SAN FRANCISCO—From November to December 2025, the housing market began a trend rising with the median home price in October, reaching $1.85 million, which was the highest since June 2022.
In early March 2026, single-family home prices have increased 23 percent year-over-year with a median price of $1.96 million and an average sale price of $2.65 million, according to data from Compass. While single-family houses’ prices have increased, condominiums’ prices have also increased as well to $1.36 million in March, nearly beating its own record of $1.375 million from 2022.
Reports from Compass and industry analysts shown the median house price has reached $2.15 million, which represents an 18 percent increase from 2025.
On March 23, 2026, the market was fueled by AI startup liquidity, which saw a median price increase to almost $2 million with the exceptional of some sales in the Inner Richmond District, closing at almost $2 million for over-asking.
The boom in AI firms such as Open AI and Anthropic, to name a couple, have caused an influx in high net-worth buyers, which caused a “proximity premium,” in neighborhoods within 20-minute commute of downtown San Francisco.
The number of homes for sale has remained low, which led to intense competition and fast sales. Buyers are increasingly utilizing cash from secondary market equity sales such as stock options to obtain homes.
