“After years of decline, housing prices are expected to stabilize or even increase in some parts of the Bay Area this year, according to a new forecast.”  This is according to an article written by Pete Carey in today’s Contra Costa Times (January 9, 2012). http://www.contracostatimes.com/bay-area-news/ci_19691780

The article states that Bay Area home prices in the San Francisco-East Bay metro area were down 4.7% in 2011 and are expected to increasd 0.1% in 2012. (Source: Clear Capital)

The lack of inventory in the Lafayette, Moraga, Orinda (Lamorinda) area has been our biggest hurdle. Due to this fact, many homes have moved quickly and have had multiple offers. These are typically houses that are turn-key with a nice flat yard area.

Interest rates will likely help continue this momentum with conforming rates below 4% and jumbo rates at or just above 4%.

We will just have to wait and see!