listings

S.F. homes for sale at 15-year high as listings outpace buyers

San Francisco’s residential real estate market saw brisk activity from July through September with a steep increase in both sales and inventory, as a significant jump in buyers was not enough to keep up with the deluge of new condos and homes flooding the marketplace, according to a new report from the brokerage Compass.



a large body of water with a city in the background


© Nick Otto / Special To The Chronicle


The number of sales rose 30.2% compared to the third quarter last year, climbing from 1,151 to 1,499 transactions. But the number of listings is at a 15-year high, with a 10-month inventory for condos in some neighborhoods. Comparing September to the same month last year, the number of price reductions was up 172% for houses and condos combined. Of the price reductions, 80% were of condos.

Loading...

Load Error

“The issue the inventory is increasing so much faster than the sales rate,” said Patrick Carlisle, chief market analyst for Compass. “Any time you have this relatively huge overhang of supply, and demand is stable, you are going to see price reductions.”

The market was bifurcated: single-family homes did better than condos; large homes were more popular than smaller homes; and many downtown high-rise offerings languished while listings in more suburban neighborhoods tended to trade faster and slightly above asking price.

The contrast between the single-family homes and condos was apparent in price, how long a property sat on the market, and whether the asking price had to be cut to attract buyers. The median sales for single-family homes inched up year over year from $1.57 million to $1.66 million while condo prices lagged, dipping slightly from $1.275 million to $1.250 million. Single-family listings sold at an average of 102.5% of listing price while condos went for an average of 97.5% of listing price.

Even within the condo segment

Continue Reading

Home price growth accelerated in July as buyers competed for listings, Case-Shiller index shows

The numbers: Home-price appreciation maintained a fast pace in July as buyers flooded the market only to find few homes for sale, according to a major price barometer released Tuesday.

The S&P CoreLogic Case-Shiller 20-city price index posted a 3.9% year-over-year gain in July, up from 3.5% the previous month. On a monthly basis, the index increased 0.6% between June and July.

What happened: The separate national index released with the report noted a 4.8% increase in home prices across the U.S. over the past year.

Phoenix once again lead all other markets nationwide with a 9.2% annual price gain in July, followed by Seattle with a 7% increase and Charlotte, N.C., with 6% growth.

“Prices were particularly strong in the Southeast and West regions, and comparatively weak in the Midwest and Northeast,” Craig Lazzara, managing director and global head of index investment strategy at S&P Dow Jones Indices, wrote in the report.

Overall, the pace of price growth increased in 16 of the 19 cities Case-Shiller analyzed — the 20-city list did not include Detroit once again this month because transaction records for Wayne County, Mich. were unavailable, the report noted.

The big picture: The rise in home prices is the reflection of a “perfect storm,” according to
CLGX,
+0.32%

 deputy chief economist Selma Hepp. “The substantial swing in demand is driven by a need for indoor and outdoor space met by record low mortgage rates and a wave of millennials who were on the verge of buying – all competing for fewer and fewer homes on the market,” Hepp said.

While the Case-Shiller index displays slightly more modest price-growth, other measures of home prices suggest that buyers are paying record amounts for properties across the country. Last week, the Federal Housing Finance Agency released its monthly home-price index.

Continue Reading