The Bay Area housing market is heading into spring with a mix of momentum and caution, as prices, inventory, and buyer demand continue to shift differently across each local market.

SoMa Tower Delay
A major housing project in downtown San Francisco just hit another delay. Developers are requesting an entitlement extension for a planned 27 story residential tower at 469 Stevenson Street in SoMa after construction never began following its 2023 approval. The proposed building would rise 290 feet and include about 535000 square feet with 425 homes, ground floor retail, and 30000 square feet of open space near 5th and 6th Street.

Del Monte Collapse
A major California food industry collapse is hitting farmers and workers hard. Del Monte Foods plans to permanently close its Modesto and Hughson canning plants by April 7 after filing for bankruptcy, laying off hundreds of employees including 571 workers in Modesto. The shutdown also threatens Central Valley peach farmers who had long term contracts with the company, leaving an estimated $550 million in lost revenue and about 75000 tons of peaches without a buyer.

San Jose Affordable Housing
San Jose could be getting nearly 300 new affordable homes near one of Silicon Valley’s biggest transit hubs. Developers filed updated plans for a 7 story fully affordable apartment complex at 860 West San Carlos Street that would add 272 units within walking distance of Diridon Station. The project includes one, two, and three bedroom apartments along with amenities like a courtyard, fitness center, and computer room as part of a larger multi phase development along West San Carlos Street.

SF Mall Sale
One of San Francisco’s most troubled downtown properties may finally get a second chance. The 1.2 million square foot San Francisco Centre mall near Market Street has been awarded to local developers Presidio Bay and Prado Group after foreclosure left the property largely empty last year. The new owners are reportedly exploring a redevelopment plan that could convert parts of the building into office space while keeping some retail.

• The Bay Area is heading into spring with a mixed market, not one clear trend. In January 2026, San Francisco’s median sale price was $1.3M, up 2.8% year over year, while San Jose’s median was $1.26M, down 10.3% year over year.

• San Mateo County is staying relatively resilient. Countywide median sale price was $1.55M in January 2026, down 1.8% year over year, and homes sold in 33 days on average versus 40 days a year earlier.

• The Peninsula is still competitive even where prices are softer. In San Mateo, the median sale price was $1.45M, down 8.7% year over year, but homes sold in 17 days on average.

• Mortgage rates are giving buyers a little more breathing room. Freddie Mac said the average 30 year fixed rate was 6.00% on March 5, 2026, down from 6.63% a year earlier.

📩 Want to better understand what this means for the future of Bay Area housing? We’re here to help — send us a message at [email protected].

Interested in touring? Reach out!

Wilson Leung | DRE 01904259
📩 [email protected]
📞 650.280.8888 Call or Text

As the spring market picks up, staying local matters more than ever. If you are thinking about buying, selling, or just trying to make sense of where the Bay Area market is headed, reach out to Wilson Leung and OWN Real Estate for guidance tailored to your goals.

Want to discuss your options? Reach out anytime at [email protected]