The net number of single-family homes and condos on the market ticked up another (1) percent over the past week as new listing activity continues to outpace sales, with 2 percent more inventory on the market than at the same time last year, 75 percent more inventory on the market than prior to the pandemic and over 30 percent more inventory on the market than average for this time of the year.
At the same time, while the average asking price per square foot of the homes on the market in San Francisco has inched back up a couple of points over the past couple of weeks to around $990 per square foot, perhaps driven by ongoing (mis)reports of a “surging” market, “resurgence” or “boom,” the average asking price per square foot of the homes that are in contract has inched back down a few points and is poised to slip back under $900 per square foot, driving the expectation gap between the two, which had dropped to near parity last month, back up to around 10 percent.
Once again, expect inventory levels to keep ticking up over the next month or two, putting additional downward pressure on prices, before taking a breather in August. We’ll keep you posted and plugged-in.