Here is the link to this month’s data charts: Market Report Flipbook

Dear Clients, Colleagues and Friends,

This Fall has been a frenzy, to say the least! We saw a lot of inventory hit the market right after Labor Day, which is typical for this season, but it has been sending buyers into overdrive with overbids, driving prices even higher than the comps that were set this past spring and summer. The market seems to have finally caught up to condominiums and tenancy-in-common properties (TICs), as we are now seeing 20% overbids on a regular basis. For example, a house-like condo listed in the Inner Richmond just sold for $1M over asking, and neither agents nor our clients were particularly surprised.

Our team has had multiple single-family homes go into contract for $1M-$2.6M above the asking price, and that trend doesn’t seem to be faltering – underpricing is king, and sellers should take note that the least successful listings we have seen sell this fall have been privately marketed, not staged, and transparently (or over-) priced. Today’s San Francisco buyers need some assistance to envision a neutral palette (in order to envision themselves living in the home), are driven higher in their bids by competition and public interest, and are confused and turned off by transparent pricing, with most assuming that a “transparent” price actually means 20% underpriced.

The rising mortgage rates are having an effect on the market, but on a smaller scale than you might anticipate. Properties in the $2M-$5M range, where you would typically see buyers getting a mortgage, are experiencing fewer bidders than we saw in the spring. There does, however, still seem to be that one all-cash buyer who is jumping ahead of everyone else and setting the new comparable for that neighborhood, leaving a lot of disappointed buyers in the dust. The difference is that in the spring there were three or four of those buyers (not one) for every hot property!

We still have some runway left in the Fall market, and despite the fact that we are hearing a lot about a wet El Nino winter, the forecast through Halloween looks dry and sunny, so we anticipate sales to continue at an active pace through mid-November. With the IPOs on ice for the moment, we are waiting to see when they will proceed and what effect that will have on spring sales. We are also seeing a lack of seasonality in our market over the past few years, so deals are still getting done in the middle of the holidays and/or in the typically rainy season of January and early February. If you haven’t found the perfect place yet or haven’t gotten around to clearing out your house to sell, don’t fret – the spring is around the corner, there will be more properties on the market and more buyers looking, and we are here to help!

Despite the feeling that the market was flooded with inventory after Labor Day (which it was if you compare it to the number of listings in August), active listings in September were actually 18% lower year-over-year for single family homes and 33% lower for condominiums. The number of closings rose 4% for single family homes year-over-year, and 92% of single family homes and 66% of condos closed for over listing price. A year ago, the average was 23 days to sell a home, and last month it was 16 days for houses, and 32 days for condos (down 28% from Sept 2025).

Median price per square foot of single family homes in certain pockets of the city has continued to soar. We used to think of $2000/foot for a home as a reasonable price for completely redone property with an ideal floorplan and new finishes; today, $2811 per square foot is the median sales price in Presidio Heights, $2701/sq. ft. in Russian Hill, $2390/sq. ft. in the Marina, and $2081/sq. ft. in Cole Valley – and plenty of those homes are not brand new renovations or ideal floorplans.

Condominiums are continuing to catch up; the median condo sales price increased 23% year over year, and particularly dramatic increases were seen in median sales price in neighborhoods that were hard hit during the pandemic due to their proximity to downtown or and/or a more urban feel: Telegraph Hill, Alamo Square, Haight Ashbury and North Waterfont (as well as, curiously, the Outer Richmond, which is neither close to downtown nor urban!). The neighborhood with the highest median price per foot was the Marina, at close to a whopping $2000/sq. ft. for condominiums!

Here is the link to this month’s data charts: Market Report Flipbook

Best,

Team Hatvany Kitchen

Nina, Natalie, Vanessa & Paul

San Francisco’s #1 Real Estate Team, 2017-2026