SoMa-South Beach Market Update
More condos are sold in the South Beach/ Yerba Buena/ South of Market (SoMa)/ Mission Bay neighborhoods of San Francisco than any other area of the city. The market here is extremely hot pursuant to the same trends as the city as a whole: very high demand, very low inventory, rapidly appreciating prices – which jumped significantly in the second quarter. The great majority of condos that are sold have been selling without any price reductions and averaging a sales price 3 - 4% over asking price. Paragon has transacted almost $750 million in business in these neighborhoods, acting as agent in over 900 sales and leases.
Condo Sales $1,000,000 & Above The sales of higher-end condos surged in 2012 and then soared even higher in the second quarter of 2013. There is huge demand for the best condos in the best buildings. The drop in the first quarter is typical due to holiday season dynamics for higher end buyers and sellers.
Number of Listings Sold
In the second quarter of 2013, total sales soared while the number of distressed condo sales dwindled into insignificance.
Average Days on Market
As a market gets hotter, the average amount of time it takes for a new listing to go into contract usually falls, and that is exactly what we've been seeing in these neighborhoods and indeed all over San Francisco.