“Tax credits sparked a big jump in home sales last month, as first-time buyers took advantage of low prices and interest rates.
But the longer-term housing outlook remains clouded, with a large inventory of foreclosed homes expected to hit the market later this year.”
The jury is still out regarding the overall outlook for the San Francisco metro area ;however, the article went on to note the following:
“Among metro areas with relatively low rates of delinquent borrowers and for-sale inventories: Boston, Denver, Dallas, Houston, Minneapolis, San Francisco and Washington, D.C.”
The market may be in a transitional period with Federal Tax credits for qualifying homebuyers set to expire on April 30 (property must be in contract by April 30 to qualify).
At the end of the day, job growth and economic factors will determine which metro areas continue to rebound while other areas continue to struggle with high rates of foreclosures. The San Francisco Peninsula real estate market is marked by limited land for development, proximity to San Francisco and of course, Silicon Valley. As we reflect on the first quarter of this year, the question remains : Is the glass half-empty or half-full?