San Francisco’s market for single-family homes maintained its strong and steady status throughout the third quarter, with an average sales price that continues to grow and the trend of homes selling for way over asking that just won’t seem to go away. The city’s average sales price, at $1.655 million, was up 3 percent from last year’s $1.607 million benchmark in Q3 2016.
This quarter also marked the highest average sales price for San Francisco homes during a third quarter in the last 10 years. A total of 566 single-family homes sold in the city in Q3, resulting in a 5 percent increase year-over-year. More notably, the average home here sold 23 percent quicker than it did just a year ago, spending an average of 26 DOM this quarter. The story in San Francisco has more or less stayed the same throughout the year—with such limited inventory available and continued high demand—buyers are making quick decisions and attractive offers in the hope of getting what they want.
AVERAGE SALES PRICE BY NEIGHBORHOOD – THE TOP 10
Pacific Heights was home to six of the top 10 highest priced sales in San Francisco this quarter. However, the most expensive sale of Q3 was a $12-million home in Cow Hollow, pushing its average sales price to $5.012 million this quarter. Clarendon Heights had the greatest gain in average sales price, up 45 percent from Q3 2016.
SALES PRICE CHANGE
Sellers aggressively tested the market’s ceiling this quarter and many came out on top, as those requiring no price change netted 19 percent above the initial list price—the highest upward change in the Bay Area. Sellers who tested the market were only able to recoup 91 percent of their original ask.