The rise in average sales prices within this sector created for another strong output of more than $850 billion in total luxury sales, although sales volume wasn’t as pronounced as it has been in recent quarters.
The Mid-Peninsula topped all markets with its $4.631 million average sale up 13 percent year-over-year. Highlighting this activity were Atherton, Hillsborough and Woodside, which combined posted the top 13 sales within the region. This included a $35.3 million closing in Atherton and three additional Atherton sales that surpassed the $11 million mark. The Mid-Peninsula accounted for 36 percent of the Bay Area’s top transactions this quarter. With major tech companies located in close proximity to these desirable locales, it’s unlikely that this upward trajectory will let up anytime soon.
The North Bay also showed strong gains, with its $2.9 million average sale up 12 percent year-over-year. This was aided in large part by Napa County’s strongest quarter on record, as well as Marin County seeing its now-usual share of high-priced closings. The average 79 days on market (DOM) was also a 19 percent more aggressive pace than last year.
As with its non-luxury sector, the East Bay showed very standard and steady numbers. The $1.69 million average sale was right in line with recent market trends, as was the 511 luxury properties sold. The average 36 DOM rose slightly, most likely due to a few properties that had lingered on the market before finally closing rather than any sort of marked pace change.
Lastly, San Francisco’s $4.63 million average sale—while only up 2 percent year-over-year—was a dramatic 14 percent gain from the previous quarter. Such fluctuation is common in what is constantly one of the most in-demand and unpredictable real estate markets in the country. Overall sales and average DOM remained relatively stable with recent trends.
BAY AREA LUXURY MARKET SHARE
The Mid-Peninsula continued to provide the lion’s share of luxury activity, recording 34 percent of all sales and 36 percent of cash volume at $856.793 million. The North Bay and San Francisco followed, both posting 22 percent of the market’s sales and 23 percent of its cash share by volume. The East Bay also recorded 22 percent of all sales, and generated 18 percent of total cash share. This activity amounted to a strong $2.364 billion in total sales.