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SF housing market continues upswing

SF housing market continues upswing

San Francisco’s housing market continues to gain strength, real estate experts said, as declining inventory levels and strong sales activity took hold last month.

The median price for a single-family home rose for a third consecutive month in December, reaching $755,608. That is up 7.9 percent from December 2008, according to a report by the San Francisco Association of Realtors and the Rosen Consulting Group.

Even as the housing market improves, there is reason for caution, the report said.

“A number of factors could delay the further strengthening of San Francisco’s housing market,” the report said. The principal reason would be an increase in distressed properties that would add to housing inventory, putting downward pressure on prices. Another factor could be an increase in mortgage rates that may rein in home buying activity.