Trying to describe this market is truly a surreal experience. This differences between then and now are astonishing…and part of it is that the “then” part of this nostalgia is really only last fall! If you really go back…say 2 years it becomes even weirder! On September 27, 2011 I did one of those charts I used to do. Some of you may even remember those things. Here’s a link:
If you looked at it you’ll notice that Foster City had 30 active single family homes on the market. That’s right…30!! Today, March 5, 2013 we have 3 and I really hate to say 3 because one of those is a preposterously overpriced for sale by owner that’s been on the market for 368 days. You figure if a house doesn’t sell in this market something REALLY has to be wrong, huh? Actually, what am I saying about overpriced? That’s SO January 2013 thinking…it’s probably just fine. Actually by May it’ll seem low at the rate this things going.
But I digress. 30 listings on the market less than 2 years ago? I really don’t know what to tell people now. I presented an offer today that’s $71,000 over the asking price with no contingencies of any kind, free rent back for 90 days and fully As Is. There was 11 offers. I’m really worried that we’re too low and we don’t have all cash. We seem to want to apologize now if we need a loan!
I guess the thing that most amazes me is that in 2009 I struggled getting people to write an offer under the asking price and now people are willingly offering $300,000 over the asking price. 3 weeks ago I showed a 1280 sq ft house in Mountain View that was listed for $1,225,000 and thought ” Are they out of their minds?”. I noticed it closed escrow yesterday for $1,550,000!
Isn’t human psychology amazing?