Despite political instability, party changes, a surge in Coronavirus cases, and a slower than hoped for vaccine rollout, our real estate market is extremely robust for January! Buyer demand is strong, inventory is low, and mortgage rates are almost 1% lower than they were one year ago. All of this equates to an amazing time to sell! On the flip side, buying power has increased with the cost of mortgages being so low. It is a great time for Buyers too if they can lock in these incredible rates and stay put for seven to ten years. 

With so many variables in our world, it is tough to predict exactly what the market will look like this year but we are closely watching supply and demand. With a strong cup of coffee or a big glass of wine, I could speculate the following: 

• As vaccines roll out and the health crisis eases, more people will be inclined to sell their homes (especially the seniors who have been waiting).
• The fear of higher taxes in California could send people out of state. In order to claim another state as your principle residence, you need to live in that state for more than six months. Do you try to accomplish this in 2021 or 2022?
• Those impacted negatively by COVID may be forced to make changes.
• People don’t want to go back to the hectic pace of their lives, with a commute, pre-COVID.
• People will work differently and still want/need home offices.
• People will exercise differently and like their new home gyms and pools. 

Does this worry me when I think of real estate in Lamorinda? It does not! We are incredibly lucky to live in an area that is loved. Yes, people are leaving but people are also coming. Home values are linked to many variables – good schools, a strong Chamber of Commerce, outdoor parks and hiking and biking trails, recreational amenities, a thriving Downtown corridor, restaurants and art galleries, locally-owned businesses, neighborhoods, libraries, and access to commute routes as well as San Francisco, Lake Tahoe, Napa Valley, the Silicon Valley and the ocean. I could go on and on but I think you get my point. 

Our team of experts is here to help you navigate the market and make choices that are right for you. We look forward to guiding you with honesty and integrity as you sell your assets and buy your dream homes. 

Dana