September is almost always the month with the largest number of new home listings in San Francisco: The number of new listings hitting the market in September 2014 was 15% higher than the #2 month (May 2014) over the past 21 months. [See chart below] Because Labor Day is so late this year, September only has 3 weeks of selling days after the holiday weekend, and if this is a big listing month – it looks like it might well be – we may find a whole lot of listings crammed into those 3 weeks. Usually, the 5 weeks after Labor Day feed the activity of the entire autumn sales season in SF.
Because of the financial markets recent volatility, it’s possible that some significant percentage of buyers will be warier and hold off until there is more clarity. [This happened a couple years back with the national debt reauthorization standoff in late September/early October.] Media hysteria is not helping, and a raise in interest rates would probably trigger more volatility – at this point, someone stepping on a cat’s tail in Shanghai will probably trigger more volatility. The next Fed meeting is on September 16 & 17th, and there may not be clarity about an interest rate change until then – which won’t stop non-stop speculation.
On the other hand, the Fed might announce (at any time) that no interest raise will occur (or minimize the scale of an increase), there might be a sustained market recovery this week, and last week’s craziness will quickly fade into insignificance.
It’s hard to forecast how the autumn selling season will start this year, especially compared to the utter frenzy of last spring. I don’t know if it makes sense to prepare your sellers for possible alternative scenarios in buyer reaction, but it may be something for you to think about.
Simone has the utmost respect for her clients, and seeks to empower buyers and sellers, translating up-to-date market information into winning strategies so that they feel confident in making these weighty decisions. Connect with Simone now.Contact Us