For many, 2016 was tumultuous — politically, emotionally, and otherwise. But as far as San Francisco real estate goes, the year delivered a steady hand of comfort. “Balanced” would be our word for it.
Our experiences helping clients to buy and sell homes in Noe Valley and beyond matches the available data. Compared to years in the earlier part of this decade, the market evened out. There wasn’t as much turbulence as we’ve been used to. Prices dropped slightly and so did competition — particularly for higher end properties.
Where we once expected multiple offers on everything that hit the market, in 2016 we saw that settle some. Entry level properties, small condos, and real estate in prime locations continued to attract a flurry of bids but other, more expensive properties sometimes did not.
That’s a shift towards a more balanced market, but still one where property is at a premium.
Real estate is extremely valuable in San Francisco and likely will remain so for the foreseeable future. People are eager to get into the market here, and in Noe Valley in particular, but the sky is no longer the limit. Single-family homes above $3.5 million stayed on the market for far longer than before, for example. Many of those higher-valued properties sold for under the original asking price.
In contrast, the price for entry level Noe Valley single-family homes and condominiums remained as strong as we expected. We saw a healthy contingent of properties in our neighborhood sell for $1,100.00 to $1,250.00 per square foot.
Q1: $2,175,000 — up 17.7% from Q1 2015
Q2: $1,950,000 — down 4.9% from Q2 2015
Q3: $2,125,000 — down 7.8% from Q3 2015
(this was the only quarter in 2016 in which more condos sold than single-family homes)
Q4: $2,060,000 — down 1.9% from Q4 2015
For 2016, according to MLS, the median single-family home price in District 5 was $2,187,500. That maps well to the transactions we assisted with during the year, which was a good one for Droubi Team.
2016 continued our long string of strong performances. We represented buyers and sellers in 54 successful transactions, totaling $113,910,500.00. Of the 33 listings we represented during the year, 85% sold for over asking price. Droubi Team agents Lamisse Droubi and David Pennebaker were consistently ranked as the two top agents in Noe Valley, Glen Park, and District 5 as per MLS sales.
And that leaves us looking ahead to 2017!
For those of us who anticipate buying or selling San Francisco property during the year, we see clear skies ahead. The market should remain relatively balanced, with some peaks and valleys. As the country sees a new presidential administration come into power, San Francisco may increase in popularity as people seek out California’s more liberal politics. That could lead to a return to higher competition for property across the board but chances are that other factors will temper demand.
We wish you all a successful, joyful 2017. If there’s anything we can do to help you feel more at home, we remain your neighbors.
Happy New Year,
The Droubi Team