Redfin Makes 6 Market Predictions for 2020

First and foremost, Happy New Year!

Now let’s get down to business.

It’s always important to do some research of your own on any matter of great importance, especially real estate. By starting with information provided by industry insiders, you can start off strong when determining what’s what.

In this article, Redfin’s chief economist Daryl Fairweather briefly predicts and explains 6 housing market trends for 2020.

Of particular interest to us at RDP are the predictions regarding mortgage prices and climate change. We’ll tell you why.

Redfin predicts a higher number of bidding wars due to low mortgage rates and fewer available homes than in the last 5 years. However, statistics gathered by the bay area’s Bridge Association of Realtors show that in November El Cerrito almost doubled its listings from the same month in 2018.

Also, reference is made to people moving away from San Francisco and the surrounding areas. In combination with low mortgage rates, this may provide opportunities for people to secure their first mortgage and move into a new home.

2020 could be the year that will, in hindsight, be a major turning point for these new homeowners.

Now we get to the fun part, climate change and insurance premiums.

In an earthquake-prone area like the San Francisco Bay, getting a good insurance policy with a low earthquake premium is a good call. In fact, it could be key. A significant quake may be overdue, but a good insurance policy should reduce the cost of recovery to a bump in the road.

All in all, 2020 may be the year you’ve been waiting for to buy a home. With low mortgage rates, people moving to other areas, and location-independent professionals taking their work on the road, those of us who don’t own homes in the area may soon have our chance.

As always, stay on the lookout for that dream home.

Wishing you the best in this new year,
The RDP Team!