San Carlos is “in play” for many buyers. Over the last 30 days, San Carlos has had 30 single family residences go into contract. While we are not out of the woods with regard to our local real estate market, the San Carlos market has undeniably picked up over the last four weeks. Our inventory, which spiked two months ago at 77 Active homes, has dwindled to a mere 53.
While some will disagree, there is a growing feeling among buyers and sellers that the San Carlos market may have bottomed out. Whether that notion is true will remain to be seen. One item which could derail this optimistic suggestion is that we may experience a jump in interest rates and a nice dose of inflation in the very near future. In fact, interest rates have already had a moderate jump over the last ten days.
This post will be updated again next week with updated numbers.
2 Comments
Bob
I suggest that you are reading to much into the the effects from a few months of truly low interest rates. Rates are up probably 10-15% since then. The Fed cant hold off the bond bears forever. When rates are back at 7% and jobs are still scarce, lets see where the market is.
Hi Skeptic,
I agree that we will have to wait and see. The best I can do is relay to everyone what is happening currently in the market, along with the sentiments of buyers and sellers. I do not think there is any doubt that interest rates will go up shortly. Even if rates do creep back up to 7%, that is still a very low interest rate, historically speaking. Many that have been in San Carlos real estate for a while will tell you of the days in the early 1980s when they popped champagne when interest rates dropped below 20%. My feeling is that over the next 12 to 18 months we are going to see a lot of what we have seen over the past six months….some months with heavy activity, and other months with virtually zero activity. Thanks for the post.
Bob