The San Francisco economy, which drives the Marin housing market, remains very robust, but more mixed, as evidenced by a cooling in the commercial real estate leasing market, where rents dipped in 2016 and the sub-leasing market was very strong with a number of companies reducing their footprint. Also, in the tech sector, industry job reductions increased by 21% in 2016.

Looking at Central & Southern Marin’s March sales data, we see that the median sales price hit a new high at $1,480,000 for single family homes while condos were virtually unchanged at $649,000. The number of single family home sales was virtually unchanged while condo sales dropped by 19%.

Of concern for buyers currently out shopping, the number of new single family home listings fell sharply in March, down 29% compared to March 2016. Condos dropped even further, off 42%. Therefore, inventory remains exceptionally low and it continues to be a sellers market.

As buyers got slightly more conservative, they lowered their offers on single family homes resulting in the median sales price dropping slightly from 99% of original list price to 98%. Condos, on the other hand, rose slightly from 99% to 100%.