The market is back in a big way.

 

The San Francisco Bay Area has suffered significant challenges changes over the past 8 months, so it’s a pleasure to report that at least the real estate market is back to its former strength.

 

Each region of the Bay Area has accelerated its growth over the past two quarters: between Q2 and Q3, Marin has grown 111% in transactions and Sonoma is up 90%. In our region, the Inner East Bay, sales increased 64%.

 

 

The price of single-family homes has also increased, although the rate of increase is slowing. In fact, prices fell 3% in San Francisco between Q2 and Q3.

 

 

Sales are decreasing significantly in the North Bay, partially driven by fires and smoke. They are increasing significantly in the outer East Bay, Peninsula and South Bay.

 

 

In the Inner East Bay - from Hercules through San Leandro - single-family home sales spiked in Q3. It was the highest number of transactions since Q2 2019.

 

 

Prices are also up in the Inner East Bay, reaching a median of $900,000, an all-time high.

 

 

You can see how this breaks down by city and by bedroom count:

 

 

How are supply and demand affecting the pace of the market? In the Inner East Bay, the number of available homes is up 4% year-over-year. That’s a small but healthy increase. However, the number of properties that are under contract are up 29%, a significant increase. It’s a sign that even though inventory is low, it is not enough to keep up with buyer demand.

 

 

Despite the price increases in the Inner East Bay, it’s still less expensive than other, highly desirable areas. For example, a 3 bedroom single-family home or condo in Berkeley is 22% less expensive than one in San Francisco.

 

 

Like these charts? Want to see more? Download the complete Q3 report here or reach out for a custom report.