Austin Klar breaks down how AI investment is fueling San Francisco's housing boom. New listings are down 11% while pending sales jumped 6%, pushing prices up 17% per square foot and 25% on average. Upcoming IPOs from SpaceX, Anthropic, and OpenAI could drive prices even higher.
AI money is breaking San Francisco's housing market. Year to date, we've seen an 11% drop in the number of new single-family listings, but a 6% increase in the number of pending sales. And that's constraining an already constrained inventory environment with a 30% drop in supply in relation to demand and a 50% increase in absorption. And that uptick in demand has caused extreme price appreciation. Price per foot up 17% year over year, average sale price up 25%, and median sale price up over 23%. Days on market is down 26%, with homes selling on average for 17% above what they're listed. And it's not just homes in the $10 million+ range. We're seeing it across the full spectrum, even homes under $2 million. Would love for prices to stabilize, but given the impending IPOs of SpaceX, Anthropic, OpenAI, and other companies, we probably have more upward movement to go if those things go in accordance with the hype. Share this with someone who's thinking of buying or selling a home in San Francisco and follow me for more San Francisco real estate.
North Beach used to be a beach, then this happened #sfhistory #bayarea #transformation
