> Starter homes are defined for this analysis as those in the 5th to 35th percentile of home values in a given region. Nationally, the typical starter home is worth about $202,000, up 2.3% from a year ago. Luxury homes are those in the top 5% of home values in a given region. The typical luxury home is worth about $1.9 million, up 3.1% from a year ago.

> The divergence is sharpest in San Francisco. Luxury sales across the metro area surged 21.6% year over year in May, while luxury inventory fell sharply and fewer listings cut their price. Starter-home buyers are hanging back: sales slipped 1.2% year over year in May, while more than twice as many starter-home sellers cut their price in June (22.2%) to try to entice buyers off the sidelines than did luxury buyers (9.4%).

Yeah, this does seem like it's likely to be an artifact of the rapid rise of house values in San Francisco on account of the extremely limited supply and people who work at AI companies suddenly having a lot of money.