Home Prices in Oakland's Luxury Market among the Fastest Growing in the U.S.
The pace of home price growth in Oakland's luxury market is considered one of the fastest among U.S. high-end real estate markets.
A report from The Real Deal indicated that Oakland's luxury market has seen big growth numbers in terms of median home sale price in the past 12 months. Oakland has even posted better numbers than San Francisco, which is known as one of the most expensive U.S. real estate markets. The Real Deal report cited data from real estate website Redfin, which looked at the home sale prices of properties in the top five percent of major real estate markets.
Oakland posted one of the most significant growth rates in the luxury market, with median home prices rising 8 percent in the past 12 months. The average home price in the city stands at $1.71 million. In San Francisco, the median home price growth in its luxury market rose to 3 percent, with an average home sale price of $3.99 million.
Apart from Oakland, California's Fremont also saw a 9 percent year-over-year increase, with the median home sale price at $2.01 million. Other markets with significant increases included Washington, D.C., Denver, Colo., Delray Beach, Fla., and Bend, Ore. These markets posted home sale price increases of 16 percent, 15 percent, 11 percent and 10 percent, respectively.
In the report, The Real Deal also cited Redfin agent Mia Simon's statement which explained the push behind Oakland's home price growth numbers. She stated that the city's mix of urban and suburban life in high-end neighborhoods helped to drive growth. Simon added that these areas usually have good elementary schools and great transportation options thst are luring homebuyers to the area.
Meanwhile, a report by the San Francisco Business Times also enumerated several projects and success stories that point to Oakland's development rise. The report cited the influx of construction in the city, which covers several real estate sectors such as residential, commercial, office and retail markets. On housing, around 3,811 units are expected to be built in the city.