Carole Rodoni, a highly regarded speaker in the Bay Area Real Estate Industry, came to speak at our Keller Williams Tri Valley Realty office last week and shared her thoughts about the current real estate market in the Bay Area and East Bay. She was talking about the bidding wars she is currently seeing in Mountain View, Palo Alto and Cupertino. She gave us an example of a buyer in Cupertino overbidding on a home by $600,000! This is attributed to Silicon Valley’s economic boom, where companies, like Facebook and Apple innovate products the world wants.
The San Francisco Bay Area is beginning to have a positive outlook. Commercial leasing in San Francisco and Silicon Valley is increasing, which means companies are hiring more people. Currently, San Francisco is experiencing a shortage of commercial space since there is no more land to build. Thus, the East Bay is the next target for expansion.
Since there is no more land to develop in Pleasanton and its close proximity to the Bay Area, we are also going to see bidding wars in the housing market as well.
In addition, Carole was talking about interest rates continuing to be low for the rest of the year but foresees interest rates going up in 2013 due to a stronger economy and other government mandated fees on mortgages.
In sum, Carole sees a small window of opportunity to buy or refinance a home at these low interest rates.
How do you currently feel about home ownership?