The $1,200,000-$1,700,000 market in San Carlos is growing stale and creating a tremendous amount of frustration for buyers looking to buy in San Carlos. As mentioned in the 2008 San Carlos Market Preview, inventory is a major issue, especially in the $1,200,000-$1,700,000 market. It’s not that homes are not moving in this price range, they are. However, there are very few that have come on in the last 6 months and when a great property does come on, it usually is gone quickly. Lets look at “Active”the homes fitting this category:
385 Devonshire Blvd. $1,595,000 Days on the Market 235
11 Kirkwood Way $1,595,000 Days on the Market 181
0 Madera Avenue $1,495,000 Days on the Market 160
2622 Howard Avenue $1,495,000 Days on the Market 73
125 Kelton Avenue $1,495,000 Days on the Market 33
1079 Sunset Drive $1,495,000 Days on the Market 160
261 Oakview Drive $1,399,999 Days on the Market 300+
33 Pine Avenue $1,399,000 Days on the Market 118
21 Pine Avenue $1,279,000 Days on the Market 44
256 Ruby Avenue $1,235,000 Days on the Market 9
The above homes represent the only choices for buyers in San Carlos in this price range. I spoke with a few buyers at my open house today who expressed some frustration with trying to buy a home in San Carlos in this price range. They all said that they have seen all of the above-mentioned homes, and none were appealing. I can’t say that I blame them. Several of those properties are severely overpriced.
Why are homes so difficult to come by in this price range? I have a few thoughts on this. Homes in San Carlos fall into three categories (1) completely original (2) some remodeling (3) total remodels. Properties that fall into category #1 are not selling above $1,000,000. Properties that have some remodeling and updating are selling between $950,000 and $1,250,000. Properties that have been totally remodeled are usually $1,650,000 and higher. Taking the above-mentioned categories into consideration, you will notice that there is a massive gap between $1,250,000 and $1,650,000…..and thus part of the problem. Very few homes in San Carlos will naturally fit into this price range. Taking a look at the list above, my feeling is that many of those homes should be closer in price to $1,250,000.
Many looking to purchase in this price range are in the process of selling a home in the range of $850,000 to $1,200,000. They view the $1,200,000-$1,700,000 range as the “next step up”. However, what many are now realizing is that the “next step up” is actually above $1,700,000.
Is there any relief in sight for this price range? Its tough to say. Certainly more will come on the market in the next three months, but I have not heard of many potential listings in this price range which are getting ready to go to market in the Spring. Buyers who are truly frustrated in this price range should start to think of different options such as remodeling their current residence. As usual, my advice to these buyers would be to be patient and have your realtor get creative with current listings and offers.
Note: The above listed properties are not necessarily listed by Bob Bredel or REMAX Today.