Driven by a jump in the cost of debt, back to historical norms, and an associated drop in values that sellers are either unable or unwilling to accept in order to move up, over or out, the net number of single-family homes and condos on the market in San Francisco dropped 10 percent over the past week and is down over 20 percent versus the same time last year.

That being said, listed inventory levels are still 30 higher than average over the past decade, 70 percent higher than prior to the pandemic, and over twice as high as in 2015, with over a third of active listings having been reduced at least once and the average asking price per square foot of the homes which are in contract down around 7 percent on a year-over-year basis (and poised to drop back under $900 per square foot). We’ll keep you posted and plugged-in.

3 thoughts on “Number of Homes on the Market in San Francisco Drops”
  1. I have noticed houses listed way above their Zillow estimate. They tend to sit while small reductions in price are made every few months. They seem to be having a hard time realizing the market has changed and no one is going to offer over asking. It’s almost sad to watch.

    1. I noticed this as well, and it’s not limited to Zillow. You can compare initial asking against other automated valuation providers such as Quantarium or Collateral Analytics and see the same phenomenon.

  2. For what it’s worth, that 1,375 ft.² penthouse Apt on Bush St. in Lower Pacific Heights we were talking about here last month appears to have gone Contingent.

    Apt 408 in the same building, on the market since late April asking $1,349,000, doesn’t appear to have moved. Apt 405, which had it’s asking price reduced to $1,239,999 at the end of last month, and Apt 411 in the same building, which went on sale last month after last trading hands for $1,460,000 during the Summer of 2021, are both still available as well.

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