San Francisco’s housing bubble is VERY different than bubbles in other cities. Why? Two reasons…first, San Francisco’s media home price is NINE TIMES higher than the national median home price. Even the least expensive home in San Francisco, say $700,000, is half this city’s median home price.
Second, San Francisco’s housing market is driven by new construction…new construction that is either condominiums or apartment towns that go up, not out, due to the city’s tiny geographic area of just 46.87 miles.
Contrary to housing bubbles in other cities, there are lots of homes for sale in San Francisco. Again, this bubble is driven by price, not lack of supply. But even in San Francisco, agents are beginning to see a limit in pricing as many asking prices are now being reduced frequently.
Take a look…
$4,999,000 – 2 bedrooms, 2.5 bathrooms, 1,993 square foot penthouse in a high rise building with 270 degree views of the City, Golden Gate Bridge, Bay, etc. With a down payment of $1M, 30-year fixed mortgage of +$20K/month, $5K property taxes/month, +$2K in HOA, water, utilities, mortgage insurance, etc. it would cost approximately $30K/month to live here.
$1.29M – two bedrooms, two bathrooms, 1,116 square foot condo that was sold 4/16 for $1.28M.
$2.29M – two bedrooms, two bathrooms, 1,512 square foot condo in the Ritz Carlton Residences. There are currently 5 units for sale in this one building. The building is just moments away from the Bay Bridge, a notoriously trafficked area in the City.
$1.625,000 – two bedrooms, two bathrooms, 1,181 square foot condo that was reduced to $1.699M in 2/17 from $1.78M. This building is just moments away from the Bay Bridge and horrendous traffic.
$738,000 – one bedroom, one bathroom 1,181 square foot loft.
$1M – single-family Victorian, two story home with nearly 3,000 square feet (partially boarded up) in Dolores Heights, an area that is gentrifying but in the throws of serious criminal activity.
$1,098,000 – two structures on one lot with “potential.” We all know what “potential” means.
$1.295,000 – two bedrooms, two bathrooms, 1,500 square foot condo that was reduced from $1.495,000 in 4/18.
$2.55M – 1906 building with 6 rental apartments. The building is rent controlled.
$3.3M – single-family home with a turret, 4 bedrooms, 3.5 bathrooms, 3,300 square feet
$698,000 – one bedroom, one bathroom condo reduced from $739,000
$798,000 – one bedroom, one bathroom in hill top 136 unit building.
$3.1M – three bedrooms, three bathrooms, 1,791 condo in building just blocks from Bay Bridge and, again, horrible traffic.
