Market activity and demand – as defined by listings going into contract, speed of sale, and
overbidding of list price – rose in February. Unlike other Bay Area markets, San Francisco has not
seen a substantial increase in the number of homes for sale: The inventory of listings has
remained relatively stable on a year-over-year basis for the past 4 years. As has been the case
since the pandemic, the house market continues to be more heated than the condo market,
though luxury condo/co-op sales jumped dramatically in the first 2 months of 2025.

As of the first week of March, the latest inflation reading ticked up for the 4th month; the Fed kept its benchmark rate unchanged; interest rates fell for the 7th week; and stock markets saw 2 weeks
of significant declines. National and international politics continue to be characterized by constant
and unpredictable change, and enormous uncertainty. And consumer confidence in February
dropped across all age, income and wealth groups as expectations for personal finances and both
short-term and long-term economic conditions all declined (per the University of Michigan’s
February “Surveys of Consumers”).

We are now moving into the spring selling season, typically the most heated of the year, and not
unusually seeing the calendar year’s highest median home sales prices.