No Bay Area Bubble Burst

Oakland California real estate shot through theOVER. Sellers have to do more to prep the home
roof during the period from 2001 to 2005, withfor sale now, and staging is much more common.
appreciation reaching 120% in some areas. HomesThe most important thing of course if price
were routinely selling for 60-100k over askingthough. I don't care how nicely a home is staged,
price and more! It was not uncommon for aif it is not considered a value compared to the
desirable property to fetch 30-40 offers. Iothers in the area it WON'T SELL. This is, unless
remember one home in the Oakland Hills went foryour home happens to have historical significance
over 300k over asking price!or is in an especially desirable area.
However that type of market by nature is notOne example of an exception to the rule was a
sustainable, and the current market is proof ofhouse that just closed last week in Piedmont. It
that. Starting in early 05', us Realtors startedhad great square footage, (I personally viewed it
seeing a noticeable slowdown in activity, which hason our office tour) but it was in need of a lot of
continued to this day. The ironic thing is, prices areTLC. The bonus was that it was in a particularly
still high. They have taken a slightexclusive neighborhood in Piedmont and had been
dip(approximately six percent) in the last year, butdesigned by a locally renowned architect. The
our median price is still around 500k. There isagent also had contractors and interior designers
much more opportunity for buyers right now,at the open houses to help give buyers ideas. The
because there are plenty of homes on thehome went on the market for $1.4 million, and
market which means buyers have more choicesended up selling a few weeks later for over $1.7
and more negotiating power.million! Yes, 300k over asking price!
Sellers have had to come to the realization thatHowever the reality for most sellers of Oakland
they can't just get any price they want for theirreal estate today is that they need to price their
home, and the days of putting up a sign and thehome attractively and prepare the home for sale
next day it's sold for 60k over asking price areif they expect to get it sold.