First, a big thank you to everyone who responded to my RealDataSF Poll about how to make this newsletter better. This month’s topic is a direct result of your input, as information about tax-related topics was among the top 3 subjects my readers wanted me to cover in addition to market news (the other two were investing in and renovating property).
Some other quick results:
Today’s NY Times talks about the California housing affordability crisis and how the state is considering legislation to make it harder for opponents of developments to create roadblocks to projects that otherwise fit within a locality’s zoning laws. There’s finally a movement of “YMBY’s” That are saying “yes” to greater density – which is really the main issue – because they understand that sprawl is the enemy of the environment in so many ways. In San Francisco, that’s resulting in projects that, for example, don’t require parking for each unit – a recognition that younger buyers are abandoning cars in favor of car-sharing and public transport. ...
In last month’s newsletter, I said that initial signs pointed to a newly robust Spring housing market after evidence that prices had flattened somewhat — especially for condominiums — in 2016. The data gathered through May confirms that conclusion.
The median house sales price jumped to $1,500,000, its highest point ever, about $100,000 (7%) above its previous monthly peak. The SF median condo sales price also hit a new peak at $1,200,000, $20,000 (1.7%) above its previous high.
JUNE 08, 2017
(*But were afraid to ask!)
ABOUT THE TOPIC
Join Misha Weidman, J.D., Broker Associate and Attorney at Paragon Real Estate Group, for a lively and informative discussion about the essentials of buying a home in San Francisco. Here are just some of the questions he will address:
Between 2012 and 2015, the median price of a single family home in San Francisco increase by around 70% as we came out of the Great Financial Crisis. Condominium prices increased by around 55% during the same period.
It’s not surprising, then, that the market took a breather and leveled off a bit during 2016. However, along with the return of warmer, dryer weather, buyers seem to be returning to the market in droves, and there is simply not enough inventory to meet demand. While it’s still a little too early to tell, our data suggests that things are heating up again. ...
While we wait for the rain to stop and for the market to give some sign of its direction this spring, let’s take a look at what’s going on around us.
We’ll start with a look at single family homes. I was surprised to see San Mateo running neck-and-neck with SF, and ahead of Santa Clara, Marin, and LaMorinda/Diablo Valley (Diablo). I suspect that’s both because ritzy communities like Atherton and Hillsborough bring up the median values and because there are relatively few low-priced neighborhoods. ...
The data is now in for 2016 and we have sliced and diced it to perfection. The results? Single family homes are on simmer, with median prices up a “mere” 6% over last year. City-wide, houses hit $1,350,000 in the last quarter of 2017, an all-time high. Meanwhile condominiums are going sideways. At $1,078,000, they were down about $25,000 from a year previous. In fact, their median price is effectively the same as it was at the start of 2015.