While tariffs don't have a direct impact on home prices, the stock market volatility that has resulted from them has certainly impacted the Bay Area real estate market.
In the Bay Area, many buyers sell stocks for their down payment. But in a matter of days, some lost $200k+ of their portfolio's value. If they had not yet sold stock for their down payment, many have waited for their portfolio values to increase before liquidating for their down payment to purchase a home.
This has put a lot of buyers' searches on hold. I've noticed buyers still out and looking, but the sense of urgency that existed back in February and March is not the same. For Santa Clara County, the average days on market until a home accepted an offer increased 31%, taking a week longer to sell.
A contributing factor to homes taking longer to sell is inventory. There are more properties on the market, with inventory at the highest level since 2019.
That's not to say that some homes still don't sell quickly and for a great price. The median sales price for Santa Clara County has actually gone up each month since the beginning of the year. But some areas are impacted more than others. Generally, the areas with great schools and close proximity to jobs have been in high demand.
So is it a good time to buy? Or Sell?
As a buyer, the benefit is you have less competition, more properties to choose from, and the lowest interest rates we've seen in some time (in the low 6% range). As long as you have the funds, the might be a nice window of opportunity.
As a seller, understand that buyers are more selective right now. If you have an undeniably great property in a good location, you may be selling for the highest price your area has ever seen. Pricing and preparation are always very important, but even more so right now. Be prepared that selling could take longer in this current market.
If you are considering making a move, let's talk so I can give you the best advice based on your situation and the area you are in.
Here's a great article on this topic from the San Jose Mercury News:
https://www.mercurynews.com/2025/05/05/trump-tariff-stock-home-buyer/?utm_email=C4DD1419145364E85461C4156C&lctg=C4DD1419145364E85461C4156C&active=yesD&utm_source=listrak&utm_medium=email&utm_term=https%3a%2f%2fwww.mercurynews.com%2f2025%2f05%2f05%2ftrump-tariff-stock-home-buyer%2f&utm_campaign=bang-multi_pubs-morning_report-nl&utm_content=manual