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Is the market shifting?

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It appears that there may be changes on the horizon when it comes to the San Francisco market. In fact, those changes are already starting to take place. The word on the street is that the number of offers that are coming in on new listings is starting to drop – for example, a new listing that might have attracted 10 to 12 offers last spring is now seeing three or four.

What’s more, according to Broker Metrics, for every two listings that accepted offers in December and January, another listing expired or was withdrawn without a sale.

This, of course, brings us to the idea of home prices. While we’ve still got plenty of buyers looking at open houses and online listings, more of them seem to be first-time buyers, with the commensurate caution. With burnout afoot from last year’s bidding frenzies, the market – and that includes prices, of course – may be cooling.

Now, is this just a lull before the spring sales season starts?

According to speculation from the investment firm Reis, the city’s apartment-rent growth is projected to slow despite low vacancy rates and intense demand, because people simply cannot pay any more. Will this apply to other housing costs? Tune in tomorrow.

Dreaming of San Francisco? Cece Blase offers local advice to San Francisco buyers, sellers and owners-- and feeds the dreams of those who wish they could live in Tony Bennett's 'City by the Bay.' Call 415-577-0809 or email



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