MarketTracker North Bay Newsletter – February 2025

The North Bay real estate market remains strong despite fluctuating mortgage rates and inventory challenges. Interest rates have returned to pre-rate cut levels, impacting affordability but not deterring median home prices, which continue to rise. Inventory is growing faster than sales, hinting at potential affordability improvements in the coming months.

Key Highlights:

• Mortgage Rates: Rates have returned to pre-cut levels, suggesting the market anticipates future hikes due to persistent inflation.

• Inventory Growth: Year-over-year inventory grew by 16.16%, while existing home sales increased by 9.28%, slightly easing supply constraints.

• Median Home Prices: Despite higher rates, prices rose 6.03% YoY to $404,400 in December 2024.

• North Bay Trends:

  • Single-family home inventory dropped by 16.55% in January.

  • Marin County saw a 34% YoY increase in days on market; Napa condos surged 198% in market time.

  • Sonoma and Solano counties maintained price strength, while Marin and Napa adjusted after earlier spikes.

  • Napa remains a buyer’s market with 3.8 months of inventory, whereas Sonoma, Marin, and Solano favor sellers.

The outlook remains strong, with continued monitoring of inventory trends to determine whether 2025 will bring further appreciation.

The February 2025 MarketTracker East Bay Newsletter provides an in-depth analysis of national and local real estate trends. Mortgage rates have returned to pre-rate cut levels, despite expectations of a decline. Year-over-year, home affordability has slightly improved, with median monthly payments down 1.84%. Inventory is increasing at a faster pace than home sales, which may lead to improved affordability in the coming months.

In the East Bay, median home prices remain strong, with single-family homes in Alameda and Contra Costa counties increasing by 2.27% and 1.95%, respectively. Condo pricing shows mixed results, with Contra Costa rising by 0.95%, while Alameda dropped by 15.38%. Inventory levels are climbing, signaling potential opportunities for buyers. However, single-family homes remain a seller’s market, with limited supply keeping competition high.

The newsletter also highlights market dynamics, including days on market disparities, mortgage-backed securities trends, and local real estate opportunities. For personalized guidance, readers are encouraged to connect with Charlie Brown at Kinoko Real Estate.

Silicon Valley Real Estate Market Update – February 2025

The Silicon Valley housing market remains dynamic as mortgage rates return to pre-rate cut levels, while home prices continue to rise. Inventory is finally building, with condo listings increasing by 36.62% year-over-year. Meanwhile, single-family homes are selling fast, with days on market declining significantly in Santa Clara and San Mateo counties.

Key takeaways from February’s MarketTracker:

Mortgage rates have stabilized at pre-cut levels, impacting affordability.

Inventory growth is outpacing home sales, offering new buying opportunities.

Median home prices continue to rise, up 6.03% nationally compared to last year.

Silicon Valley market trends show strong appreciation, with Santa Clara and Santa Cruz home values up 5.88% and 3.36%, respectively.

Sellers still hold power, with Silicon Valley’s low Months of Supply Inventory (MSI) signaling a competitive market.

Looking to buy or sell in San Francisco or Silicon Valley? Let’s discuss your options. Contact Charlie Brown today for expert real estate advice.

San Francisco Real Estate Market Update – February 2025

The San Francisco housing market remains dynamic as we head into 2025. While mortgage rates have returned to pre-rate cut levels, inventory trends are shifting, offering both challenges and opportunities for buyers and sellers.

• Home Prices: Median sale prices in San Francisco dropped by 9.68% for single-family homes (now $1,422,500) and 8.76% for condos ($990,000), making this an interesting time for potential buyers.

• Inventory Trends: Listings are down 10.34% for single-family homes and 10.91% for condos, keeping competition strong despite fluctuating demand.

• Market Conditions: The Bay Area remains a seller’s market, but specific condo markets, including Napa and Santa Cruz, are presenting rare buying opportunities.

As spring approaches, inventory shifts and interest rate adjustments will shape the next phase of the market. Whether you’re looking to buy or sell in San Francisco, now is the time to strategize.

📞 Need expert guidance? Let’s connect! Call Charlie Brown at (415) 722-3493 or explore listings at charliebrownsf.com.

Silicon Valley Real Estate Market Update – January 2025

The Silicon Valley housing market remains dynamic as 2025 begins, with elevated mortgage rates influencing both buyers and sellers. While home prices stayed relatively stable in late 2024, they are expected to rise in the coming months due to increased demand and limited inventory.

Key takeaways:

• Mortgage rates remain high – The 30-year fixed-rate mortgage is hovering around 6.91%, and economists predict rates will stay between 6-7% throughout 2025.

• Home prices trending upward – Single-family home prices increased 5% in San Mateo, 7% in Santa Clara, and 20% in Santa Cruz year-over-year.

• Inventory remains tight – December saw a record-low number of listings, keeping competition high for well-priced homes.

• Buyers adjusting to higher rates – Despite economic uncertainty, home sales increased by 6.1% year-over-year as buyers and sellers accepted that interest rates won’t drop significantly in the near term.

Navigating today’s market requires expert insight. Whether you're looking to buy, sell, or invest in Silicon Valley real estate, CharlieBrownSF is here to help. Contact us today for a personalized market analysis.

San Francisco Real Estate Market Update – January 2025

The Bay Area real estate market saw modest price declines in Q4 2024, but home values are poised for growth in 2025. With mortgage rates remaining high—averaging 6.91% as of January—buyers and sellers are adjusting to a new normal. Despite elevated borrowing costs, home sales surged 6.1% year-over-year, driven by increased inventory and growing buyer confidence.

Key takeaways from the latest MarketTracker Report:

• Mortgage Rates & Policy: The Federal Reserve cut interest rates by 1% in late 2024, but mortgage rates remain between 6-7% due to economic uncertainty.

• Market Trends: While inventory tightened in Q4, demand remained strong, keeping home prices relatively stable.

• Bay Area Outlook: January prices may see minor declines before rebounding in spring and summer, continuing a historically seasonal pattern.

With inventory expected to shift, now is a critical time to explore your options. Whether you're buying or selling, understanding these trends will help you make informed decisions.

📞 Thinking about buying or selling in San Francisco? Contact Charlie Brown today for expert guidance.