Luxury home values increased in San Francisco, Los Angeles and San Diego in the second quarter of 2013 compared to a year ago, according to the First Republic Prestige Home Index™ by First Republic Bank, a leading private bank and wealth management company.
In the second quarter of 2013, the Index indicated the following:
- San Francisco Bay Area values climbed 10.9% from the second quarter of 2012 and 5.0% from the first quarter of 2013. The average luxury home in San Francisco is $2.9 million.
- Los Angeles area values rose 6.1% from the second quarter a year ago and 3.3% from the first quarter of 2013. The average luxury home in Los Angeles is $2.1 million.
- San Diego area values gained 8.0% year-over-year and 4.9% from the first quarter of 2013. The average luxury home in San Diego is $1.7 million.
“This was one of the best quarters in recent history for California luxury home prices in First Republic’s urban, coastal markets,” said Katherine August-deWilde, President and Chief Operating Officer of First Republic Bank. “Limited inventory and growing demand from both U.S. and international buyers are driving the market. Many properties generated multiple offers. It was a very strong quarter.”
First Republic Bank produces the Prestige Home Index each quarter with Core-Logic Case-Shiller, a leading provider of automated property valuation services and home price metrics to U.S. financial institutions. Historical results of the Index, which has tracked luxury homes since 1985, are accessible at www.firstrepublic.com. First Republic Bank is an active lender in the luxury home market for primary residences and vacation homes.San Francisco Bay Area Values The 10.9% gain year-over year was the largest increase in values since the fourth quarter of 2005. San Francisco values are now the highest since the fourth quarter of 2008 and are approaching the all time highs of 2007.