HAPPY HOLIDAYS!

Dear Friends, The holidays are in full swing and I always love seeing San Francisco lit up with such fabulous lights and holiday decorations! I wish everyone a fun and safe holiday and hopefully, time to relax and visit with friends and family. Wishing you all a very successful and healthy New Year!

SAN FRANCISCO MARKET SNAPSHOT

A Positive Outlook with a Bit of Uncertainty
 Year to Date, the Median Sale price for Single Family Homes is up +13.1% while the median sale price of condos is up approximately +4.3%.  If you look a bit closer you will see that Year over Year, the Median Sale Price of both Single Family Homes and Condos are down 3.5% and 3.0%, respectively.  The market may be slowing down somewhat as we enter 2019 and given the current volatility in the US stock market coupled with rising interest rate a slow down of some sort would not be surprising.

I pulled some highlights from various news and financial articles that I thought were interesting and could impact the real estate market next year but hopefully, in a positive way! 

  • Average 30 yr Fixed Rate Mortgage hit a 7 year high of 4.94%(Freddie Mac).  Rates are still historically low and present a good opportunity for buyers before rates rise still  higher.

  • At the most recent Federal Reserve Board meeting, most Fed officials were confident about the economy.  Fed Chair Jerome Powell is expected to raise rates again in mid December and 2 more times in the first half of 2019. This will impact the affordability of real estate for some segment of the buyer pool. (NYTimes 11/29/18)

  • The National Unemployment Rate dropped to 3.7%, consistent with an economy at full employment (The Bureau of labor Statistics ). The Shortage of qualified labor could cause the economy to slow but may well help increase salaries in the Bay Area.

  • 2019 is shaping up to be a potentially big year for massive tech IPOs, with valuations as high as $100 billion+ including possibly UBER, Palantir, Lyft, Slack, Airbnb and more. This could mean an incredible amount of wealth coming into the Bay Area. (CNBC 10/18/18)

  • Of the 100 most populous cities in the US, San Francisco is the second most dense (New York City #1 ) which will likely continue to contribute to the on-going shortage of properties which may help keep prices up. (governing.com

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CECE DORICKO

415.264.7482 | CeceDoricko@gmail.com| www.CeceDoricko.com

Top 1% Coldwell Banker International

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Named "Top 100 Most Influential Real Estate Agents" in San Francisco 2016: Real Estate Executive Magazine