Since 2012, San Francisco's overall average sales price has shown tremendous growth year over year. With San Francisco leading the charge after the 2008 market recession, available inventory dwindled and sales prices climbed annually throughout the City. However, second quarter 2016 data from the San Francisco Multiple Listing Service reflected that, while the San Francisco real estate market remains vibrant and strong, there has been a shift in direction.
After seeing significant year-over-year gains, the average sales price throughout San Francisco for single-family homes fell slightly, 2.8 percent, decreasing from an average of $1.79 million in the second quarter of 2015, to an average of $1.74 million in the second quarter of 2016. In our review of seven major districts in the City, we found that the average sales price in the second quarter of 2016 for a single-family home decreased in five of them, compared to the second quarter of 2015. In four of the the seven districts we analyzed, the average sales price year-over-year for a condominium also saw a decline. Throughout the City, condominiums saw a 2.2 percent drop in average sales price, with the average sales price at $1.36 million in the second quarter of 2015, to an average of $1.29 million in the second quarter of 2016.