November 2021 Real Estate Market Report

December 3, 2021

Market Update + Prediction

Welcome to another exciting installment of the Artemis Real Estate newsletter, which we have renamed The Artemis Advisor! We hope you enjoyed a relaxing Thanksgiving holiday full of family, friends, food, and cheer. We took the downtime to transition to … drum roll … our BRAND NEW Artemis website! We're very excited to present it - please have a look around.

We’ve been working on it for months, and while there is plenty of work left to do (such as updating our headshots), the upgrade is substantial. Our monthly newsletter can be found under the “The Artemis Advisor” section, along with other posts. Please send feedback to [email protected].

The financial markets are turbulent as we head into winter, with fears of Omicron, weaker than expected job reports, potentially higher interest rates on the horizon, and accelerated tapering by the Fed. The real estate market tends to lag, so it remains to be seen how these forces will play out in our local real estate markets, but rest assured, we’re monitoring the situation very closely. Real estate is less susceptible to quick up and down swings, but if these conditions persist, they will find their way into real estate by affecting demand. At the moment, however, demand and fundamentals are still strong.

Monthly Prediction: Your kid will own real estate before you did (but now how you think)

This is where we'll attempt to make a prediction about the future based on all the inputs we receive each month - whether it be boots-on-the-ground experience, roundtable discussions we're participating in, or the countless articles, podcasts, industry reports, and other media consumed. Read at your own risk!

We’re sure by now you’ve heard about blockchain, crypto, NFTs, and the Metaverse. These emergent trends represent some of the biggest, if not the biggest, fertile forests of innovation, opportunity, and economic growth the world has ever seen.

NFTs, non-fungible tokens, are a rapidly expanding concept in this space. NFTs are cryptographic assets on blockchain with unique identification codes and metadata that distinguish them from each other (Investopedia). NFTs represent a massive opportunity for any type of digital information to become an asset. NFTs can be invested in, produce royalties for the holders (including passive income), be sold for profits (appreciable), and even allow for fractional ownership.

Virtual real estate, purchased with cryptocurrency and owned as an NFT (meaning it’s verified on the blockchain), is blowing up. A virtual property was recently sold in Decentraland for $2.5M. Why would someone do this? Because the value can go up. And people buying up virtual properties are banking on this, snapping up the most desirable parcels in virtual worlds.

So next time you’re at the dinner table, don’t be surprised to hear that your 12-year old has invested $100 of their allowance into a piece of virtual real estate. The times… they are a’changin’.

Click here to read the San Francisco market report.

Click here to read the North Bay market report.

That wraps up this month’s commentary. Have a wonderful holiday season and we’ll catch you next time!

Disclaimer

_{NFA / DYOR - Not Financial Advice / Do Your Own Research}

_{Information provided herein is for informational purposes only and is subject to change without notice. This publication does not constitute, either explicitly or implicitly, any services or financial advice by Artemis Real Estate. Information provided is not guaranteed, and Artemis does not guarantee the accuracy of any information obtained from a third party.}