As inventory continues to drop, the contradictions of today’s market are evident. Sellers should feel confident enough to list homes at fair prices and receive meaningful offers in a healthy residential real estate and overall economic environment. However, there may be lingering worry over the availability of move-in ready homes to replace what was sold. On a brighter note, building permits are trending upward signaling move-in ready homes will be available soon!
Demand is certainly present and has created competitive situations that have kept prices up. Rental prices are also up, which may lure more toward homeownership. New Listings were down 26.5% for single family homes and 21.7% for Condo/TIC/Coop properties. Pending Sales decreased 6.3% for single family homes and 1.7% for Condo/TIC/Coop properties.
The Median Sales Price was up 2.6% to $1,257,500 for single family homes and 1.4% to $1,060,000 for Condo/TIC/Coop properties. This is a steady trend indicating a leveling off of home prices in San Francisco. Buyers should be ready to strike when they find the ideal home. Well priced and properly prepared homes are still in high demand so Sellers should not hesitate to put their home on the market.
Read the full report here: SFAR MarketFocus – August 2016