San Francisco Real Estate Market Update – January 2019

For the first time in seven years, the trend line shifted from up to down for single family home sold prices in San Francisco. They eked out a 0.5% increase* for the year.

Likewise, median condo sold prices peaked in March and ended the year with an annual appreciation of 3.6%.

In retrospect, 2018 was probably the start of the leveling off of the very frothy San Francisco housing market. This is a natural part of the real estate cycle, as the affordability gap widens between rising prices and wage gains. Real estate is a highly cyclical segment of the economy and a seven-year run of rising prices is a very long up-leg on that cycle.

Because inventory remains critically low, it is still a seller’s market. Expect 2019 to remain highly competitive for buyers, but probably with less exuberant overbid levels.

Summary of the numbers for 2018*:

*based on a 3-month rolling average


Single Family Residences (SFR)


% Change Year-over-Year




% Change Year-over-Year

Median Sales Price (US $) $1,514,167 0.5% $1,203,000 3.6%
New Listings (#) 2707 4.1% 3636 2.1%
Homes Sold (#) 2216 -2.3% 2933 3.4%
% of Homes Selling Over List Price 75% -5.3% 57% 4.5%
% of List Price Received 110% -2.8% 102% 0.1%
Months of Inventory 2.0 17% 2.2 5.6%
Median Days on Market (DOM) 16 14% 25 0.0%