Bay Area Real Estate - Bay Area Homes For Sale | Zillow (2024)

FAQs

Are housing prices dropping in Bay Area? ›

The Bay Area housing market is one of the most expensive and competitive in the country, but in 2023, the frenzy settled down a bit. As interest rates hit their highest levels in 23 years and tech layoffs rippled through the region, buyers retreated and home prices saw declines.

Q2 (April-June) Pros: Traditionally, this is considered the best time to sell due to higher buyer activity. The weather is more favorable, which can enhance curb appeal and attract more foot traffic during showings.

The Woodlands neighborhood in Walnut Creek has become one of the hottest real estate markets in the Bay Area.

In San Francisco, an income of $339,864 is needed to comfortably afford a mortgage in the city, according to Zillow. The real estate marketplace company in its analysis found the income needed to comfortably afford a home is up 80% since 2020, while median income has risen 23% in that time.

In the San Francisco Bay Area, the outlook for home sales in 2024 remains robust, with projections suggesting stability compared to the previous year and possibly a slight increase.

Housing Market Forecast for 2024

“The market will move toward more of a balanced housing market in the second half of the year, but prospective home buyers will still face competition.” Though affordability obstacles persist for buyers, other indicators suggest that the market is tilting toward buyers.

The home-shopping season is expected to “follow a similar pattern” in 2024, meaning that June should be the best month to list a home, according to Zillow. That's largely due to the first in a series of mortgage rate cuts that's widely expected in June.

The worst time to sell a house is typically during the winter months, particularly in December, January, and February. During this period, bad weather can deter potential buyers from attending open houses, and many people are preoccupied with holiday activities and planning.

The pandemic-driven boost to prices should last until at least 2026, according to Bank of America. Housing prices are rapidly rising, and there's room for them to go even higher, according to Michael Gapen. The bank predicts that home prices will rise 4.5% in 2024 and 5% in 2025.

Of the five most expensive California suburbs, four of them are in the Bay Area. They are Los Altos, Orinda, Saratoga and Menlo Park. The average household income in the wealthiest U.S. suburb is $568,942.

What is the most unaffordable part of the Bay Area? ›

According to the Chapman University-led report, San Jose was the least affordable major US housing market in 2023 and the fifth least affordable housing market worldwide.

Climate. The Mediterranean climate in Oakland is rated the best in the United States; temperatures range from the fifties and sixties during the winter months to the seventies during the summer. Statistically, Oakland has the same number of sunny days as Orange County, California.

After looking at median rents, Consumer Affairs also found you'd need to earn more than $124,000 to live comfortably in San Jose, roughly $117,000 in Fremont and about $99,000 in Oakland. "Oakland is the only Bay Area city that does not require a six-figure income in order to live comfortably," Sowell said.

(KRON) — You can earn $100,000 a year and still be considered low-income in the Bay Area, according to a new report released by the California Department of Housing and Community.

Using the same threshold, a “rich” household in the San Francisco metro area would make at least $703,000 in 2022, according to census data compiled by finance website DQYDJ.

But while it has seen minor improvements in recent years, a report says, the San Jose area is becoming even more unaffordable. Among nearly 100 major house markets across the world, the San Francisco metro area was the ninth most-unaffordable region in 2023.

Report: SF Rents Still Coming Down, Despite Rents Going Up Pretty Much Everywhere Else Nationwide. The San Francisco rental market is still facing a sluggish recovery, which is great news for local apartment-hunters, as the median rent for a one-bedroom apartment in SF is now 3.3% lower than it was a year ago.

“The Bay Area economy went through a 'mini-recession' last year based on the revised job numbers,” said Scott Anderson, chief U.S. economist with BMO Capital Markets.

Housing prices are rapidly rising, and there's room for them to go even higher, according to Michael Gapen. The bank predicts that home prices will rise 4.5% in 2024 and 5% in 2025. Prospective home sellers should consider factors such as continued pandemic effects and mortgage rates.