And now, this month’s crunching of numbers is, as always, courtesy of the San Francisco Association of Realtors.
Normal spring increases in sales activity, coupled with relaxing COVID-19 policies, created a very busy March real estate market as buyer demand continued largely unabated in the face of rising home prices and mortgage rates. Existing home seller and new construction activity continue to remain below levels necessary to bring the market back into balance, pointing to a busy and competitive buyer market in the coming months.
New Listings were up 33.9% for single-family homes and 68.8% for Condo/TIC/Coop properties. Pending Sales increased 61% for single-family homes and 146.7% for Condo/TIC/Coop properties.
The Median Sales Price was up 10.6% to $1,742,500 for single-family homes but decreased 2.4% to $1,220,000 for Condo/TIC/Coop properties. Months Supply of Inventory decreased 32.1% for single-family units but was up 4.8% for Condo/TIC/Coop units.
While many homebuilders are working to increase their activity, the cost of lumber and other materials and a backlogged supply chain continue to limit new home construction and have increased costs substantially. New methods of construction, including 3D printed homes, could speed construction and reduce costs in the future, but realistically are several years away from making a measurable impact in the market.