San Francisco once held the title of having the most expensive housing market in the Bay Area region, but it seems the city has been dethroned. San Mateo County recently overtook the City by the Bay with a median home price of $1.47 million, while San Francisco’s median home price comes out to $1.39 million, according to the San Francisco Business Times. This is the first time in a decade that San Mateo’s median home price has beaten that of San Francisco.

Those aren’t the only areas where home prices are well over the $1 million range. Santa Clara County, where development has been robust, as well as Marin County, also have high median home prices of $1.26 million and $1.25 million, respectively. Santa Clara County has the highest year-over-year growth in the Silicon Valley at 29 percent. 

As a region, the San Francisco Bay Area’s median home price is $980,000—not quite hitting the $1 million mark, but very close. This year also saw a 15 percent median price increase from last year, as well as a five percent sales activity increase.

REsidential neighborhood in San MAteo, CA / Shutterstock

The data shows that home prices are continuing to rise with no signs of slowing down, and the available inventory of affordable homes is quickly diminishing. From last April to the same month this year, the number of homes selling for prices between $2 million and $3 million increased by 35 percent. The data also shows that the market is highly competitive, with homes spending an average of only 11 days on the market. In addition, 75 percent of homes on the market sell over the asking price. 

As for which municipalities are experiencing the highest year-over-year increases in median home prices, most of the cities are in San Mateo and Santa Clara counties. The municipality with the highest year-over-year price increase was Redwood Shores. The 2018 median sale price is $1.58 million, and that’s a whopping 60 percent growth from last year’s number.

It’s safe to say that the Silicon Valley housing market isn’t cooling down and likely won’t in the foreseeable future. Many people across the region are also getting priced out of their homes, and with this recent report, it seems the trend will only continue.