Purchased for $1,635,000 in May of 2014, the two-bedroom Onyx penthouse unit #406 at 415 De Haro Street, in the flats of Potrero Hill, returned to the market listed for $1,735,888 this past September, a sale at which would have represented total appreciation of 6.2 percent for the well-finished condo over the past 29 months, or roughly 2.5 percent per year.

Reduced to $1,695,000 in October and then delisted for a few weeks, the “stunning top floor, corner view residence…designed for buyers with exceptionally high standards,” with 1,274 square feet of space, two external storage units and deeded parking for one car, has just been re-listed for $1,575,000.

A sale at asking would now represent depreciation of 3.7 percent for the penthouse unit on an apples-to-apples basis over the past 32 months, mostly likely with a bit of appreciation on the front-end masking a larger loss over the past year (or two).

Comments from Plugged-In Readers

  1. Posted by Dave

    The prices for new condos are down almost 10% from their peak – IIRC. Existing condos have fared better and been mostly flat or up slightly in the past year. This may be a one-off, but perhaps we are seeing the drop in overall new condo prices slip over into the prices for existing condos? By this time next year the answer to that question will be apparent.

    [Editor’s Note: New condo pricing, which tends to be a leading indicator, is actually down 12 percent from a late 2015 peak.]

    • Posted by sfdragonboy

      Isn’t that exactly what happened to tract homes out there in suburbia when the market tanked? Why buy yours when I can go down the block and buy a brand new spanking one at great terms since they ain’t selling also? Existing owners end up taking major haircuts in order to get rid of them. I can see that happening here to a certain extent.

      • Posted by Dave

        Except the drop in prices was in new condos and not, as of now, existing condos. Part of it is supply but part too is I think that prices for new units have hit a celing. You don’t get all that much for a new 3 million dollar condo in SF.

        • Posted by SocketSite

          What metric are you using to track changes in existing condo values?

          • Posted by Dave

            I base it on overall prices in SF being up slightly this year – presumably driven by SFHs and existing condo sales. New condos being the exception to the general small increase in SF prices.

          • Posted by SocketSite

            Unless you’re working with a condo specific data set which is adjusted for mix and based on price per square foot, you’re likely being misled, and especially if you’re relying on a report based on changes in the overall median sale price.

        • Posted by NOPA

          Exactly. I know people talk as if there is unlimited demand for housing. But really, at these prices, there are only so many jobs with incomes that can support the price tag.

          • Posted by gentrified is a dirty word for clean

            Agreed. My condo has roughly doubled in value (based on Zillow and comps) in the 6 years since i bought it. My income has only grown by about 50% in that same timeframe. I could probably afford to buy it today at market price, but just barely and I don’t think I would.

    • Posted by moto mayhem

      this is still way overpriced for location and size

  2. Posted by Mr Pants

    I feel like SF has hit condo peak and people are not willing to pay the high prices along with (typically) high and ever rising HOA costs.

  3. Posted by MKP

    I almost bought a condo in July of 2015 in SF. thank god I kept getting outbid. in retrospect, that appears to have been the peak. it was a crazy time, people were just overbidding like crazy.

    instead we bought a condo in west oakland, where we also got into a minor bidding war but where we paid half the price we would have in SF. if current comps are anything to go by, west oakland condo prices appear to be up 7-10% in the last 18 months.

  4. Posted by AC

    I actually went to the open house. This is not an exceptional condo. It just isn’t. The bedrooms were very unimpressive and the living space is not that great either.

  5. Posted by Frank

    Come on this is just a realtor playing games lowering the price to drive a multi offer scenario. There is no way this unit will sell at that price.

  6. Posted by Joe

    Agreed with Frank. Socketsite, so gullible.

Comments are closed.

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