The Return of Multiple Offers?

There’s a real feeling of renewed activity in the Marin real estate market so far this year, and we’re seeing more multiple offers than we’ve seen in some time. One Kentfield property listed by an agent in our office received eight offers last week, and that’s not an isolated case. Many homes are getting multiple offers, and others have been selling before most buyers even get a chance to view them, either before actually hitting MLS or before the Sunday open house.

Now this is certainly not what’s happening across the board. There are still plenty of homes sitting on the market, and we’re still seeing price reductions in many cases. But in the more popular areas, homes that have a lot of the features most buyers are looking for–and that are priced correctly–are getting a lot of activity. We’re not back to the way things were at the height of the crazy market in 2005, where even less desirable homes were selling fast and for too much money, but we haven’t felt this level of competition for good homes in years. We’ll have to wait and see how much this is function of the time of year and a low supply, or if it keeps up through the rest of 2011.

Here’s a look at the months of inventory based on pending listings for single family homes under $2 million in Marin, meaning how many months it would take to sell all the homes currently on the market based on the rate at which they’re going into escrow. It was down to 3.3 months supply in March, which was 11.4% lower than the supply one year ago, and 43.3% lower than March 2009. The numbers for April will be out soon and I’m guessing they’ll further reflect the increasing activity and relatively lean supply, but I’ll post some charts when they’re available to give a better picture.

If you’d like market info and stats for your specific area of Marin or price range feel free to email me at gcrowe@sfnorth.com.