San Francisco house buyers battled it out for much of the second quarter as prices ticked up in our sellers’ market.
The average price of a single-family home jumped by four percent over the previous quarter, with an average citywide price of $1,832,323. Sales reflected the continued list-low, sell-for-more pattern, and many buyers didn’t hesitate to throw hundreds of thousands of dollars over the list price to win their home.
Finding a house for under $1,000,000 is a challenge, with only a few neighborhoods offering such inventory. Buyers need to look in the Outer Parkside, Bayview, Crocker Amazon, Excelsior, Visitacion Valley and Silver Terrace if they realistically want to purchase a home in this range.
Cash sales only accounted for 17.5% of reported house sales, down from the 25% we’ve been seeing for the past few years. However, many buyers are writing offers with terms typically reserved for cash sales, such as waived financing and appraisal conditions.
The condo market remained relatively flat, with an average citywide price of $1,310,747. Buyers paid an average of $1,062 per square foot in the last quarter. In fact, two-bedroom condos sold for an average of $1,329,741, while one bedrooms were $835,787.
Three-bedroom condos were an average of $2,019,591.
Where did buyers find condos for under $1,000,000? A dozen neighborhoods offered that option—Ingleside Heights, Noe Valley, Twin Peaks, larger buildings in Mission Dolores, the Mission, SoMa, Western Addition, Downtown, Mission Bay, the Van Ness corridor and South Beach.
The hottest neighborhoods in the second quarter were Mission Dolores, Noe/Eureka Valleys, Central Richmond, Pacific Heights, the Mission and Duboce Triangle—areas where buyers often overbid on condos by 20% or more.
New construction condos boosted inventory, with Mission Bay, SoMa, Lower Pac Heights, Hayes Valley, Potrero, the Mission, Van Ness corridor and South Beach offering up mid- and high-rise units in the $1,230-$1,300 per square foot range.