Condominium Median Sales Price Surpasses $1 Million in San Francisco, Strong Demand Counters Limited Inventory
Posted by Cathy Harrington — April 25, 2013
San Francisco, CA – An ongoing shortage of inventory and continued strong demand nudged the median price of an existing condominium home sold in the City of San Francisco past the $1 million mark in the first quarter of 2012, according to an analysis of MLS data by the research division of Better Homes and Gardens Mason-McDuffie Real Estate.
Citywide, the median price of a condominium home rose to $1,106,575, up 52 percent from 729,880 in the first quarter of 2012 and 23 percent higher than in the fourth quarter of 2012, when it was $896,832. For the second consecutive quarter, all 10 districts included in the analysis reported higher home sales prices on an annualized basis, with eight of the 10 registering double-digit sales increases. The median sales price jumped by 49 percent year over year in District 2 (Sunset), 39 percent in District 9 (Inner Mission/Potrero Hill/South of Market), 31 percent in District 3 (Stonestown/Ingleside/Oceanview), 26 percent in District 8 (Nob Hill/Russian Hill/Telegraph Hill), and 21 percent in District 10 (Bayview/Excelsior/Visitacion Valley).
A limited inventory of homes available for purchase continued to be the dominant factor. Citywide, only 244 existing condominium homes were available on March 31, 2013, the final day of the first quarter, down 43 percent from 430 condominium homes available on the same date in 2012. Competitively priced homes in move-in condition were snatched up by anxious homebuyers almost as fast as they came on the market. On average, a condominium home was on the market only 39 days before attracting a final offer to purchase, down from 47 days in the fourth quarter of 2012 and 70 days in the first quarter of 2012. Average days on the market ranged from a low of 16 days in District 3 to a high of 82 days in District 10.
Citywide, 496 condominium homes changed hands in this year’s first quarter, down from 612 in the fourth quarter of 2012 but up slightly from 485 homes sold in the first quarter of 2012. District 9 reported the greatest number of condominium home sales with 166 (+27% for the year), followed by District 8 with 73 (-26% for the year), District 7 (Marina/Pacific Heights/Cow Hollow) with 66 (+32% for the year), District 5 (Glen Park/Haight Ashbury/Noe Valley) with 64 (-15% for the year), and District 6 (Hayes Valley/Western Addition) with 52 (+27% for the year).
According to Jim Caldwell, Manager of the San Francisco office on Union Street, “With the peak spring and summer home market under way, favorable mortgage interest rates and the desire to act now before prices go any higher may attract additional buyers.” Homebuyers with bank financing must act quickly and be prepared to make their case in situations where they are competing against investors or other buyers with cash. Current homeowners – especially “baby boomers” who have been awaiting an opportunity to downsize for retirement or right-size their real estate portfolio for tax or estate planning purposes – may discover that low inventory and rising home values offer a window of opportunity to sell in the coming months. However, sellers looking to relocate to another home in The City should recognize that limited inventory and multiple offers could make their home search a challenging one as well.
First Quarter 2013 Housing Market Survey – San Francisco Condominiums
San Francisco County
First Quarter 2013 Housing Market Survey – San Francisco CondominiumsArea
San Francisco District Guide:
District 1 - Central Richmond, Inner Richmond, Jordan Park/Laurel Heights, Lake, Outer Richmond, Sea Cliff, Lone Mountain.
District 2 - Golden Gate Heights, Outer Parkside, Outer Sunset, Parkside, Central Sunset, Inner Sunset, Inner Parkside.
District 3 - Lake Shore, Merced Heights, Pine Lake Park, Stonestown, Lakeside, Merced Manor, Ingleside Heights, Ingleside, Oceanview.
District 4 - Balboa Terrace, Diamond Heights, Forest Hill, Forest Knolls, Ingleside Terrace, Midtown Terrace, St. Francis Wood, Miraloma Park, Forest Hill Extension, Sherwood Forest, Monterey Heights, Mount Davidson Manor, Westwood Highlands, Westwood Park, Sunnyside, West Portal.
District 5 - Glen Park, Haight Ashbury, Noe Valley, Twin Peaks, Parnassus/Ashbury Heights, Buena Vista Park, Corona Heights, Clarendon Heights, Duboce Triangle, Eureka Valley/Dolores Heights, Mission Dolores.
District 6 - Anza Vista, Hayes Valley, Lower Pacific Heights, Western Addition, Alamo Square, North Panhandle.
District 7 - Marina, Pacific Heights, Presidio Heights, Cow Hollow.
District 8 - Downtown, Financial District, Nob Hill, North Beach, Russian Hill, Van Ness/Civic Center, Telegraph Hill, North Waterfront, Tenderloin.
District 9 - Bernal Heights, Inner Mission, Mission Bay, Potrero Hill, South of Market, South Beach, Central Waterfront.
District 10 - Bayview, Crocker Amazon, Excelsior, Outer Mission, Visitacion Valley, Portola, Silver Terrace, Mission Terrace, Hunters Point, Bayview Heights.
Note: Home sales and median price data are for resale condominiums only. New construction, lofts and tenant-in-common properties are not included in this report.
* Days on market is the number of days a property was listed on the market until it went under contract at its final listing price. This may not reflect previous listings.
**The median home price for the entire county is the mean of median home prices of districts within San Francisco County.
Data are sourced from multiple listing services and are deemed reliable but not guaranteed. All percentages rounded to nearest whole number.
Produced by the Research Division at Better Homes and Gardens Mason-McDuffie Real Estate.
About Better Homes and Gardens Mason-McDuffie Real Estate
Our heritage began with the founding of Mason-McDuffie Real Estate in 1887. In 2010, the company was named the 19th largest real estate services firm in the nation (REALTrends 500), and Number One in the San Francisco East Bay (SF Business Times). The company provides comprehensive solutions to home buyers and sellers, and handled 6,500 transactions in 2012, generating $2.8 billion in sales volume. Better Homes and Gardens Mason-McDuffie Real Estate includes joint ventures with partners Highland Partners in Piedmont and Montclair, Wine Country Group Realtors in the North Bay, and Tri-Valley Realty in Pleasanton-Hopyard and Ruby Hill, and Bahay Co. in Concord. Better Homes and Gardens Mason-McDuffie Real Estate is locally owned and has more than 1,100 real estate professionals with 30 offices in eight counties in the Bay Area and the Tahoe/Truckee region. For more information, go to www.bhghome.com