Continued high demand and general lack of inventory, much like we’ve seen all year, carried on throughout the fourth quarter — having a direct impact on price points all across the region. In fact, all four regions of the Bay Area experienced year-over-year gains in average sales price. The regional average sales price rose 7 percent from Q4 2016 to reach $1,070,938 this quarter. A total of 9,261 units sold in Q4 for an 8 percent increase. And with an average of 32 days on market (DOM) this quarter, the selling process moved along 14 percent faster than it did a year ago.
At $1.921 million, San Francisco had the highest average sales price for single-family homes in the Bay Area this quarter. The city’s top average was supported by a few upper end deals closing for $16.5 million, $13.75 million, and $11 million during the final weeks of 2017. That said, the largest concentration of sales in the city occurred within the $1-2 million price range this quarter.
The Mid-Peninsula recorded the region’s second highest average sales price in Q4 at $1.788 million, an 8 percent jump from the previous Q4 average of $1.659 million, as well as the highest fourth quarter average recorded in the last 10 years. San Mateo County’s total number of homes sold at 1,125 this quarter was also 23 percent higher than what it experienced in Q4 2016. The price point with the most activity this quarter was the $1-2 million range with 586 homes sold.
The East Bay again had the largest market share of all four regions this quarter. At $868,606, its average sales price was the lowest regionally, but still the highest recorded in the last decade. The 5,283 total number of homes sold this quarter represented 57 percent of the Bay Area’s market share by unit, and 46 percent by volume. Homes in the $500K to $1 million range experienced the most transactions, with 2,731 units sold in this category.
The North Bay also outperformed all previous Q4 benchmarks set in the last 10 years with an average sales price of $953,204 — up 3 percent year-over-year. The North Bay is similar to the East Bay in being a desirable and more affordable option for those looking to purchase outside of the city, and therefore also saw its largest concentration of sales occur within the $500K to $1 million price range this quarter. A total of 2,238 homes sold in the North Bay in Q4.
BAY AREA MARKET SHARE
The Bay Area netted $9.91 billion in total sales volume this quarter for the 9,261 total number of units sold. The East Bay accounted for 57 percent of all sales and 46 percent volume. The North Bay claimed 24 percent of units sold and 22 percent sales volume. The Mid-Peninsula was responsible for 12 percent of all sales and 20 percent volume. San Francisco accounted for 7 percent of units sold and 12 percent sales volume. Overall, all four regions of the Bay Area performed consistently with what we’ve seen in fourth quarter trends over the last few years.