With new listings outpacing sales over the past holiday week, the inventory of single-family homes and condos listed for sale in San Francisco (770) ticked up 5 percent and remains 53 percent higher on a year-over-year basis versus 4 percent lower at the same time last year.
And with 325 of those active listings being for properties priced at under a million dollars, 37 percent of which are single-family homes, there are now more sub-million-dollar homes listed for sale in San Francisco at any time since 2013.
At a more granular level, the number single-family homes currently listed for sale in San Francisco (300) is now 38 percent higher versus the same time last year while the number of listed condos (470), which doesn’t include the vast majority of new construction units on the market, is up by 65 percent.
And in terms of reductions, such as for the rather stunning Telegraph Hill Penthouse which is now listed for less than the price which was paid 13 months ago, the share of active listings for which the asking price has been reduced at least once (19 percent) remains 5 points higher, year-over-year.
Correction: The number of sub-million-dollar homes listed for sale in San Francisco is the highest since 2013, not 2012 as first typed.
There is a substantial difference between 2013 and 2016: A good chunk of the <1m single family houses in 2013 were in the Mission or on Potrero Hill. In May 2016, there is one single <1m SFH in these neighborhoods. Most of today's listings are in the Bayview, Portola, Excelsior, Ocean View and the Sunset District. While I think these neighbourhoods are great, it would be erroneous to look at the numbers above and believe we are 'back to where we were in 2013'.
Nobody is trying to imply that we are back to 2013. The point is that there is a large and growing supply and the relative prices are even higher than 2013. It remains to be seen if it can all be absorbed without price reductions.