February Market Trends
Did the Stock Market Correction Impact Local Real Estate Markets?
Everyone knew the recent 10% correction in the stock market was coming. It was long overdue, but most stock investors took it in stride. Yet some investors reacted as if it was the beginning of the end. Local real estate markets reacted similarly. Some prospective buyers in the market, especially high-end or investor buyers, immediately put their home search on hold. However, most home buyers took the stock market dip in stride, and continued forward with their quest to buy a home. Not only did strong local real estate markets remain hot in February, prices jumped significantly as the spring market moved into high gear.
I have written that, based on history, local real estate markets are expected to be in the late stages of the 10-year real estate market cycle. The recent stock market correction will likely extend the current hot market phase of the cycle until after the fall elections. Prices in both the stock and real estate markets will “melt up” and hit their cyclical peak before the next price correction begins. For a no-obligation consultation on current market values and key sales factors in your neighborhood, please call or email me. I look forward to helping you!
In the charts below, you’ll find 15 years of data for annual market activity and median sales price for Palo Alto, Los Altos, Los Altos Hills, Menlo Park and Mountain View. You can’t find this level of historical data all in one place anywhere else, so if you have any questions or wish to get more info about your community, don’t hesitate to contact me.