The latest Case-Shiller housing price report shows San Francisco’s already stratospheric home prices are heading even higher.
Real estate prices in the city has seen a nearly 10 percent increase from last year, according to the report.
Feroza Unvala, a real estate agent, said a lot of Asian money is coming into the market, which is part of the housing story everyone is hearing.
But what is under the radar is the fact that the majority of real estate agents are having a tough time.
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“Fifteen percent of the agents are now doing 85 percent of the business,” said Kathleen Clifford, a real estate agent.
Top agents are doing great, but most agents are struggling because sales are down with not enough houses for sale.
“The wife wants to sell and move to the East Bay and I’m saying let’s hang in there,” said Benito Garcia, a San Francisco home owner. “Maybe another year or so I’m sure it’s going to go up.”
If you are selling, the trick in the San Francisco market is to price the house low enough to create a buzz.
“You create such a buzz that you get a lot of people in the door who then fall in love with the property and then want it at whatever price they can get it,” Unvala said.
And if you’re buying it should be noted asking prices are routinely 30 percent lower than what will be bid.
“Yeah, you have to sell yourself as the perfect person to buy the house,” said Rachael Shulz, a renter.
Top agents get their clients pre-approved and maybe have them pay for a pre-bid inspection so they can wave contingencies. There can also be a personal touch in attempts to purchase a home.
“I have had offers where the buyers put together a photo book — a published photo book to the sellers trying to convince the sellers to give them the property,” Clifford said.