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How to survive bidding wars in SF

March 19th, 2012

A recent Wall Street Journal article called attention to a “bidding war” over a Noe Valley home. To us, it’s not news. A good home in a good location of San Francisco will always receive multiple offers – especially when it’s intentionally under-priced, as this one was. This home was very appealing and had lots of open space and charm. In our opinion, the buyers did not overpay. When they turn around to sell the house in 5-10 years, they too will receive multiple offers thanks to the innate charm and location of the house.

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In San Francisco, homebuyers need to be prepared for multiple offer situations. This is where having a good real estate agent really helps. We know what to expect and prepare our clients accordingly. We estimate the true value of the home and pass along that expertise so our clients can determine whether it’s truly in their price range. If it is, we coach our clients so they submit a successful bid. If it’s not, our clients are happy that they didn’t waste their time, and we’re happy that they didn’t get discouraged.

While the Journal article is right that the SF real estate market is picking up, options still abound at every price point, and we are eager to help our clients find a home that fits their criteria – and budget. Keep in mind that buying a popular property is like buying an insurance policy: a house with that “modicum of charm” is hard to find and will always re-sell quickly, no matter what the market. 34 years of selling real estate in SF confirms that.