The real estate boom appears to be slowing down. The paid median price of new and existing homes in San Francisco was $1,067,500 in January 2017, down 9.2% from January 2016 and 5.9% from December 2016. The major reason might be fewer new homes sold in January, only 58 compared to 159 homes last January. The mix of houses is also a reason. The median price of existing homes and condos were up 7.2 and 6.9 percent, respectively, compared to new condos down 8.9% from January 2016. Sales are under constraint due to low inventory.
Except for San Francisco, prices rose in every Bay Area county year over year, in some cases (Marin and Napa) by double digits. But the median price for the nine-county region rose a mere 1.6 percent because “a higher share of sales occurred in the more affordable inland stretches of the Bay Area. Plus, a higher share were resale condos and a lower share were newly built”.
Read more: SFGate SF home prices see big drop in January