At a Silicon Valley Association of Realtors district meeting in Los Gatos, nearly 90 Realtor and affiliate members came to hear a top producers panel discuss the current housing market, the strategies the agents employ and advice they would give to other agents. Comprising the panel were Grace Tsang with Intero Real Estate Services, Kelly Solberg with Keller Williams Bay Area Estates, Ducky Grabill with Sereno Group, and George Montanari with Compass.
The panelists were in agreement that despite all the banter in the media, Silicon Valley's market is not tanking. They see the market as merely adjusting from very limited inventory and skyrocketing prices to a more balanced market today.
Solberg said she sees home prices coming in alignment and expects to see steady even growth in the next six months. Montanari described the market as strong, though a bit quiet compared to last year. Grabill said real estate is local and the market can vary depending on the neighborhood.
Although the "perfect home" and new construction are still receiving multiple offers, Grabill noted, "It's obvious we are over the peak in 2018 where there were no price reductions. With 45 percent of listings in Los Gatos having been reduced, it is a clear indication that the market has shifted dramatically."
The good news is there are more pending home sales now than there were a year ago because there is 30 percent more inventory and it is becoming more of a buyers' market. "Now sellers who want to move up have places to go. It's created more of a normal market. It's one of the move up and move down markets we've seen without being so brutal," said Grabill.
Market changes don't bother Tsang. "My training taught me that the market doesn't make my business; it is the activities that I do that determine my business," said Tsang. "I work on staying focused on my daily tasks, being in front of people and having conversations with people about real estate, and providing the best customer services I can provide."
To Solberg what matters is the agent's relationship with their clients. If the strategies agents employ don't work, then they need to find a better way they can be of service to their clients.
"Find out what's motivating your clients and align yourself with them in the same way," Solberg advised agents.
The top producers stressed it is important that agents price a home correctly. "Agents have to set the right expectations for the seller, navigate the market and examine the data. Sellers need to be reasonable in pricing their home," said Grabill. "It's understanding that it's not so much about cost and square footage; it's more about value."
Montanari emphasized the importance of knowing the data, the historical values in perspective, and communicating with their clients clearly, honestly and objectively.
"We have to see the market in a long-term perspective. We are blessed in Silicon Valley, but growth is rarely a straight line. As long as the line is positive, we'll be in good shape," said Montanari.
The Silicon Valley Association of REALTORS® (SILVAR) is a professional trade organization representing over 4,000 REALTORS® and Affiliate members engaged in the real estate business on the Peninsula and in the South Bay. SILVAR promotes the highest ethical standards of real estate practice, serves as an advocate for homeownership and homeowners, and represents the interests of property owners in Silicon Valley.
The term "REALTOR®" is a registered collective membership mark which identifies a real estate professional who is a member of the National Association of REALTORS® and who subscribes to its strict Code of Ethics.
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