San Francisco rents are still stunningly expensive, but they seem to have plateaued — thanks to new construction, seasonal factors and the “Twitter effect.”
Article source: http://www.sfchronicle.com/business/networth/article/Finally-some-relief-for-Bay-Area-renters-7304699.php
A new study shows that San Francisco home prices declined last month for the first time in four years, prompting speculation that skyrocketing prices may finally be slowing.
Although housing prices are still among the highest in the country, the median home price in March dropped 1.8 percent to $1,042,500, according a study by Redfin, a real estate brokerage firm. Sales also nosedived 22.1 percent, while inventory experienced a 4 percent boost.
“For years San Francisco has been one of, if not the most, competitive markets in the country,” said Richardson. “Now we are seeing this white hot market start to cool and contract.”
Still, it might be premature for prospective homebuyers to celebrate. Bidding wars are still the norm in the San Francisco real estate market, with 77.5 percent of properties selling above the asking price in a matter of days. For example, homes in the Castro typically spent nine days on the market and sold for about 109% of their sticker price.
According to Richardson, those rancorous bidding wars might be to blame for March’s decline.
“It’s about buyers fed up with high Bay Area prices and crazy competition,” she surmised.
Article source: http://www.nbcbayarea.com/news/local/San-Francisco-Houses-Drop-in-Price-for-the-First-Time-in-4-Years-376636831.html
A new study shows that San Francisco home prices declined last month for the first time in four years, prompting speculation that skyrocketing prices may finally be slowing.
Although housing prices are still among the highest in the country, the median home price in March dropped 1.8 percent to $1,042,500, according a study by Redfin, a real estate brokerage firm. Sales also nosedived 22.1 percent, while inventory experienced a 4 percent boost.
“For years San Francisco has been one of, if not the most, competitive markets in the country,” said Richardson. “Now we are seeing this white hot market start to cool and contract.”
Still, it might be premature for prospective homebuyers to celebrate. Bidding wars are still the norm in the San Francisco real estate market, with 77.5 percent of properties selling above the asking price in a matter of days. For example, homes in the Castro typically spent nine days on the market and sold for about 109% of their sticker price.
According to Richardson, those rancorous bidding wars might be to blame for March’s decline.
“It’s about buyers fed up with high Bay Area prices and crazy competition,” she surmised.
Article source: http://www.nbcbayarea.com/news/local/San-Francisco-Houses-Drop-in-Price-for-the-First-Time-in-4-Years-376636831.html
SAN FRANCISCO, CA –(Marketwired – April 18, 2016) – McGuire Real Estate hosted an exclusive event on Monday morning at the City Club of San Francisco for the special release of Savills’ San Francisco Bay Area Spotlight Report, a new research publication from Savills World Research and McGuire.
More than 100 guests gathered to hear Yolande Barnes, Director of World Research at Savills, and Alex Buehlmann, COO of McGuire, deliver an in-depth presentation on the report’s findings and explain how the San Francisco Bay Area marketplace compares to other top-tier cities around the world. According to the report, San Francisco’s residential market was the strongest performer of major world cities in 2015, driven by a growing domestic economy, low levels of inventory and demand for urban living.
To get things started, Barnes explained that the fundamental strengths of San Francisco’s markets are assisted by the even faster rise of rents than capital values. “There is no investor-induced speculative bubble in San Francisco,” she said. “At a time when many of the world’s core, prime city markets have seen yield compression due to investor demand, San Francisco’s residential yields have moved out due to rental growth.”
The 2016 Spotlight Report takes a look at what’s driving wealth in the San Francisco Bay Area as well. It explains that rapid job growth in high-value industries is fueling demand for prime residential property by creating wealth and housing demand from new employees. Job growth has been led by the professional, scientific and technical services sector, incorporating many ‘tech’ related roles. For example, between 2000 (the ‘dot com’ peak) and 2015, Silicon Valley added 36,800 jobs in this sector, an increase of 31%. Meanwhile San Francisco added 81,500 jobs in the sector over the same period, a 77% increase.
When comparing top-tier cities globally, the 2016 Spotlight Report, shows that San Francisco has come up the rankings as the seventh most expensive city on price per square foot, behind Hong Kong, London, Tokyo, New York, Paris and Moscow. This trend emphasizes the increase of smaller cities competing on a global scale.
McGuire’s exclusive relationship with Savills, a global real estate firm headquartered in London, provides the company with direct access and expert insight into many of the world’s top performing real estate markets. Established in 1855, Savills PLC is one of the world’s largest global real estate service providers and has an international network of more than 700 offices and associates throughout the Americas, the UK, continental Europe, Asia Pacific, Africa, and the Middle East.
Click here to download the complete San Francisco Bay Area Spotlight Report from Savills World Research and McGuire Real Estate.
ABOUT SAVILLS WORLD RESEARCH
Savills World Research monitors global real estate markets and the forces that shape them. Working with Savills teams across the globe and drawing on bespoke and published data and market intelligence, the team produces a range of market-leading publications as well as providing bespoke research services to clients. Yolande Barnes leads the World Research team at Savills with 28 years of experience in property research. Her areas of focus are world cities, the impact of private wealth in real estate, emerging trends in real estate markets, residential and commercial, urbanism and mixed use issues.
ABOUT MCGUIRE REAL ESTATE
As a local, luxury boutique that focuses on the San Francisco Bay Area’s high-end niche markets, McGuire Real Estate is a privately held corporation that was founded in 1919. We are headquartered in San Francisco’s Marina District with offices in Noe Valley and South Beach — as well as Mill Valley, Berkeley, Burlingame, and Wine Country. McGuire is the exclusive international associate of Savills PLC, headquartered in London, and is a broker member of Luxury Portfolio® International, Leading Real Estate Companies of the World®, and The Enterprise Network. Our luxury, global, and industry affiliations allow us to connect our agents and clients to a world-wide marketplace with exclusive opportunities.
Visit mcguire.com for more information or contact McGuire Client Care at 1.800.4RESULT and clientcare@mcguire.com. Follow McGuire Real Estate on Facebook and @mcguire_re on Twitter, Instagram and Linkedin.
Image Available: http://www.marketwire.com/library/MwGo/2016/4/19/11G093994/Images/SFBaySpotlight1-b6190c50c1e7869781fdb685221234df.jpg
Image Available: http://www.marketwire.com/library/MwGo/2016/4/19/11G093994/Images/SFBaySpotlight2-a387dba49294ab438e3eec20739b9bdf.jpg
Article source: http://finance.yahoo.com/news/mcguire-real-estate-savills-world-035758290.html
The Bay Area housing market perked up in March as usual, but the median price paid for a home posted its lowest year-over-year gain in four years.
Article source: http://www.sfchronicle.com/business/networth/article/Reports-give-mixed-messages-on-Bay-Area-real-7258431.php
