Rent keeps going up in San Francisco

SAN FRANCISCO, Calif. (KRON) – Is “pandemic pricing” behind us?

San Francisco real estate consistently made headlines throughout the pandemic. But since January, San Francisco rents have increased by over 17%, according to a national report from Apartment List.

For the month of June, rent prices in San Francisco went up 2.7%. This is the fifth straight month that the city has seen increases in rent.

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Apartment List Report

Currently, the median 1-bedroom price in San Francisco is listed for $2,329 and 2-bedrooms are listed for  $2,695. Consistent increase in rental prices may have you questioning: should you rent or buy?

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According to Compass Chief Market Analyst Patrick Carlisle, the SF housing market softened in the first 5-6 months after the pandemic struck, but then it heated back up.

Value for condos typically runs higher than that for houses. However, condo values are well below their peak, while house values have hit new highs, according to the Compass report.

Additionally, higher demand means a greater percentage of listings sell and sell more quickly.

There’s been a “rebound in overbidding.” The higher the percentage of sales closing over listing price, the higher the buyer demand. And the percentage of sales over original listing price in San Francisco is up 77%.

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Zillow economist Nancy Wu says that inventory in the Bay Area is up 6% and up 25.6% from last year.

Wu says the fact that more properties are hitting the market now could be a good thing for buyers who have been frustrated by constantly being outbid by other people who are willing to go far above the asking price and pay with cash.

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