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Opportunity knocks for many buyers, but timing is key

Monday, January 29, 2007

The economic climate in the Bay Area remains favorable for the housing market and consumers who are considering a home purchase should contact a Realtor® to take advantage of the current environment, according to San Mateo County Association of Realtors® (SAMCAR) President Geoffrey Craighead and National Association of Realtors® President Pat Vredevoogd Combs.

“San Mateo County has a low unemployment rate and job growth is rising. Interest rates are still low and appreciation remains high,” said Craighead.

The San Francisco metro area, which includes San Mateo, San Francisco and Marin counties, added 18,600 jobs, up 1.9 percent, for the year, according to California’s Employment Development Department. San Mateo County's unemployment rate was 3.3 percent in December.

“Many media reports about trends and developments in the housing market are on a national level and don’t capture what’s happening in individual communities across the country,” said Combs. “As local real estate market conditions continue to evolve, savvy consumers rely on the guidance of real estate professionals who are immersed in the industry.”

As the housing market stabilizes, a Realtor can explain the opportunities, challenges and advantages to buying and selling a home in today’s real estate environment, Craighead said.

Although most sellers are still seeing a very good return on their investment, with a median of more than 50 percent appreciation over the past six years, some home buyers are worried about the timing of their investment, according to an NAR report. As inventories rise, many buyers have increased negotiating power, but are unsure of how to structure the best deal. Sellers, in turn, need help positioning their homes in a competitive marketplace and in attracting and engaging serious buyers.

Now, more than ever, consumers need the professional advice of a Realtor to help them buy or sell real estate. Realtors can also educate consumers about the value of housing as a long-term investment, said Craighead.

“San Mateo County’s housing market has experienced years of spectacular home price appreciation,” Craighead pointed out. “Over the long-term, real estate in the county continues to be a great investment, averaging between 10 and 11 percent annually since the 1960s.”

Combs likewise stated that Realtors’ insights and experiences into their local markets add real value in today’s dynamic real estate environment.

“Homeownership is a safe, secure way to build long-term wealth,” said Combs. “Buyers and sellers have different concerns as their local markets change, but our Realtor members handle hundreds, if not thousands, of real estate transactions over the course of their careers, and can counsel and guide consumers through the process. Realtors have the expertise and experience to help sellers protect their investment and help buyers build theirs.”

Due to their knowledge, training, experience and their adherence to a Code of Ethics, Realtors can help buyers make smart decisions in their local marketplace, said Craighead. Realtors can help sellers position their homes in a competitive marketplace so they may attract and engage serious buyers.

NAR indicated the percentage of consumers surveyed who are more likely to hire a Realtor® than a real estate agent who is not a Realtor® has risen from 51 percent in 1999, the first year the survey was conducted, to 64 percent in 2006.

“In some parts of the country, it may be the best time to buy a home since 2001,” said Combs. “But real estate is cyclical. Home buyers should act before their window of opportunity closes, and sellers need to think about how to prepare and market their home effectively. Calling a Realtor® is the best move people on either side of the real estate transaction can make.”

The San Mateo County Association of REALTORS® (SAMCAR) is a professional trade organization representing over 3,800 REALTORS® and Affiliate members engaged in the real estate business on the Peninsula. SAMCAR promotes the highest ethical standards of real estate practice, serves as an advocate for homeownership and homeowners, and represents the interests of property owners in San Mateo County.

The term "REALTOR®" is a registered collective membership mark which identifies a real estate professional who is a member of the National Association of REALTORS® and who subscribes to its strict Code of Ethics.

Variations of this article have appeared in local area newspapers.

For further information, please contact Julie Ziemelis, Director of Public Affairs, e-mail , or phone (650) 696-8214.

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