"It is easy to see that supply is still constrained. It's also clear the mortgage market remains off-kilter. Home loans are readily available for those who have good credit, a W-2 income and who are applying for a government-backed mortgage, but it can still be challenging for others, such as the self-employed and retired, even for those with a high income or significant assets, or both," noted Andrew LePage, a CoreLogic DataQuick analyst.
Read More Housing supply dogs a recovering Detroit
Lack of homes for sale and for rent continue to push pricing. It would take 44 percent of the area's median income to rent a home and 101 percent to buy a home with 10 percent down, according to a new analysis by RealtyTrac. San Francisco is also the second fastest selling housing market in the nation, second only to San Jose, according to Realtor.com.
It also boasts the highest rents, even higher than New York City. The average San Francisco rent reaching an all-time high of $3,460 for a 1-bedroom apartment, according to a report last month from Zumper, a rental listing and analytics company. San Francisco rents increased 1.5 percent from February to March and were up 3.3 percent over the last quarter.
Read MoreWorker influx boosts Charlotte housing
The search for affordable rental housing has actually become comical—darkly so.