Coastal Real Estate and Lifestyles

As we head into the peak season for many buyers and sellers, here’s a clear view of a buyers’ market for the San Mateo County coastal communities of Half Moon Bay, El Granada, Moss Beach and Montara.  In addition to the locals watching, out of area agents who have clients wanting a second home near San Francisco, or a beach house in northern California should take notice of this area:

• May 2007 had 4.8 months of inventory (this is our norm)
• January 2008 had 10.4 months of inventory
• May 2008 had 8.8 months of inventory

 Median Sales Prices for Coastside single family homes:

• May 2007 - $955,000 from 19 sales
• January 2008 - $1,050,000 from 9 sales
• May 2008 - $760,000 from 16 sales

Graph showing May 2007 through May 2008: 
Coastside real estate single family homes for sale vs. closed sales by month from May 2007 to May 2008

What I’m seeing firsthand:  Buyers are negotiating or watching for the right property to make their move.  Many buyers are also getting pre-qualifed before viewing properties.  Sellers are beginning to take this market correction seriously, and are doing more to prepare their homes.  For example, instead of just getting the inspection reports done, many sellers are completing the work that was identified in the reports.  Overall,  I’m seeing activity build with lots of consulting going on.