes available for sale are too. With housing inventory as scarce as it is today – a nearly 20% year-over-year decline in available homes to purchase – keeping buyers in the purchasing mood may be tough if they can’t find a home to buy (See graph below):Homebuyers Are in the Mood to Buy Today | MyKCM

What does this mean for buyers?

Competition is hot with so few homes available for purchase and low mortgage rates are helping to drive affordability as well. Getting pre-approved now will help you gain a competitive advantage and accelerate the homebuying process, so you’re ready to go when you find that perfect home you’d like to buy. Working quickly and efficiently with a trusted real estate professional will help put you in a position to act fast when you’re ready to make your move.

What does this mean for sellers?

If you’re thinking of selling your house, know that the motivation for buyers to purchase right now is as high as ever with rates where they are today. Selling now before other sellers come to market in your neighborhood this summer might put your house high on the list for many buyers. Homebuyers are clearly in the mood to buy, and with today’s safety guidelines and precautions in place to show your house, confidence is also on your side.

Bottom Line

Whether you’re looking to buy or sell, there’s great motivation to be in the housing market, especially with mortgage rates hovering at this historic all-time low. Let’s connect today to make sure you’re ready to make your move.

Mortgage Rates Good News 2019

Just as 2018 came to an end Freddie Mac released  its Primary Mortgage Market Survey® (PMMS®) reporting that interest rates have been dropping for the past couple of months and are back to where they were at in early summer.  It was the second half of 2018 which saw an increase in rates and a decline in home sales. However with a current trend towards lower rates and the economy reported to be remaining healthy, we can expect to see an increase in home sales moving forward in 2019. To read more about it and check out the facts about mortgage rates check this out.  

 

 

Fun Festivals & Events in June

JUNE 2
San Jose Giant Race
San Jose Municipal Stadium, San Jose
race-sfgiants.com
The seventh annual San Jose Giant Race features 5 mile and 5K races. Run all three Giant Race events in Sacramento, San Jose, and San Francisco, and earn a Three Bagger award.

JUNE 2-3
Union Street Music Festival
Union Street between Gough and Steiner, 800-310-6563
www.unionstreetfestival.com
Now in its 41st year, the Union Street Music Festival brings the sound of summer to historic Union Street, this festival features local bands, arts and crafts booths, food and beverage gardens, community groups and unique sponsors.

JUNE 5-17
San Francisco Jazz Festival
SFJAZZ Center, 201 Franklin St., 866-920-5299
www.sfjazz.org
For more than 30 years SFJAZZ presented the San Francisco Jazz Festival in venues around the Bay Area; with the opening of the SFJAZZ Center in 2013, the festival is now concentrated in the Center and the surrounding neighborhood and offers more than 30 shows.

JUNE 7-10
Crossroads Film Festival
Various venues, 415-552-1990
www.sfcinematheque.org
Cinematheque celebrates works of aesthetically radical cinema in Crossroads which showcases new film/video works by emerging and established filmmakers, including performance and works of “live cinema.”

JUNE 7-15
AIGA San Francisco Design Week
www.sfdesignweek.org, 415-626-6008
With more than 60 studio tours and 75 events throughout the week featuring tech inventions to culture changing products, human centered design, and emerging fashion to international architecture, San Francisco Design Week is an opportunity to experience the region’s unique design talents, impact and innovations.

JUNE 8-10
Queer Women of Color Film Festival
Brava Theater, 2789 24th St., 415-752-0868
www.qwocmap.org
Showcases new films that reflect the lives of queer women of color and address the vital social justice issues that concern multiple communities.

JUNE 9
Spring India Day
Union Square
www.womennow.tv
A celebration of the colorful and exuberant Indian culture, this annual event features a traditional Indian wedding ceremony, henna artists, Bollywood dancing, music and enticing food booths.

JUNE 10
Haight Ashbury Street Fair
Haight St. between Masonic and Stanyan Sts., 415-664-2970
www.haightashburystreetfair.org
Music, arts, crafts and food are the mainstay of this event celebrating the cultural history and diversity of one of San Francisco’s most internationally celebrated neighborhoods – The Haight-Ashbury district.

