San Francisco Metro Housing Market Report: March 2017

Double digit rental rate increases are driving rapid home price appreciation in San Francisco.

Historically, properties in this market sell at a 24.1% premium. Today’s premium is 11.4%. This market is 12.7% undervalued.

Median home price is $828,000, and resale $/SF is $532/SF. Prices rose 7.0% year-over-year.

Monthly cost of ownership is $3,815, and rents average $3,406, making owning $408 per month more costly than renting.

Rents rose 8.2% year-over-year. The current capitalization rate (rent/price) is 3.9%.

Market rating = 8