SAN FRANCISCO MARKET UPDATE | Q2 2020
With the effects of the global COVID-19 pandemic putting a strain on our daily lives, economy, and policies, multi-unit buildings, and San Francisco rents in general were hit exceptionally hard. Sales dropped significantly following the March shelter-in-place order and ensuing mass unemployment. Despite this, June did see an increase in inventory, sales, and median sale price, with the quarter recording a yearly gain in median sale price for both 2-4 unit and 5+ unit buildings.
Looking closer at key metrics for 2-4 unit buildings, despite the drastic drop in sales numbers, the median sale price, days on market, price per square foot, and price per unit all trended healthier than Q2 of 2019 and 2019 as a whole.
There were only seventeen 5+ unit buildings sold last quarter; though, like smaller buildings, key metrics such as median sale price, days on market, price per square foot, and price per unit recorded greater than last year.
Mortgage rates dipped below the unprecedented 3 percent mark with FreddieMac commenting, ‘Mortgage rates fell below 3 percent for the first time in 50 years. The drop has led to increased homebuyer demand and, these low rates have been capitalized into asset prices in support of the financial markets.'
There were only seventeen 5+ unit buildings sold last quarter, though like smaller buildings, key metrics such as median sale price, days on market, price per square foot, and price per unit recorded greater than last year.
YEAR-OVER-YEAR COMPARISONS