JUNE 10
Across The Bay 12K and 5K
www.race415.com
The 12k features a point-to- point journey starting in Sausalito, running across the Golden Gate Bridge, and finishing in Aquatic Park. The 5k starts and finishes in San Francisco.

JUNE 14-17
20th Annual San Francisco Black Film Festival
African American Art and Culture Center and other Bay Area Venues
www.sfbff.org
This celebration of African American cinema and the African cultural diaspora showcases a diverse collection of films from emerging and established filmmakers; more than 10,000 films have been screened from around the world since the inaugural festival in 1998.

JUNE 14-24
Frameline 42, San Francisco International LGBTQ Film Festival
Castro Theatre, 415-703-8650
www.frameline.org
The longest-running, largest and most widely LGBTQ cinema film exhibition in the world, screens groundbreaking documentaries, features, touching short films and cinematic classics.

JUNE 16
Juneteenth Celebration
Fillmore District between Geary and Eddy streets
www.sfjuneteenth.com
The oldest known celebration among African Americans across the U.S. commemorates the announcement of the end of slavery in the U.S.; local event includes musical performances, a car show, arts and crafts, children’s activities and a variety of food vendors.

JUNE 16-17
North Beach Festival
Near Washington Square Park
www.sresproductions.com
San Francisco’s oldest street fair delights with juried arts and crafts, live entertainment, Italian street painting, kids’ chalk art area, animal blessings, gourmet food booths, beverage gardens and other surprises. Presented by the North Beach Business Association.

JUNE 17-AUGUST 19
Stern Grove Festival
Stern Grove, 19th Ave. and Sloat Blvd., 415-252-6252
www.sterngrove.org
The Stern Grove Festival celebrates the season of free Sunday concerts featuring renowned music and dance groups set in a beautiful outdoor amphitheater in the heart of San Francisco.

JUNE 21
Giants LGBT Night
AT&T Park, San Francisco
www.mlb.com
Join the San Francisco Giants in celebration of the Bay Area’s rich LGBT culture with a baseball game at AT&T Park. Each special event ticket package includes a pre-game party, a ticket to the evening’s Giants game, and a limited-edition gift, with partial proceeds supporting local LGBT-focused non-profits. These are the best areas to stay for a San Francisco Giants game.

JUNE 23-24
San Francisco Pride Celebration and Parade
Embarcadero to Civic Center, Market St., 415-864-0831
www.sfpride.org
San Francisco’s 47th annual celebration of lesbian, gay, bisexual and transgender pride culminates with a festive parade from the Embarcadero to the Civic Center. These are the best areas to stay for San Francisco PRIDE 2018.

JUNE 30-JULY 1
Fillmore Jazz Festival
Fillmore St. between Jackson and Eddy Sts.
www.fillmorejazzfestival.com
Three stages of continuous jazz performances, more than 300 artists’ booths, and international food courts with some of the best food and beverages that San Francisco has to offer.

JUNE (TBA)
Yerba Buena Art Walk
Yerba Buena Gardens
www.yerbabuena.org
This event finds a dozen galleries and institutions open for free in the Yerba Buena Gardens art district.

Salesforce Transit Center To Open In August

From Socketsite: “With little slippage in the expected completion date for San Francisco’s Transbay/Salesforce Transit Center over the past month, the target opening date for the new center and its 5.4-acre rooftop park has been unofficially set for August 12, 2018.”
San Franciscans can celebrate the opening of the Salesforce Transit Center and Park with a series of free, public events to make it a moment for the history books.  You can find more information on participating as a featured partner in the Salesforce Transit Center Grand Opening by clicking here.

Being A Homebuyer Can Be Challenging

Being a homebuyer can be challenging, but there are some things you can do to be sure you will succeed. First time homebuyers often come to the table unprepared and with misconceptions. Don’t let that happen. Here are some things to consider:

