Stop us if you’ve heard this before: San Francisco’s housing prices have climbed to new heights. Sound familiar? In the first half of 2015, the dollar per square foot paid for homes reached $1,415 in the Pacific Heights/Cow Hollow/Marina area, according to a midyear market report by
Paragon Real Estate Group. Close behind at $1,103 per square foot was the Noe Valley/Eureka Valley/Cole Valley area. For condos, Pacific Heights and the Marina were in third place at $1,134 per square foot, behind $1,148 in Russian Hill and Nob Hill, and $1,364 in South Beach, Yerba Buena, and Mission Bay.
“Some of the surge in condo values is explained by the many recently built luxury condo projects – which have been selling at premium dollar per square foot prices – that have been sprouting up around the city,” according to Paragon.
All of this is a huge turnaround from the bottom of the market, which was reached in 2011. Paragon reports that if someone had purchased a median-priced house in 2011, the expected appreciation in value over the past four years would have been $2.77 million in Pacific Heights, $1.2 million in St. Francis Wood, and $1.16 million in the Marina, all much higher than the overall San Francisco appreciation rate during that time of $560,000.