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West Coast Condo Prices Continue Upward
The Wall Street Journal | 2014-01-17 16:57
（San Francisco condo prices increased 18% year-over-year in December, according to the Mark Company. Shown is the Bay Bridge with the San Francisco skyline in the background.）
West Coast condominium prices were up in December, with sale prices in San Francisco, Los Angeles and Seattle all rising at a double digit clip. The rise shows how the nexus of urban living, the booming technology sector and an influx of foreign buyers has condo demand outpacing supply.
According to the Mark Company, a real-estate marketing and sales firm that specializes in urban areas, San Francisco condo prices increased 18% year-over-year in December, to $1,034 per square foot. Condo prices in downtown Los Angeles also rose 18%, to $634 per square foot. Seattle was up 15% to $687 per square foot.
San Francisco, especially, has seen prices rocket back from the lows of the real estate bust.
“Three years ago the average price was in the mid-7s to maybe 8s per square foot. Now it’s pretty hard to find any new building under $1,000 a square foot,” said Alan Mark, the Mark Company’s founder.
Supply remains tight. Both San Francisco and Los Angeles saw their supply of new condos for sale fall more than 50%, and each have less than 100 units available.
Seattle saw inventory rise several times over, but that figure is misleading since essentially all of the supply came from one new project and there are just over 300 units on the market, Mr. Mark said.
The Mark Company’s pricing index is calculated using recent sales data to estimate the price of a new 10th floor, 1,000-square-foot condominium.
West Coast condominium prices were up in December, with sale prices in San Francisco, Los Angeles and Seattle all rising at a double digit clip. The rise shows how the nexus of urban living, the booming technology sector and an influx of foreign buyers has condo demand outpacing supply.
According to the Mark Company, a real-estate marketing and sales firm that specializes in urban areas, San Francisco condo prices increased 18% year-over-year in December, to $1,034 per square foot. Condo prices in downtown Los Angeles also rose 18%, to $634 per square foot. Seattle was up 15% to $687 per square foot.
San Francisco, especially, has seen prices rocket back from the lows of the real estate bust.
“Three years ago the average price was in the mid-7s to maybe 8s per square foot. Now it’s pretty hard to find any new building under $1,000 a square foot,” said Alan Mark, the Mark Company’s founder.
Supply remains tight. Both San Francisco and Los Angeles saw their supply of new condos for sale fall more than 50%, and each have less than 100 units available.
Seattle saw inventory rise several times over, but that figure is misleading since essentially all of the supply came from one new project and there are just over 300 units on the market, Mr. Mark said.
The Mark Company’s pricing index is calculated using recent sales data to estimate the price of a new 10th floor, 1,000-square-foot condominium.