  1. Time is of the essence! When the market is active it is particularly important to move fast with a decisive offer right in the beginning. If you don’t you will definitely not have a good chance on winning the bid.
  2. Don’t expect a property to be perfect. There is no such thing as a perfect property. Try to look at the pros and cons and weigh the good with the bad. You can always turn a property into your version of perfect once it is yours.
  3. You maybe can’t have it all, so be prepared to compromise. It is unlikely you will find a property that has everything you want in a home. Think about the things you absolutely must have and the the items it would be “nice to have”. Make lists.
  4. Stay in your budget. Do not pay attention to what others are saying or doing. You know how much you can spend. Don’t forget that in addition to paying your mortgage you will need to factor into monthly expenses your taxes, utilities and maintenance.
  5. Understand what you need from a new home, verses what you want or would like to have. Communicating with your agent about your needs will help the process of finding a new home move along more quickly.
  6. Educate yourself about the Financial Process. Your agent and lender can help you with that. Buying a home may be the biggest financial event in your life. Don’t let yourself be intimidated. Start the process early by gathering information and documentation about your finances. Be sure to get a trustworthy loan officer.
  7. Make sure you get pre-approved for a loan before you start shopping. That way you will know exactly how much you can spend. You will never have to  experience being turned down for a mortgage. It would be very frustrating to fall in love with a house you can’t have.
  8. Forget about low ball offers. You run the risk of insulting the seller. Let your agent determine a fair market value by running the comparables and advising you on a strategy that will win you your new home.
  9. Be ready. Educate yourself about neighborhoods, commute times and anything about location which may impact your life. When the time comes you will have done your homework and will be ready to perform.
  10. Determining a home’s current market value is not something that Redfin or Zillow can provide with any accuracy. It is worlds better to have an agent who is familiar with your market. Have them visit the property to understand the full scope of the situation. They will be able to run a more true-to-life market analysis that will be more telling than any algorithm.

 

Year Over Year Home Prices Are Increasing

Year over year home prices have been increasing throughout the Bay Area. Single-family homes and condos continued to perform well in the first quarter of 2018. In San Francisco the median sales price was up 23.8% for single family homes and 4.6% for condos and lofts. Listings spent less time on the market than in the first quarter of 2017. Take a look at my office’s exclusive data covering the entire Bay Area:

Both Ends Of The Spectrum

San Francisco has a complete range of options when it comes to housing and you will find properties at both ends of the spectrum. Like the townhouse-style one bedroom TIC condo that recently came on the market in the Mission district. Located at 1384 Florida Street #B, it’s super cute and feels like a cottage, and is listed for  $799,000. Originally built in 1900 the unit is a standalone building that sits at the rear of the property. It’s main level consists of an open living/dining/kitchen area with a contemporary natural feeling. It has warm wood floors and double doors opening onto a garden with a charming brick patio. There is a spiral staircase that leads to an upstairs bedroom suite. It’s in a great location in the city near the Inner Mission’s trendy 24th Street, and at the same time the home is far enough away from the street to be like private, urban oasis where you can really get away from it all.

And if you really want an urban retreat consider living at 22 Portola, something at the opposite end of the spectrum. The home in Diamond Heights also recently became available, offered for $3,349,000. It’s a four-story, single family row home designed by J. Lloyd Conrich, a San Francisco native.  With its four bedrooms, three and a half baths and dazzling views of the city, it looks much as it did when it was built in 1948,  from the outside at least. Inside the home has been beautifully remodeled and expanded. The whole-house is engineered for earthquake safety and has a fire suppression system. Solar panels supply most of the home’s electrical supply. From the great room on the second level broad windows frame views of the city and bay. There is a fabulous modern chef’s kitchen and a large family room that doubles as a home theater with sound-insulated walls, and 7-channel surround sound. From the moment you enter the house in the foyer, you get a glimpse of one of the home’s most unique features, the grand staircase. Custom-designed out of glass and steel by Oakland artist John Lewis, it is a four-story work of art. Rising from the ground floor to the skylight-capped top level, the planes of rippled, textured glass create a stunning waterfall of light. Remote-controlled windows at the top of the stairs create cross-ventilation that cools the entire house on hot days, and when San Francisco’s famous fog rolls in, 7-zone programmable radiant heating keeps the rooms snug and warm. Tucked at the back of the fourth level, the grand master suite is a serene oasis of its own, adjacent to the “Solarium lounge” opening onto a large deck. There are breathtaking panoramic views of the city. And while the cottage in the Mission seems like worlds away, it’s not so far. The city has something to offer everyone, so long as you venture to believe you can achieve your dreams.