June 3, 2013

San Francisco median home hits $1 million

San Francisco median home hits $1 million

The median price for a single family home in San Francisco hit $1 million in April — the highest level since 2007.

The new median price is a 32 percent jump from $760,000 last year.

Told you so. <mic drop>

If anything, I’m surprised it’s only 32%. If my math is correct, this really should’ve been 200%.

Let’s face it – have you seen how much money is out there right now? Just look around – everyone has a brand new Tesla. Everyone just got back from an amazing trip. Geeks no longer wear free t-shirts… it’s all about $400 selvedge jeans. The premium bikes. Paying top dollar for a PBR.

Madhaus calls this Bay Area Bubble 4.0. I disagree. I call this “FINALLY!!!!!”

My only hope is that we can undo some of these onerous government regulations, and bring back innovation into the lending space. It’s been too long since we saw the introduction (and squashing) of disruptive things like NINJA loans and neg-am loans. It’s time to bring these back.

With additional lending innovation, I think we can easily see a 200% increase in the median price in SF by next year. $2M is a much more reasonable price for such an amazing, disruptive area. Just wait until Box and Evernote IPO for $1.4T each. That’s right. You heard it here first.

2020

$6M median home price in SF.

I see it. Can you?

Comments (7) -- Posted by: burbed @ 5:02 am

7 Responses to “San Francisco median home hits $1 million”

  1. nomadic Says:

    You called it first, burbed. Good to see you make a ballsy prediction.

  2. Skippy Says:

    Did this blog really call the $1M median price in advance?

  3. Jb Says:

    Creative lending and new math = 6 million median home price. Just a few more IPOs … 2020 seems so far off….

  4. burbed Says:

    >Did this blog really call the $1M median price in advance?

    I think I might have called $1 trillion at some point… with a conservative annual growth rate of 32%, it will only take us 25 years to hit $1T median house prices in SF. Finally, we can beat Manhattan!

  5. nomadic Says:

    BTW, my comment was in regard to the new predictions.

  6. Zak Says:

    A million here and a million there and very soon it won’t be pocket change. That is when prices will stabilize.

  7. peanutbutter Says:

    Wow. A million bucks. I personally find it amazing seeing as how I seldom go to SF as I find it to be a pain in the ass to visit, cold, and in some parts a bit too trash-strewn and dirty. Fine by me as I could care less.


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