Don't call it a comeback? Pricey condo sales have been here for years, but 2013, so far, has ushered in renewed fervor the likes of which this city hasn't seen since the bubble popped in 2007. January median sales data offers proof. San Francisco real estate agent Luba Muzichenko reports that the median sold price for all 132 sold condos in 1/2013 was $772,500. Compare this year-over-year: in January of 2012, 135 condos sold at a median of $605K "Quite a frickin' jump," comments Luba. An interesting aside here: based on 149 single-family homes sold in the same period, the median was $745K, almost $30K less than the condo median. And sales are quick. We've noted the Madrone at Mission Bay selling out early this month, and that One Hawthorne is down to only one penthouse unit as of last week. In January, 829 Folsom was almost sold out, as was 411 Valencia. This chart, via Paragon Real Estate Group, shows the average days on the market for single-family homes, condos, and tenancy in common (TIC) units. All have dramatically declined.
Low inventory plays into all this, of course, transforming condo buying into a competitive sport. Again, the tenacity of the condo buyer must rival that of the single-family home buyer in San Francisco, including a willingness to over-bid on a particular listing. Paragon also notes the percentage of properties selling for over asking from December of 2012 through January of 2013. Here too condos are clearly enjoying similar popularity as single-family homes.
All in all, our analysis is simple: San Francisco suffers, once again, from condomania.
· Luba Muzichenko [official site]
· The Crunch in San Francisco's Real Estate Market [Paragon Real Estate Group]
· Madrone Mission Bay: Sold Out [CurbedSF]
· The Penthouses at One Hawthorne [CurbedSF]
· Get the (Last) 411 [CurbedSF]
· 829 Folsom: Almost Sold Out [CurbedSF]