SF home sales move closer to asking prices

Hunting for homes in San Francisco can be demoralizing, especially knowing that a house might sell for much more than its listing price.

• But there's a positive trend for buyers — the gap between asking price and actual selling price appears to be shrinking.

What's happening: Single family homes in San Francisco sold for 8.6% over their list price on average in July, down from a 13.7% average overbid the same month in 2021, according to the San Francisco Multiple Listing Service, a database for realtors.

• Local agent Eileen Bermingham, who runs the Inside San Francisco Real Estate blog, confirmed these numbers with Axios.
• Similarly, condo sales in July averaged 1.5% over their asking prices, compared to a 4.4% average overbid last July.

What they're saying: "This tells me that the market is cooling a bit and may be coming down from a single-family home-buying frenzy," Bermingham wrote in a recent post.

By the numbers: 179 single-family homes sold in July compared to the 247 homes that sold in July 2021, according to MLS.

• The median sale price was $1.67 million, down from $1.85 million the prior year.
• As for condos, 196 sold in July versus 316 in July 2021 with median prices dropping slightly from $1.212 million to $1.202 million.

Of note: 36 homes and 9 condos still sold for over 20% of their asking prices in July.

What's next: Bermingham says buyers and sellers are often on vacation in August, which could lead to an uptick in activity post Labor Day.