San Francisco Real Estate Market Update – October 2025 (September Data)
As we move into fall, the San Francisco real estate market is showing signs of renewed vitality and confidence. After a quieter summer, activity has picked up sharply following the Federal Reserve’s recent rate cut, which has given many buyers and sellers the push they were waiting for. With the promise of additional cuts projected for 2026, optimism is returning — and the data reflects it.
A Season of Fresh Energy
September traditionally brings a wave of new listings and increased buyer activity after Labor Day, and this year is no exception. The city’s unique blend of limited inventory and pent-up demand continues to shape the landscape, but momentum is building. More homes are hitting the market, more buyers are touring, and well-priced properties are receiving strong offers — often above asking.
Let’s take a closer look at what the numbers tell us.
📊 Single-Family Homes: Momentum Returns
The median sold price for single-family homes climbed to $1.73 million, a 16.7% increase from August and 7.5% higher than last year. Prices are up, but so is confidence — sellers are seeing solid demand while buyers continue to adjust to a shifting rate environment.
Homes are also selling faster: the average days on market dropped to just 25 days, down 24% from August, showing how quickly well-positioned listings are moving.
Inventory rose significantly — up 36.6% month-over-month to 261 active listings — giving buyers more to choose from while maintaining competitive conditions. Sellers received an average of 113% of their list price, underscoring how desirable homes continue to attract multiple offers.
This combination — more supply, strong demand, and motivated buyers — has re-energized the single-family market heading into fall.
🏙️ Condos, Lofts, and TICs: Signs of Strength
The condo and loft segment also saw a notable rebound. The median sold price increased to $1.1 million, up 10% month-over-month and slightly higher than last year.
Sales activity surged, with 214 units sold in September — a 15.7% increase from August and a 44.6% jump compared to last year.
Condos are also moving faster, with the average days on market dropping to 46 days, down 35% from the prior month. Sellers received 103% of their list price, showing that competitive pricing and thoughtful presentation continue to pay off.
This marks a strong turnaround for the condo market, which earlier in the year had been more cautious. Increased affordability and renewed buyer confidence are now driving stronger activity.
🔍 Neighborhood Highlights
Several districts stood out for their performance this month:
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District 5 (Noe Valley, Haight, Mission Dolores): Median price up 33% year-over-year to $3.05 million, reflecting strong demand for centrally located single-family homes.
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District 7 (Pacific Heights, Presidio Heights, Marina): Median price holding at $4.28 million, confirming continued resilience in the luxury market despite limited inventory.
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District 2 (Sunset and Parkside): Steady, sustainable growth with prices up 4% year-over-year, showing that move-in-ready homes on the city’s west side remain highly sought-after.
Across San Francisco, months of inventory remains tight — about 1.6 months for single-family homes and 3.3 months for condos — a sign of continued competitive conditions in most price segments.
💬 What This Means for Buyers and Sellers
For buyers, this fall presents a valuable opportunity. Interest rates have begun to ease, and inventory has expanded, giving you more choices than we’ve seen in months. However, prices are trending upward again, and competition is increasing — especially for turnkey homes and properties in desirable neighborhoods. Acting decisively and working with a knowledgeable local Realtor can make all the difference.
For sellers, the market is favorable. Homes are selling faster, often above asking price, and buyers are returning with renewed enthusiasm. With thoughtful preparation, strategic pricing, and effective marketing, this is an excellent time to list your property and capture the momentum before year-end.
🏡 Looking Ahead
As we head into the final quarter of 2025, San Francisco’s real estate market appears to be stabilizing after years of adjustment. The city’s enduring appeal — from its architecture and culture to its innovation-driven economy — continues to attract buyers looking for long-term value.
While broader economic trends such as inflation and mortgage rates will continue to shape the market, the fundamentals here remain strong: limited supply, steady demand, and high desirability across most neighborhoods.
🤝 Let’s Talk About Your Real Estate Goals
Whether you’re thinking about buying, selling, or simply exploring your options, now is the time to plan your next move strategically. I’m here to help you interpret the data, understand current market dynamics, and develop a plan that aligns with your goals.
📩 Let’s connect today!
