Since the inception of this blog in 2016, I’ve been repeating the same mantra quite regularly: it’s a seller’s market. And to this day, the boom times continue. Though markets are by their nature always cyclical, the timing of these cycles varies. This particular upward trend in home prices has been ongoing for some time, with few signs of stopping.
Today, rather than present an overview of this, I’d like to bring things into focus. I will discuss one particular listing of mine that sold recently, and how it reflects the market as a whole.
2677 Glenbriar Drive, San Jose 95130
This recent listing of mine hit the market on January 24th, 2018. It’s a beautiful home, in a wonderful location on the Saratoga/San Jose border. As with any of my listings, I made sure it was thoroughly prepared to make a big impression. My staging company decorated the home with furnishings that presented it in the best possible light. I advertised the home across all channels, including real estate websites, social media, and physical media such as mailers. And, after an in-depth analysis of the local real estate market, I determined an asking price for the home.
Based on recent sales in the area and the general strength of the market, I set the list price for 2677 Glenbriar Drive at $1,699,000. It was an agressive number, but not an unreasonable one, and I expected the home to sell for well above that number when all was said and done. This is typical, as a list price somewhat under the expected final sales price helps drive interest, increases exposure and encourages more offers, with the end result being an overall higher sale price.
Still, despite my calculations, I was surprised by how much higher the eventual sale price was. After a heated bidding war featuring no less than 17 offers, my clients ended up getting into contract. The final sale price? $2,150,000, more than $450,000 above the original asking price! This sale price is truly remarkable, and serves as a reminder of what a strong seller’s market we’re in the midst of.
What Does This Mean?
Again, this won’t last forever. Some economists are suggesting that California property investors begin to think about selling soon. Just how soon is a matter of debate, but if prices get too high, or home inventory begins to increase, these ever-rising prices may find themselves creeping downwards. But, for the time being, we are in a boom market. My sale on Glenbriar is just one of many examples of the incredible value of Bay Area homes right now.
If you would like to know how I can sell your home for similar results, please feel free to contact me! I am always available to provide you with a free evaluation. As you can see, now is as great a time as any to sell, and I would love to help you get maximum value out of the sale of your home.