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Across the Bay Area, the severe economic volatility which prevailed in Q2 – and the absence of a meaningful decline in mortgage interest rates – generally caused a significant year-over-year weakening in the spring selling season, usually the most dynamic of the year. This is reflected, to varying degrees, in some of the supply and demand indicators illustrated in this report. However, many San Mateo County homes sold very quickly at well above asking price, and, fueled by the AI boom, $5 million+ home sales hit the highest quarterly count since the peak of the pandemic boom. More affluent markets have generally continued to be more heated than lower price segments. Though the overall county median house sales price declined slightly, quite a few city markets saw year-over-year increases. As of early July, measures of economic uncertainty were dropping, stock markets had staged an astounding recovery to hit new highs, consumer confidence had begun to rebound, and interest rates were gradually declining. Improvements in these conditions, should they continue, may support a stronger housing market in the second half of the year. As always, correct pricing, preparation and marketing are imperatives for sellers who desire the best results. And opportunities still exist for buyers who keep a close eye on both new and older listings, monitor time-on-market and price reductions on unsold homes that meet their requirements – or perhaps need a little bit of work – and are prepared to move quickly and aggressively.