It took a little more over a year but open houses are back for San Francisco — just in time for a summer that’s poised to be one of the busiest we’ve seen in a while. People are making up for lost time right? We’ve already seen steady — even busy — open house traffic since open houses were allowed again starting last weekend Indeed, you will be able to find us at our open house today at our latest listing at 1631 Pierce Street
— a beautiful, Lower Pacific Heights condominium that dates from 1886 with a modern-meets-Victorian vibe that also channels a bit of London too. With a double-wide back garden and a layout that’s as adaptable for home office, in-law or rowdy teenager, 1631 is pretty special. If you can’t see me and Raffi today, then check out the website here
where you’ll see the property video, 3-D tour, floor plan and more.
Now that open houses are back the question is how it will impact an already-red-hot market. Multiple offers and properties selling for hundreds of thousands of dollars over the list price already common place with restricted open house showings (masks, permission slips and private appointments only), time will tell how relatively unfettered access will mean. Here’s a mix of our observations and predictions for the summer to come:
Buyers will get to see more houses
without having to do the pomp and circumstance of having to ask their agent to ask for an appointment, filling out form after form and, ultimately, taking an hour just to decide a house wasn’t right for them being forced to repeat the process for any other potential candidates. This means buyers will be able to see more houses in a shorter amount of time which makes agent-buyer time more productive as buyers get to vet non-starter candidates before getting their agent involved.
More fairness will be back in the market
as we were starting to see sellers take preemptive offers from agents and buyers who were able to schedule a private property visit early before anyone else even had a chance to see the same property let alone prepare an offer for it.
This is a good thing because we’ve been seeing houses sell with multiple offers on offer dates at seemingly outlandish prices without knowing the details
or what made a property special enough to justify the new comp it was setting. And, just in case you were wondering, we’re not talking your typical multiple-offer situation with three or four coming in, we’re talking 20+ offers (one case recently saw 83
Even with open houses coming back and more inventory coming (see next) it’s still unlikely that the market will calm down anytime soon as demand is so much stronger than before. Instead of two or three people losing out on a house, there are twenty other buyers looking for something similar.
The good news is that there is more inventory coming, but not at much as we’d like.
Trying to schedule one of our three go-to property inspectors last week for a last-minute inspection was unsuccessful as each of them told us they were booked out anywhere from 3 weeks in advance to 3 months in advance! We ourselves are working with our various sellers on great listings that should start hitting the market next month (stay tuned).
Supply chain issues are leading to desperate times for some remodelers and sellers.
One scary story we heard this week from an agent with a higher-end listing in Bernal Heights is a sign of the times. A seller had just finished remodeling their home and ended up moving to LA while the property was undergoing renovation. After the house hit the market (subtly, no signs or obvious signs it was on the market onsite) the agent came to see it one morning to discover that all the brand-new appliances were gone. Literally gone. Ring camera footage from the neighbors and how the home was left (spotless apart from the missing appliances) it became apparent the home was targeted by a sophisticated crew of 4 who clearly had experience installing (and in this case uninstalling) appliances, wheeling them out gingerly at 3 a.m. after getting into the home and making themselves at home — one even took a nap before the 3 a.m. retrieval, which took approximately 6 minutes to complete. When trying to find replacements the agent was told that the blacklog for Viking ranges and Subzero refrigerators was more than 8 months or more with black market prices for new appliances far exceeding list prices. The agent and seller are putting in LG appliances and offering a buyer a credit for new appliances once some time passes
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Very Truly Yours and Best,
Kevin K. Ho, Esq.
Broker Associate | Attorney | Top Producer | REALTOR
DRE 01875957 | SBN 233408
(415) 297.7462 | email@example.com
Jonathan B. McNarry
Broker Associate | Top Producer | REALTOR
(415) 215.4393 | firstname.lastname@example.org
Real estate super dog and Black Labrador Retriever extraordinaire. See his listing resume here