San Francisco continued to experience strong buyer demand in October for both single-family homes and condo/loft/TIC’s, but not at the same level as in September. Buyers had different pricing appetites with single-family home buyers offering strong above-list-price numbers and condo buyers offering below-list-price numbers. The year-over-year sales price figures reflect this, with single-family homes up 3.1% and condos dropping 8.2%.
With the election behind us, buyers and sellers who may have paused in October are likely to re-engage the market. This is especially true given the incredibly low interest rates making buying affordable for so many. On the selling side, the passage of Proposition 19 will bring more long-time owners over 55 to the market to take advantage of their new property tax portability.
Unless the economy or interest rates change significantly, expect buyer demand to remain strong and single-family prices to remain high throughout the remainder of 2020 and into the first quarter of 2021. However, it is likely to require widespread use of a vaccine to alter the downward trajectory of condo sales prices.