Having ended 2017 at an all-time high, the S&P CoreLogic Case-Shiller Index for single-family home values within the San Francisco Metropolitan Area – which includes the East Bay, North Bay and Peninsula – inched up another 0.4 percent in January and is running 10.2 percent higher on a year-over-year basis with outsized gains at the lower end of the market continuing to drive the index overall.
And while the index for the bottom third of the market inched up 0.8 percent in January, to a mark which is now 11.7 percent higher versus the same time last year, the index for the middle third of the market inched up 0.6 percent and is running 10.5 percent higher on a year-over-year basis, and the index for the top third of the market slipped 0.3 percent in January but remains 9.4 percent higher, year-over-year.
At the same time, while the index for the top third of the market is still 29.3 percent above its previous peak which was reached in third quarter of 2007, the middle tier is now running 16.6 percent above its previous peak, and the index for the bottom third of the market, which had dropped over 60 percent from 2006 to 2012, is now back to within 0.2 percent of an all-time high.
And having inched up 0.6 percent in January, the index for Bay Area condo values is now running 7.7 percent higher on a year-over-year basis and 29.7 percent above its previous cycle peak in the fourth quarter of 2005.
For context, across the 20 major cities tracked by the home price index, Seattle, Las Vegas and San Francisco recorded the highest year-over-year gains in January, up 12.9 percent, 11.1 percent and 10.2 percent respectively versus a national average of 6.2 percent.
Our standard SocketSite S&P/Case-Shiller footnote: The S&P/Case-Shiller home price indices include San Francisco, San Mateo, Marin, Contra Costa and Alameda in the “San Francisco” index (i.e., greater MSA) and are imperfect in factoring out changes in property values due to improvements versus appreciation (although they try their best).