Although neighborhoods like Bayview, Bernal Heights, and Glen Park are considered to be among the more affordable in the city, they have all seen tremendous appreciation over the past two years. Back in April 2013, the median price for a Bayview house was just $447,000. It grew by 7.4 percent to hit $480,000 in 2014 and then soared 31.2 percent to its current $630,000. Bernal, of course, has been widely talked about as a hot neighborhood, and its prices reflect that reputation. In April 2013, you could get a median Bernal home for just $880,000. That number grew by 31.2 percent to $1.154 million in 2014 and has now grown another 19.6 percent to hit $1.38 million this year. Glen Park has seen similar trends, growing from $1.205 million in 2013 to $1.835 million now.
What’s the cause of the this dizzying price appreciation? Even a high school student can explain it to you: Mr. Supply and Mr. Demand aren’t moving in parallel, and they haven’t moved in parallel for a long time. There are a whole lot of people who want a place to live in San Francisco, but there are very few places available for them to buy. Curbed looks at the issue citywide:
As always, low inventory is part of the issue in San Francisco. New listings this spring barely topped 600 per month, compared with about 700 per month last year and 800 two years ago. And while 3,454 new-construction housing units were completed in 2014, the most in the past 20 years according to Paragon’s tally of Planning Department figures, it still isn’t enough in a city where the economy is booming and new residents are flooding into town.
Bernal seems to have had a particularly low number of listings of late. According to this March 2015 summary by realtor and neighbor Danielle Lazier, there were just 9 properties listed for sale in Bernal in March, which represented a 53% decrease from the year before. And when houses do come on the market in Bernal, they tend to sell with neck-straining quickness. Neighbor Danielle’s data says that in March, Bernal homes sold after an average of just 15 days on the market, or 50% faster than a year before.