Sales prices decline for the first time in four years.
With new homes being advertised as starting in the low millions, a 110-year-old decomposing wood shack listing for $350,000, and a desperate designer paying $508 a month to live in a box in someone else’s apartment, San Francisco has been the poster city for real estate prices unchecked. Tech money has fueled a demand for space that has pushed prices to the highest in the country.
But things may be taking a turn toward sanity. According to online real estate brokerage Redfin, the median sales price of a house in San Francisco fell between March 2015 and March 2016. That was the first year-over-year drop since 2012. The median final sales price of a home, which had jumped by 15% throughout 2015, dropped 1.8% to $1,042,500 in March, compared to the same time last year. The number of homes sold dropped by 22.1%, showing that fewer people bought homes this March than in the same period in 2015, suggesting that demand is slowing.
Read more: Fortune San Francisco Housing Prices Finally Are Starting to Drop