The Bay Area real estate market is showing clear contrasts between its regions. Silicon Valley remains one of the strongest markets, with median sale prices in San Mateo and Santa Clara counties rising over 10% year-over-year. North Bay also experienced price appreciation, with Napa County standing out at over 21% growth. However, the East Bay market is leveling off due to a surge in inventory, and while single-family home prices have held steady, condos have taken a notable dip. Meanwhile, San Francisco’s home prices continue to fluctuate around their two-year average, as inventory levels and demand move in sync.
Inventory Trends Vary Across the Bay Area
Inventory trends across the Bay Area are mixed. Silicon Valley saw a significant increase in available listings, with active inventory rising more than 16% compared to last year. The East Bay experienced an even more dramatic shift, with inventory up 40% year-over-year. In contrast, the North Bay is facing a supply shortage, with single-family home listings down over 12% annually, leading to continued competition among buyers. San Francisco presents a unique challenge, as its inventory continues to shrink, particularly in the single-family home market, where listings declined nearly 16% over the past year.
Homes Are Selling Quickly—But Not Everywhere
Despite varying inventory trends, homes in many parts of the Bay Area continue to sell quickly. In Silicon Valley, the average listing in Santa Clara County lasts just 8 days on the market, showing intense demand. Even in the East Bay, where inventory has surged, homes are still moving at a steady pace. The North Bay also remains highly competitive, with listings spending fewer days on the market in most counties—except for Napa, where homes are taking nearly twice as long to sell compared to last year. San Francisco remains split, as single-family homes sell at a premium, while condos linger longer on the market.
Seller’s Market Holds Firm, Except in Select Areas
Most of the Bay Area remains a strong seller’s market, particularly in Silicon Valley, where months of supply inventory (MSI) remains well below the three-month threshold that defines a balanced market. The East Bay also continues to favor sellers, though its rapidly growing inventory could shift that dynamic. In the North Bay, Napa is the only county that leans toward a buyer’s market, with nearly five months of supply available. San Francisco remains divided—sellers hold the upper hand in the single-family home market, where inventory is tight, but condo buyers have more negotiating power with over three months of supply available.
