“San Francisco’s median house price is poised to surpass $1 million this year after setting a record in May, the California Association of Realtors estimates. The county is the only one in the state with values to set a new high, said Leslie Appleton-Young, chief economist for the group.”

“‘There’s an improved economy, consumer confidence and extreme lack of inventory, and people want to buy [in San Francisco],’ Alan Mark, president of Mark Co.”

“The San Francisco area had the biggest gain in home prices among 20 U.S. cities in the S&P/Case-Shiller index. Single-family house prices in April jumped 24 percent from a year earlier, compared with gains of 12 percent of the broader gauge, which was still the biggest advance in more than seven years.”

“’We ended up taking something that wasn’t our first choice,’ said [one buyer]. ‘We really wanted to be on higher floor, but if we waited we’d get priced out.’”

Moral of the story? It’s a great time to list your property for sale in San Francisco, and if you’re buying in San Francisco, you will have to concede on at least one of your “must haves”, or you’ll never get in.

–San Francisco’s Million Dollar Homes Spur Condo Surge [Bloomberg.com]