Yesterday we opened up the discussion of what’s going on with real estate sales prices in our fair city, as detailed in Paragon’s April 2014 real estate market report. Today let’s get a little deeper into this subject.
The accompanying chart depicts median prices for San Francisco homes and condominiums. While the first quarter of the year does not typically show a major increase in median sales prices, this year was an exception. The first quarter saw dramatic spike in median prices for houses and in particular for condos in the city.
Looking at longer-term trends, San Francisco seems to be outperforming nearly every other market area in the country – with the exception of Silicon Valley, whose driving factors are very similar to what we’re seeing in the city.
Critically low inventory is definitely a factor here. As demand has continued to press upward, we’ve seen this as an issue ever since early 2012. While there is new construction in the pipeline, those properties are being spoken for extremely quickly and at very high prices.
Interested in neighborhood snapshots? Check out Paragon’s full collection of long-term analyses here.
Dreaming of San Francisco? Cece Blase offers local advice to San Francisco buyers, sellers and owners-- and feeds the dreams of those who wish they could live in Tony Bennett's 'City by the Bay.' Call 415-577-0809 or email firstname.lastname@example.org. www.ceceblase.com