There’s no denying it: 2020 has not turned out the way many people expected. From canceled events to canceled trips to overall feelings of uncertainty, this year has shaped up to be much different than even the most qualified experts could have predicted.
Before the pandemic people were concentrated near where the jobs were and those areas had pent up demand and affordability is a big issue. Now with many more people working from home, people can now live and work from anywhere and that creates an opportunity for those who always dreamt of homeownership.
The San Francisco market currently reflects a variety of both positive and negative indicators. Among Bay Area markets, the city is seeing a soft recovery from the initial shelter-in-place plunge in activity in early spring. Other counties - more suburban, or rural - are experiencing extremely high demand.
Within San Francisco, supply and demand conditions have diverged dramatically between house and condo markets, with the latter being far weaker and rapidly climbing into "buyer's market" territory, as price reductions begin to soar. This is a great time for the first time and veteran buyers alike in this market segment.
While it may not be perfect in some market segments, the conditions are wonderful for homes in the suburbs or homes with a back yard and other amenities! For the sellers in this market, home prices are remaining relatively stable during these uncertain economic times, and unlike recessions of the past, this market is continuing to deliver great returns for sellers of single-family properties.
What Do People Want in a Home in 2020?
When there is a pandemic there is movement, and people are on the move either looking for homes with cozier vibes or homes with more space. With people spending more time at home than ever, many are feeling the inadequacy of their home and therefore looking to change. The pandemic has truly shifted priorities, and homes with amenities are performing strong.
While it may not be true for all, working from home might be the new future for many, especially those who are in industries where we primarily can perform our jobs remotely. More and more, offices will cut back on what now seems like unnecessary expenses, like office space and corporate trips, but they will expect their employees to be able to replicate the office environment at home. Therefore, many buyers are looking for a home office space for them or for them and a partner.
Bigger backyards have been paramount for homeowners looking to increase both their recreation options and to give their families more space to stay apart while they are together. From room to give a new family dog a place to play to set up an impromptu soccer game, bigger yards are on many checklists.
In urban areas like San Francisco with restaurants and theatres and all the fun things the city has to offer closed, for the time being, people are looking to places like Marin and East Bay or Tahoe, Napa/Sonoma in search of more living space and outdoor space. These at-home sanctuaries make it easier to entertain family or small groups of guests without having to congregate in a public space and with many of the cities great cultural institutions closed.
With many gyms and recreational facilities closed (or operating on many restrictive policies), having more recreational space, like a home gym or a pool has been a top priority for many families. In the ultra-luxury market recreational spaces like tennis courts or basketball courts, or space to add a recreational area on to a home has been a priority. This includes indoor recreational activities, like pool tables, pinball machines, and even indoor bowling alleys.
Space for Children to Learn from Home
Just as the home office has become more important for adults, children are increasingly asked to learn from home. And with multiple children learning at the same time, plus mom and dad working from home, having a dedicated learning space for the kids is a must. While many are going back to in-person classes, sudden school closures and other disturbances are continuing this school year, and having a dedicated learning space at home is key.
Discover the Possibilities
What homeowners want is constantly changing, what has not changed is the need for the comfort of home.
Additionally, the historically low-interest rates and less competition in city centers have proven to be an excellent time to buy for the first home buyer or for those who want to move up looking for that perfect home for their family. This opportunity is not going to last forever.
If you have dreams of buying your first home or moving into a larger home to meet your families’ needs, feel free to reach out to me and discover the possibilities.
Curious how to manage your house hunt during the coronavirus? Clickherefor more.