Bay Area median home price first annual drop since 2011

&gt; The median price paid for a single-family existing home in the Bay Area fell from $727,000 in 2006 to $430,000 in 2009<p>When people talk about the bay area housing market, it&#x27;s often said that it remained strong during the GFC. This fact seems to contradict that talking point.

This is an article from January 2020; not sure it is relevant in the current context.

I am not an expert in this. Feels like, we are in uncharted territory. I was looking at 2 main params to compare Covid crisis with 2007&#x2F;08 recession.<p>1. Case Shiller Index for SF area (higher the the value, higher the house price) <a href="https:&#x2F;&#x2F;fred.stlouisfed.org&#x2F;series&#x2F;SFXRSA" rel="nofollow">https:&#x2F;&#x2F;fred.stlouisfed.org&#x2F;series&#x2F;SFXRSA</a><p>2. Financial Stress Index (Ideally should be around 0. Higher the value means system is financially stressed) <a href="https:&#x2F;&#x2F;fred.stlouisfed.org&#x2F;series&#x2F;STLFSI2" rel="nofollow">https:&#x2F;&#x2F;fred.stlouisfed.org&#x2F;series&#x2F;STLFSI2</a><p>If you compare this against 2007&#x2F;08 crisis. The Case shiller index for SF hasnt dropped much at all, even though the stress index is pretty high. Not sure, what am I missing. Would love for HN folks to educate me on this.

In 2019. The demand in SF has actually gone up recently.<p>There really isn’t any incentive to sell unless you plan on buying more homes in the Bay Area on your sale. The tax hit is too high otherwise.

Don&#x27;t get too excited, borrowers have been more thoroughly vetted since the subprime crisis and everyone is familiar enough with the cycle by now that they&#x27;ll hang on to their houses at all costs, to enjoy the recovery. Barring foreclosures, don&#x27;t expect there to be a sudden wave of deals to be had.

We were able to refi, and now officially pay less for mortgage and taxes then we would pay to rent the same home.