Clients, friends, and colleagues:
As we move through June, the San Francisco housing market continues to show strong momentum, fueled by tech and Al-driven demand. Buyer activity remains robust across both single-family homes and condos, with competition intensifying in neighborhoods where inventory is scarce. The median single-family home price in May reached a record $2.2M, up 17% year-over-year, while median condo prices climbed to approximately $1,194 per square foot, signaling renewed strength after years of underperformance.
Active inventory remains limited, helping sustain competitive conditions and fast-moving sales, particularly for well-priced, well-positioned properties. Average days on market for single-family homes remained low at 18 days, while condo days on market hovered near 39 days.
Luxury markets continue to attract attention, with neighborhoods such as Pacific Heights, Presidio Heights, Russian Hill, and Noe Valley seeing strong pricing and buyer interest. Median prices in top-tier areas remain among the highest in the city, with some single-family homes exceeding $8-$9M and prime condo areas commanding over $1,300 per square foot.
Broader economic conditions are also influencing the market. Bay Area job creation is positive for the first time in years, attracting net inbound migration, while rising inflation and higher mortgage rates — currently averaging 6.6% — continue to shape buyer activity.
Even as the city dominates headlines, this surge is concentrated in a select section of San Francisco and luxury markets across the Peninsula and Marin, with other neighborhoods experiencing more moderate activity. The combination of constrained supply, strong tech-driven demand, and high-stakes competition continues to create opportunities for both buyers and sellers in the current market cycle.
Warmly,
Faye
