CFAH

Despite the fact that around 8 percent fewer properties were listed for sale in San Francisco over the past week versus the same week last year, with the pace of sales having slowed by roughly 14 percent, the current inventory of homes for sale in the city (704) remains 12 percent higher, year-over-year.

At the same time, the absolute number of active listings for which the asking price has been reduced (109) ticked up 20 percent over the past week and is currently running 18 percent higher versus the same time last year.

The number of homes on the market listed for less than a million dollars, including both houses and condos, remains at 42 percent, which is down from over 50 percent two months ago and should help boost the “median sale price” assuming an even distribution of closings.

If typical seasonality holds true, the absolute number of homes on the market with at least one price cut should continue to rise through the end of November, at which point unsold inventory will start to be withdrawn from the market driving the overall percentage of homes on the market with a reduced price higher through the end of the year.