Market Report - August 2025

As we step into the fall selling season, historically one of San Francisco’s busiest, August’s housing numbers offer a fascinating snapshot of how our market is evolving.

🏠 San Francisco Housing Market Update - August 2025

Single-family homes: Median price slightly down year-over-year but up year-to-date.

Condos/Co-ops/TICs: Median price slightly down year-over-year but up year-to-date.

All properties combined: Median price up 1.6% year-over-year

At first glance, this may seem puzzling. If both single-family and condo/TIC prices declined, how did the overall market median rise? The answer lies in the sales mix. This year, more higher-priced single-family homes closed compared to last year. That shift lifted the combined “all properties” median, even though each property type individually softened.

📈 Signs of Renewed Momentum

Nearly 70% of homes are selling above asking, with sellers receiving over 113% of list price, a clear sign of strong competition, especially in the single-family segment.

Mortgage rates are now at a 10-month low, creating fresh opportunities for buyers. You may have noticed the Fed’s recent rate cut barely moved mortgage rates, since the adjustment was already priced into prior week's forecasts.

San Francisco continues to benefit from the AI boom and shifting return-to-office policies, adding further demand in key neighborhoods.

Combined, these impacts, lower rates, tighter inventory, competitive bidding, and tech-driven growth, are setting the stage for a dynamic close to the year.

✨ Bottom Line for Clients

Buyers: Condo/TIC markets may offer strategic opportunities, while lower rates help affordability.

Sellers: Well-positioned single-family homes remain highly competitive, often selling above asking.

Everyone: Median price headlines don’t always tell the full story, what sells, and at what level, shapes the bigger picture.

If you’d like to explore what this means for your neighborhood or property type, or if you're planning your next move, let's connect and discuss. I’m here to help! 🏠

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