May saw median home prices drop in San Francisco. This was particularly true for condos and lofts, which saw home prices drop by more than 10% and months supply of inventory reach a high not seen since 2011. Keeping in mind that sales are typically a reflection of the market 30-60 days prior, these prices reflect what came on the market in March - April timeframe, which was the beginning of the pandemic and shelter-in-place. So it remains to be seen whether these statistics are a temporary blip or a sign that the market is at least temporarily shifting more to buyers' advantage.
Median Sales Price:
The median sales price for single family homes decreased 3.4% compared to the last May, and also decreased compared to last month, dropping to to $1,627,500. This is partly due to a decrease in home buying in the higher end price points. Condos and loft prices tumbled further, down almost 11% year-over-year and also down compared to last month, landing at $1,100,111. It's also important to note that this was based on a much smaller number of closings than we would normally see in May.
Not surprisingly we're still seeing year-over-year decreases in new listings, particularly for single family homes. Sellers, worried about the shelter-in-place, and in some cases unable to put their property on the market if owner-occupied due to SIP rules, held off on listing their homes. New listings for single family homes were down 36% year-over-year, while condos and lofts were down 6.8%. June is already looking a bit rosier. We'll have those statistics in a couple of weeks.
Active listings are the properties still available on the market at the end of the month. In May single family home active listings were up 8% while condos and lofts were up 29.6%. This shows homes in May were not selling as quickly as they have historically.
Sold listings were down year-over-year in May, though comparable to last month's sales. Again we're seeing the result of fewer homes on the market compared to last year. May is typically the height of the Spring season, but COVID and the shelter in place changed that in 2020. What will be interesting to see is if the Spring selling season is skipped this year, or just pushed back to later this Summer or Fall.
Percentage of Properties Sold Over List Price:
Fewer than two-thirds of single family homes sold for over their list price in May compared to the same month last year. Fewer than half of condos and lofts sold for over their list price. Clearly in May buyers faced less competition and did not have to overbid as frequently.
Average Percentage Over List Price Received:
As seen above, fewer homes sold over list price meaning that buyers did not have to overbid aggressively to get their new home. Single family homes sold for an average of 106%, down 6.3% compared to last May. Condos and lofts sold at 101% of their list price on average, down 6.2%.
Months Supply of Inventory:
MSI went up for both single family homes and condo/ lofts. This illustrates again that homes were not selling as quickly in May as inventory stayed on the market. There was 3 months of inventory for single family homes in May, up 15% compared to the same month last year and the highest we've seen since September 2019. Condos and lofts had 4 months of inventory, up 42.9 year-over-year and the highest we've seen since April 2011.
The fine print: All information deemed reliable but not guaranteed or warranted. Data comes from MLS so does not include off-market and most new construction condo sales. The San Francisco real estate market is dynamic so statistics can change on a daily basis. These statistics are meant to be a snapshot of the day and time they were pulled.