June 13, 2012
In this analysis, we look at San Francisco's house and condo sales in May 2012 from the perspective of homes selling with and without a price reduction and what effect those scenarios have on the percentage of asking price achieved in the sales price and on the average days on market (days on market = the time it takes a listing to accept an offer). Then we have the statistics on how many home listings sold above, at or under asking price, and how many expired without selling. Since May was a very hot market -- extremely high market demand and extremely low inventory -- the statistics are the most dramatic they've been in years, probably since the last peak of the market. The majority of listings are selling quickly at or above the asking price; this often reflects intense buyer competition for the same listing. However, even in a hot market, there are listings that are overpriced or poorly prepared and marketed: such listings either expire without selling, or go through price reductions, reducing their sales price to list price percentage and greatly lengthening their days on market.
Adjusting your screen view to Zoom 125% may make the charts easier to read.
Data from Broker Metrics and San Francisco Multiple Listing Service. It is deemed reliable, but may contain errors and is subject to revision.