We talk a lot about rental prices and middle-income-earners these days, but the somewhat-better-off have it hard too! Those looking to buy a condo in San Francisco right now are going to find newly constructed ones in very short supply, and prices up 14 percent over the same time last year.
This data comes from a new report from The Mark Company, showing that the average price per square foot for a 1,000-sq-ft condo in S.F. is $1,011 (on the 10th floor), and $1,736 per square foot for a 2,000-sq-ft condo on the 30th floor, based on recent sales data. Both of those figures show a 14-percent rise over November of last year.
The price per square foot of resales is up 11 percent over last year at this time, at $816 per square foot.
Despite all the new construction happening, a lot of it isn't finished, so the current inventory of newly constructed condos is only 125 units, down 70 percent from this time last year.
Sadly, as we saw in 2008, if the bottom drops out of the economy we're not likely to see any drop in rents as condo prices fall, because people who are stuck in condos they can't afford will be suddenly thrust back into the rental market, creating more demand.