Which of these neighborhoods is the most expensive in San Francisco?
(based on price per square foot for single family homes sold in 2022)
*trivia answer hidden in newsletter
Housing Market Got You Down?
It has been quite a roller coaster this year! The real estate market was super heated at the beginning of the year, cooled off dramatically in late spring, rebounded briefly during the summer, before becoming downright chilly in the fall. Rising inflation led to increasing interest rates, a falling stock market, and a crypto wipeout. All of that coupled with Democrats and Republicans both telling us that the end was nigh if we elected the other guys. Quite a year indeed.
Now that the election is over, everyone can breathe a sigh of relief. The world didn’t end! Magically, the world is mostly the same as it was before the election. The big difference in San Francisco is that we are now, for the first time in many years, in a buyer’s market for real estate! We have more than three months of inventory at every price band in SF. Some areas – luxury homes, condos (particularly downtown, South Beach, SOMA) – have more than six months of inventory. Homes that need work or cosmetic updates are also dominating the inventory as the few buyers that are in the market are being very picky.
If you are thinking about buying a home – this means you have a lot of inventory to choose from, you may be able to offer below list price, you can write offers with contingencies, and you have almost no competition. Heck, they might even throw in the ruby slippers!
If you are thinking about selling a home – now is the time to be patient. With the Fed likely at or near the end of their interest rate hikes, things should be looking much more promising next spring. This gives you time to get your home prepped and ready so that your new and improved, move-in ready home can sell quickly and get the best price.
Whatever you are thinking, just remember…there’s no place like home!
4 Bed | 4.5 Bath | 2 Parking
Positioned on the north side of Washington the residence sits elevated on an extra-wide & deep lot.
The driveway sweeps up the hill & allows for private & secure access. The efficient footprint enables light to enter from all sides w/prime Western & Southern exposures.
Located on a quiet tree-lined street in highly desirable Presidio Heights the residence delivers refined original character, enhanced by numerous upgrades for everyday living.
The grand-scaled home features classic traditional details inside & out that recall its 1924 heritage while freshly painted crisp white interiors, an updated chef’s kitchen, & well-appointed bathrooms with heated floors add modern luxury. Fresh air living & outdoor entertaining unfold on a spacious rear landscaped brick patio.
The 3-story floor plan is comprised of 4 bedrooms, an office, family room (potential 5th bedroom) & 4.5 baths. Traditionally arranged on the upper level are 4 bedrooms. Completing this spacious residence is a guest powder room off the entry foyer, wine cellar, large project/laundry room, plus separate entrance to the lower level adding even more lifestyle options to this flexible floor plan. 2 car s/s garage plus driveway will hold 5+ cars.
Convenient to Laurel Village & shops, cafes & restaurants on Sacramento Street.
Listed by Steven Gothelf at Sotheby’s International Realty
2 Bed | 2.5 Bath | 1 Parking
Situated in the highly coveted Little Hollywood neighborhood, this stylish townhome like condo has stunning views and easy access to Visitacion Valley, Portola, and Bayview!
Built in 2008, this tastefully designed two story home features 2 bedrooms, 2.5 baths, an open floor plan, a raised breakfast bar, a gourmet kitchen, and so much more! Head upstairs and you’ll find a spacious and stunning primary suite, complete with an en-suite bath.
This home also includes a gorgeously customized private patio that is perfect for entertaining or a quiet night in.
Don’t miss this amazing opportunity!
Listed by Jerry Rice and Jennifer Oldham at Compass
by Patrick Carlisle, Market Analyst for Compass
After a brief rebound in market activity in August, pursuant to what turned out to be a very temporary decline in interest rates and an associated rebound in financial markets, macroeconomic conditions shifted again — with interest rates climbing rapidly to a 20-year high — which took a toll on early autumn, Bay Area real estate markets. Though across the Bay Area, thousands of homes continued to be sold — a significant, but declining proportion still selling quickly over list price — the general trend was one of cooling demand, less competition, and declining sales. And, after years of conclusively holding the balance of power, sellers have reacted to the changing circumstances in different ways. Besides increased price reductions since spring, the number of new listings coming on market is well down year over year, and a much higher percentage of listings than normal is being removed from the market without selling. The economy and housing market remain in a period of adjustment, causing many people to be more cautious as they wait to see how things will settle out.
All these factors added up in San Francisco to October 2022 having the lowest number of October home sales since 2011. On a year-over-year basis, higher-price home sales of $3 million+ fell further (-43%) than the general market (-38%) in October.
The market now enters the 2-month holiday period which typically sees the year’s lowest levels of activity. The numbers of new listings and of listings going into contract usually plunge to their annual nadirs, and an increasing percentage of sellers, especially in higher price segments, pull their homes off the market to await the new year. (Many listings taken off market in November and December will presumably be delisted in Q1 2023.) Still, buying and selling continues, though at reduced levels, and this can be an excellent time for buyers to aggressively negotiate prices.
*Market dynamics and statistics vary by county, property type and price segment. Our reports are not intended to convince you regarding a course of action or to predict the future, but to provide, to the best of our ability, straightforward information and good-faith analysis to assist you in making your own informed decisions. Statistics should be considered very general indicators, and all numbers should be considered approximate. How they apply to any particular property is unknown without a specific comparative market analysis.
Click the above image or here for to view the entire report.
Benchmark Mortgage Rate Slipped Under 7 Percent, But…
The average rate for a benchmark 30-year mortgage ticked down 13 basis points over the past week to 6.95 percent, slipping back under 7 percent but still 125 percent higher than at the same time last year, over 160 percent higher than last year’s all-time low, and below its long-term average of 7.76 percent.
Mortgage rates are influenced by many elements, including the inflation rate, the pace of job creation, and whether the economy is growing or shrinking. The Federal Reserve’s monetary policy is a factor, too, and is set by the Federal Open Market Committee.
Trivia Question Answer:
A. Noe Valley – $1,446 per square foot
B. Presidio Heights – $2,029 per square foot
C. St. Francis Wood – $1,396 per square foot
D. Pacific Heights – $1,605 per square foot
E. Bernal Heights – $1,172 per square foot
Featured Sales – Seller Represented
Featured Sales – Buyer Represented
400 El Camino Real, Unit 421
Since Compass launched in 2012, we’ve been simplifying the real estate process one community at a time. Today, we have more than 350+ offices extending from coast to coast and a network of top real estate agents ready to bring you your buyer.
Please let me know if you or a friend/colleague needs a fantastic agent in an area other than San Francisco. Through my network I can make the connections and introductions and help to find a perfect fit. If you like what you have received, I encourage you to share it with your friends and follow me on Facebook & Instagram.
© Compass 2022 ¦ All Rights Reserved by Compass ¦ Made in NYC
Compass is a real estate broker licensed by the State of California operating under multiple entities. License Numbers 01991628, 1527235, 1527365, 1356742, 1443761, 1997075, 1935359, 1961027, 1842987, 1869607, 1866771, 1527205, 1079009, 1272467. All material presented herein is intended for informational purposes only and is compiled from sources deemed reliable but has not been verified. Changes in price, condition, sale or withdrawal may be made without notice. No statement is made as to accuracy of any description. All measurements and square footage are approximate. Equal Housing Opportunity. Photos may be virtually staged or digitally enhanced and may not reflect actual property conditions.