Median home prices in SF hit record high
Median home prices in San Francisco broke a new record, for the first time ever topping $1 million. That’s the first time that the nominal median—the figure at which half of all sales are above and half below—broke the seven figure barrier in the Bay Area. The year-over-year change in nominal median sales prices for the city was 13.3%.
Part of the jump comes from an influx of cash buyers, including what real estate agents are calling "Google kids," or folks with hefty stock compensation looking to get into real estate. There’s also an influx of investors from outside the United States, particularly China and the rest of Asian, who see San Francisco as a strong investment. The flip side—limited supply. The Chron quotes one real estate expert as saying, "The number of new units pales in comparison to the number of new jobs in San Francisco."
The cost of renting an apartment continued to increase, with a jump of 5.6% in the first quarter of the year to an average of $2,158. Without the addition of 2,171 units of housing in San Francisco, and many more in the region as a whole, over the last year, that increase would have been even higher. Just look at Oakland, which added no new apartment buildings at all in the last year, and saw its average rents jump 10.6% in the first quarter of 2014.
Congrats everyone! Working together we did it! $1M!
We have surpassed our arch-nemesis of Manhattan which is only $972k!
Quick! Everyone use uber to the nearest bar and break open the champagne!
Any predictions for next year? Will it be $2M or $3M?