April Market Update

If I had to describe the current real estate market in one word, it would be "sluggish"—at least compared to the more active period from January through early March when inventory levels were lower and well-priced homes were selling quickly.

Inventory has continued to rise across all Tri-Valley cities, with particularly notable increases in places like San Ramon, where the number of available homes has grown by 47 (more than a 50% increase) since my last update on March 19. As inventory rises, so do marketing times. Currently, the average number of days a home stays on the market in the Tri-Valley is 33, compared to what I estimate was fewer than 20 earlier this year.

Looking ahead, I have several listings set to hit the market over the next couple of months, and many of my fellow agents are in a similar position. Vendors such as inspectors and stagers are staying busy, signaling that we can expect even more inventory to become available as the spring season progresses.

Despite increased inventory, buyer activity remains strong—our open houses have been busy, and plenty of buyers are actively looking. However, many seem hesitant to make offers. For example, one of my recent listings in Pleasanton saw over 80 groups tour the home in a single weekend, with multiple buyers expressing interest and asking when offers would be reviewed. Despite the high turnout, we received only one offer. This pattern is playing out across many listings right now.

I suspect that stock market volatility and uncertainty surrounding the new administration may be making buyers more cautious. Yesterday and today’s significant market sell-off likely won’t help, but one potential silver lining is that mortgage rates should drop as a result—possibly encouraging more buyers to move forward. As of now, the 10-year treasury, a bellwether for mortgage rates is at it’s lowest level since October of last year. I expect mortgage rates to follow the same trajectory.

Looking ahead, I anticipate continued volatility across financial markets as they react to uncertainty surrounding tariffs. However, I remain cautiously optimistic that the actual impact will not be as severe as some forecasts suggest and that the markets will stabilize in the near future.