California Real Estate Data Study Part #1
Currently we are shifting from a seller’s to a buyer’s market. We are successfully anticipating market trends, because we are the first to see change take place. This is evident in our daily routine. For instance, 6 months ago our business consisted of 2-3 listings a month with a pool of 10 to 12 buyers. Now we have 10 listings with a pool of 2-3 buyers. We can see that the way we negotiate has changed. The buyer now has leverage. More inventory has spawned buyer power. Below are interesting insights about our changing real estate markets. Over the years we have found that our client’s decisions to buy and sell property are often based on big life changes. For instance many of our past clients have had their jobs relocated. Others are starting families and need larger spaces. When our clients don’t plan ahead they often make decisions based on concerns that don’t maximize their financial returns. Although some of this is unavoidable, we pride ourselves on always being available to assist our clients long before they need to sell or buy. We are here to help you plan your next move.
People tend to listen to the news media for insights, tips and tactics. This is bad. When attending the University of California at Davis, we studied stock market tips and techniques. We analyzed the top stock picks of some major financial and investment magazines. We found that if you followed their hot picks you would have a return in excess of NEGATIVE 100%. Ouch! These tips are faulty because as information reaches the masses it becomes common knowledge and the value has disappears. The media is behind the curve. We have found this same investment phenomenon is true for the copious real estate news that we are bombarded with. The news is not a reliable investment resource for assessing real estate markets.
As our market shifts you will hear more about many agents that are struggling to survive instead of putting their client’s interests first. We are already seeing many agents drop out of the business. While this shift is occurring, we have approximately the same amount of business as we did last year. Maybe this is because we always put our client’s interests before our own. We are always looking for new ways to make our client’s real estate transactions more successful.
We pride ourselves on helping our clients better understand the markets in which they are transacting. Instead of selling or buying on a feeling, these postings will allow you to benefit from our expertise, connect with the market and give you the background to explore new opportunities. We hope this will allow you to make grounded decisions and avoid pitfalls.
Click the More Button below to see the first in a series of research I have created to document the history of the California’s real estate market. Take a look and feel free to call us with any questions you may have. We are always available to assist you or any one you know with buying or selling real estate.
