Index for Bay Area Home Values Ticks up but Rate of Change Slows

The index for single-family home values at the bottom third of the market gained 1.6 percent in April, is running 11.3 percent higher versus the same time last year, and has more than doubled since bottoming in 2009, but it remains 15 percent below its 2006 peak.

The middle third of the market gained 1.6 percent in April, is running 8.5 percent higher versus the same time last year, has gained 80 percent since 2009, and is now 3 percent above its previous 2006-era peak.

And having gained 1.5 percent in April and 72 percent since bottoming in 2009, the index for the top-third of the market is now running 6.8 percent higher on a year-over-year basis and 19.7 percent above its previous cycle peak set in August of 2007. The year-over-year gain is second lowest since the fourth quarter of 2012.

The index for San Francisco condo values ticked up 0.8 percent in April to an all-time high which is now 22.4 percent higher than its previous cycle peak in October 2005 and 7.7 percent higher versus the same time last year, the smallest year-over-year gain since mid-2012.

Keep in mind April is the average of last 3 months before April. So we are looking at 6 months ago data. Still, there is pretty healthy YoY growth. Low end at 11.3%, middle at 8.5% and top at 6.8%. Condos also went up 7.7% YoY.

Comparing to past peak 10 years ago is not really fair as these are nominal prices, without taking inflation into account. Adjusted for inflation we are still way below peak.

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