Following a heady, escalating and somewhat incongruous Spring market where inventory never matched demand and sellers drove the trend in almost all sectors, the San Francisco market has begun an appreciable slow down (not downturn) in both transaction and offer volume deep into the summer and approaching Fall. Prices have stabilized but over-asking offers, across the board demand and buyer activity slowed due to buyer burnout, rising seller expectations and low volatility and drive.
As is typical the market, slowed down significantly in San Francisco for the summer holidays and expects to stay settled through August before picking up again in September for a busy, though relatively short autumn selling season running through mid-November.
After 2 previous quarters (Q4 ’18 and Q1 ’19) of no or negative year-over-year home price appreciation, a confluence of positive economic factors sent San Francisco median home sales prices to new peaks in Q2. On a quarterly basis, the median house sales price hit $1,700,000 – $80,000 above the previous peak in Q2 2018 – powered by a monthly high of $1,770,000 achieved in June. For condos, the new quarterly median price peak was $1,250,00 – slightly above last year’s $1,235,000 – fueled by a new monthly high of $1,300,000 in June.
Expectations are for a fully loaded September/October inventory, though not to excess, with high buyer demand (pent up from unmet acquisitions during the Spring) meeting inventory, with prices remaining stable or slightly escalating supported by a slowly rising stock market, full employment, reasonable buyer confidence and the release of some IPO stock awards in the hands of hundreds of technology centric SF employees currently seeking residences in the city.
For a more detailed review of market specifics or to gain a perspective on your own property in this dynamic market, contact Rob at Rob@RobLevy.net or 415-385-8011.
