May Market Snapshot: Spring Uncertainty, Local Opportunities
As we settle into the heart of the spring market, the Greater Oakland-Berkeley Inner East Bay continues to reveal its complexity. While the national headlines might talk of economic jitters, here in our neighborhoods—from Montclair to El Cerrito—there are still pockets of fierce buyer demand, surprising overbids, and homes flying off the shelf (as long as they’re staged, priced right, and not in a fire zone).
May 2025 Market Summary
Despite higher inventory levels and caution among buyers and sellers alike, some homes are still drawing multiple offers—especially turnkey, staged properties in sought-after locations. Here's what stood out:
Full May 2025 Market Report Flipbook
Inventory Surge: Active listings hit their highest levels in over three years, up 43% year over year. This has cooled the overall absorption rate and put pressure on pricing.
Buyer Hesitation Meets Opportunity: While some buyers are on the sidelines due to macroeconomic concerns (interest rates near 7%, declining consumer confidence), others are taking advantage of increased choices and negotiability.
Mixed Pricing Trends:
House prices remained relatively flat year-over-year, with a median of approximately $1.1 million across the Inner East Bay.
Condos, however, saw a 10% year-over-year drop in median prices—creating new entry points for first-time buyers and investors.
Absorption Rate (homes going into contract):
28% for houses, 15% for condos—a sharp difference highlighting buyer preferences.
Overbidding Alive (But Selective): Top-performing neighborhoods like Central Berkeley and Thousand Oaks still see overbids averaging 20-30% above asking—especially on homes that sell quickly.
With mortgage rates holding steady and financial markets recovering from earlier dips, May’s numbers will give us a clearer view of how buyers are adjusting. Stay tuned for the next few weeks—they’ll set the tone for summer.
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